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In this tutorial, the importance of an employee handbook as a key communication tool between a company and its employees is discussed. The employee handbook outlines company expectations and employee entitlements, reflecting the unique culture of the organization. It is essential to adhere to all applicable federal, state, and local laws when drafting the handbook. Companies may need multiple handbooks for exempt, non-exempt, or unionized employees. An effective handbook should begin with a welcoming introduction, such as a mission statement or a message from the president or CEO, to set the tone for the work environment and introduce the company to employees.