As detailed above, a manual that clearly states that it is not intended to create a contract will, in general, foreclose lawsuits for breach of the manual's terms. This reduced risk is achieved by consistent application of the employee manual. Again, employers that have employee manuals and handbooks are much more likely to apply policies in a consistent manner, regardless of an employee's traits such as age, gender or race. Establishing a common understanding and expectations regarding employer standards Reducing the risk of employee lawsuits 2. The Cons of Having an Employee Manual Employee manuals do have downside risks.
Some risks are management created and some are manual created.
The downside risk to the standardization created by an employee manual is management inflexibility. Many employers enforce a black letter interpretation of their employee manuals. These employers simply ignore the fact that employee manuals cannot adequately address the infinite and ever changing issues that arise between employers and employees. This inflexibility phenomenon is most prevalent among mid-level managers who sometimes do not see the forest for the trees. Some of these managers forego common sense for easily applied, black letter standards.