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In this video tutorial, the importance of the employee handbook as a key communication tool between a company and its employees is discussed. The handbook clearly outlines expectations for employees and what they can expect in return. It should reflect the company's unique culture while adhering to relevant federal, state, and local laws. Consideration may be needed for creating multiple handbooks for different employee classifications, such as exempt, non-exempt, or unionized employees. The handbook should serve as a welcoming document, setting the tone for the work environment with a mission statement or a note from leadership to introduce the company and engage employees.