The HR Generalist Guide to Policy & Handbook Design : The Rules of the Game

Welcome to Chapter 13 of The HR Generalist’s Blueprint: A Complete Operational Guide.

The Employee Handbook is the most boring document in the company, and also the most important. It is your first line of defense in a labor dispute. If you fire someone for misconduct but do not have a clear, signed policy defining that misconduct, you will lose the case.

In India, policies are often confusing. They are copies of old US templates or written in "Legalese" that no one understands. If your employees cannot understand the leave policy, they cannot follow it.

As an HR Generalist, your job is to be a Translator. You must convert the legal requirements (Shops & Establishments Act, POSH, Maternity Benefit Act) into clear, human instructions.

Key Takeaways:

• The Language: Your policy must pass the "Manager Test." If your managers cannot explain it, do not publish it.

• The Audit: Handbooks age quickly. A 2019 handbook is useless in 2024 (missing Remote Work, Digital Conduct, and Gig Worker clauses).

• The Shield: Consistency in enforcement is everything. Making "exceptions" for top performers is an open invitation for a Discrimination Claim.

13.1 Writing Policies: Legalese vs. Plain English

The goal of a policy is to change behavior, not to confuse people.

A. Kill the Jargon

Indian policies are famous for using archaic legal terms. This is administrative ego, not clarity.

• The Rule: Replace words like "Aforesaid," "Notwithstanding," and "Hereinafter" with simple alternatives like "As mentioned before," "Even though," and "From now on."

B. Use the "Simple English" Formula

Train your HR team to write using the Passive to Active Voice shift:

• Legalese (Bad): "Deduction of salary shall be effected for any unapproved absence from duty." (Threatening and confusing).

• Plain English (Good): "If you take an unapproved leave, it will be marked as 'Loss of Pay' (LOP) and deducted from your monthly salary." (Clear and direct).

C. The "What-If" Test

A good policy must answer the employee's questions before they ask them.

• Bad Leave Policy: "Employees are entitled to 15 days of Sick Leave." (What if I'm sick for 16 days? What if I'm still in my probation period?)

• Good Leave Policy: "Probationary employees are not entitled to paid Sick Leave. A doctor’s certificate is mandatory for Sick Leave exceeding 3 consecutive days. Any leave beyond 15 days requires pre-approval from HR."

13.2 The Handbook Audit: The 2024 Refresh

If you haven't audited your handbook in the last 18 months, you are legally exposed. The Indian work landscape has fundamentally changed.

A. The Remote & Hybrid Policy (The Essential Addition)

Your 2019 handbook assumes everyone is in the office from 10:00 AM to 7:00 PM. This is no longer true.

• The Fix: You must add a section defining:

  1. Eligibility: Who can work from home? (Hint: Not manufacturing plant workers).

  2. Equipment: Who pays for the broadband and power? What is the process for returning company assets upon resignation (the "FnF" asset clearance).

  3. Productivity: How is attendance measured? Do you use "Activity Trackers"? (You must declare this to avoid privacy litigation).

B. Digital Conduct & Social Media

An employee’s personal LinkedIn or Instagram posts can now damage your brand.

• The Fix: A simple, firm clause:

  "You may not post any company information, client names, or comments that could be interpreted as harassment while using your personal social media, if your profile identifies you as an employee of this company."

C. Leaves & "Carry Forward"

Indian labor laws on leave carrying forward are complex (varying by state under the Shops & Establishments Act).

• The Audit: Ensure your policy clearly states the date of expiry (e.g., Dec 31st or March 31st), the maximum carry-forward cap (e.g., 15 days), and the process for Encashment upon FnF (Full & Final Settlement). If this is vague, employees will dispute the final amount.

13.3 Enforcement: The "Consistency" Trap

HR Generalists often create their own problems here.

• The Scenario: A top-performing Sales Manager is caught faking an expense claim for a meal with a client.

  • The Manager's Reaction: "Let it go, John is our best biller. Just warn him."

  • The HR Reality: You cannot let it go. If you punish a junior analyst next month for the exact same offense, you have just opened the door for a massive legal and ethical crisis.

Consistency is your ONLY Shield In India, where "favoritism" is a common complaint, consistent enforcement is the only way to prove fairness.

Operational Rules of Enforcement:

1. No Exceptions: The policy must apply to the CEO and the Security Guard equally.

2. Document the Exception: If you absolutely must make an exception for a rare, valid reason, you must document the reason in writing in the employee file.

   • Documenting is the Proof: This proves it was not arbitrary; it was a reasoned business decision. Without the document, it's just favoritism.

3. The POSH Prerogative (The Non-Negotiable): Under POSH (Prevention of Sexual Harassment) law in India, there is zero room for "discretion." Any formal complaint must be sent to the Internal Committee (IC) immediately. If HR tries to "mediate" a POSH complaint informally to save a senior leader, they can face criminal charges under Indian law.

Chapter 13 Summary Checklist

This concludes Part 4. Before moving to the final, conclusive chapter, ensure your rules are fit for purpose:

• [ ] The Test: Did I run a random policy by a non-HR manager? Did they understand it without asking me for clarification?

• [ ] The WFH Audit: Have we added a detailed Remote Work annexure addressingFnF asset return?

• [ ] The FnF Test: Read the FnF settlement clause. Is the formula for notice period buy-out and leave encashment legally airtight?

• [ ] The Bias Check: Look at the last three disciplinary actions. Were the punishments consistent for the same offense, across different departments?

You have built the entire operational machine: Recruiting, Comp, Culture, and now the Rules. But eventually, everyone says goodbye. How do you handle the exit so the employee doesn't become a "Glassdoor Nightmare"? In the final chapter, Chapter 14, we cover Offboarding & Alumni Relations: Ending on a High Note.