Why Do You Need a Staff Handbook and What Does the Law Say?

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A staff handbook is a collection of policies, procedures and (sometimes) forms that are used to help employees navigate their employment.

On the whole, policies set out in a staff handbook are there as a matter of good practice, setting out the expected standards of conduct by an employee, to help with the smooth running of a business and to reduce overall legal risk by ensuring that both employees and managers have an understanding of the legal rights and responsibilities of an employment relationship.

A handbook can aid a business’ defence against potential tribunal claims and help illustrate that your company takes its employer responsibilities seriously, and acts in line with employment law.

What written policies must an employer provide to employees?

There are surprisingly few legally required written policies for employers in the UK. However, there are some that an employer must provide (see our next question).

Generally, whilst a staff handbook may provide full details of contractual terms noted in a contract of employment (such as details of contractual benefit schemes), the policies themselves are not automatically contractual. It is important to understand and make clear whether policies are contractual or not.

Written policies required by law

An organisation must provide employees with the following policies either via a staff handbook or as standalone policies. These are:

  • Disciplinary rules and procedures
  • Grievance procedures
  • Information about pensions (if this is not included in the employment contract)
  • Health and safety (if the company has 5 or more employees)
  • Whistleblowing

Employers may also choose to incorporate policies in the staff handbook that, whilst not required, have a strong legal reason for inclusion, to help reduce a business’ overall legal risk in potential tribunal claims. It is recommendable to also include policies on:

  • Anti-bribery and corruption
  • Anti-facilitation of tax evasion (where this is applicable, often in Financial Services)
  • Equal opportunities
  • Data protection
  • Whistleblowing

Other policies that could be included in a staff handbook

Whilst not a legal requirement, there is a long list of other policies that are useful to document, and these are commonly collated within a staff handbook. Here are some examples of our frequently recommended policies:

  • Day to day working arrangements (dress code, expenses, flexibility, homeworking, IT & social media, adverse weather, data retention etc.)
  • Family friendly policies (maternity, paternity, shared parental leave, adoption leave, time off for dependents, compassionate leave, parental bereavement leave etc.)
  • Policies to prevent and report malpractice & risk (anti-slavery & human trafficking, conflicts of interest, gifts and hospitality etc.)
  • Sickness, health, and safety policies (menopause, no-smoking, sickness absence, stress and wellbeing at work, substance misuse etc.)

How often should I review my handbook?

Although there is no statutory review timeline, we recommend that policies are reviewed regularly, and at least annually. Employment legislation changes from time to time so you may find that existing policies need to be updated or, new policies implemented.

Employers can make changes to non-contractual policies at any time, without consultation with employees. However, we always encourage business leaders to consider the impact of policy change on their workforce, communication is key to landing successful change initiatives!

Nockolds HR can provide the following Staff Handbook services:

  • Basic staff handbook containing essential policies
  • Detailed, best practice staff handbook
  • Review of existing staff handbooks.

Please contact the Nockolds HR team today for a bespoke solution for your business on 0345 646 0406 or fill in our online enquiry form and a member of our Team will be in touch.