{"id":4743,"date":"2016-04-04T10:47:41","date_gmt":"2016-04-04T15:47:41","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-law\/smallbusiness\/employment-law-and-human-resources\/personnel-policies-and-practices-faq.html"},"modified":"2026-10-19T09:43:20","modified_gmt":"2026-10-19T14:43:20","slug":"personnel-policies-and-practices-faq","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/personnel-policies-and-practices-faq.html","title":{"rendered":"Personnel Policies FAQ"},"content":{"rendered":"\n<div class=\"fl-sectionWithSidebar fl-container fl-flex fl-flex-wrap fl-gap30  wp-container-core-columns-is-layout-28f84493 fl-sectionWithSidebar fl-container fl-flex fl-flex-wrap fl-gap30\">\n<div class=\"fl-section-main fl-page-articles fl-section-main fl-section-main-full-width\"><h1 class=\"fl-no-margin-top\">Personnel Policies FAQ<\/h1>\n\n<section class=\"fl-gutenberg-byline\">\n    <div class=\"fl-gutenberg-byline-content\">\n                    By <a href=\"https:\/\/www.findlaw.com\/company\/our-team\/catherine-hodder-esq\/\">Catherine Hodder, Esq.<\/a> | Legally reviewed by <a\n                href=\"https:\/\/www.findlaw.com\/company\/our-team\/laura-temme-esq\/\">Laura Temme, Esq.<\/a>\n                | Last updated\n        <time>\n                            October 19, 2026\n                    <\/time>\n    <\/div>\n\n            <div class=\"fl-gutenberg-byline-editorial-note fl-text-sm\">\n            <p>Editorial Note: We earn a commission from affiliate partner links on FindLaw. Commissions do not affect the editorial integrity of our legal content.<\/p>\n\n        <\/div>\n    \n    <details class=\"fl-gutenberg-byline-toggle fl-gutenberg-byline-legally-reviewed\">\n        <summary>\n            <i class=\"fl-gutenberg-byline-icon\" aria-hidden=\"true\"><\/i>\n            Legally Reviewed\n        <\/summary>\n\n        <div class=\"fl-gutenberg-byline-toggle-content\">\n            <p><em>This article has been written and reviewed for legal accuracy, clarity, and style by <a href=\"https:\/\/www.findlaw.com\/company\/our-team.html\">FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with <a href=\"https:\/\/www.findlaw.com\/company\/company-history\/editorial-policy.html\">our editorial standards<\/a>.<\/em><\/p>\n\n        <\/div>\n    <\/details>\n\n    <details class=\"fl-gutenberg-byline-toggle fl-gutenberg-byline-fast-checked\">\n        <summary>\n            <i class=\"fl-gutenberg-byline-icon\" aria-hidden=\"true\"><\/i>\n            Fact-Checked\n        <\/summary>\n\n        <div class=\"fl-gutenberg-byline-toggle-content\">\n            <p><em>The last updated date refers to the last time this article was reviewed by FindLaw or one of our <a href=\"https:\/\/www.findlaw.com\/company\/our-team\/contributing-authors.html\">contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please <a href=\"https:\/\/lawyers.findlaw.com\/?fli=bylinelink\" target=\"_blank\" rel=\"noopener\">contact an attorney in your area<\/a>.<\/em><\/p>\n\n        <\/div>\n    <\/details>\n<\/section>\n\n\n<div class=\"fl-key-takeaways fl-mb30\" data-testid=\"fl-key-takeaways\">\n    <div class=\"fl-card-content\">\n        <div class=\"fl-card-body fl-card-bg-teal fl-flex fl-flex-column\">\n                            <h2 class=\"fl-card-title fl-h2 fl-no-margin\">Key Takeaways<\/h2>\n                        <p>PerPersonnel policies are the rules and guidelines a company establishes to ensure fair and consistent management of its employees. These policies, often compiled in an employee handbook, cover important topics like workplace conduct, compensation, benefits, and leave. They provide a clear framework for employers and employees, help maintain legal compliance, and set clear expectations for everyone in the organization.sonnel policies are the rules and guidelines a company establishes to ensure fair and consistent management of its employees. These policies, often compiled in an employee handbook, cover important topics like workplace conduct, compensation, benefits, and leave. They provide a clear framework for employers and employees, help maintain legal compliance, and set clear expectations for everyone in the organization.<\/p>\n\n        <\/div>\n    <\/div>\n<\/div>\n\n<div class=\"fl-rich-text\">\n<p>Your business may be too small for a <span data-term-id=\"27795727\">full-time<\/span> <span data-term-id=\"27795637\">human resources<\/span> (HR) department, but you still need someone to handle\u00a0<span data-term-id=\"27795736\">HR functions<\/span>\u00a0and develop employee policies. Thanks to <span data-term-id=\"27795644\">HR software<\/span> and online resources, even <span data-term-id=\"27795635\">small businesses<\/span> can build robust personnel policies that support the business and keep employees safe and satisfied.<\/p>\n<p>In this article, we&#8217;ll cover frequently asked questions about <span data-term-id=\"27795635\">small business<\/span> personnel policies. For more information, visit FindLaw&#8217;s <a href=\"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources.html\"><span data-term-id=\"27795659\">Employment Law<\/span> and <span data-term-id=\"27795637\">Human Resources<\/span><\/a>\u200b section or contact a qualified <a href=\"https:\/\/lawyers.findlaw.com\/employment-law-employer\/?fli=dcta\" target=\"_blank\" rel=\"noopener\"><span data-term-id=\"27795659\">employment law<\/span> attorney<\/a>.<\/p>\n<h2>FAQ for Personnel Policies<\/h2>\n<p>Having established personnel policies can reduce confusion and protect you if issues arise. Below are some frequently asked questions and answers about <span data-term-id=\"27795638\">HR policies<\/span> for <span data-term-id=\"27795635\">small businesses<\/span>.<\/p>\n<h3>What Are Personnel Policies?<\/h3>\n<p>Personnel policies are the rules and regulations your workers must follow while on the job. Personnel policies, or <span data-term-id=\"27795645\">company policies<\/span>, explain workplace requirements in detail. They can cover <span data-term-id=\"27795639\">time off<\/span>, <span data-term-id=\"27795715\">sick leave<\/span>, and vacation time. Your policy should describe how many absences you permit before the employee faces <span data-term-id=\"27795661\">disciplinary action<\/span>.<\/p>\n<p>Personnel policies should also address:<\/p>\n<ul>\n<li><span data-term-id=\"27795718\">Job descriptions<\/span> and details of job duties<\/li>\n<li><span data-term-id=\"27795653\">Dress codes<\/span><\/li>\n<li><span data-term-id=\"27795724\">Health and <\/span><span data-term-id=\"27795675\">safety<\/span><span data-term-id=\"27795675\"> policies<\/span><\/li>\n<li><span data-term-id=\"27795637\">Human resources<\/span> reporting policies<\/li>\n<\/ul>\n<p>Your personnel policies cover anything that affects your <span data-term-id=\"27795681\">company culture<\/span> and employee interactions.<\/p>\n<h3>What Are Some Essential Policies for a <span data-term-id=\"27795635\">Small Business<\/span>?<\/h3>\n<p>While every business is unique, a strong set of personnel policies generally includes:<\/p>\n<ul>\n<li><strong><span data-term-id=\"27795742\">Equal Employment Opportunity<\/span> (EEO) Policy<\/strong>: A statement of your commitment to following anti-discrimination laws<\/li>\n<li><strong>Anti-Harassment Policy<\/strong>: Clear rules <a href=\"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/tips-for-creating-a-friendly-workplace.html\">prohibiting harassment<\/a> (including <span data-term-id=\"27795641\">sexual harassment<\/span>) and a procedure for reporting<\/li>\n<li><strong>Code of Conduct<\/strong>: General expectations for workplace behavior, professionalism, and ethics<\/li>\n<li><strong>Compensation and Payroll<\/strong>: Details on pay schedules, overtime, and timekeeping procedures<\/li>\n<li><strong><span data-term-id=\"27795677\">Leave Policies<\/span><\/strong>: Guidelines for vacation, <span data-term-id=\"27795715\">sick leave<\/span>, and any other types of paid or unpaid <span data-term-id=\"27795639\">time off<\/span><\/li>\n<li><strong><span data-term-id=\"27795724\">Health and <\/span><span data-term-id=\"27795675\">Safety<\/span><span data-term-id=\"27795675\"> Policy<\/span><\/strong>: Your commitment to providing a safe workplace, including procedures for reporting accidents or injuries<\/li>\n<li><strong><span data-term-id=\"27795661\">Disciplinary Action<\/span> Policy<\/strong>: A clear, progressive process for addressing employee misconduct<\/li>\n<\/ul>\n<p>Clear policies protect you from an employee claiming they didn\u2019t know they were breaking company rules.<\/p>\n<h3>Are Personnel Policies the Same as Employment Contracts?<\/h3>\n<p>An <a href=\"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/employment-contract-provisions.html\">employment contract<\/a>\u200b defines the relationship between <span data-term-id=\"27795648\">small-business<\/span><span data-term-id=\"27795648\"> owners<\/span> and employees. The contract specifies employees&#8217; pay rates, benefits, and other factors. Personnel policies are general and apply to everyone who works with the company.<\/p>\n<h3>What Is <span data-term-id=\"27795685\">At-Will Employment<\/span>?<\/h3>\n<p><a href=\"https:\/\/www.findlaw.com\/employment\/losing-a-job\/at-will-employment-and-wrongful-termination.html\"><span data-term-id=\"27795685\">At-will employment<\/span><\/a>\u200b is often misunderstood. It\u2019s common to believe it means that an employer can terminate an employee for any reason. It\u2019s true as long as the firing is for a legal reason. <span data-term-id=\"27795685\">At-will employment<\/span> doesn\u2019t protect a business owner if they fire someone for an illegal reason.<\/p>\n<p>Even in at-will states, you can\u2019t legally fire a worker for any of the following reasons:<\/p>\n<ul>\n<li><strong>For discriminatory reasons<\/strong> based on race, color, religion, sex, national origin, or disability, when federal, state, or local antidiscrimination law covers the employer and employee, such as pregnancy and <span data-term-id=\"27795683\">FMLA<\/span>-based leave.<\/li>\n<li><strong>For filing an EEOC or OSHA claim<\/strong>, the so-called <a href=\"https:\/\/www.findlaw.com\/employment\/whistleblowers.html\">whistleblower protection<\/a><\/li>\n<li><strong>If an implied contract exists between the parties, <\/strong>regardless of whether it\u2019s written or oral<\/li>\n<li>Violations of a state\u2019s <strong>public policy wrongful termination law<\/strong><\/li>\n<\/ul>\n<p>An\u00a0<span data-term-id=\"27795685\">at-will employment<\/span>\u00a0termination must still conform to all applicable laws. Some states, such as <a href=\"https:\/\/www.findlaw.com\/state\/california-law\/california-wrongful-termination-claims.html\">California<\/a>, specifically prohibit employers from terminating employees for exercising a statutory right or refusing to break the law. If an employer tells a worker they\u2019ll be fired unless they commit an unlawful act, the worker can refuse. A <a href=\"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/wrongful-termination-laws-illegal-reasons.html\">wrongfully terminated worker<\/a> can sue for lost wages and benefits.<\/p>\n<h3>What Laws Affect Personnel Policies?<\/h3>\n<p>Your <span data-term-id=\"27795645\">company policies<\/span> must follow federal, state, and local <span data-term-id=\"27795659\">employment laws<\/span>. Employers must comply with <span data-term-id=\"27795655\">federal laws<\/span> on <a href=\"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/preventing-sexual-harassment.html\"><span data-term-id=\"27795641\">sexual harassment<\/span><\/a>, disability accommodation, and <span data-term-id=\"27795693\">occupational safety<\/span>, as well as state-specific laws for issues like <span data-term-id=\"27795721\">workers&#8217; compensation<\/span>. State and <span data-term-id=\"27795673\">local laws<\/span> may mirror <span data-term-id=\"27795655\">federal laws<\/span> or provide even more protections and restrictions.<\/p>\n<p>Your <span data-term-id=\"27795698\">workplace policy<\/span> should include whatever is specific to your business and its legal requirements. Many laws, like the <span data-term-id=\"27795683\">FMLA<\/span> and anti-discrimination statutes, apply only after your business reaches a certain number of employees. An <a href=\"https:\/\/lawyers.findlaw.com\/employment-law-employer\/?fli=dcta\" target=\"_blank\" rel=\"noopener\"><span data-term-id=\"27795659\">employment law<\/span> attorney<\/a> can help you determine which laws apply now and which you should prepare for as you grow.<\/p>\n<h3>How Often Should I Update My Personnel Policies?<\/h3>\n<p>Most federal and state <span data-term-id=\"27795659\">employment laws<\/span> don\u2019t change much from year to year. Consider updating your personnel policies when:<\/p>\n<ul>\n<li>Your <span data-term-id=\"27795643\">employee benefits<\/span> are altered by changing insurance carriers or <span data-term-id=\"27795667\">eligibility<\/span> requirements<\/li>\n<li><span data-term-id=\"27795657\">State laws<\/span> affecting <span data-term-id=\"27795750\">overtime pay<\/span>, job <span data-term-id=\"27795706\">classifications<\/span>, or minimum wage go into effect.<\/li>\n<li>Your company merges with another company or has a change of ownership<\/li>\n<\/ul>\n<p>If you have an <span data-term-id=\"27795636\">employee handbook<\/span>, make sure it reflects your changes.<\/p>\n<h3>How Can I Let Employees Know Our Personnel Policies?<\/h3>\n<p>Most <span data-term-id=\"27795651\">HR professionals<\/span> recommend giving all\u00a0<span data-term-id=\"27795663\">new hires<\/span> an\u00a0<a href=\"https:\/\/www.findlaw.com\/smallbusiness\/employment-law-and-human-resources\/guide-to-creating-employee-handbooks.html\"><span data-term-id=\"27795636\">employee handbook<\/span><\/a>\u00a0during\u00a0<span data-term-id=\"27795640\">onboarding<\/span>. The <span data-term-id=\"27795636\">employee handbook<\/span> contains all your <span data-term-id=\"27795691\">human resource<\/span><span data-term-id=\"27795691\"> policies<\/span> and procedures. You&#8217;re not required to have an <span data-term-id=\"27795636\">employee handbook<\/span>, but you should have <span data-term-id=\"27795687\">written policies<\/span> available for your workers.<\/p>\n<p>Your <span data-term-id=\"27795636\">employee handbook<\/span> is a convenient way to inform\u00a0<span data-term-id=\"27795665\">new employees<\/span>\u00a0of your basic work policies and a good place to list all laws\u00a0your workers must follow. Your <span data-term-id=\"27795636\">employee handbook<\/span> should include information about <span data-term-id=\"27795655\">federal laws<\/span> and agencies, including:<\/p>\n<ul>\n<li><strong><span data-term-id=\"27795742\">Equal Employment Opportunity<\/span> Commission (EEOC)<\/strong>: The EEOC<a href=\"https:\/\/www.eeoc.gov\/\" target=\"_blank\" rel=\"noopener\"><u> enforces federal employment discrimination laws<\/u><\/a>\u200b and investigates charges alleging violations of those laws. Employees must be able to contact the EEOC if they believe they have experienced harassment or discriminatory behavior.<\/li>\n<li><strong>The<\/strong> <strong><span data-term-id=\"27795704\">Family and Medical Leave Act<\/span><\/strong> <strong>(<span data-term-id=\"27795683\">FMLA<\/span>)<\/strong>: Public agencies and businesses with 50 or more employees <a href=\"https:\/\/www.findlaw.com\/employment\/family-medical-leave\/what-is-fmla-faq-on-federal-leave-law.html\"><u>must comply with the <span data-term-id=\"27795683\">FMLA<\/span><\/u><\/a>. Eligible workers receive a <span data-term-id=\"27795679\">leave of absence<\/span> of up to 12 weeks to care for seriously ill family members or to recover from their own illness or injury.<\/li>\n<li><strong><span data-term-id=\"27795721\">Workers&#8217; Compensation<\/span><\/strong> <strong>Laws of Your State<\/strong>: Each state has its own<a href=\"https:\/\/www.findlaw.com\/smallbusiness\/liability-and-insurance\/workers-compensation.html\"><u> <span data-term-id=\"27795721\">workers&#8217; compensation<\/span><\/u><\/a> laws. Your workers must know how to file a claim and where to go to see the company doctor.<\/li>\n<\/ul>\n<p>Business owners often have their employees sign for their handbooks. In the event of legal action, the employer has proof that the worker knew of the <span data-term-id=\"27795645\">company policies<\/span>.<\/p>\n<h3>Are <span data-term-id=\"27795739\">Performance Reviews<\/span> Part of Personnel Policy?<\/h3>\n<p>Your personnel policy should explain when employee evaluations occur and how management evaluates employees. Focus <span data-term-id=\"27795739\">performance reviews<\/span> on tangible, measurable work elements to avoid legal issues. For example:<\/p>\n<ul>\n<li>Work quality, productivity, meeting and exceeding sales goals<\/li>\n<li>Customer service, positive and negative interactions with clients, customer reviews<\/li>\n<li>Punctuality, reliability, <span data-term-id=\"27795695\">absenteeism<\/span>, abuse of <span data-term-id=\"27795677\">leave policies<\/span><\/li>\n<\/ul>\n<p>A <span data-term-id=\"27795739\">performance review<\/span> is not the same thing as a disciplinary hearing. It should focus on strengths and weaknesses and set goals for the employee to work toward before the next review.<\/p>\n<p>For instance, a worker may have excellent customer service skills but lag in sales goals. In that case, the employee and manager should work together to determine why the employee is struggling to close sales and address the issue. Your personnel policy or <span data-term-id=\"27795636\">employee handbook<\/span> should distinguish between <span data-term-id=\"27795739\">performance reviews<\/span> and <span data-term-id=\"27795661\">disciplinary actions<\/span>.<\/p>\n<h3>Is <span data-term-id=\"27795661\">Disciplinary Action<\/span> Part of a Personnel Policy?<\/h3>\n<p>Employee discipline is a critical part of <span data-term-id=\"27795649\">human resource<\/span><span data-term-id=\"27795649\"> management<\/span>. Your personnel policy or <span data-term-id=\"27795636\">employee handbook<\/span> should clearly explain your disciplinary policy and the steps involved in the disciplinary process.<\/p>\n<p>To avoid legal issues later, consider making your disciplinary policy a separate section of your handbook or <span data-term-id=\"27795698\">workplace policy<\/span> manual. This way, employees can&#8217;t claim they were unaware of the policies or potential violations. Ensure your\u00a0<span data-term-id=\"27795700\">HR team<\/span>\u00a0addresses violations quickly and treats all employees equally when a violation occurs. This helps avoid claims of discrimination or favoritism.<\/p>\n<h2>Getting Legal Help with Personnel Policies<\/h2>\n<p>An experienced <span data-term-id=\"27795659\">employment law<\/span> attorney can provide invaluable support by:<\/p>\n<ul>\n<li>Reviewing your current policies to identify potential legal issues<\/li>\n<li>Drafting a legally compliant and comprehensive <span data-term-id=\"27795636\">employee handbook<\/span><\/li>\n<li>Advising you on how to handle sensitive issues like discipline and termination<\/li>\n<\/ul>\n<p>A qualified <a href=\"https:\/\/lawyers.findlaw.com\/employment-law-employer\/?fli=dcta\" target=\"_blank\" rel=\"noopener\"><span data-term-id=\"27795659\">employment law<\/span> attorney<\/a>\u200b can examine your policies, ensure they\u2019re fair, and represent you if necessary.<\/p>\n<\/div>\n\n<div class=\"was-this-helpful\">\n    <div\n            class=\"was-this-helpful__question-container\"\n            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