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January 2025

2 minutes

Creating Effective Employee Guidelines for Small Businesses

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Hi there, I’m Merryn, a Global HR Consultant who’s been lucky enough to work with businesses of all sizes, from tiny startups to sprawling multinationals. But no matter the scale, one truth holds firm: clear, well-thought-out employee guidelines are critical to building a strong, compliant, and happy workplace.


For small businesses especially, having robust guidelines can feel like a luxury—something to tackle “later.” But trust me, it’s worth the effort now. A well-written set of guidelines can save you time, money, and stress down the line. Let me walk you through why these are so important and how to create them, weaving in a few lessons I’ve learned from years in HR.



Why Employee Guidelines Matter for Small Businesses


When I first started consulting, I worked with a small, family-run business of about 15 employees. They had a tight-knit team and great camaraderie, but when a dispute cropped up about sick leave, things got messy. The company didn’t have clear policies in place, and what started as a minor misunderstanding escalated quickly. Emotions ran high, and it took months to rebuild trust.


That experience stuck with me. Even in small teams where “we’re all like family” is the vibe, clear guidelines are essential. They:

  • Set Expectations: Employees know what’s expected, from work hours to conduct.

  • Protect Your Business: Clear rules help you stay compliant and reduce legal risks.

  • Build Trust: Transparency fosters a culture of fairness and professionalism.


How to Create Effective Employee Guidelines


Here’s how to get started, with tips drawn from real-world situations I’ve encountered:


1. Start with Your Values

Your business values should shape your guidelines. I once worked with a sustainable fashion startup that wanted to reflect their commitment to environmental ethics in their policies. We added guidelines on reducing waste at work and supporting eco-friendly commuting.


Ask yourself: What matters most to you as a business? Then make sure your guidelines align with these principles.


2. Keep It Simple

For small businesses, guidelines don’t need to be a 50-page legal document. In fact, shorter is better. One client, a tech startup, had drafted a “handbook” that was so long even the founders hadn’t read it fully! We streamlined it into a concise, readable format that employees could actually use.


Stick to plain language and focus on the essentials, such as:

  • Working hours and attendance.

  • Leave policies (sick leave, holidays, etc.).

  • Expected behavior and workplace conduct.

  • Safety procedures.


3. Cover Legal Basics

Compliance can feel intimidating, but it’s non-negotiable. When I consulted with a UK-based café owner, they didn’t realize they needed to display certain employee rights under local law. A quick fix like posting a statutory notice saved them from potential fines.


For small businesses in the UK or US, make sure to include:

  • Compliance with wage and hour laws (like minimum wage and overtime).

  • Anti-discrimination and harassment policies.

  • Workplace health and safety standards.


If you’re hiring globally, check the rules in each country where your employees work—different regions have wildly different requirements.


4. Address Remote and Flexible Work

With remote work becoming the norm for many, small businesses need guidelines that reflect this shift. I’ve worked with companies where the lack of clarity on remote expectations caused confusion over availability and performance.

Make sure to include:

  • Expectations for communication and availability.

  • Equipment policies—who pays for what?

  • Data security measures for remote setups.


5. Involve Your Team

When you’re crafting guidelines, don’t do it in isolation. In one small marketing agency I worked with, employees felt excluded from major decisions, which led to disengagement. We turned it around by inviting their input when updating policies.

Hold a workshop or survey your team. Ask what they want clarified or improved. This fosters buy-in and ensures the policies feel fair and relevant.


Tips for Rolling Out Guidelines


Once your guidelines are ready, the next step is introducing them effectively. Here’s what I’ve seen work:

  • Make it Accessible: Post the document where employees can easily find it—whether it’s a printed copy in the office or a PDF on your intranet.

  • Walk Through Key Points: Take time to discuss the guidelines in a team meeting. This helps employees understand them and ask questions.

  • Revisit Regularly: Businesses evolve, and so should your guidelines. Set a reminder to review them annually.


Final Thoughts


Having clear employee guidelines isn’t about micromanaging or being overly formal—it’s about creating a fair, transparent foundation for your team to thrive. As a small business owner, you’re likely wearing a lot of hats, but trust me, this is one investment that pays off.


Think of your guidelines as a roadmap. When everyone knows where they’re going and how to get there, it makes the journey smoother for everyone—yourself included.

If you need help getting started or want a second set of eyes on your draft, feel free to reach out. I’m always happy to help!

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