Insight on Manufacturing

May 2012 IOM

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help. Don't minimize the impact that non- compliance can have on your company. Not knowing is not a defense. As for handbooks, they are one of the most WIGGLE ROOM, DISCLAIMERS KEY TO HANDBOOKS important tools an employer has to protect itself from future liability — that is, if they are written correctly. However, there are common mistakes that employers make. When it comes to employee handbooks, every word counts. What you say can get you in trouble. What you don't say can get you in trouble. Don't take handbooks for granted. The legal importance and ramifications of employee handbooks has grown immensely. If you do not have a handbook, think about getting one. If you have a handbook, pick it up and review it. Mary Felton is founder and president of HR Business Partners. Before opening her own business, Felton worked in HR positions at various Fortune 500 companies including Illinois Tool Works-Miller Electric Mfg. Co., James River Corp., Banta and TIDI Products. F Here are a few things to watch out for in your handbook: 1 2 3 4 5 Say what you do… and do what you say. Do not put anything in the handbook that is not going to be followed. Know what the handbook says – your employees do! Leave a little legal wiggle room. Avoid using absolute words and incorporate permissive language. For example, instead of using the word "will," use the words "intend to" or "strive to" or "may." Permissive language provides flexibility in running a business. Don't lock yourself in. A detailed disciplinary policy in the handbook can box the employer into a corner when faced with an unusual situation that warrants termination prior to completion of the disciplinary process. Make sure to have language that allows management the discretion to terminate prior to all steps being completed. Use appropriate disclaimers, such as it can be revised without prior notice. Get signed acknowledgements. Ensure all employees sign an acknowledgement and keep receipt in the employee's personnel file. Make sure to review your handbook and your human resource practices so you can protect yourself from future liability. www.insightonmfg.com May 2012 • INSIGHT on Manufacturing | 25

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