Further, they call for more frequent updating than policies which have left sufficient discretionary powers to give leeway in various situations. Many policies and forms can and should have attendant disclaimers which articulate the rights of the employer and the obligations of the employee. Until the laws and labor codes in the U.S. catch up with the realities of the workplace in the 2000s, reduction of libailities through structure and direct communications of rights and obligations are still best disseminated through a handbook. For an agreement form for a tailored handbook, see Tailored Handbooks Available With Retainer Agreement , an agreement under which there is no direct charge for the employee manual, but where development and updating of the handbook will be done on an ongoing basis. When to have such policies in a formal manual is another question.
Many states have laws and labor codes pertaining to companies with just one employee.
This is also true of the federal Fair Labor Standards Act. Of course not. A well written employee handbook can and should reduce the company's liabilities based on misunderstandings of expectations. Your employment liabilities start when you hire your first employee, but that doesn't justify a manual. It does justify some written policies, at least in the form of formal memos on company letterhead - signed for by the employee.