Privacy, Business and Law

Make sure that employees acknowledge that they have received and read any employee manual or handbook. Policies or handbooks should be carefully reviewed on a regular basis for compliance with both state and federal law, as well as for any language that could be construed as a promise of continued employment.

Particular attention should be given to probationary periods, progressive discipline, cause for termination, severance pay, and promotion policies. Evaluate the need for such policies and eliminate them if possible, particularly probationary periods and progressive discipline policies.

Ensure that policies and procedures, as well as changes to policies and procedures, are clearly communicated to each employee, including procedures for making complaints. Make sure that employees clearly understand commission and bonus arrangements.

If your company undertakes written employment evaluations, the evaluation should be based on the employee’s performance of the duties and responsibilities for that particular position. Written performance evaluations may someday be exhibits in litigation and should be treated carefully. Make evaluators aware of the meaning of performance ratings to ensure uniform results; do not allow “great” to mean “not so good.” Allow space for narrative comments by the evaluator and the employee, and have the employee sign the evaluation after reviewing it. Finally, do not take action inconsistent with written employment evaluations. For example, do not terminate an employee who has received a glowing performance evaluation for lack of performance. Similarly, do not give a large bonus or pay increase to an employee who received a poor performance evaluation.