Nepotism: Consequences Good and Bad
Nepotism may be frowned on in some companies, but that is not to say that some very famous people have been helped by it. In Latin, nepotis means nephew. Nepotism is now more broadly defined as: When someone gives favoritism to a relative without necessarily basing it on their abilities or merit.
Accountingdegree.com had a very interesting article recently titled: 10 Famous Businesspeople Who Benefitted from Nepotism. This list contained some very recognizable last names including: Forbes, Trump, Hilfiger, Kraft and Walton. The article pointed out the hypocrisy that may exist in terms of when nepotism is considered alright. “At the blue collar level, when friends hire friends or a father expects his children to join the family business, we often believe it’s a sign of strong family values, not unethical or slimy business. But at the executive level — where millions and billions of dollars can be earned — favors are made in secret. It might be tempting to help your children or siblings get a great job, but in the public eye, it’s shameful.”
Viewshound recently wrote about whether nepotism is an unfair advantage or a sensible employment strategy. Whether it was a sensible strategy or unfair practice is something that will be debated in the current lawsuit where Murdoch News Corporation is being sued by its shareholders for buying the chairman Rupert Murdoch’s daughter’s business for $675 million. According to the Huffington Post, “The lawsuit seeks damages and a declaration the board breached their fiduciary duty to shareholders.”
- Nepotism: Is it a Boon or Bane for the Organization? (brighthub.com)