Does an employee handbook help your business avoid litigation?

On Behalf of | Mar 14, 2022 | Employment Law -- Employer |

When you own and operate a Pennsylvania business, it is important to recognize the areas in which your employees might try to hold you liable and protect your business accordingly. Employment disputes are an unfortunate, but common, part of conducting business. However, there are certain steps you might take as a business owner to lower the chances of a potentially costly and time-consuming dispute arising.

According to, one way you may want to help protect your business against possible litigation is by drafting an employee handbook.

How an employee handbook helps protect you

The sheer fact that you take the time to create an employee handbook shows your workers that you value them and care about maintaining fair treatment in your place of business. The handbook should spell out any policies you have in place with regard to diversity, inclusion and so on. That way, in the event that an employee files a lawsuit against you, you have evidence showing that you have policies in place to ensure fair and equitable treatment companywide.

What to cover in an employee handbook

Your employee handbook should spell out the federal and state employment laws that govern those who work for you. It should also outline your policies with regard to family or medical leave, discrimination and workers’ compensation. It is important that your handbook also has an employee acknowledgment page and that you have each worker sign the page indicating that he or she read and understands the handbook’s contents.

While these are some important areas to address in your employee handbook, this is not an exhaustive summary of all areas you may want to include in your own.