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No company wants employee hassles, but every company should be prepared with
a plan when they arise.

Establishing a disciplinary policy is relatively easy; however you must be the judge of which behaviors qualify for a disciplinary write-up. Once you decide on the sins, choose a sliding scale of warnings which, if not heeded, will lead to termination. I personally like the 5-step method. This gives the employee the greatest opportunity to improve while giving the company ample opportunity to provide feedback and counseling. At each step the policy should indicate what the next step has in store. Employees should always know what is coming next. Remember, it is far more cost effective to bring a wayward employee back into the fold than it is to find someone new.

Sample Policy:

Disciplinary Action Policy/Procedure

Occasionally discipline is necessary and XYZ Company tries to be firm but fair. We maintain a progressive disciplinary action policy. Employees will receive both written and oral warnings for any violation of policies and procedures. Each violation will remain on file for one year. At the end of one year, the violation in question will be removed from the employee file.

Typically, a supervisor or manager will issue warnings in the following manner:

• First warning - oral (Documented)

• Second warning - written (Documented)

• Third warning -written (Documented)

• Fourth warning - written (Documented)

• Fifth warning - termination- Team member is terminated.

Severe policy violations may result in immediate dismissal. The policy above is outlined only to show guidance as to a company’s usual practices. Always include a disclaimer that warns of a deviation from practices, at the company’s discretion.

How to Fire an employee in 5 steps

No matter what kind of disciplinary procedure you have in place, sometimes it cannot be avoided and you must terminate an employee. Depending on the state where your company is located you may have to follow various laws and regulations. The information below is specifically for an “at-will” state. Check with your local Department of Labor and Industry for the rules in your state.

Step 1:

Document, Document, Document: Be prepared with documentation on the reason for the firing. Examples would be verbal warning documentation, written warnings, performance reviews. Firing should NEVER be a surprise to the employee unless they committed willful misconduct that requires immediate dismissal. Examples would be: Insubordination, Reporting for work under the influence of drugs or alcohol, Drinking or using illegal drugs on the job, Possession of dangerous weapons on the premises and Falsification of Company Records, among many others. Before moving to step 2 be 100% certain that a firing is required.

Step 2:

Have a plan before you meet with the employee. Never meet alone with an employee you are about to fire. Always have a witness present, most commonly another member of the management team. Answer the basic security and equipment questions. Do they have company property they must return? Do you have to change passwords? Have all of the details figured out before you summon the employee.

Step 3:

Don’t beat around the bush. Once everyone is gathered and the employee is sitting in front of you get right to the point. Keep the firing short and to the point. If the employee starts trying to talk his or her way out of it, simply say “the decision is final and non-negotiable, this meeting is over.” The biggest mistake you can make is to begin talking about the good qualities in people before you get to the point and fire them. This can also come back to haunt you legally.

Step 4:

Announce the firing to other employees by simply saying “John Doe is no longer with XYZ Company.” Never give out the details, keep it general.

Step 5:

Document the firing. Again, short and to the point, note the reason in the employee folder. You may need this information in the future.

Make sure you have a disciplinary policy, and make sure everyone knows how it works. Outline the behaviors that qualify for instant termination and mention all other behaviors which the company considers contrary to its well-being. No company wants employee hassles, but every company should be prepared with a plan when they arise.

As employees spend more and more of their workday on the computer, it is crucial to develop and enforce an effective and proper Internet and Computer Usage Policy. There are legitimate reasons for having such a policy and a variety of issues the policy should address.

Personal Internet use costs employers millions of dollars each year in wasted time by employees. To reduce this lost productivity it is important to limit Internet use during working hours to business use only.

Yes, You Need a Policy
Legal liability can arise from inappropriate web browsing, improper posting in forums and on blogs, downloading pirated software, or illegally downloading media files, such as movies and music. Companies can face significant exposure to lawsuits and fines for their employees’ inappropriate actions and an effective policy can help prevent such legal exposure.

Employee Internet use can damage a company’s computer systems and clog their network. A virus entering into a corporate network can have disastrous consequences such as business shutdowns or loss of files. Also, personal use of the Web may use enough bandwidth to seriously slow the network and negatively affect productivity.

Moreover, a company must protect its reputation. Messages published on a message board, chat room or blog using a staff member’s company e-mail can have an effect on the company’s reputation, especially if it contains offensive or inappropriate material.

Developing a Policy
Before implementing a comprehensive Internet and Computer Usage Policy, the company should identify which activities to monitor and manage. Such activity might include web browsing, forum and blog posting, instant messenger use, and down-loading media, software and other associated content while at work or otherwise on the job.

The policy should accurately reflect the company’s procedures in monitoring and managing its employees’ internet and computer use. The policy should stipulate that internet access and other online privileges provided by the company are to be used only for business purposes. The company should state that employees’ use of the Internet and computer system will be monitored for illegal or improper activity. The policy should clearly define what activities are considered improper, and may result in disciplinary action, up to and including termination. The company should state that it may report illegal activities to the appropriate authorities.

Examples of activities to be addressed and/or prohibited in the policy:

• Violating the laws and regulations of the United States or any other nation, or the laws and regulations of any state, city, province or other local jurisdiction;
• Using the company’s system or network to knowingly disable or overload any computer system or network, or to circumvent any system intended to protect the privacy or security of another user;
• Using the company Internet access to commit infractions such as misuse of company assets or resources, sexual harassment, and misappropriation or theft of intellectual property;
• Presenting an employee’s personal opinions as those of the company;
• Browsing websites which contain hateful or obscene content;
• Downloading or distributing pirated software or data;
• Downloading or distributing media files, in violation of copyright or other intellectual property laws; and
• Downloading or installing any software or electronic files without proper authority.

A company may want to include in the policy that the specific websites visited are logged, the frequency and length of time individuals spend viewing websites will be logged, and that if instant messenger use is allowed for business purposes IM’s sent and/or received can be logged and viewed. The policy should also stipulate which employees are to be covered by the policy.

Making it Work
The policy should become part of the company’s employee manual and should be distributed to all employees. If possible, the company should ask all employees sign off on receipt of the policy (or the manual) prior to getting access to company computers or email accounts. By signing, employees are confirming that they are aware of company policies, restrictions and limitations.

Internet and computer misuse and abuse have become too prevalent for companies to overlook. As employees’ daily routines evolve, businesses must be willing to adapt. Developing and enforcing a comprehensive Internet and Computer Usage Policy is a crucial component for business evolution.

Whether a company has 2 employees or 200, sexual harassment is an issue every employer must face. Removing sexual harassment from the workplace is critically important. Learn how it is defined, how to prevent it and what to do if it occurs.

Harassment Defined
The U.S. Equal Employment Opportunity Commission (EEOC) defines sexual harassment as “unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature […] when submission to or rejection of this conduct explicitly or implicitly affects an individual’s employment, unreasonably interferes with an individual’s work performance or creates an intimidating, hostile or offensive work environment.”
According to the EEOC, the following also applies to sexual harassment:
(http://www.eeoc.gov/types/sexual_harassment.html)

• The victim or the harasser may be a woman or a man. The victim does not have to be of the opposite sex.
• The harasser can be the victim’s supervisor, an agent of the employer, a supervisor in another area, a co-worker, or a non-employee.
• The victim does not have to be the person harassed but could be anyone affected by the offensive conduct.
• Unlawful sexual harassment may occur without economic injury to or discharge of the victim.
• The harasser’s conduct must be unwelcome.

The Cost
Victims of sexual harassment can experience stress, humiliation, depression, loss of self- esteem, damage to reputation and career, declining work performance, increased absenteeism and other effects. Sexual harassment can also seriously damage a company with decreased morale, staff turnover, declining productivity, increased health care costs, damage to the company’s reputation and legal costs.

An Ounce of Prevention
The most effective way to eliminate sexual harassment in the workplace is to prevent it from occurring. The EEOC advises employers to be proactive.
“Employers are encouraged to take steps necessary to prevent sexual harassment from occurring. They should clearly communicate to employees that sexual harassment will not be tolerated. They can do so by providing sexual harassment training to their employees and by establishing an effective complaint or grievance process and taking immediate and appropriate action when an employee complains.” (http://www.eeoc.gov/types/sexual_harassment.html)

Have a Policy
All companies should have a clear and comprehensive sexual harassment policy in place and should distribute the policy to all employees. Individual state law may also require the company to post additional notices in the workplace.
Some integral elements of an effective policy:

• A definition of prohibited harassment.
• Procedures for employees to report improper behavior, also identifying the appropriate individuals to whom an employee is to direct a complaint.
• Language establishing sexual harassment as a disciplinary offense, reserving the right to terminate an employee who is found in violation of the policy.
• Non-retaliation language. Dismissing or demoting an employee who has registered a complaint is improper and illegal. If the employee can establish a connection between a complaint and retaliatory response, an employer can be found liable.

The Company Response
If a complaint of sexual harassment is reported in the office, the company must act. Both the complaining employee and the employee being accused of acting improperly must have the opportunity to tell their side of the story and no determination should be made until a full investigation is completed. False or inaccurate accusations can have extremely serious effects on innocent employees.

If it is determined that harassment took place, corrective action must be taken immediately. Depending on the circumstances and the company policy, such action might include a written reprimand, removal of authority, suspension, or even termination. All actions should be recorded in the employee’s file and an official record should be created detailing the investigation and the subsequent action taken.

What’s Next
The employer should then look to reaffirm the company’s policy and conduct additional training if necessary. If it is determined that sexual harassment did not occur, that determination should be properly recorded and communicated to all involved parties.

No matter how diligently a company tries to prevent sexual harassment, it can still occur. Companies should have the right policies and procedures in place in order to best prevent incidents and to deal with any that may arise. The liability is too great and the potential consequences are too significant to ignore.

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By: Jonathan Tenenbaum, Esq. jont@ebizinsider.com

Download a Sample Employee Review Employee reviews are not the business equivalent of a root canal. At least, they shouldn’t be. Employee reviews should be an important tool which can help managers monitor employee performance. There are certain essential points that need to be covered in a review, points which are the same in nearly every industry, like meeting attendance requirements, quality of work, demonstrating required skills and knowledge for the job. The key is not to let the process get bogged down.

How to do them

Reviews need to be done in the most effective yet condensed way. The longer the review, the lower the chance it will be completed on time, if at all. However, remember the purpose of the review. You are trying to make better employees and a better company, so take your time and listen.

It is also very important to set goals and objectives for employees, even in reviews. If a previous review has been given, briefly describe the progress of the set goals from the previous review. Make sure you praise the areas of greatest improvement. If this is a first review, set goals for the future and review them with your employee. Make sure he/she understands the reason for your company’s goals and values. Follow the goals with discussion of a list of the employee’s biggest strengths or achievements and the areas that need improvement. Make sure you explain your reasoning in each step. It is important for people to understand your goals in order to share them. Remember that as the manager it is your job to make their duties clear to them.

Self-Appraisal is Key

Encourage your people to complete a self-appraisal. This is an important element in any employee review. Often you can learn the difference between how they see their role in the company and how the company sees that role.

When to do them

Employee reviews should always be completed at the end of the first 90-days of employment. After that, once or twice a year is sufficient. There are some exceptions, however. If the company goes through huge changes in a short time, it’s good to consider a review. For instance, if the company moves, is bought, grows or shrinks rapidly, consider a review. These are major changes for employees and a review can produce valuable feedback.

Why do them

Reviews are important! Many employees may not know how their supervisors feel about their performance. Unfortunately, reviews take time and are too often forgotten by managers. Don’t let it happen. Reviews are a chance to teach and learn.

Make or Break

The 90-day is one of the most important reviews for many companies. 90 days is traditionally the point where you basically decide to keep the best and lose the rest who may not be a good fit. Usually after this point you begin to make commitments to your people in the form of health care, 401k’s and the like, so this is an important time. Hopefully you’ve been paying attention and getting feedback from their supervisors on your new people. The next step is a big one, so pay attention.

Yearly pay increases:

Before any scheduled pay increase, schedule performance evaluations. Pay increases remain at the discretion of management, based on each employee’s performance evaluation. If a pay increase is denied, the employee will remain at their current rate of pay until their next evaluation date, at which time, the process will repeat. The following items are some of the factors that will establish the basis of such decisions:

• Company work requirements
• Employees’ performances, attitudes, abilities, experience, and skill
• Employees’ past performance history
• Employees’ potential for reassignment within the organization
• Length of employment
• Work performance
• Attitude

In addition to regular reviews, evaluation and correction will be made at anytime the company finds fault in work performance, conduct, or attitude of an employee. Reviews should never be a total surprise for an employee either positive or negative. Training, coaching, feedback and evaluation should be an on going practice by all managers all the time ”not just at review time.

Mention the words “employee handbook” and you conjure up an image. Sadly, it’s usually a blah image. The employee handbook is that thing in your drawer you got when you joined the company. It’s that thing you have to write because, well, you’re a company. The employee handbook is a necessity for any serious business, but it can be so much more. The employee handbook can help to set the tone for your company and its attitude toward your people. It can be an important tool for communicating workplace culture, values, benefits and policy information to your employees.

The Company Bible

The employee manual should start by being an information reservoir. It should be the central place where employees can go to for just about any company information. If you have expectations of your people, the handbook is where you lay them out.

Any conditions specific to your state or industry should be mentioned in the beginning. This could include an “At Will” employment statement (if your state is an At Will state) and a statement that explains the manual is not a employment contract. Other handbook necessities will include an EEO (Equal Employment Opportunity) statement, the company policy on holidays, vacation time, sick time, personal leave, attendance policy, pay periods, payroll deductions, benefits and the FMLA(Family Medical Leave Act). This includes private employers who employ fifty or more employees in twenty or more calendar weeks and any public agencies regardless of their number of employees.

The list of what should be in your handbook will vary state by state, so be sure that you become familiar with the appropriate state and federal laws.

A Behavioral Framework

A well written manual should inform employees and help managers make decisions and maintain consistency. Documenting policies and procedures in a manual is important for any business small or large. Many small businesses don’t feel that such policies apply to their business and prefer to keep management flexible. Over time, though this can create problems for businesses that are growing or planning to grow. A key in writing a good employee handbook is to plan ahead. What kind of business will you be next year? In five years? How will your expectations of your employees change if you double in size? In almost all states there are laws and labor codes that apply to all employers with one or more employees.

Composing Your Manual

The process of preparing and maintaining an employee handbook can be complicated. If you are preparing a manual for the first time, look for guidance to other successful models. When possible, get a copy of a manual of a national company you admire. See how they approach core issues and how they order and list the priorities for their people. Then compose your own handbook, making sure to underscore the workplace issues which mean the most to you. When you are finished, have an attorney review the final document.

The employee manual process doesn’t end with the publication of your handbook. Actually, the process never ends. As a company grows new policies and procedures need to be adopted, so a yearly review is a necessary task. A manual is not a static statement that you write once; it is a document which will continue to change with your company. You must be prepared for those changes and you must regularly commit them to writing when applicable.

Make the Commitment

Too many companies avoid the commitment of time and money required to prepare a proper employee policy manual and keep it regularly updated. Don’t be penny wise and pound foolish. Over time, having a thorough and regularly revised manual will reduce the amount of litigation and conflict while showing your employees that you are the great company you claim to be.

This should not come as a surprise. There is a strong connection between happy employees and happy customers. If you as an e-commerce operator can keep your people happy and motivated at work, you�ll earn dividends that go well beyond better attendance. If your staff enjoys their work, they�ll prove it in the quality of their work. They�ll prove it by taking better care of your customers. This will make your company and especially your bottom line look good. Here�s the rub, though. Money is not always the prime motivator. Money helps, of course, but there are many creative ways to motivate employees.

Provide Proper Training to Succeed
No one can do the right job without the right tools and training, no matter what the job. Make sure the training is focused and extensive, but make it work. Make it fun and compelling. If your employees are comfortable with the training you provide they will definitely stay more focused and motivated to succeed.

Atmosphere and Attitude Are Key
Do you listen to your people? Perhaps more important, do they talk to you? This is a crucial indicator of a happy work environment. Do your best to promote an atmosphere whereby employees can talk freely with any member of the management staff, offer ideas and make suggestions. The fact is, your people often know how to improve their jobs in ways that never occurred to you. Not only should they feel free to talk, you should encourage their feedback on a regular basis. Sadly, some people are shy about direct conversations. Make it easy for them. Suggestion boxes are a great way to harvest the input and ideas of people who are uncomfortable going directly to a member of management.

Team work is a strong spirit builder. And it is true; the whole is greater than the sum of its parts. The effective use of teams will result in happy employees whose combined decision-making solves more problems than having people go it alone. This makes you a better company, with your people sharing their wisdom and learning from others. This directly contributes to overall customer satisfaction.

Relax your dress code. To the extent your business allows, encourage casual wear. If you want a consistent look, use your imagination. Create some cool company t-shirts with your logo to hand out to employees.

Provide snacks. Candy, soda, fruit, doughnuts and the like may seem like a small thing. Don�t be fooled. One of the first things people will say about an office that has snacks on hand is �my office is cool�they have snacks!� It will cost you a few dollars to keep the soda flowing, but the payoff is immense. Not only will you be saving people time they might have spent shopping on their own, you�ll save them money and show you care.

Keep Employees Informed
How do you feel when you�re �in the loop�? You feel important and connected, don�t you? It�s the same for your people. Keep everyone current on all the exciting accomplishments of the month and what�s to come next month. Provide updates on company news in general. There are many ways you can do this through newsletters, e-mails or post on your internal intranet. If you want to go even further, have company lunches or dinners. This will take everyone away from the office monthly for a nice quarterly break.

Management Style
Avoid micro-managing if you can. Continuous fussing and meddling becomes a de-motivator for employees. That said; under-management is the overwhelming common denominator in low or below standard workplace performance at all levels. The under-managed worker struggles because his or her supervisor is not providing needed direction and support. When supervisors practice essential interpersonal skills, their behavior will result in happy employees whose work contributes to customer satisfaction.

It�s a simple equation: Happy Employees=Happy Customers=Happy Owners!