Why Your Company Handbook Should Include State Compliance, Annual Signatures, and a Yearly Review

Did you know that your handbook should include state compliance for all of the states your employees work in, especially in today’s remote workforce? Did you also know that you should collect signatures from employees annually demonstrating that they’ve signed off on your handbook? And since there are always policies changing and laws updating, did you know it’s a best practice to conduct an annual review of your handbook? 

State Compliance

Each state enforces unique employment laws that can significantly impact your organization’s policies. Including state-specific compliance in your handbook ensures:

• Full Legal Coverage: Local labor laws may differ on areas like overtime, paid leave, anti-discrimination protections, and meal/rest breaks. Including these specifics helps you stay compliant in every state where your employees work.
• Reduction in Legal Risk: By addressing state requirements upfront, you can mitigate potential lawsuits or penalties related to non-compliance.
• Clarity for Employees: Employees benefit from clear, accessible guidance on the rules specific to their location, fostering trust and reducing misunderstandings.

Annual Employee Signatures

Collecting annual employee signatures acknowledging the handbook serves multiple purposes:

• Ensures Awareness of Updates: A yearly signature confirms that each employee is aware of any new or revised policies.
• Legal Protection: This acknowledgment can be essential in legal situations, as it provides a record showing that employees were informed of company policies and standards.
• Promotes Accountability: When employees sign off on policies, they are reminded of their responsibilities, helping foster accountability and adherence to company guidelines.

Yearly Handbook Review

Conducting a yearly review of the handbook ensures it remains accurate, relevant, and compliant:

• Adapting to Legal and Business Changes: Employment laws can change annually, and a regular review process ensures that policies are updated to reflect the latest federal, state, and local regulations.
• Responding to Internal Shifts: As your company grows, adds new departments, or adjusts its mission, the handbook should evolve to support these changes.
• Improving Clarity and Consistency: An annual review allows you to address any outdated language, correct errors, and align the handbook with current company practices.

Benefits of Incorporating These Practices

Adding state compliance, annual signatures, and a yearly review process into your handbook strategy helps you:

• Stay Legally Compliant: Reduce the risk of fines and lawsuits by staying up to date on all relevant laws.
• Promote a Clear and Current Resource: An updated handbook is a valuable tool for leaders and employees alike, making it easier to understand company expectations.
• Foster Accountability and Transparency: Annual acknowledgments and updates keep everyone on the same page, minimizing misunderstandings and enhancing trust within the organization.

By prioritizing these three elements, your handbook becomes a robust, compliant, and evolving resource that supports both the organization and its employees year-round. Feeling overwhelmed and not sure where to begin? Contact BOOST for all of your handbook needs!

About the Author, Lindsay Moore

A driven and dedicated leader in her industry, Lindsay Moore has had the exceptional ability to establish rapport with clients, candidates, and hiring managers through her work in HR for the past decade. She is currently the Director of HR for BOOST LLC which supports back-office functions for government contractors. Lindsay is accredited by Stevenson University (BS), Loyola College in Maryland (MS), and PHR (Certification).