The employee handbook is a crucial document for successfully onboarding new employees, ensuring they align with your organizational culture, and making sure they follow the rules and processes in place in your work environment. These handbooks typically present the company, its mission and values, and also define working conditions, communication guidelines, and the specific policies of the organization.
And yet… more than 6 out of 10 HR professionals say it’s difficult to get new hires to actually read the employee handbook. Very often, new employees skip this step due to lack of interest, lack of time, or to avoid losing productivity during their first days on the job.
The result: new hires who don’t understand how the company works, who are unaware of communication and occupational health and safety guidelines, and who don’t know the regulations meant to govern their daily professional life.
So how can you overcome this challenge and create a good employee handbook that will be read and appreciated by as many people as possible? We explain everything in this article.
Main Objectives of an Employee Handbook
It might sound basic, but the question is essential: what is your employee handbook for? By knowing the answer clearly, you’ll be able to communicate its importance to both new hires and current employees.
Depending on your organizational context, your employee handbook might aim to:
- Present the company and its history to introduce organizational culture to new hires and create a sense of belonging from the start.
- Detail working conditions to set clear expectations, while also highlighting the benefits of the work environment and promoting your employer brand internally.
- Share clear guidelines on everyone’s roles and responsibilities, employer expectations, and the code of conduct to be followed.
- Define communication systems by detailing the organizational chart and indicating who employees should contact in each situation (payroll questions, HR matters, conflict management, etc.).
- Communicate workplace health and safety procedures, such as required equipment, emergency procedures, and the rules regarding harassment and conflicts between colleagues.
- List policies specific to your company based on its industry, size, processes, and values.
In any case, do not underestimate the importance of your employee handbook: in addition to ensuring consistency and clarity regarding expectations and rules in the workplace, it also plays a role in HR compliance (such as compliance with labor standards laws).
The Essential Elements of an Employee Handbook
Now that you’ve defined your main objectives, it’s time to outline the essential elements to include in your employee handbook.
1. A Table of Contents
Easy to forget, yet so essential, a table of contents allows a new hire (or even a veteran colleague) to quickly access the section they’re interested in and find answers to their questions.
If your handbook is digital, it’s best to create a clickable table of contents for efficiency. In any case, make sure to clearly list each section and subsection to create a clear and coherent document employees will enjoy consulting.
2. A Company Presentation
This section is crucial for new hire onboarding. Detail the key points of your history, your mission, your values, and what defines your company culture.
You can also include the company’s organizational chart so that employees can quickly familiarize themselves with their colleagues and key contacts during onboarding.
The goal is to present your company’s structure and what drives it day-to-day, creating a sense of belonging and cultural fit from day one.
3. Hours, Conditions, and Workplace Location
Here, you should define the guidelines that will shape a typical workday for your employees:
- Working conditions: remote work, hybrid model, on-site work (specify location), regional restrictions, etc.
- Work schedule: clearly defined hours or flexible schedule, number of hours per week.
- Overtime rules: paid, compensated with time off, etc.
- Time tracking: timesheets, punch clock, required arrival times, etc.
- In short, include all the details that define a typical work week in your company, both in terms of time management and daily tasks.
4. Leave Policies
Clearly defining your leave policy will save you a lot of headaches during peak vacation periods (summer holidays, year-end).
In this section, explain the processes for paid leave, unpaid leave, parental leave, and sick leave. You can also list public holidays observed by your organization.
If you use absence management software, explain how it works so everyone adopts the right practices. Also, clarify your policy for unexpected absences and the requirements for medical certificates.
5. Employee Benefits and Total Compensation
This section details the benefits offered to employees as well as the salary structure (without going into individual salary specifics).
For example, you might include:
- Group insurance and how it works.
- Statutory holidays and additional leave offered by the employer.
- RRSP and DPSP procedures.
- Payroll process (frequency, direct deposit or cheque, pay stub access).
- Any other benefits included in total compensation.
6. Company and HR Policies
While company policies are often outlined in a separate document, it’s always helpful to recap key rules and best practices here.
To avoid redundancy, you can list key points such as:
- Employee code of conduct.
- Equality and non-discrimination policies.
- Data confidentiality and protection.
- Use of technological tools.
- Rules regarding conflicts of interest and sharing organizational data.
We also recommend reiterating rules regarding psychological harassment and workplace conflicts (even if this is already covered in your health and safety section — in this case, repetition is both useful and appreciated).
7. Health, Safety, and Work Environment
Depending on your context, you may need to remind employees of safety rules and required equipment, or the applicable dress code. Don’t hesitate to explain the process to follow in case of a workplace accident, as well as potential disciplinary measures for non-compliance with safety rules.
8. Development and Performance Evaluation
Whatever your performance management system, explain how it works, detailing the probation period and the probation review process. You may also wish to briefly restate the employer’s expectations regarding performance.
9. Disciplinary Measures
List possible disciplinary measures and their process in cases of non-compliance with HR policies (verbal or written warnings, suspension, dismissal). Employees should be aware of the potential consequences from their first day on the job.
10. A Personal Touch
While your employee handbook should be clear and professional, it’s also important to make it appealing and easy to read.
Use your branding and communication style to capture employees’ attention.
Consider personally addressing each employee on the cover page — you can even customize the introduction according to the personality and role of the new hire.
Above all, be as concise and precise as possible to avoid misunderstandings or loss of interest.
11. Acknowledgment of Receipt
Ideally, you should confirm that each employee has received the handbook, and even request a signed acknowledgment.
This ensures that every employee accepts the rules governing the workplace and understands the disciplinary measures for non-compliance.
Paper or Digital: Which Format to Use?
There’s no trick question here — there’s no one-size-fits-all answer. The choice depends on your organizational reality and the demographics of your workforce.
For example, in a manufacturing company where workers may not be accustomed to using digital tools, a paper format might be best. Conversely, younger office-based teams may prefer to consult organizational documents in digital format.
Be careful not to fall into stereotypes, however! Preferences for reading formats don’t depend solely on age or job type. Survey your employees for feedback and use your HR data to get a clear picture of your workforce demographics.
5 Tips to Encourage Employees to Read Your Handbook
Even with all these best practices, will you be able to get your employees to actually read the handbook — and not just skim through it?
1. Personalize It Visually and Textually
We’ve already mentioned the importance of personalization: it showcases your brand identity and makes reading more enjoyable for new hires.
You can include visual elements that catch the reader’s eye (for example, a statistic on how many employees take all their vacation days, along with a reminder of paid leave policies).
When it comes to text, avoid being too generic and repetitive, or you’ll lose readers’ interest. Most handbooks are dozens of pages long… so make them as engaging as possible!
2. Schedule Regular Updates
As soon as your policies evolve or benefits improve, update the handbook promptly.
This prevents misunderstandings and conflicts, and gives you a great reason to redistribute the document to the entire organization. Updates to branding or the organizational chart are also a good opportunity to recapture employees’ attention.
3. Communicate Effectively
Send the updated handbook as soon as a new hire’s start date is confirmed. Stress the importance of reading it, and request acknowledgment or a signature.
When changes are made, notify all teams so they’re aware of the updates. Annual reminders can help reinforce the importance of this document.
4. Make It Easy
Often, employees simply don’t have time to read the handbook. Ensure reading time is scheduled during work hours so it counts as paid time (within reason — reading the handbook shouldn’t take an entire workday).
If an employee has trouble accessing the digital version, print them a copy! The time saved and clarity gained are well worth it. Likewise, if someone doesn’t understand a section, be ready to provide clarification.
5. Lead By Example
“Management has taken the time to review the handbook to better reflect our vision and current working conditions…”
“The end of the year means annual handbook review! We’ve all gone through it to ensure consistency in our operations and communications before starting a new year together…”
Sometimes it’s that simple! Show the way by reviewing the handbook yourself and encouraging others to do the same. Remind them why it matters in their daily work and how it can benefit them (better leave management, unused benefits, conflict resolution procedures). Communicate clearly and listen actively to make a real difference.
Now you know how to create an effective employee handbook that covers all essential aspects — and that will actually be read by the majority of your team.
Before you go, don’t forget to download our checklist to track and improve the entire employee lifecycle. This tool will help you ensure consistency in your HR processes and support employee well-being!
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