Workplace Policies, Procedures, and Legal Issues
I'm not a fan of creating unnecessary policies and procedures. As a small business, however, you must create an environment in which employees feel they are treated fairly and consistently. Nothing upsets a work environment more quickly than employees who feel they are experiencing favoritism and inequity.Consequently, you do need to establish some minimum policies and procedures for such areas as:
- working hours,
- vacation and personal time,
- attendance,
- business ethics,
- confidentiality,
- job openings application procedures,
- personnel records and access,
- promotions,
- EEOC statements,
- overtime scheduling,
- resignations and recommendations,
- salary administration,
- harassment,
- smoking,
- problem and dispute resolution,
- corrective action and progressive discipline,
- performance feedback,
- actions that warrant termination, and
- any other policies which may be legally required such as FMLA.
(This is not a comprehensive list, but this is certainly where I'd recommend you start.)
Impact of Law on Small Business Human Resources
Keep in mind that in the United States, certain state and federal laws and guidelines affect your policies and procedures as you grow.
As an example, the Americans with Disabilities Act of 1990 impacts workplaces with 15 or more employees. COBRA affects workplaces with employee health plans and more than 20 employees. The Equal Pay Act, which bans pay discrimination based on sex, kicks in when you hire your second employee.
Resources About Policies, Procedures and Laws for Small Business
- Legal Issues
- Sample Policies, Procedures, Checklists, and Forms
- Twenty Dumb Things Organizations Do to Mess Up Their Relationships With People
Performance Management and Feedback for Your Small Business
Every employee wants to know the goals of the organization, your expectations for their performance and contribution, and how they are doing at meeting these expectations, regularly.This may sound simple, but trying to accomplish these three tasks has sprouted thousands of books, how-to manuals, whole companies devoted to products that help you appraise performance, and consultants who charge big bucks to design what should be a simple feedback system.
As you build your organization, start out with the understanding that your performance management system is everything you do with employees from the time you decide you need to create a position until your staff member moves on to another company.
The perennially popular appraisal or performance review process is only one part of this system. Focus on providing regular, day-to-day feedback to the employees in your organization. Provide an environment in which they are helping to develop the goals and objectives for the organization as well as for themselves. Give them the opportunity to control their jobs and impact the larger picture. And, tell them how they're doing.
If you regularly read my articles, you also know that I tout a performance management system that is focused on employee development, clear expectations, accountability, responsibility, and negotiation to meet both the employee and the employer's needs. Rewarding, recognizing and emphasizing positive, contributing performance is an important component in this process, too.
Resources About Performance Management for Your Small Business
- Quick Start Guide to Performance Management
- Top Picks: Toss Out Your Dusty, Old Appraisal System: Best Performance Management Books
- Provide Feedback That Has an Impact
Workplace Environment for Human Resources
Smart employers want to create work environments in which people are happy and contributing. You also need environments in which people work hard, are productive, and do more than is required voluntarily. Satisfied employees tend to develop relationships with satisfied customers. "What goes around, comes around" is an apt expression.Okay, you've done your best. You've hired the best people you can find. You are more than fairly compensating them and your benefits package is right on target, according to employees. You've provided effective orientation and people feel free to attend beneficial training.
You get few complaints about workplace policies and procedures. You're working on that daily feedback, recognize its advantages, but sometimes have difficulty fitting it into the daily schedule. Guess what? You're normal on the very positive end of the scale.
Resources
Keep working to improve your relationships with the people you employ and reap the benefits for your small business. Remember the golden rule? Forget it. Apply the platinum rule. Treat employees as they'd like to be treated. You'll be very happy you did.Read more about additional ways to tap your people power in your small business.

