Your shop follows all the proper procedures when doing repairs — so why wouldn’t every other aspect of your business operate by the book as well?
An employee handbook is the guiding document for everyone working in the shop. Yet some shops are operating with handbooks that are out of date, incomplete, or worst of all, nonexistent. An employee handbook may seem like it’s just a box to check, something to cover the shop’s bases in case something goes wrong. And while the legal aspect is important, it’s not everything.
“We realized the handbook wasn’t just about protecting the company legally, but also about setting the tone for our culture, expectations and how we wanted to engage with our team,” says Sheryl Driggers, former owner of Universal Collision and currently a coach and speaker with Collision Advice. “It became a living document that evolved as the company grew and adapted to new challenges, but its core purpose of guiding and supporting our employees never changed.”
Is your shop’s handbook meeting the standard? Here are some tips and best practices to make sure you’re staying current.
as told to Todd Kortemeier
Handbooks cover a wide range of topics
At Universal Collision, we developed our employee handbook shortly after opening our first location. Coming from a background in corporate America, I already understood the importance of having a structured guide in place to ensure clarity on company policies and expectations. While we didn’t have one from Day 1, it became evident early on that formalizing these details was necessary to create consistency and avoid misunderstandings.
Our handbook covered critical topics such as: company policies, such as our confidentiality agreement and equal opportunity policies; work hours and dress code; benefits and time off; and other policies unique to our shop, such as our open-door policy and rules about prohibited substances.
Be detailed, but include only what you need
When writing a handbook, you want to strike a balance between being clear but not overly strict. Too many rigid rules can stifle the work environment, but being too vague leaves room for misinterpretation. And only include policies you can enforce. If you have a rule in the handbook, you must be ready to enforce it fairly across the board. Otherwise, this can lead to inconsistency and legal trouble. It’s vital to know what is in your handbook so that you can keep it updated. Some shops write the handbook once and forget to update it, which can lead to outdated or non-compliant policies.
There may be other considerations as well in certain cases, such as MSOs operating in different states which must account for varying state labor laws. They need to create a handbook with sections that can apply universally to all locations, but also incorporate state-specific appendices or sections addressing local labor laws.
Know what needs updating
It’s easy for policies outlined in your handbook to get out of date, such as labor laws and related regulations. Laws change over time, so ensure your handbook complies with current employment law, including overtime, minimum wage and anti-discrimination policies. Benefits packages also evolve (healthcare, retirement plans, etc.), so you should update those sections. With the increased use of technology and social media, many handbooks must address privacy, acceptable use of company equipment and social media conduct.
As today’s workforce is looking for more flexibility, it is important to provide clarity on things like flexible working hours for your team. Again, consistency is key to ensure these policies are being enforced fairly. Finally, health and safety protocols, especially in light of events like COVID-19, should reflect current standards and practices.
Help is available; do it right the first time
There are several resources available to create an employee handbook from scratch. Online platforms like the Society for Human Resource Management (SHRM) provide templates and guidelines. Typically, you will also receive resources from your employment practices liability (EPL) insurance policy to help create these types of documents. I am a member of SHRM, so I participate in training and have access to its resources.
I highly recommend consulting an employment lawyer or HR professional — especially to ensure you comply with local, state and federal labor laws. While this might cost a fee, it’s an investment in preventing costly legal issues. At Universal Collision, we had an HR attorney who would come in and conduct our annual harassment training, and we would consult on certain HR decisions.
Bring in the team; remember who the handbook is for
Employee handbooks are critical because they set clear expectations, provide consistency, ensure compliance with laws and protect both the business and employees from misunderstandings. Without a proper handbook, a shop risks legal liabilities, inconsistent management practices and a lack of clarity among employees regarding their rights and responsibilities. A well-structured handbook also helps foster a positive culture by clearly outlining company values and policies.
If I could offer one piece of advice to shop owners, it would be to view the handbook as a living document, not something you create and then forget about. It should evolve as your business grows and as the industry changes. Furthermore, encourage employees to engage with it, offer feedback, and ensure that it reflects your shop’s culture and values.
