What is the primary purpose of an employee handbook?

The primary purpose of an employee handbook is to outline company policies, procedures, and employee rights and obligations. This essential document serves as a guide for employees to understand the expectations of the organization and their responsibilities within it. It ensures that everyone is aware of important policies related to workplace behavior, dress code, attendance, and anti-discrimination measures, fostering a cohesive work environment.

By clearly stating these guidelines, the employee handbook helps to mitigate misunderstandings or miscommunications regarding company practices and encourages compliance with established rules. This comprehensive overview not only informs employees about what is required of them but also reinforces their rights, ensuring they know the support available to them within the organization.

Other options, while they may be components of an employee handbook, do not encompass its primary function as thoroughly as the correct choice does. For instance, summarizing employee benefits is important, but it is just one aspect of a much broader document. Providing a directory of employees and detailing financial information are not standard purposes of an employee handbook, as such information is typically irrelevant to employee policy and conduct.