1. New hire paperwork. Documenting new hire information is important for complying with state and federal recordkeeping laws and demonstrating that hiring requirements are applied consistently. Personnel files should contain employment applications, resumes, interview notes, job offers, job titles, employment classifications (e.g., exempt vs. non-exempt status), pay rates, job descriptions, and employees' signed acknowledgments (i.e., that he or she has reviewed the employee handbook and/or company policies).
   
   Note: Any record that indicates an employee is a member of a protected class or contains other sensitive information should be kept separate from his or her personnel file. For example, because I-9 forms (which are required to be completed upon hire) may contain citizenship and other personal data, they should be kept separately.
   
   
2. Performance. An employee's performance history is essential for making employment decisions, such as promotions and pay increases. Therefore, records of attendance, recognition, promotions, pay increases, demotions, performance goals, and formal and informal performance evaluations should be retained in personnel files.
   
   
3. Discipline. Documenting disciplinary actions can help to demonstrate decisions are made consistently and can also serve to provide the basis for future disciplinary action. Disciplinary records (including verbal warnings) should be kept in employee personnel files and include a summary of the inappropriate conduct, the date in which it occurred, the rule or policy that was violated, the action taken (e.g., verbal warning, written warning, etc.), the goals and agreed upon plans for improvement, and the employee's response, if applicable.
   
   
4. Training. Training records can be used to: (1) demonstrate compliance with federal and state laws (e.g., sexual harassment training requirements for supervisors); (2) make promotion decisions; and (3) identify training and development needs. An employee's personnel file should contain a record of scheduled and completed trainings as well as his or her professional licenses or certifications.
   
   
5. Termination. When an employee leaves the company, his or her personnel file should be updated to include, as appropriate, a resignation letter, an exit interview report, the reason for leaving, and a record of documents provided to the individual at the time of separation (e.g., COBRA election notice, termination letter, and/or state mandated separation forms). In addition, many laws require personnel records to be retained following the employee's separation from the company. For example, under Title VII of the Civil Rights Act and the Americans with Disabilities Act, applications, resumes, and other personnel records must be retained for a period of one year from the date of involuntary termination. If an employee files a discrimination complaint, the records must be retained until the final disposition of the complaint. Other laws also require records to be retained after an employee separates from the company; check your applicable state and local law to ensure compliance.

Personnel files should be reviewed on a regular basis to ensure that they are complete and accurate and that recordkeeping practices are applied consistently and in accordance with federal and state law.