Operations Manual

Table of Contents

ARTICLE I.	WELCOME TO PRESCHOOLGYM®	8
SECTION 1.01	WHO WE ARE	8
SECTION 1.02	HISTORY OF THE ESTABLISHMENT	9
SECTION 1.03	BACKGROUNDS OF THE FRANCHISORS	10
SECTION 1.04	BACKGROUNDS OF THE CORPORATE TRAINERS	12
ARTICLE II.	FRANCHISOR MANAGEMENT	14
SECTION 2.01	MANAGEMENT LISTING & ORGANIZATIONAL CHARTS	14
ARTICLE III.	FRANCHISEE OBLIGATIONS	17
SECTION 3.01	COMPLETE LIST OF FRANCHISEE OBLIGATIONS	17
ARTICLE IV.	OUR BASIC PRINCIPLES	23
SECTION 4.01	WHAT IS PRESCHOOLGYM®?	23
SECTION 4.02	WHAT PRESCHOOLGYM® PROVIDES THE CUSTOMER	24
SECTION 4.03	WHAT PRESCHOOLGYM® PROVIDES THE EMPLOYEE	24
SECTION 4.04	THE KEYS TO OUR SUCCESS	24
ARTICLE V.	EMPLOYEE AGREEMENTS	26
SECTION 5.01	EMPLOYEE MANUAL, HANDBOOK & AGREEMENT	26
SECTION 5.02	EMPLOYEE ARBITRATION AGREEMENT	28
ARTICLE VI.	NEW HIRE PROCESS	30
SECTION 6.01	PERSONNEL RECRUITMENT	30
SECTION 6.02	THE JOB DESCRIPTION	31
SECTION 6.03	THE INTERVIEW FORMAT	31
SECTION 6.04	KEY POINTS IN THE SELECTION PROCESS	33
SECTION 6.05	IMPROPER AND ILLEGAL INTERVIEW QUESTIONS	34
ARTICLE VII.	FEDERAL EMPLOYMENT RULES AND REGULATIONS	37
SECTION 7.01	FEDERAL LAWS PROHIBITING JOB DISCRIMINATION	37
SECTION 7.02	EQUAL EMPLOYMENT OPPORTUNITY COMMISSION (EEOC)	38
SECTION 7.03	DISCRIMINATION BASED ON NATIONAL ORIGIN	39
SECTION 7.04	TITLE VII OF THE CIVIL RIGHTS ACT OF 1964 (TITLE VII)	40
SECTION 7.05	EQUAL PAY ACT OF 1963 (EPA)	41
SECTION 7.06	AGE DISCRIMINATION IN EMPLOYMENT ACT OF 1967 (ADEA)	42
SECTION 7.07	TITLE I AND TITLE V OF THE AMERICANS WITH DISABILITIES ACT OF 1990 (ADA)	43
SECTION 7.08	CIVIL RIGHTS ACT OF 1991	45
SECTION 7.09	RELIGIOUS ACCOMMODATION	46
SECTION 7.10	SEX DISCRIMINATION	47
SECTION 7.11	UNIFORM GUIDELINES ON EMPLOYEE SELECTION PROCEDURES	48
SECTION 7.12	HEALTH AND SAFETY	50
SECTION 7.13	OFFICE OF DISABILITY EMPLOYMENT POLICY (ODEP)	52
SECTION 7.14	UNION ORGANIZING ACTIVITIES	53
SECTION 7.15	ALIEN EMPLOYEES	54
SECTION 7.16	STATE POSTER REQUIREMENTS	55
SECTION 7.17	FEDERAL POSTER REQUIREMENTS	57
SECTION 7.18	FEDERAL AND STATE INSURANCES	60
SECTION 7.19	FEDERAL & STATE CHILD LABOR LAW	63
SECTION 7.20	FEDERAL DRUG-FREE WORKPLACE POLICY	65
SECTION 7.21	FEDERAL VS. STATE FAMILY AND MEDICAL LEAVE	66
SECTION 7.22	STATE FAMILY AND MEDICAL LEAVE	67
SECTION 7.23	STATE DRUG-FREE WORKPLACE POLICY	68
SECTION 7.24	SARBANES-OXLEY ACT	69
ARTICLE VIII.	NTERVIEW FOLLOW-UP	70
SECTION 8.01	CONDUCTING A REFERENCE CHECK	70
SECTION 8.02	INVASION OF PRIVACY	71
SECTION 8.03	NEGLIGENT HIRING	71
ARTICLE IX.	POST HIRING PROCEDURES	72
SECTION 9.01	POST HIRING QUESTIONS	72
SECTION 9.02	NEW HIRE REPORTING	72
SECTION 9.03	IMMIGRATION LAW COMPLIANCE	74
SECTION 9.04	FEDERAL INCOME TAX WITHHOLDING	75
SECTION 9.05	STATE INCOME TAX	75
SECTION 9.06	EMPLOYEE CHECKLIST	76
SECTION 9.07	PROBATION	76
SECTION 9.08	REQUIRED EMPLOYEE CERTIFICATES	77
SECTION 9.09	REQUIRED EMPLOYEE ORIENTATION	78
SECTION 9.10	REQUIRED EMPLOYEE TRAINING - FRONT OF THE HOUSE	79
SECTION 9.11	5-STEP EMPLOYEE TRAINING METHOD	80
SECTION 9.12	THE PRESCHOOLGYM® EMPLOYEE ATTITUDE	81
ARTICLE X.	PAYROLL	83
SECTION 10.01	FEDERAL MINIMUM WAGE AND OVERTIME STANDARDS	83
SECTION 10.02	STATE MINIMUM WAGE AND OVERTIME STANDARDS	84
SECTION 10.03	TEC & GEORGIA PAYDAY LAW	85
SECTION 10.04	REQUIRED STATE POSTERS	87
SECTION 10.05	PAYROLL – GENERAL POLICY	87
ARTICLE XI.	AVOIDING EMPLOYEE LAWSUITS	89
SECTION 11.01	TEN KEY CONCEPTS FOR PREVENTING LAWSUITS	89
SECTION 11.02	AVOIDING EMPLOYEE LAWSUITS	92
ARTICLE XII.	NEW HIRE & OTHER FORM DESCRIPTIONS	95
SECTION 12.01	EMPLOYEE APPLICATION FORM DESCRIPTION	95
SECTION 12.02	APPLICATION INFORMATION RELEASE FORM DESCRIPTION	95
SECTION 12.03	DRIVING RECORD CHECK FORM DESCRIPTION	95
SECTION 12.04	INTERVIEWER’S NOTES & COMMENT FORM DESCRIPTION	96
SECTION 12.05	EMPLOYEE NEW HIRE RATINGS REPORT FORM DESCRIPTION	96
SECTION 12.06	W-4 FORM DESCRIPTION	96
SECTION 12.07	I-9 EMPLOYMENT ELIGIBILITY VERIFICATION FORM	96
SECTION 12.08	DRUG POLICY FORM DESCRIPTION	97
SECTION 12.09	NINETY-DAY PROBATION FORM DESCRIPTION	97
SECTION 12.10	EMPLOYEE COVENT NOT TO COMPETE FORM DESCRIPTION	97
SECTION 12.11	UNIFORM REQUIREMENT FORM DESCRIPTION	97
SECTION 12.12	CASH SHORT RESPONSIBILITY FORM DESCRIPTION	98
SECTION 12.13	DESCRIPTION PAYROLL DEDUCTION FORM	98
SECTION 12.14	PAYROLL FORMS	98
SECTION 12.15	MODEL RELEASE FORM DESCRIPTION	98
ARTICLE XIII.	EMPLOYEE BENEFITS	100
SECTION 13.01	BENEFIT ELIGIBILITY	100
SECTION 13.02	HOLIDAY PAY	100
SECTION 13.03	VACATION PAY	100
SECTION 13.04	SICK LEAVE	101
SECTION 13.05	LEAVE OF ABSENCE	101
SECTION 13.06	MILITARY LEAVE	102
SECTION 13.07	JURY DUTY	102
SECTION 13.08	FUNERAL LEAVE	102
SECTION 13.09	PERSONAL LEAVE	103
SECTION 13.10	MEDICAL LEAVE	104
SECTION 13.11	FMLA LEAVE EXPLAINED	104
SECTION 13.12	VACATION LEAVE	108
SECTION 13.13	ACCRUED LEAVE PAYOUTS	109
SECTION 13.14	RETURN-TO-WORK FOR ILL OR INJURED EMPLOYEES	110
SECTION 13.15	HEALTH	110
SECTION 13.16	INSURANCE	110
SECTION 13.17	DISCOUNTS	111
ARTICLE XIV.	DISCIPLINE	112
SECTION 14.01	CONSTRUCTIVE DISCIPLINE STEPS	112
SECTION 14.02	EXPLANATION OF CONSTRUCTIVE DISCIPLINE STEPS	112
SECTION 14.03	BEHAVIOR THAT CONSTITUTES IMMEDIATE DISMISSAL	113
SECTION 14.04	GENERAL ‘DON’TS’	114
SECTION 14.05	DRUG AND ALCOHOL ABUSE POLICY	116
ARTICLE XV.	BUSINESS OPERATIONS	118
SECTION 15.01	WHAT IS OUR CUSTOMER GOAL?	118
SECTION 15.02	COMMUNICATIONS BOARD	119
SECTION 15.03	FRONT OF THE HOUSE EMPLOYEE DESCRIPTIONS AND DUTIES	119
SECTION 15.04	UNIFORMS & GENERAL WEARING APPAREL	122
SECTION 15.05	SMOKING BREAKS	125
SECTION 15.06	TELEPHONE ETIQUETTE	125
SECTION 15.07	TELEPHONE ETIQUETTE CHECKLIST	126
SECTION 15.08	FORBIDDEN PHRASES	126
SECTION 15.09	CUSTOMER COMPLAINTS	127
SECTION 15.10	OPENING CHECKLIST	129
SECTION 15.11	CLOSING CHECKLIST	130
ARTICLE XVII.	SANITATION	131
SECTION 17.01	PERSONAL HYGIENE	132
ARTICLE XVIII.	BACK OF THE HOUSE	164
ARTICLE XX.	ADMINISTRATIVE	182
SECTION 20.01	RECOMMENDED PRICING POLICIES	182
SECTION 20.02	HANDLING AND DEPOSIT OF CASH, CHECKS & CHARGES	182
SECTION 20.03	FRANCHISOR’S RIGHT TO AUDIT PROCEDURES	182
SECTION 20.04	FRANCHISEE OWNER/ MANAGER TRAINING REQUIREMENTS	183
SECTION 20.05	REQUIREMENTS IN CONNECTION WITH THE SALE OF ANY INTEREST IN THE FRANCHISE	183
SECTION 20.06	EXPANSION & RELOCATION REQUIREMENTS	186
ARTICLE XXI.	MANAGEMENT	187
SECTION 21.01	WELCOME MANAGEMENT TEAM MEMBER	187
SECTION 21.02	MANAGEMENT PERFORMANCE SKILLS	188
SECTION 21.03	GENERAL MANAGER JOB DESCRIPTION AND DUTIES	189
SECTION 21.04	MANAGEMENT STRESS	194
SECTION 21.05	ACCIDENT/ILLNESS GUIDE	196
SECTION 21.06	MANAGER DAILY OPENING SCHEDULE	198
SECTION 21.07	SIX-WEEK COURSE	200
SECTION 21.08	PUBLIC RELATIONS	200
SECTION 21.09	WRITING A JOB DESCRIPTION	201
ARTICLE XXII.	LEGAL AND SAFETY REQUIREMENTS	202
SECTION 22.01	THE HEALTH INSPECTION	202
SECTION 22.02	REQUIRED MINIMUM INSURANCE COVERAGE	205
SECTION 22.03	OCCUPATIONAL SAFETY & HEALTH ACT (OSHA)	205
SECTION 22.04	EMERGENCY SITUATIONS	210
SECTION 22.05	BURGLARY, THEFT AND ASSAULTS	210
SECTION 22.06	BURGLARY PREVENTION	212
SECTION 22.07	ROBBERY PREVENTION	212
SECTION 22.08	SHOPLIFTING PREVENTION	213
SECTION 22.09	DETENTION & ARREST	214
SECTION 22.10	FRAUD PREVENTION	214
SECTION 22.11	AUTO THEFT & CARJACKING	217
SECTION 22.12	CHECK FRAUD PREVENTION	219
SECTION 22.13	CREDIT CARD FRAUD PREVENTION	220
SECTION 22.14	SECURING CONFIDENTIAL COMPANY INFORMATION	220
SECTION 22.15	WORKPLACE VIOLENCE PREVENTION	221
SECTION 22.16	COMMUNITY CRIME EFFORTS	224
SECTION 22.17	INTERNAL THEFT	225
SECTION 22.18	IN-HOUSE SAFEGUARDS	233
SECTION 22.19	BOMB THREATS	235
SECTION 22.20	CRIME REPORTS	235
ARTICLE XXIII.	STANDARDS ENFORCEMENT/ SUPERVISOR FIELD INSPECTIONS	236
SECTION 23.01	FREQUENCY AND NATURE OF PERIODIC FIELD INSPECTIONS	236
SECTION 23.02	CONSEQUENCES OF FAILURE TO MEET STANDARDS	237
SECTION 23.03	REQUIREMENTS IN CONNECTION WITH INSPECTIONS CONDUCTED BY THIRD PARTIES	237
SECTION 23.04	FORM FIELD INSPECTION & REPORT SYSTEM	237
ARTICLE XXIV.	FINANCIAL REPORTING REQUIREMENTS & FORMAT	238
SECTION 24.01	ROYALTY REPORTING TO SUBMIT TO FRANCHISOR	238
SECTION 24.02	GROSS SALES - DEFINITION	239
SECTION 24.03	ADVERTISING FEE REPORTING FORM, METHODS & PAYMENT REQUIREMENTS	240
SECTION 24.04	GRAND OPENING EXPENDITURES	240
SECTION 24.05	LOCAL ADVERTISING EXPENDITURES	241
SECTION 24.06	NATIONAL ADVERTISING FEES	242
SECTION 24.07	CO-OP LOCAL ADVERTISING FEES	242
SECTION 24.08	FINANCIAL STATEMENT SUBMISSIONS REQUIREMENTS	242
SECTION 24.09	RECORD RETENTION REQUIREMENTS FOR FRANCHISOR AND TAX PURPOSES	245
SECTION 24.10	TIME FOR PAYMENT	245
SECTION 24.11	PAYMENT EXTENSION REQUEST	245
SECTION 24.12	PENALTIES FOR LATE PAYMENTS	245
ARTICLE XXV.	ADVERTISING	246
SECTION 25.01	PRESCHOOLGYM® PUBLIC RELATIONS	246
SECTION 25.02	PROMOTIONAL DIRECTOR	247
SECTION 25.03	BEGINNING A BASIC PR PROGRAM	248
SECTION 25.04	NATIONAL ADVERTISING FEES	251
SECTION 25.05	LOCAL ADVERTISING PLAN AND EXPENDITURES	251
SECTION 25.06	REQUIRED PRE-APPROVAL OF ADVERTISING INCLUDING SUBMITTING OF PROOFS	252
SECTION 25.07	OUTDOOR ADVERTISING	253
SECTION 25.08	POLICIES REGARDING COOPERATIVE ADVERTISING	254
SECTION 25.09	REQUIRED LOCAL ADVERTISING PLACEMENT AND DESIGN	254
SECTION 25.10	BUDGET DUTIES	254
SECTION 25.11	LOGO SPEC SHEETS	254
SECTION 25.12	COUPONS	257
SECTION 25.13	PRINT ADVERTISING	257
SECTION 25.14	DIRECT MAIL	259
SECTION 25.15	YELLOW PAGE ADS	259
SECTION 25.16	TV ADVERTISING	260
SECTION 25.17	RADIO ADVERTISING	261
SECTION 25.18	BILLBOARD ADVERTISING	262
SECTION 25.19	WRITING PRESS RELEASES	263
SECTION 25.20	MODEL RELEASE	273
ARTICLE XXVI.	FORMS	276
SECTION 26.01	ADVERTISING FORMS & AD SLICKS CD	276
SECTION 26.02	ACCIDENT REPORT FORMS	278
SECTION 26.03	NEW HIRE & EMPLOYEE FORMS	283
ARTICLE XXVII.	BUSINESS INFORMATION REFERENCES	309
SECTION 27.01	CREATING A CASH FLOW PROJECTION	309
SECTION 27.02	GOVERNMENT WEBSITES	312
SECTION 27.03	STATE LABOR OFFICES	322
SECTION 27.04	EMPLOYMENT LAWS	337
SECTION 27.05	WORKPLACE POSTER REGULATIONS - DOL	339
SECTION 27.06	MINIMUM REST PERIODS UNDER STATE LAW	368
SECTION 27.07	MINIMUM LENGTH OF MEAL PERIOD STATE LAWS	372
SECTION 27.08	STATE PAY DATE LAWS	383
ARTICLE XXVIII.	GLOSSARIES	386
SECTION 28.01	ADVERTISING GLOSSARY -BASIC TERMINOLOGY	386
SECTION 28.02	BASIC INSURANCE GLOSSARY	394
SECTION 28.04	FRANCHISE GLOSSARY OF BASIC TERMS	411
SECTION 28.06	LEGAL GLOSSARY OF BASIC TERMS	416

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