When it comes to employing relatives, I'm not really crazy about the idea. I'd love to help but sometimes, your own relatives are the people who give you more headaches especially when it comes to business endeavors. If they underperform, firing them will be a big issue, not only to the person involved but you have to put up with other relatives as well. And I don't want that.
Maybe I'm making a sweeping generalization here because not all relatives would fall under this category. There are relatives who have a good work ethic and being employed by another relative is treated like a normal job with that of a non-relative employer.
In employing relatives, it is important to set boundaries. Make it clear to them that you are running a business and you have goals to meet. Non-compliance would have its consequences. You may have to fire them should they fail to deliver. Also, treat them like your other employees. Don't play favorites or give them special consideration over non-relative employees. Lastly, hire relatives that have the skills to do the job. Do not play the philanthropist when in actuality you're not, because it will certainly backfire on your business.
Hiring relatives or friends has its pluses and minuses. You may find a gem among your family members and help you bring in more profits to your business. On the other hand, do not discount the fact that some relatives can also ruin your business.
Thursday, June 18, 2009
On hiring relatives
Labels: Human Resources
Posted by Mari at 6/18/2009

6 comments:
very true indeed. Relatives sometimes think that they are infallible, esp if they think " malakas ang kapit" nila sa taas.
Interesting but the rules of nepotism here are a little different than Pinas. Nothing wrong with a relative working in the same company with you, as long as neither of you approve each other's work or expense, including performance reviews.
A family friend invested her life savings to start a few businesses to not only herself but also to help a number of her not-so-fortunate nephews and nieces. However, she made the fatal mistake of playing the philanthropist, handing unqualified/unskilled/indifferent nephews and nieces jobs at her businesses. Years later, she found herself millions of pesos in debt and most of her businesses closed.
Had she been more discriminate in hiring relatives, her businesses might still be around today and she would probably be in much better financial health.
Nepotism is a double edge sword. One should be careful when handling it.
I can't agree more. While I've not personally hired my own relatives (I don't think I could bring myself to), I have gone through the painstaking process of dismissing an employee who was family to another member of our management team.
It was awkward all around for all involved, and I was brought in to the situation to minimize the issues. The end result was a very immediate breaking of family ties for the particular manager, with that particular segment of the family. It is more than a year later, and the two still don't speak more than necessary.
It truly behooves any manager to rethink any situation where family is considered in the hiring process.
bwzone - More often than not, i see more unprofessionalism when a relative is hired. That's my experience. Kakaiba talaga dito.
Panaderos - Relatives employing fellow relatives should not turn a blind eye on the skills necessary to do the job. Sometimes, relatives hire other relatives because of sympathy or due to a debt of gratitude owed to older relatives that needs to be repaid. Unfortunately, the so-called "utang na loob" is indebtedness ad infinitum.
Blogusvox - Absolutely.
mominacorporateworld - It's really an awkward situation to be in. Inasmuch as we want to maintain that level of professionalism with a relative in the workplace, it's not that easy to handle especially when employment termination is the issue.
I think it is fine to hire relatives as long as they are also qualified for the position but boundaries should be set. They should still be treated as ordinary employees, and not as family member.
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