Table of Contents
- Introduction
- Reasons to Have an Employee Handbook
- Is Your Handbook Compliant?
- Updating Your Employee Handbook
- Federal and State Regulations
- HR Services at DoctorsManagement LLC
Introduction
It seems safe to assume that, as a practicing physician, you wouldn’t treat your patients based on medical protocols from 15 years ago. And you certainly wouldn’t bill patients based on ICD-9 codes from years ago. So then doesn’t it seem logical that your Employee Handbook should be updated periodically as well, to ensure it is compliant with federal and state regulations – and also aligned with updated HR principles?
Reasons to Have an Employee Handbook
In reviewing the numerous reasons to have an updated Employee Handbook, let’s quickly touch on why it makes sense to have a Handbook in the first place. Recent studies have shown that businesses that follow general HR principles and display earmarks of “HR Maturity” tend to be more successful. A 2023 survey (backed by Asure Software) of over 2,000 small-to-midsize businesses found that companies that updated their Employee Handbook in the prior 12 months had a higher likelihood of growth than those companies that did not. And a 2025 study just issued by the Society for HR Management makes the compelling case that companies that show growth in “HR Maturity” (by having updated Employee Handbooks and other recommended HR principles) enjoy higher revenues and lower employee turnover.
Operationally, the Employee Handbook serves as a great resource that physicians and Office Managers alike can direct their employees to when employees ask questions about basic policies — and when they have basic questions about benefits. Having a Handbook in place might just cut down on some of those repetitive questions – empowering employees to use available resources to swiftly get the information they seek. Many employees are the “self-serve type” who want to be able to access this kind of information on their own. So why not empower them? Doing so might enhance employee satisfaction.
Is Your Handbook Compliant?
To be considered compliant, an Employee Handbook should contain policies related to a few key federal laws, as well as certain state regulations in many states. On the federal level, there should be an Equal Employment Opportunity Policy, and an Anti-Harassment & Discrimination policy. If the practice has 15 employees or more, an Americans with Disabilities Act (ADA) policy should be included — and for larger practices of 50 employees or more, a Family and Medical Leave Act (FMLA) policy should also be in your Handbook.
There are a number of policies that are recommended as “HR Best Practices” to include, such as “At Will” Employment (in most states), along with Leave & Time Off policies, Wage & Hour policies, and more. For help in ensuring that your Employee Handbook is compliant, contact the HR Department at DoctorsManagement today.
Updating Your Employee Handbook
If your employees are using the Handbook as a go-to reference, you want to ensure that it is updated and reflects all your current policies. Any kind of discrepancy between your Employee Handbook and actual policies or processes could prove problematic in treating employees equitably. For example, you may have tweaked your Attendance policy in the last few years but forgot to modify the relevant policy in your Handbook. Ensuring that all updates are represented in your Employee Handbook will enhance uniformity in how employee situations are handled – and thus reduce the chances of perceived favoritism or discrimination.
Further, if you want to reduce the chances that an ex-employee will receive unemployment compensation, then a good strategy is to 1) keep your Employee Handbook updated, 2) distribute the new version to all employees, and 3) get all employees to sign an Acknowledgment Form indicating that they have been notified of the policies and commit to abide by the stated guidelines.
Federal and State Regulations
Updating your Handbook is also important because every once in a while, there are changes in federal or state law that warrant revisions to your Employee Handbook. As recently as 2023, the Pregnant Workers Fairness Act, an adjunct of the ADA, is recognized as a federal regulation that should be observed by all companies and practices with 15 employees or more – and is recommended now to be included in Employee Handbooks.
According to the HR Advisor, an employer’s Employee Handbook, as well as related policies, become key evidence in many employee-related lawsuits. It makes sense then, that outdated or omitted policies would weaken an employer’s defense, if needed, thus highlighting the importance of updating your Employee Handbook on a periodic basis.
HR Services at DoctorsManagement LLC
The good news is that updating Employee Handbooks is one of the many services we provide for our ongoing clients here at DoctorsManagement. Whether you just need a fine-tuning or need to start from scratch with a whole new Handbook, we can tailor one for you that factors in your state/location — as well as the size of your practice and number of employees you have. Please contact our Director of Human Resources at 865-288-9930 or complete this form if you would like to learn more.