‘Nepotism’ is the practice of promoting and elevating family members and relatives. In an organization, it means that family members are given preferential treatment over others, even if they are less qualified or skilled (Cambridge Dictionary, 2019).
Nepotism happens in the workplace when organizational leaders use their power to favor specific individuals based on personal relationships. The exercise of authority by someone in a managerial or administrative position is a common example. They provide employees preferential treatment in everyday tasks such as picking them for desirable projects, overlooking poor performance, not disciplining them, giving them uneven workloads, and so on.
Practices of nepotism
Workplace patronage comes in many forms, primarily from stereotypes and our own prejudices. Fortunately, many of these issues can be tackled, and we can quickly learn to foster a diverse and inclusive workplace built on merit and not on the personal whims of those in power. On the other hand, nepotism is more difficult to learn. Family ties are very difficult to overcome because they bring powerful feelings of loyalty, obligation, and responsibility. According to Vasquez (2022), in the workplace, there are two types of nepotism: reciprocal nepotism and entitlement nepotism.
- Reciprocal nepotism
Reciprocal nepotism happens when there is an obligation to accept the position because of financial dependence on the employer, loyalty to the employer, or because nepotism is the family norm.
- Entitlement nepotism
This is when people think they are entitled to a position because a family member works for the company.
Entitlement is linked to elitism, which is the belief that only a small portion of society holds the essential abilities (qualities, intelligence, nobility, talent, and so on.) to achieve positions of power. Many countries around the world struggle with entitlement and elitism.
Relationship between nepotism and favoritism
These two words are frequently used interchangeably in business environments, yet they have distinct meanings. Favoritism is the preferential treatment of a person or group by someone in authority based on personal feelings or relationships rather than merit. Favoritism and nepotism both benefit specific individuals or groups, yet there are significant variations between the two (Kloefkorn, 2019).
- Favoritism is based on whether one likes or dislikes a person, while nepotism is based on familial relationships,
- Favoritism is often temporary, but nepotism is often perpetuated.
- Favoritism is subtle and may not be easily detected, while nepotism is more overt.
- Favoritism creates an environment where people feel they must compete based on self-interest rather than being judged on merit. Nepotism can also lead to resentment and division, as people not related by blood to those in charge feel they do not get a fair chance.
- Nepotism is often built into the structure of an organization. Favoritism, on the other hand, is not institutionalized and occurs spontaneously within any group.
Disadvantages of nepotism
The following are the disadvantages of nepotism, according to Valamis (2022):
- Nepotism degrades the work performance of unqualified employees who do not have the necessary experience and abilities to perform the required tasks. However, while such individuals, when hired, may have an affinity for the job and may learn quickly, they are more likely to underperform, make mistakes, or fall behind in their work.
- Giving preferential treatment to certain employees can lead to resentment among other employees. Not treating everyone with the same standards exposes the hypocrisy of the organization’s leadership and worsens the relationship between management and staff.
- Employees who go to great pains to produce a good job feel demotivated when someone else is chosen ahead of them because of connections. Leadership sets the ceiling for progress, no matter how hard he or she works, through no fault of his or her own.
- Nepotism is another prominent indication of a poor business culture, showing that the company has dubious morality and tolerates some unethical activity. Nepotism is an impediment to a healthy work environment and causes long-term problems in maintaining a happy and productive team.
- It diminishes the workforce’s diversity. Those employed or promoted have a similar background to those already in positions of authority.
- This destroys the employee-manager relationship. Employees who believe that management is overlooking them in favor of someone who undervalues them are less likely to trust their supervisor in the future.
- Nepotism is not illegal, but it can lead to discrimination complaints.
Advantages of nepotism
Nepotism is not an effective or healthy way to manage, but there are some advantages, according to Valamis (2022):
- Managers who recruit someone close to them will have a reliable asset. They learn about the individual’s skills, limitations, and potential for progress. While there is only so much you can learn about a candidate during the hiring process, selecting a close friend or family member can reduce the likelihood of problems.
- Companies seek to establish a sense of identity based on shared principles. Hiring people with similar backgrounds to current executives may help you locate people who share common ideas that are aligned with your company’s objectives.
- Those who have a personal relationship with their supervisor may be more motivated to work hard and achieve in their careers with that firm. They may also be anxious about how they received the position and feel compelled to demonstrate to other colleagues that they are not simply a nepotistic recruit (Valamis, 2022).
How to avoid nepotism
To avoid the negative effects of nepotism, companies can implement policies that promote fairness and equality in the workplace. For example, they can establish clear job requirements and qualifications for all positions and ensure that all candidates are evaluated based on those factors. In addition, they can establish a clear code of ethics that prohibits hiring decisions based on personal relationships or connections. In addition, training some leaders leads to improved ways of thinking without nepotism and favoritism.
Overall, nepotism is a double-edged sword for businesses. While it has many benefits, it also has many drawbacks. To avoid these negative consequences, businesses must implement policies and processes that promote workplace justice and equality. Companies can assure that the best candidate for the position is hired, regardless of personal relationships (Valamis, 2022).
References
Cambridge Dictionary (2019). NEPOTISM | meaning in the Cambridge English Dictionary. [online] Cambridge.org. Available at: https://dictionary.cambridge.org/dictionary/english/nepotism [Accessed 7 April 2023].
Kloefkorn, S. (2019). Favoritism & Nepotism. Managing Favoritism in the Workplace. [online] eSkill. Available at: https://eskill.com/blog/favoritism-nepotism-workplace/ [Accessed 7 April 2023].
Valamis (2022). Nepotism in the Workplace: What is it? Is it Illigal? Examples [2023]. [online] Valamis. Available at: https://www.valamis.com/hub/nepotism-in-the-workplace?_gl=1 [Accessed 7 April 2023].
Vasquez, E. (2022). Nepotism in the workplace: how to recognize it and what to do about it. [online] Wellbee. Available at: https://wellb.ee/blog/nepotism-in-workplace/ [Accessed 7 April 2023].
