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Employment Policies
Introduction
“People are your edge - but only with the right guardrails. Policies protect your runway, your culture, and your sanity.” – Matt Glynn
In the rush to build product, land first customers, and launch campaigns, the “hum‑drum” task of putting employment policies in place gets pushed to the bottom of the list. We get it - how many startups would ever launch if they began by writing handbooks, leave rules, and disciplinary frameworks?
Here’s the reality: policies are not red tape; they are risk brakes. They help you comply with law, prevent bad‑hire blowback, and keep momentum when competency or compatibility issues surface. In many markets, the enforcement climate leans heavily toward employees. If you don’t set the rules early, you may find those rules set for you - in a tribunal.
Employment Policies – What Are They?
PAA: What are employment policies?
Written standards that define rights, obligations, and processes across the employment relationship (e.g., conduct, leave, performance, discipline, safety, data). They live in your Employee Handbook and related SOPs.
PAA: Why do startups need policies this early?
Because policies mitigate the 3Cs: Competency (performance management), Compatibility (conduct and culture), and Compliance (meeting legal duties). They let you act fairly and fast when things go wrong - and prove it.
This is an important stage of the start‑up journey because:
◼️Legal defence – Clear, consistently applied policies are Exhibit A if disputes arise.
◼️Operational speed – Pre‑agreed processes avoid ad‑hoc, emotion‑driven decisions.
◼️Culture by design – You set norms before a bad hire sets them for you.
◼️Manager confidence – Leaders know how to handle performance and conduct.
◼️Scalable onboarding – New joiners learn your way from day one.
◼️Investor trust – Governance reduces people risk flagged in diligence.
PAA: Aren’t policies just bureaucracy?
Not when they’re concise, practical, and founder‑friendly. Good policies are playbooks, not paperwork.
Consequences of Not Addressing This Issue
Legal Implications
- Non‑compliance with statutory requirements (leave, hours, benefits, safety).
- Weak footing in grievances, discrimination, harassment, whistleblowing, or dismissal claims.
Founder Relationship Issues
- Friction over inconsistent decisions and “exceptions.”
- Accusations of unfairness or bias when there’s no written standard.
Commercial Implications
- Lost customers from unmanaged staff conduct/performance.
- Hiring brand damage if workplace norms are unclear or unsafe.
Operational Implications
- Time sinks for founders firefighting avoidable HR issues.
- Shadow practices (“this is how we do it here”) that conflict with law.
Biz Valuation Issues
- Diligence discounts for missing or inconsistent policy frameworks.
- Deal delays while HR risks are remediated.
PAA: What happens if we rely on “common sense” instead of policies?
You’ll struggle to act consistently - and tribunals often view inconsistency as unfairness.
What You Should Be Doing
1. Ship a “Startup Essentials” policy pack (Day 0–30)
- Code of Conduct, Anti‑Harassment & Anti‑Discrimination, Grievance, Disciplinary & Performance (PIP), Whistleblowing.
- Offer & Probation, Working Time/Overtime, Leave & Public Holidays, Health & Safety.
2. Lock the data & devices perimeter
- Confidentiality/Trade Secrets, Acceptable Use, BYOD, InfoSec & Passwords, Remote/Hybrid Work, Social Media, Email/Comms Monitoring (where lawful).
3. Clarify status & reward
- Comp & Benefits, Equity/ESOP summary, Expenses, Travel, Flexible Work, Reasonable Adjustments/Accessibility.
4. Contractor & vendor interface
- Contractor Classification & Onboarding, Background Checks (where lawful), Supplier Code of Conduct, Safeguarding.
5. Create a fair process toolkit
- Templates for warnings, PIPs, investigation notes, grievance responses, references, exit checklists.
6. Plan for growth & disputes
- Redundancy/Restructuring, Layoff/Consultation, Return‑to‑Work, Parental/Carer Leave, Accommodation of Beliefs, Conflict of Interest, Gifts & Hospitality, Anti‑Bribery & Corruption.
7. Localise by jurisdiction
- Map statutory minimums (leave, pay, hours, record‑keeping), works councils/union rules, mandatory trainings, language requirements.
8. Train, don’t just publish
- Onboarding brief + manager micro‑training for performance, conduct, and investigations.
9. Review cadence
- Quarterly light review in high growth; annual formal review otherwise. Version control + employee acknowledgments.
10. Lawyer up at the right moments
- New country launches, restructures, terminations, investigations, or when a complaint touches protected characteristics.
PAA: Do policies apply to contractors?
Core policies like Confidentiality, Safety, Acceptable Use, and Anti‑Harassment should bind contractors via their services agreement. Many employment‑specific policies won’t apply - avoid misclassification.
Case Studies
Uber (2017) – Harassment Scandal, Policy Overhaul
Whistleblower reports exposed gaps in reporting, investigations, and accountability. Uber commissioned an independent review, overhauled its harassment, reporting, and managerial accountability policies, and implemented mandatory trainings. Lesson: policies aren’t “nice to have” - they’re culture infrastructure.
Google (2018) – Walkout & End of Forced Arbitration
Employee protests over handling of misconduct allegations led Google to end forced arbitration in harassment/assault cases and tighten investigation protocols. Lesson: workplace norms and enforcement posture matter as much as the written policy.
Activision Blizzard (2021–) – Enforcement & Culture Under Scrutiny
Regulatory actions and lawsuits alleging workplace misconduct triggered comprehensive policy reforms: upgraded reporting channels, third‑party monitoring, and expanded training. Lesson: absent or weakly enforced policies can become an existential risk.
PAA: What’s the common thread?
Not just “have a policy” - enforce it, train it, prove it.
Final Thoughts
People are the key - but only the right people, operating under the right guardrails. Early‑stage policies are how you preserve passion and momentum, prevent a bad hire from hijacking your culture, and stay on the right side of an increasingly employee‑leaning enforcement climate. A cursory glance at the law won’t cut it; you need the full picture - statutes, norms, unions, and tribunals - and a lean, living policy stack that fits your stage.
How GLS Can Help You
◼️Startup Essentials policy pack (download‑ready)
◼️Jurisdiction‑specific localisation (statutory minimums & mandatory clauses)
◼️Contractor & vendor policy wrappers (classification‑safe)
◼️Investigation, grievance, and disciplinary playbooks + manager training
◼️Remote/BYOD/InfoSec policy hardening
◼️Annual/quarterly policy reviews and version control
◼️Restructure/layoff policy frameworks and consultation support
◼️Rapid response on disputes, exits, and regulator inquiries
◼️Investor‑ready HR governance packs for diligence
◼️End‑to‑end handbook build with onboarding/training modules