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Hire a lawyer to draft an employee handbook

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Employers should ensure that they have an employee handbook. Having an employment lawyer prepare an employee handbook can be highly beneficial. The benefits include educating employers and employees about their rights and obligations, ensuring that expectations are clearly communicated and processes align with accepted industry and legal standards.

Your business can improve communication with its employees, ensure compliance with the law, and possibly even avoid legal problems by creating an employee handbook.

While it is possible to create an employee handbook without the help of a lawyer, hiring an employment lawyer has its advantages.

This article was written by Micaela Diaz, Solicitor of Prosper Law and an employment lawyer. Contact us at enquiry@prosperlaw.com.au or call 1300 003 077.

What is an Employee Handbook?

An employee handbook is a document that outlines an organisation’s policies, culture, and expectations for workplace behaviour and performance.

It serves as a reference guide for employees to understand what is expected of them and what they can expect from their employer. It can also help promote consistency in management practises and avoid misunderstandings or disputes between employees and management.

What Should an Employee Handbook Include?

The structure of the content of your employee handbook is entirely up to you. The type of information you include will depend greatly on the size of your company, the industry you specialise in and the tone or style you use when communicating with your employees.

Regardless of how you go about it, there are certain details that every company should include in their employee handbook. 

Here are some essential components of a comprehensive employee handbook:

Overview of the company

The employee handbook should define the goals and mission of the organisation to create a sense of common purpose.

Purpose of the handbook

The purpose of the handbook should be clearly defined. Typically this includes three statements:

  • the purpose of the handbook is to inform new employees of the company’s policies and procedures and to set expectations;
  • the company reserves the right to update, revise or suspend the handbook at its sole discretion; and
  • the handbook supersedes all personnel policies and handbooks previously provided or applicable to employees.


Each handbook must contain a disclaimer that unequivocally states the non-contractual nature of the handbook and preserves the at-will employment status as a discretionary employee. This provides an important defence in the event that a terminated employee brings suit claiming that a clause in the handbook constitutes a contractual obligation or that they could only be dismissed under certain circumstances.

Employment Policies

You should consult an employment lawyer to ensure that you are complying with federal, state and local regulations governing your workplace. To comply, you may need Equal Opportunity Employment, Non-Harassment, Non-Discrimination and Employee Eligibility policies and include them in your employee handbook.

General Employment Information

The core of an employee handbook sets out a company’s policies and procedures of a company. These include rules of conduct, work and pay schedules, promotions, overtime, dress code and anything else that is important to your business. Again, there are federal and state laws that dictate some of your policies and procedures, so you should consult an employment lawyer to avoid violations.

Leave Policies

Employees will inevitably need to take time off from work; therefore, establishing the company’s leave policies will facilitate a smooth relationship between employerand employee relationship. Your leave policies should include the types of leave that are covered – sick leave, holiday, jury duty, caregiving, maternity/paternity, military, bereavement, etc. – eligibility, duration, whether paid or unpaid, and how leave is approved. It is also important to reserve the right to terminate an employee for excessive time off.

Health and Safety

Your handbook should include workplace safety and security measures. You should consult a lawyer to comply with legal reporting requirements and procedures for dealing with accidents, injuries and other health and safety issues. You should also address emergency and inclement weather policies in this context.

Employee Benefits

 A basic overview of the benefits offered, eligibility requirements and any relevant contact information is sufficient, as there should be more formal documents describing in full detail the various benefits you offer.

Disciplinary and Termination Policies

Although this is the least popular section, outlining the company’s procedures for disciplining, resigning and terminating employment, they are necessary. Companies may be required to abide by their own policies, so it is important to consult a lawyer about how your company will handle these matters – whether it will set firm rules or decide on a case-by-case basis.


Your handbook should include an acknowledgement form to ensure that each employee has received and understood the handbook and agrees to the terms contained therein. You should keep a copy of the signed acknowledgement in each employee’s personnel file.

Outside these guidelines, you may also inform your employees about employment policies and procedures related to your company. And if a new policy or change represents a major change in the workplace, you should consult an employment lawyer.

Why My Business Needs an Employee Handbook?

Employee handbooks communicate expectations

Employee handbooks play an important role in communicating expectations to employees. They help establish clear guidelines for behaviour, performance, and interactions within an organisation. They provide a clear and concise explanation of the organisation’s policies and procedures. This ensures that employees understand what is expected of them and how they should behave in different situations.

Employee handbooks can create a positive workplace culture by setting out the organisation’s values and expectations for behaviour and performance. This can help create a sense of community and a common purpose among employees.

Moreover, employee handbooks can serve as a reference tool and provide easy access to important organisational information. This can be especially useful for new employees who are unfamiliar with the organisation’s policies and procedures.

Employee handbooks promote consistency

Employee handbooks can ensure that policies and procedures are applied consistently throughout the organisation. This uniformity promotes fairness, reduces misunderstandings and ensures compliance with laws and regulations. By providing a single point of reference for all employees, handbooks help ensure that everyone has access to the same information, reducing the risk of inconsistent messages or interpretations of policies.

Employee handbooks ensures compliance

Employee handbooks provide a comprehensive overview of policies and procedures relating to workplace conduct, health and safety, and employee benefits. They also contain information on legal obligations that help ensure employees know their duties and rights. By ensuring compliance with laws and regulations, employee handbooks can help promote a positive workplace culture and reduce the risk of legal claims.

Employee handbooks ensure compliance with laws and regulations, promote consistency in the application of policies, mitigate liability and communicate clear expectations to employees. They provide clear guidelines and expectations for employees, which can help reduce the risk of legal claims related to misunderstandings or confusion about policies and procedures.

Employee handbooks can help mitigate liability by outlining the consequences of violating policies and procedures. This ensures that employees understand the potential consequences of their actions and that policies are consistently enforced.

Employee handbooks provides guidance

Employee handbooks provide comprehensive information about the policies and procedures that employees must follow, which helps to ensure that everyone knows what is expected of them. In addition to outlining policies and procedures, employee handbooks provide guidance on issues related to career development and training opportunities. They outline the company’s expectations for employee performance and provide information on how employees can advance in their careers.

Employee handbooks fosters positive work environment

Employee handbooks provide clear guidelines and expectations for employees that can help create a workplace culture that is supportive, collaborative, and respectful. They promote transparency by outlining the company’s policies and procedures related to compensation, benefits and performance management. This helps employees understand how decisions are made and foster a sense of fairness and equity.

Employee handbooks also promote open communication by outlining the company’s policies and procedures regarding conflict resolution and grievance procedures. When employees feel that their concerns are heard and considered, they are more likely to feel valued and respected.

How can an Employment Lawyer help you Draft an Employee Handbook for your Business?

An employment lawyer can ensure your employee handbook complies with all Australian laws and regulations. These laws and regulations include the Fair Work Act, state and territory employment laws, anti-discrimination laws, etc.

They can work with you to customise your employee handbook to meet your organisation’s specific needs and requirements. This way, you can create policies consistent with your company’s values and culture while ensuring compliance with Australian employment laws.

Employment lawyers know how to identify potential legal risks associated with your employment policies. They can assist you in mitigating these risks. In this way, you can avoid costly litigation and liability arising from non-compliance.

An employment lawyer can also advise and assist you in implementing and maintaining your employee handbook. They can inform you of changes in employment law and regulations that may require you to update your policies.

Protection of company interests through clear and consistent language 

Legal jargon or complex language can confuse and make it difficult to understand the guidelines. An employment lawyer can use clear and simple language that employees can easily understand. They can write the handbook so that it is specific and unambiguous. This helps to ensure that company policies are clear and understandable.

Moreover, the lawyer can ensure the language is consistent throughout the handbook. This includes using the same terminology, formatting and tone.

Employment lawyers know the current employment laws, regulations, and case law. They can help ensure that the employee handbook complies with these legal requirements.

They can advise the company on best practices for avoiding disputes and legal problems, such as developing clear policies and procedures, communicating clearly with employees, and handling issues fairly and consistently. Moreover, an employment lawyer can help the company develop dispute resolution procedures to avoid litigation and promote efficient and cost-effective resolution of workplace disputes.

Assistance with regular review and updates of the handbook

Employment laws and regulations are constantly evolving. Employers must keep their employee handbooks up to date to ensure compliance and avoid legal disputes. Since employment lawyers stay updated with changes in employment laws and regulations that affect the employee handbook, they can ensure that the handbook always complies with the latest legal requirements. They can review the employee handbook regularly and identify areas for necessary updates or revisions. This can include changes in company policies, changes in the law, or changes in best practices.

How can Prosper Law help?

Prosper Law is Australia’s online law firm. We provide legal advice to businesses and individuals across Australia. Our areas of legal practice include contracts, eCommerce, publishing, legal counsel and employment law.

If you need to talk to an employment lawyer, get in touch today.

Contact the team at Prosper Law today to discuss how we can provide you with advice for a fixed fee or at affordable hourly rates.

Micaela Diaz | Solicitor

PROSPER LAW – Australia’s Online Law Firm

P: 1300 003 077

E: enquiry@prosperlaw.com.au  

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About the Author

Farrah Motley
Director of Prosper Law. Farrah founded Prosper online law firm in 2021. She wanted to create a better way of doing legal work and a better experience for customers of legal services.

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