Benefits of employer policies

Label: #labor law

Employer policies provide clear guidance to employees, support legal compliance, and protect against property damage. Our article will reveal the details.

Does your company already have one?

Nowadays, it is almost essential to create so-called employer policies regarding work-related issues such as various benefits for employees, the use of company vehicles or IT equipment. In our post, we will discuss why various policies are necessary pillars of a business’s operation and how they ensure the smooth running of everyday work.

What exactly is an employer policy?

The Labor Code allows the employer to make unilateral legal declarations and commitments in the form of an employer’s regulations, by enforcing the unilaterally established internal regulations or unilaterally established practices. This is a document that, as if supplementing the employment contract, contains rules and expectations regarding the internal operation of a company, typically regarding a specific subject area. This may include, for example, work procedures, conduct to be demonstrated in the interests of workplace safety, dress codes, data protection rules or even guidelines for the use of certain devices and machines.

A common example is a vehicle policy, which, beyond the scope of the use of vehicles for company or private purposes, may cover matters related to damage or maintenance, among other things.

Who does it apply to?

The regulations may apply to the employer’s entire workforce, or only to certain employee groups or specific job positions. For example, a bonus regulation can be created that provides benefits only to employees in management positions. However, when differentiating, it is important to maintain the requirement of equal treatment.

It is also important to note that the document becomes effective when it is published in the usual manner locally, but it must be ensured that this is done in a way that makes it known to everyone and that its content is clear. If these conditions are not met, the employer cannot base a termination with immediate effect on non-compliance with the regulations. The temporal effect is also important for changing or revoking the regulations, as it can give rise to disputes if it is not clearly stated how long the old regulations are valid and when the new ones will be effective.

Why is it useful for companies?

The purpose of the policies is to provide clear guidance to employees, thus ensuring the maintenance of the necessary order for work. However, resolving certain issues is not only important to ensure that uniform rules apply to individual employees and that they are aware of them, but often the creation of these documents is also essential for legal compliance. For example, a data protection policy helps to comply with the GDPR, while occupational health and safety regulations support compliance with occupational health and safety legislation.

In addition to all this, regulations often serve the purpose of asset protection and can protect the employer from significant damage, which is why we specifically recommend the application of employer regulations. Last but not least, such regulations can be a document with a uniform structure that sets out the conditions under which employees can receive additional benefits and, in the case of jobs involving overtime, it is worth regulating the rules for the eligibility of overtime in order to avoid abuse. It is worth placing great emphasis not only on creating appropriate regulatory documents, but also on their periodic review in view of changing economic circumstances.

Whether it is about creating or updating internal regulations, feel free to contact us with confidence.