Company equipment is at the center of how your people work, and one of the biggest sources of operational and security risk if it isn’t managed properly. Laptops, phones, peripherals, and specialized tools all carry sensitive data, create compliance obligations, and represent a meaningful financial investment.
A clear, well-structured equipment policy in your employee handbook turns that liability into a controlled, predictable process. It sets shared expectations for how devices are issued, used, secured, and returned so IT, HR, managers, and employees are all working from the same playbook.
Key takeaways
Protect assets & data: The policy's core purpose is to protect the company's financial investment in equipment and, more critically, the sensitive corporate data stored on those devices, requiring mandatory security controls like encryption and MDM enrollment.
Clarity on ownership & use: The policy must clearly state that the company retains ownership of all equipment at all times and define strict rules for acceptable business use versus any limited personal use.
Transparency on accountability: Employees must be clearly informed that they have no expectation of privacy while using company equipment (due to monitoring) and will be held financially responsible only for loss or damage resulting from proven negligence.
Organizations provide equipment to employees to help them perform their duties efficiently, but without clear guidelines, confusion and disputes inevitably arise. Who pays when a laptop is damaged? What happens if an employee installs unauthorized software? Can personal devices access company systems?
Equipment policies serve as a critical component in ensuring that company assets are used appropriately and are protected against loss, theft, or misuse. They clarify expectations, reduce liabilities, and improve operational efficiency, especially as remote and hybrid work arrangements become standard.
What to include: A single, clear sentence explaining why your company issues equipment and what the policy protects.
Your purpose statement sets the tone for everything that follows. Keep it straightforward and focused on mutual benefit, not just protection of company assets, but also clarity for employees about their responsibilities and rights.
Example: "This policy defines the responsibilities and guidelines for company-owned equipment to protect corporate data, ensure productive work environments, and clarify employee obligations regarding care and use of company property."
Why it matters: A well-crafted purpose statement prevents your policy from reading like a punitive list of prohibitions. Instead, it frames equipment policies as a tool for enabling work while maintaining security standards.
What to include: Define who this policy applies to and which devices are covered.
Be specific about:
Who: University employees, student workers, contingent workers, employees, contractors, temporary workers, interns, board members, consultants
What: Laptops, desktop computers, monitors, smartphones, tablets, specialized tools, vehicles, software licenses, peripherals (keyboards, mice, docking stations), leased equipment, borrowed equipment
Where: On-premises, remote locations, hybrid work arrangements, international offices
When: During employment, after hours, during travel
Example coverage statement: “This policy applies to all university employees, student workers, contingent workers, employees, contractors, and temporary workers who receive company-issued equipment, regardless of work location. Covered equipment includes but is not limited to: laptops, desktop computers, monitors, mobile devices, keyboards, mice, headsets, specialized software, tools specific to job functions, company vehicles, leased equipment, and borrowed equipment.”
What to include: Short, unambiguous definitions for key terms used throughout the policy.
Essential terms to define:
Company Property: Any equipment acquisitions, purchased, leased, or otherwise provided by the organization.
University Equipment: All equipment owned or leased by the university, subject to policies for acquisition, tracking, maintenance, and disposal.
University Property: Any equipment, supplies, or assets acquired by or titled to the university, including those purchased with federal or sponsored project funds.
University Assets: All property entrusted to the university, including money, supplies, equipment, facilities, licenses, and rights, vital for institutional operations.
Capital Equipment: Tangible property with a cost above a specified threshold (e.g., $5,000) and a useful life of more than one year, recorded and tracked as a capital asset.
Fixed Asset System: The official system or database used to track and manage capitalized assets, including additions, deletions, and updates, maintained by the Fixed Assets Manager.
Useful Life: The expected period an asset will be functional and provide value, used to determine depreciation and asset classification.
User/Authorized User: An employee or contractor approved to use specific company equipment.
Personal Use: Non-work-related activities (define what “limited” means).
BYOD (Bring Your Own Device): Personal equipment used to access company resources.
Why this matters: Definitions keep legal, IT, and HR teams aligned. When everyone interprets “authorized software” or “reasonable personal use” the same way, enforcement becomes consistent and fair.
What to include: State unequivocally that the company owns all issued equipment and outline the assignment process.
Key elements:
Company retains ownership of all issued equipment at all times. All equipment acquired, whether through purchase, transfer, or donation, is considered university property/university equipment and must be managed accordingly.
Equipment acquisitions and equipment purchases must follow formal acquisition procedures, with the controller's office overseeing compliance, approval, and record-keeping for all university equipment.
Assignment process (who authorizes distribution, how requests are submitted): Department heads or the individual responsible are accountable for managing assigned equipment, ensuring proper custody, and maintaining accurate records.
Asset tracking requirements (serial numbers, asset tags, inventory database)
Re-assignment procedures when employees change roles
Documentation requirements for equipment distribution
Critical statement: “All equipment issued to employees remains the property of [Company Name] and is provided solely to facilitate work responsibilities. Possession of company equipment does not constitute ownership, and employees hold no property rights to assigned devices.”
What to include: Clear rules about permitted business use versus limited personal use (if any).
Address these areas:
Primary purpose: equipment is for business use and all equipment use must comply with state and federal regulations, as well as state law.
Limited personal use parameters (if allowed): checking personal email during breaks, brief web browsing
Explicitly prohibited actions:
Piracy and illegal downloads
Accessing inappropriate or offensive content
Excessive personal use that impacts productivity
Cryptocurrency mining
Political campaigning
Running personal businesses
Sharing credentials or devices with others
Tracking equipment use is required for legal and compliance purposes, including adherence to federal regulations and state and federal regulations governing asset management and record-keeping.
Best practice recommendation: Clearly state what the equipment should be used for, emphasizing that it is intended for work-related tasks only. If you allow some personal use, define “reasonable” with examples, “checking personal email during lunch breaks is acceptable; streaming movies during work hours is not.”
What to include: Mandatory controls that every device must have before an employee can use it.
Essential security measures:
Authentication: Strong passwords (minimum complexity requirements), biometric authentication where available, multi-factor authentication (MFA) for all company accounts
Endpoint protection: Approved antivirus/EDR software, automatic updates enabled
Encryption: Full disk encryption on laptops and mobile devices
Lock screens: Automatic screen lock after specified idle time (typically 5-15 minutes)
Operating system requirements: Only approved OS versions, automatic security updates
MDM enrollment: All mobile devices and laptops must be enrolled in company MDM
VPN requirements: Mandatory VPN use when accessing company resources from public networks
Wi-Fi security: Guidelines for connecting to public Wi-Fi (only through VPN, avoid sensitive transactions)
Physical security: Requirements for secure storage when devices are unattended. All equipment must also have proper insurance coverage to protect against loss, theft, or damage.
Critical security note: Security concerns are the most common reason organizations cite for ruling out personal device use, making security requirements in equipment policies non-negotiable. These controls protect not just the device, but your entire network and data ecosystem.
What to include: Rules governing what software can be installed and who manages configurations.
Policy elements:
Only IT-approved software may be installed
IT manages all installs and configurations
Administrative rights are restricted to IT personnel
Software licensing requirements must be followed
Regular update and patching schedules (automated when possible)
Process for requesting software exceptions or additions
Prohibition on:
Unlicensed/pirated software
Personal software from home
Software from untrusted sources
Browser extensions without approval
Exception process: Include a clear workflow for employees who need specialized software. Example: "Submit requests through the IT service portal with business justification. IT will evaluate within 5 business days based on security, licensing costs, and legitimate business need."
What to include: Where work data must be stored and how backups are managed.
Requirements to specify:
Work data must be stored in company-approved cloud storage (OneDrive, Google Drive, SharePoint, etc.)
Local storage of sensitive data is prohibited or strictly limited
Automatic cloud backup requirements
Prohibited storage locations (personal cloud accounts, USB drives without encryption)
Endpoint data loss prevention (DLP) tools if applicable
Data retention schedules
Data deletion procedures when equipment is reassigned or employee exits
Example statement: "All work-related documents, files, and communications must be saved to company-approved cloud storage platforms. Saving sensitive company data exclusively to device hard drives is prohibited. IT will configure automatic backups, but employees are responsible for ensuring their work is properly saved to approved locations."
What to include: Transparent explanation of monitoring scope and employee privacy limitations.
Be explicit about:
What the company monitors (network traffic, application usage, login attempts, location data for mobile devices)
Company's right to inspect devices at any time
Email and communication monitoring
Remote access capabilities (screen viewing, keystroke logging if applicable)
Employee privacy limitations: "No expectation of privacy exists when using company equipment"
Legal disclaimers about right to search/inspect
Data that may be collected during investigations
How monitoring data is used (security, policy enforcement, investigations)
Sample language: "Company equipment may be monitored at any time without notice. This includes but is not limited to: websites visited, applications used, emails sent and received, files accessed, and device location. Employees have no expectation of privacy when using company equipment. The company reserves the right to remotely access, search, and inspect any company-owned device."
What to include: Step-by-step procedures for reporting incidents and consequences for different scenarios.
Essential components:
Immediate reporting requirements: Contact IT/security within specified timeframe (typically within 24 hours, immediately for theft)
Who to contact: Primary contact (IT helpdesk) and backup (security team, direct manager)
Required information: Device serial number, circumstances of loss/theft, location, time
Police report requirements: Mandatory for theft incidents
IT response procedures: Remote wipe, password resets, account lockdowns
Replacement timeline: When and how employees receive replacement equipment
Responsibility for damage:
Normal wear and tear: Company responsibility
Negligence (leaving laptop in unlocked car, dropping device repeatedly): May require employee reimbursement
Theft without employee fault: Company responsibility
Intentional damage: Employee responsibility
In cases of loss, theft, or non-return, the fair market value of the equipment may be charged to the employee.
For global teams and remote workforce, consider utilizing an outsourced Laptop retrieval service to streamline equipment recovery and ensure secure device management.
Example reporting procedure: “1. Immediately contact IT Security at [phone/email] 2. Report theft to local law enforcement and obtain police report number 3. Complete incident report form within 24 hours 4. IT will remotely wipe device and reset credentials 5. Replacement device issued within 2-3 business days for theft; repair timeline provided for damage”
What to include: Who provides support, how to request repairs, and what’s allowed.
Policy details:
IT equipment maintenance and IT department is the sole authorized support provider
How to request repairs (helpdesk ticket, phone, email)
Expected response times for different priority levels
Troubleshooting procedures employees should attempt first
Replacement policies (when repair isn’t feasible)
Loaner equipment availability during repairs
All equipment items, including loaner and borrowed equipment, must be tracked and insured during the repair process.
Unauthorized third-party repair prohibition
Warranty coverage explanation
What constitutes an emergency repair
Example: “All technical support and repairs must be coordinated through the IT helpdesk. Unauthorized repairs void warranty coverage and may result in employees being held responsible for full replacement costs. Priority 1 issues (device unusable) receive response within 4 hours; Priority 2 (degraded performance) within 24 hours; Priority 3 (minor issues) within 3 business days.”
What to include: Mandatory return procedures and consequences for non-compliance.
Critical elements:
Security badges and access cards
IT inspection and data removal process
If equipment is not being returned, it may be transferred to another employee or department, provided proper documentation is completed and approval is obtained.
Payroll deduction (where legally permitted)
Final paycheck withholding (check state laws)
Legal action for recovery
Potential police report for theft
Exit interview equipment verification
Sample clause: “Upon termination of employment or contractor agreement, all company equipment must be returned in working condition within 24 hours or on the last working day, whichever is earlier. Failure to return equipment may result in legal action to recover company property and associated costs, including the full replacement value of unreturned items.”
What to include: If you allow personal devices, comprehensive rules for enrollment and security.
BYOD policies let employees use their own devices for work while establishing clear guidelines for security, acceptable use, and data protection. This section is critical because personal device usage is widespread whether officially sanctioned or not. Personal equipment used for work remains under personal ownership and is used at the owner's risk, with no company insurance coverage. Employees should clearly label their personal devices to delineate ownership and understand that any loss or damage is not the responsibility of the company.
BYOD policy components:
Eligibility: Which roles/employees can participate
Approved devices: Minimum OS versions, device types allowed
Enrollment requirements: MDM installation, security configuration
Security mandates
Privacy boundaries: Be transparent in your BYOD policy and define exactly what the company can and cannot access on personal devices
Example BYOD statement: “Employees may use personal smartphones and tablets to access company email and collaboration tools after enrolling devices in the company MDM system. The company reserves the right to remotely wipe corporate data from enrolled devices. Personal data may be affected during security incidents. Employees using personal devices for work accept this risk and must maintain adequate personal backups.”
What to include: Required training and ongoing employee obligations.
Training requirements:
Basic security awareness training (phishing, password hygiene)
Equipment handling and care training
Data protection and privacy training
Incident reporting procedures
Software usage guidelines
Training is designed to ensure employees understand their responsibilities under the equipment policy.
Employee responsibilities:
Maintain physical security of assigned equipment
Never lend devices to others (including family members)
Report security incidents immediately
Keep devices updated
Follow all security protocols
Protect access credentials
Use equipment in accordance with policy
Acknowledgment requirement: “All employees must complete equipment security training within [X days] of receiving company equipment and annually thereafter. Completion of training and acknowledgment that policy violations may result in disciplinary action up to and including termination is mandatory.”
What to include: Range of consequences for policy violations.
Progressive discipline framework:
First minor offense: Verbal warning and retraining
Repeated minor offenses: Written warning
Serious violations: Suspension of equipment privileges, formal written warning
Severe or repeated serious violations: Termination of employment
Criminal activity: Immediate termination and law enforcement referral
Repeated or severe violations may be escalated to the chief financial officer for final determination and potential revocation of spending authority.
Examples of violations by severity:
Minor: Forgetting to lock screen, installing unapproved browser extension
Serious: Sharing passwords, disabling security software, storing sensitive data insecurely
Severe: Installing malware, intentional data breach, theft, using equipment for illegal activities
Clear statement: “The company reserves the right to take disciplinary action for policy violations ranging from verbal counseling to immediate termination depending on severity and frequency of violations. Criminal misuse of company equipment will be reported to law enforcement authorities.”
What to include: How the company tracks equipment and conducts audits.
System components:
Asset register maintenance (all equipment tracked with serial numbers, asset tags)
Assignment records (who has what equipment)
Regular audit schedule (annual full inventory, quarterly spot checks)
Tagging requirements for physical assets
Reconciliation procedures when discrepancies arise
Decommissioning and disposal procedures
Records retention periods
All capital equipment and asset movements are recorded and maintained in the fixed asset system.
Example: “IT maintains a comprehensive asset management database tracking all company equipment. Annual audits verify all equipment is accounted for and properly assigned. Employees must cooperate with audit requests and make equipment available for physical verification within 48 hours of notice. The fixed asset system is used to maintain records of all capital equipment and asset movements.”
What to include: Relevant laws and how this policy fits within broader legal framework.
The equipment policy is governed by applicable state law, as well as state and federal regulations. Compliance with federal regulations is required for all equipment management activities.
Address:
Data protection and privacy regulations (GDPR, CCPA, HIPAA if applicable)
Industry-specific compliance requirements
Employment law compliance
Intellectual property protection
Export control regulations (if equipment contains sensitive technology)
Relationship to employment contracts
Applicable collective bargaining agreements
State and local laws affecting monitoring and deductions
Disclaimer language: “This policy supplements but does not replace employment contracts, local labor laws, and industry regulations. Where conflicts exist, the most restrictive requirement applies. Employees with questions about legal implications should consult HR or legal counsel.”
What to include: A formal acknowledgment that employees receive and agree to the policy.
Required acknowledgment elements:
Employee received and read the equipment policy
Employee understands the policy requirements
Employee agrees to comply with all provisions
Employee accepts return and liability obligations
Employee understands consequences of non-compliance
Signature and date
Sample acknowledgment form: "I acknowledge that I have received, read, and understand the Company Equipment Policy. I agree to comply with all provisions of this policy and accept responsibility for the care and proper use of all equipment assigned to me. I understand that company equipment remains company property and must be returned upon request or employment termination. I acknowledge that failure to comply with this policy may result in disciplinary action up to and including termination of employment.
Employee Signature: _______________ Date: _______________ Employee Name (printed): _______________ Equipment Received: _______________ Serial/Asset Numbers: _______________"
Keep signed acknowledgments in employee personnel files and equipment assignment records.
Creating the policy is only the first step. Successful implementation requires:
Legal review: Have employment counsel review for compliance with local laws, especially provisions about payroll deductions, monitoring, and liability
Stakeholder input: Get feedback from IT, HR, legal, and department managers before finalizing
Phased rollout: Implement with new hires first, then roll out to existing employees with adequate training
Make it accessible: Post policy in employee portal, include in onboarding materials, provide quick-reference guides
Train thoroughly: Don't just have employees sign acknowledgments, actually train them on why policies exist and how to comply
Enforce consistently: Nothing undermines a policy faster than selective enforcement
Review regularly: Technology changes rapidly; review policy at least annually and update as needed
Track compliance: Monitor policy adherence through MDM reporting, security audits, and incident tracking
Communicate updates: When policies change, actively communicate updates rather than just posting revised versions
Make it findable: Employees should be able to easily find and reference the policy when questions arise
Overly complex language: Use clear, plain English rather than legalese when possible
Unrealistic restrictions: Prohibiting all personal use often leads to policy being ignored
Inadequate monitoring disclosure: Hidden monitoring creates legal liability and trust issues
Unclear liability provisions: Ambiguity about who pays for what leads to disputes
No enforcement: Policies without consequences become meaningless
Forgetting BYOD: If you don't address personal devices, employees will use them anyway without security controls
Static policy: Technology evolves; your policy must keep pace
Poor training: Signature without understanding doesn't create compliance
Inconsistent application: Playing favorites destroys policy credibility
A strong equipment policy sets expectations on paper, but you still need the operational backbone to enforce it across locations, roles, and device types. GroWrk gives IT, HR, and Security teams a single platform to turn policy language into concrete workflows for issuing, tracking, securing, and recovering equipment for remote and hybrid employees.
GroWrk helps companies:
Make ownership and assignments traceable: Centralize who has which laptop, monitor, and peripheral with asset tags, serials, and assignment records that align with your ownership and custody clauses.
Standardize secure configurations: Ship devices pre-configured with approved OS versions, MDM enrollment, encryption, VPN, and endpoint protection so every issued device meets your security requirements from day one.
Enforce acceptable use and software rules: Limit devices to IT-approved software, apply configuration baselines, and keep audit-ready logs that support your acceptable use, licensing, and configuration policies.
Strengthen loss, theft, and damage workflows: Automate retrievals, remote lock/wipe actions, and replacement procedures so your incident reporting and response steps are consistent across countries and teams.
Support clear exit and retrieval processes: Trigger device return workflows when employees offboard, track chain of custody, and verify that equipment is returned and data is removed in line with your exit procedures.
Improve audit and compliance readiness: Maintain up-to-date asset records, movement history, and documentation to support internal audits, fixed-asset controls, and external regulatory requirements.
Scale globally without new overhead: Issue and recover devices for employees in 150+ countries without building your own logistics network or local vendor stack for each region.
Get AI-powered support with a dedicated CSM: Combine smart automation and help content with a Customer Success Manager who understands your policy requirements and helps you keep processes aligned as you grow.
GroWrk gives you more than an inventory system, it provides the operational layer that makes your IT equipment policy enforceable in the real world. If you want your policy to be more than a document employees sign once and forget, GroWrk helps you connect the dots between written rules and everyday device management.
Request a demo today!
The company is responsible for costs associated with normal wear and tear and theft without employee fault. However, employees may be held responsible for the full cost of repair or replacement if the loss or damage is the result of proven negligence (e.g., leaving a device in an unlocked car or intentional damage). All cost recovery must comply with local employment laws.
Yes, limited personal use is often allowed, such as checking personal email during breaks or brief web browsing. However, the primary purpose of the equipment is for business use, and excessive personal use, illegal activities, or accessing inappropriate content is strictly prohibited.
Yes, company equipment may be monitored at any time without notice. This can include monitoring websites visited, applications used, emails, and file access The policy is explicit that employees have no expectation of privacy when using company equipment.
Upon termination, resignation, or role change, all company equipment must be returned in working condition, typically on or before your last working day. This includes the primary device, chargers, cables, and all accessories. Failure to return equipment may result in payroll deductions (where legal) or even legal action for recovery.
Generally, no. Only IT-approved software may be installed, and IT manages all installations and configurations. This is to prevent "shadow IT" and security vulnerabilities. If specialized software is required, employees must submit a request through an exception process with a clear business justification.