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The offer letter, handbook and other documents do not constitute an employment contract. A statement regarding employment is at will and either party may terminate employment at any time, and for any reason provided that no local, state or federal laws are violated.
While rare, an employee handbook can inadvertently create a contract in certain instances. Legally, the key factor in determining whether a company handbook constitutes a contract is if the employer has issued a guarantee to the employee or if the employee promises anything to the employer.
A policy written for one city, county, or state therefore may not be legal in any other jurisdiction. A template or policy that was meant for use by a business that is larger or smaller than your own could also prove damaging to your business.
What to include in an employee handbook. An employee handbook should include your business's policies, your expectations of your employees, and what your employees can expect from your business. It should lay out your legal obligations as an employer and your employees' rights.
An employee handbook acknowledgement form is a document that employees sign to signify they have read, understand, and will comply with everything contained in the employee handbook. These forms should be part of the new employee onboarding process.
An employee acknowledgement or policy acknowledgement form is a simple form employees are asked to sign to acknowledge that they have reviewed and understood the company's policies as expressed in onboarding material, the employee handbook, or documentation announcing policy changes.
Employee handbooks are also used as a way to protect the employer against certain claims, such as unfair treatment claims. Unless the text of an employee handbook clearly indicates otherwise, an employee handbook can be considered a legally binding document between an employer and their employees.
An employee acknowledgement or policy acknowledgement form is a simple form employees are asked to sign to acknowledge that they have reviewed and understood the company's policies as expressed in onboarding material, the employee handbook, or documentation announcing policy changes.
I acknowledge that I have received a copy of the (Your Company Name) Employee Handbook dated: (date). I understand that this employee handbook replaces any and all prior verbal and written communications regarding (Your Company Name) working conditions, policies, procedures, appeal processes, and benefits.
While a company's policies themselves are not legally binding contracts, the policies must nevertheless be followed as a practical matter. Policies and procedures are necessary for employers to deal with the difficult but essential area of workforce management.