Whilst not an absolute legal requirement, a well-structured employee handbook plays a critical role in building a compliant and productive workplace. It should outline key policies, standards and procedures, and provide consistent and accessible guidance for employees.
Although an employee handbook should be tailored to the employer’s particular business and requirements, the following is a list of sections which should definitely feature:
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Disciplinary and Grievance Procedures
Clear procedures should be included for handling disciplinary issues and grievances which comply with the ACAS Code of Practice to ensure fair treatment and protection against legal claims.
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Equality, Diversity and Inclusion
To comply with the Equality Act 2010, your handbook should provide a clear statement that outlines your organisation’s commitment to preventing discrimination on grounds of protected characteristics, such as sex, race, age or disability and fostering an inclusive environment.
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Health and Safety
Under the Health and Safety at Work Act 1974, employers must maintain a safe workplace. Your handbook should detail safety procedures, accident reporting, and employee responsibilities, or refer to your separate Health and Safety Handbook if you have one.
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Sickness and Absence
Policies should explain sick leave entitlement, statutory sick pay, fit note requirements and procedures for reporting absence.
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Poor Performance
Include a clear policy to address areas of underperformance and provide employees with the opportunity to improve and identify any underlying causes.
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Holiday Leave and Time Off
The entitlement to leave is a complicated area, and arguably one of the rights that employees are most concerned with, so it’s important to have clear information in place. As well as the statutory right to 5.6 weeks of paid holiday per year, employees have statutory rights to lots of other types of paid and unpaid leave, including maternity/paternity/shared parental/adoption leave, bereavement leave, carer’s leave and leave to make arrangements for the emergency care of a dependent. You may also have other types of leave which you offer on a discretionary basis. Your policy should set out the circumstances in which leave is available and the duration, whether it is paid or unpaid, any eligibility requirements, and what the procedure is to request it.
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Bullying and Harassment
The handbook should include a zero-tolerance approach to bullying and harassment. It should also provide appropriate reporting procedures and outline any disciplinary consequences. Employers now have a particular duty to take reasonable steps to proactively prevent sexual harassment in the workplace, and without a good policy in place they are unlikely to comply with this requirement.
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Remote and Hybrid Working
With evolving work patterns, employee handbooks in 2025 should include guidance on remote working expectations, equipment use, and performance monitoring.
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IT, Internet, and Social Media Use
Clear guidelines should be outlined with regards to digital communication, internet access and social media conduct to protect your organisation’s data security and reputation. Without a social media policy, the employer may find it difficult to take action against employees who post content which is deemed to be potentially damaging to the company.
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Data Protection
Including clear and comprehensive data protection information about how your organisation collects, uses, stores and protects employee personal data is essential to ensure compliance with regulations like the GDPR (General Data Protection Regulation) and the Data Protection ACT.
It is essential that employees have easy access to your handbook and can clearly understand its contents. As the workplace continues to evolve, new policies may need to be considered. Therefore, employee handbooks should be routinely reviewed and updated to stay relevant and legally compliant. Outsourced HR support can ease this responsibility. If you need assistance in this regard, contact us on 01942 727200 or email enquiries@employeemanagement.co.uk to see how we can help.