1. EMPLOYEE HANDBOOKS TEN COMMON MISTAKES Presented by Cathy A. Pilkington Law Offices of Cathy A. Pilkington 160 N Clark Street, Suite 4700 Chicago, IL 60601 Ph: 312-346-2762 CHALLENGE YOUR HANDBOOK KNOWLEDGE. THINKING ABOUT EMPLOYEE HANDBOOKS ON NEW LEVEL.

2. WHY DO IT? THE PROS AND CONS OF ADOPTING AN EMPLOYEE HANDBOOK DO WE NEED HANDBOOK? A GOOD IDEA AND WE CAN GET IT FREE ON INTERNET! LEGAL ZOOM GAVE US ONE. WE ALREADY SIGNED AND PASSED OUT TO STAFF.

3. SETS MUTUAL EXPECTATIONS A tool for businesses of any size Does not have to be written in legalese  We respect each other  We depend on each other  We are our creative ideas Employees want growth and development, not micro- management Employer hires and expects committed workforce.

4. Reported Reasons Employees Are Late For Work Employee’s sobriety device wouldn’t allow his car to start. Employee blew his nose so hard that his back went out. Employee’s false teeth flew out car window. Employee forgot to come back to work after lunch. Employee’s cat unplugged the alarm clock. Employee’s monkey died.

5. *Establish Corporate Culture *Job Knowledge *Easily accessible information *Establish Corporate Culture *Job Knowledge *Easily accessible information PTO and Paid Holidays Grievance procedures Company rules Disciplinary Policy Employee Handbook Communicates OUR Corporate Culture Management and Employee Expectations

6. HANDBOOK - WHY NOT? Adds To Management Tasks and Risks System To Update System To Train Government Involvement System To Interpret Who is In Charge of Employee Handbook? Who will keep records of training? How will new supervisors get trained? How often will it be updated? Method for employees receive updates? Who will answer Questions? What will Government want to add to it? Who will be responsible for Government changes?

7. GOVERNMENT INVOLVEMENT IN YOUR HANDBOOK U. S. DEPARTMENT OF LABOR  OSHA  Wage and Hour  NLRB Oversight On Handbook Language  Union vs. non-union workforce  Section 7 “Chilling” Activity

8. MANAGEMENT: HANDBOOK ASSEMBLY ANDMAINTENANCE Adds To Management Tasks and Risks System To Update And Train System To Train Government Involvement In Handbook Language System To Interpret

9. THE BEST HANDBOOK FORMAT?

10. FIRST STEPS TO DEVELOP OR REVISE HANDBOOK 1- FORM HANDBOOK TEAM THAT WILL REVIEW AND MAKE RECOMMENDATIONS ABOUT HANDBOOK 2-MAKE OUTLINE OF AREAS THAT WILL BE INCLUDED IN HANDBOOK 3-DECIDE ON POLICIES TO BE INCLUDED PER CORPORATE CULTURE; SUMMARIZE AND PLACE IN APPROPRIATE PLACE IN OUTLINE 4-OBTAIN NECESSARY LANGUAGE FROM LEGAL (NOT A CONTRACT, AT WILL EMPLOYMENT, CHANGE WITHOUT NOTICE) 5-HAVE TEAM REVIEW, THEN LEGAL REVIEW BY EXPERIENCED ATTORNEY.

11. STEPS TO MAINTAIN HANDBOOK AFTER REVISIONS 6-DETERMINE HOW HANDBOOK WILL BE DISTRIBUTED TO EMPLOYEES 7-DETERMINE WHO WILL BE RESPONSIBLE FOR OBTAINING EMPLOYEE ACKNOWLEDGEMENTS OF RECEIPT OF THE HANDBOOK 8-DETERMINE WHO WILL BE RESPONSIBLE FOR UPDATES RE LEGAL CHANGES AND AMENDMENTS AND REVIEWS 9- DETERMINE WHO WILL BE RESPONSIBLE FOR DISTRIBUTING UPDATES TO EMPLOYEES AND OBTAINING ACKNOWLEDGEMENTS 10-DETERMINE HOW THE HANDBOOK AND UPDATES WILL BE KEPT AND MAINTAINED AS COMPANY RECORD

12. HANDBOOK ESSENTIALS

13. Technology Policies No expectation of privacy Email Internet Social Media Mobile Devices Company Equipment

14. Time Off/Leave of Absence Holiday Pay Vacation Sick Leave PTO (paid time off) FMLA* Personal Days Off Accommodations Bereavement Leave Jury Duty Voting Leave Military Leave of Absence Lactation/ Breastfeeding Domestic Violence Leave

15. Employment Employee Classification Categories Background and Reference Checks Internal Transfers/ Promotions Drug Testing Policy Progressive Discipline Separation of Employment

16. Workplace Expectation Policies Confidentiality Conflicts of Interest Anti-Harassment ** Attendance and Punctuality Work Attire and Grooming Standards of Conduct Cell Phone, Texts Workplace Violence Company Trade Secrets Customer Confidentiality Employee Medical Privacy Electronic Communications and Internet Use Social Media Courtesy: Solicitations, Distributions and Posting Materials Employee Personnel Files

17. Compensation Performance and Salary Reviews Payment of Wages Time Reporting Meal/ Rest Periods Overtime Pay On-Call Pay Employee Travel and Reimbursement

18. Expectations While Driving and Traveling On Company Business Talking on Cell Phone While Driving Sending Texts While Driving Concealed Carry While Traveling On Company Business

19. Workplace Safety Drug Testing In The Workplace Workplace Safety Rules – OSHA Workplace Violence - OSHA Concealed Carry Laws – vary by state Smoking Policy

20. COMMON MISTAKES WITH EMPLOYEE HANDBOOKS

21. COMMON MISTAKE #1 Failure to Distinguish Employee Handbook vs. Policy and Procedures Manual Employee Handbook Is Management Tool For Employees And Includes General Statement of Expectations And Should Be Understandable Does Not Have To Be In Legalese Policy & Procedure Manual – Management Tool For Supervisors With Detailed Policies and Procedures and State and Federal Laws Failure to Distinguish Employee Handbook vs. Policy and Procedures Manual Employee Handbook Is Management Tool For Employees And Includes General Statement of Expectations And Should Be Understandable Does Not Have To Be In Legalese Policy & Procedure Manual – Management Tool For Supervisors With Detailed Policies and Procedures and State and Federal Laws

22. COMMON MISTAKE #2 Not paying attention to DISCLAIMERS  At will employment  Not a contract  Changed without notice

23. COMMON MISTAKE #3 LANGUAGE WHICH CONTAINS PROMISES YOU DON’T KEEP. USING “SHALL” INSTEAD OF “MAY” ALLOWS NO DISCRETION AND NO WIGGLEROOM “PERFORMANCE REVIEWS WILL OCCUR ANNUALLY.” THEN, THEY DON’T. “2% RAISES SHALL BE GIVEN ANNUALLY.” THEN, THEY ARE NOT.

24. COMMON MISTAKE #4 –NOT KNOWING YOUR WORKFORCE AND HOW TO COUNT IT. –NOT DELINEATING TO WHOM THE HANDBOOK APPLIES.  Temporary vs. Part-time staff  Independent contractors  Union versus non-union

25. COMMON MISTAKE #5 NOT HAVING EMPLOYEES SIGN AN ACKNOWLEDGEMENTS FOR EMPLOYEE HANDBOOK AND EMPLOYEE UPDATES (CAN BE ELECTRONIC) NOT INCLUDING THE SIGNED ACKNOWLEDGEMENT IN EMPLOYEE’S PERSONNEL FILE NOT RANDOMLY CHECKING PERSONNEL FILES FOR ACKNOWLEDGEMENTS AND OTHER REQUIRED DOCUMENTATION

26. Handbook Acknowledgement Form By signing this form, I acknowledge that I have received a copy of the Company’s Employee Handbook. I understand that it contains important information about the Company’s policies, that I am expected to read the Handbook and familiarize myself with its contents, and that the policies in the Handbook apply to me. I understand that nothing in the Handbook constitutes a contract or promise of continued employment and that the company may change the policies in the Handbook at any time. I acknowledge that my employment is at will. I understand that I have the right to end the employment relationship at any time and for any reason, with or without notice, with or without cause, and that the Company has that same right. I acknowledge that neither the Company nor I have entered into an employment agreement for a specified period of time. Signed _________________________ Date _____________________

27. COMMON MISTAKE #6 THROWING HANDBOOK IN DRAWER AND FORGETTING ABOUT IT NOT MAKING THE HANDBOOK AND REVISIONS AVAILABLE TO EMPLOYEES

28. COMMON MISTAKE #7 Not Keeping the Handbook Current  NLRB Guidance  EEOC Guidance  DOL Guidance  OSHA Guidance  Not updating provisions for the State’s Human Rights Act (protected classes may vary)

29. Common Mistake #8 (WORST MISTAKE) Random and Unequal Enforcement of Handbook Policies

30. QUESTIONS ABOUT YOUR HANDBOOK