Nepotism is a term used to describe the unfair practice wherein the one in power favors an individual belonging to the former’s family. It is regarded as an unfair practice because it ignores the other’s performance, achievements, personality, etc. Nepotism is observed in terms of greater opportunities, increasing payments or benefits, and so on, offered only to the family members or relatives.
Example of Nepotism in the workplace :
A company had an opening for Chief Technical Officer (CTO)
The HR manager interviewed about 10 people
Of that 10, one of them was the son of the CEO
After the final interview with the CEO, his son was selected for the position
Although the CEO's son had no experience, not even matched with qualification level and skills in comparison to others
He was chosen only because he was the CEO's son
Frequently Asked Questions
What are the negative impacts of nepotism in the organization?
Nepotism can highly impact the organizational culture and values. The negative impacts are:
Loss of trust in the organization
Increased employee turnover ratios
Recruitment of non-deserving people
Increased frustration levels of employees
How can nepotism be prevented in an organization?
Taking the following steps can prevent nepotism in the workplace:
Equally treating all the employees
Framing and implementing anti-nepotism policy
Providing equal opportunities to all
Interviewing and examining the friends or family in the same way
Being honest with the employees
Raising voice against anything unfair
How are nepotism and favoritism different?
Favoritism and nepotism are considered similar, but they differ from each other. Nepotism favors friends and family, whereas favoritism favors a specific person over others, regardless of who they are or in what position. Both have a negative impact on the organization.