• Company policies can have many problems, including reactive policies, policies written in legalese, the appearance of employment contracts, and more.

Perhaps there are problems with some policies, but the company hasn’t had time to address them. Perhaps the policies seem well-written and comprehensive. That's possible, but odds are, a company's policies (or its handbook as a whole) have at least one of the following problems.

1. The policies are reactive. Many companies don't create policies until a question of how to handle a particular situation arises. Unfortunately, such a strategy means that the first instance of most issues in the workplace will be met with puzzled looks and confused employees. Make a point to create policies to address emerging issues in the workplace (like employee social media use and “bring your own device” policies) before these situations arise. This way, employees will know what to expect, and a company and its managers and supervisors can enforce a consistent standard.
2. The policies don't reflect changes to federal and state laws. In many organizations, company policies are created and then remain untouched for years, but regular review (and often updating) of such policies is necessary. For instance, decisions from the National Labor Relations Board over the past few years have greatly affected the extent to which employers can prohibit employees from discussing “confidential information,” and from saying “disparaging” or “negative” things about the employer. The Americans with Disabilities Act, as amended, has also provided broader protections for employees. For policies to be effective (and legal), monitor for changes like these at both the state and federal level, and revise the policies as needed.
3. The policies are written in legalese. If the policies are written in a way that employees would need a law degree to comprehend, the policies won't help clarify rules and expectations in the workplace. Polices should be written in layman's terms and backed up with verbal reinforcement from managers and supervisors. While a complicated policy could still hold up in court, it's best if the policies are clear enough to help keep a company out of the courtroom in the first place.
4. The policies create employment contracts. Legal professionals often recommend that employers include a statement in company handbooks that nothing negates the at-will employment relationship. That's because policies that are too detailed can create a contract of employment. For instance, if a progressive discipline policy insinuates that a certain process will always be followed before an employee is terminated, an employee who was terminated more abruptly may be able to argue that the company wrongfully terminated the employee.
5. The policies are not consistently enforced. There are many reasons policies might not be enforced consistently. The policies might be outdated, for example, or might not mesh with company culture. Whatever the reason, policies should be deviated from only for good reason and in special circumstances. Otherwise, inconsistently applied policies can actually create legal risk instead of mitigating it, which most handbooks are intended to do.

A review of the company's handbook at least annually is wise and will allow employers to keep an eye on some of the more common ways company policies go astray. A legal review may not be necessary every year, but a little extra protection is never a bad thing, either.

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