Articles Tagged with employee handbook

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It is always advisable for employers to have an employee handbook, which will contain important information that protects you legally. Even if a company only has a few employee, without a handbook, it might expose itself to the greater risk of a lawsuit regarding sexual harassment, wrongful termination, and other wrongful treatment of employees.

What to Include in Your Handbook

A handbook is a great reference for employees, who can return to the handbook if they have questions. A handbook also forces employers to carefully consider their philosophy and the rules of the business. An adequate handbook should contain:

Fotolia_206780729_Subscription_Monthly_M-300x129Hiring a new employee is an important business decision that can impact your business’s success. You must take the necessary steps to protect both your business and keep your employee happy, especially today when the unemployment rate is at a historic low . If your San Jose business is considering hiring a new employee, there are some things you might consider.

Confidentiality Agreement

Your business likely has certain information it must keep confidential. This might be company trade secrets, business methods, and sensitive employee or customer data and information. Liability concerns and legal compliance with laws (e.g., HIPPA) require a business to have safeguards in place. One of these safeguards might include a confidentiality agreement.  A confidentiality agreement is a specially crafted legal agreement that an employee signs upon acceptance of his or her employment, or inherently agrees to through the employee handbook. The agreement should include remedies if an employee breaches the confidentiality agreement. A skilled San Jose business attorney can assist your business in drafting the necessary agreement tailored to your business’s needs.

When forming a Limited Liability Company (LLC), one must choose who will be responsible for managing the operations of the company. LLCs are managed by either its members or by a manager(s) and are, therefore, either member-managed or manager-managed. Some entrepreneurs know which form they want for their business from the start while other don’t know which would be best and don’t know how to come to the right decision.  Consulting with a knowledgeable Silicon Valley corporate attorney will allow the entrepreneur to understand every avenue for their company and reassures them that their business is moving forward in the right direction.

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Member-managed LLCs

In forming an LLC, the “members” are the owners of the company. In a member-managed LLC, the members of the LLC are actively involved in the running of the LLC’s business. It is the members who handle the day-to-day running of the company and share in the responsibility for management decisions.

As the owner of a corporation, LLC, or other business, you want employees on your team who improve efficiency and increase profits. However, as cautious as you may be during the hiring process, there is always the chance that an employee may become a problem. In some cases, talking to an employee and discussing an issue can result in them changing their behavior for the better. In other cases, behavior may get worse. You may be getting complaints from your customers, vendors or even other employees. In such cases, it may be best to terminate the employment relationship.

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 Often, the problem is that not many people take getting fired lightly.  While California is an “at-will” employment state, meaning employees can be fired for any legal reason (e.g., non-discriminatory) or no reason at all, many people get angry and look for a reason to hold the business accountable for their job loss, even if it did nothing wrong. For example, if you excuse a male employee for being late regularly yet fire a female employee for tardiness, you may be accused of sex discrimination. Allegations of discrimination, harassment, retaliation, and wrongful termination can be made. Even if such allegations are unfounded, you could have to spend valuable time, energy, and money defending against these claims.

The experienced employment law attorneys at Structure Law Group, LLP can help you establish employment practices and employee handbooks that will allow the employment process to run more smoothly.  The following are some things to consider when firing a problem employee:

California law requires employers to take reasonable steps to prevent and address alleged discriminatory and harassing conduct, to provide a government-issued brochure on sexual harassment to all employees, and to conduct sexual harassment prevention trainings if the employer has 50 or more employees.  As of April 1, 2016, the California Department of Fair Employment and Housing (DFEH) has enacted regulations that will require employers to develop written anti-discrimination and harassment policies with certain content requirements.

Under the new regulations, the anti-discrimination/harassment policy must be in writing, and must at a minimum:

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  1. List all of the protected categories under California’s Fair Employment and Housing Act, which currently include race, creed, color, national origin, age, ancestry, physical and/or mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, and military and/or veteran status,

Hiring and retaining employees is critical to success in business. While successfully managing a workforce has many components to it, understanding the basic components of the employment relationship not only protects the company when hiring, but also helps to set the expectations for new and existing employees. Clearly articulating expectations – such as whether the employee is hired at-will or for a fixed term, identifying the main responsibilities of the employee in a clearly articulated job description, informing the employee on the processes and procedures involved in the review process and protecting the company’s intellectual property assets – ensures the employer sets the stage for a successful employment relationship.

Should my Employee be At-will or Fixed Term?stretta di mano per lavorare in un ufficio

Employees can be hired as either an at-will or fixed-term employee. Unless otherwise specified in a written agreement, all employment in the State of California is “at will,” meaning either the employer or the employee can terminate the relationship at any time with or without cause. While at-will employment gives employees more flexibility in controlling how long they continue to work with a particular company, at-will employment also grants businesses with a greater control in terminating employees. Businesses can fire at-will employees at any time, with or without cause. (Obviously, this is limited to instances in which the business is not committing discrimination.) This is true because no contractual obligation exists between the business and its at-will employee.

Hiring employees can be exciting for a business owner though it comes with many legal responsibilities and requirements. You must report your new hires to the state, set up a payroll system, comply with tax and immigration laws, and more. With so many requirements, the last thing you may want to do is anything that is not expressly required by law.

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One optional step that can be extremely important, however, is developing and regularly updating an employee handbook. Following are some reasons that a carefully drafted employee handbook can help you to avoid legal conflicts with employees.

Avoid employee miscommunication

When drafted properly, employee handbooks encourage open communication in the workplace, set employee expectations, and shield businesses from the financial burden of legal liability. Here are 3 reasons why your business should have an employee handbook.

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3 Reasons Why Your Company Should Have an Employee Handbook

  1. Establish Your Company’s Character

Large companies frequently have corporate employee handbooks that are updated on an annual basis to reflect changes in employment laws or company policies. However, many small business owners with few employees may not see the need in having such a handbook that formally sets out employment policies and rules. While it is true that simply speaking to employees about your policies may be easier and more time-efficient than developing an official handbook, there are several reasons why it is worth taking the time and energy to do so.

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Assistance in developing your policies

Many new business owners have not taken the time to sit down and formulate official policies when it comes to employees. Owners may be tempted to “wing it” when it comes to worker management and develop rules along the way. This can be risky, however, and can lead to disputes if there are not rules set in stone. Developing a handbook will make it necessary for you to sit down and decide what types of policies you want for your employees. This can ensure that your policies are applied fairly and evenly from the start to all workers. Continue Reading