![]() Nepotism produces a closed-off system preventing new voices from reaching positions of power. This can prevent an open work environment, making staff unwilling to collaborate with one another and expand the organization’s institutional knowledge. Nepotism in the workplace also ruins the relationship and trust between staff and leadership, as well as the relationship between staff and favored employees. Showing preferential treatment for specific employees reduces the morale of the wider workforce. Limiting opportunities for gifted employees increases employee turnover and creates a talent drain. With staff members performing roles they are incapable of, the overall output of a business is reduced. It typically reduces organizational performance and worsens work culture with under-skilled employees and management no longer judging employees solely on merit. Allowing personal relationships to influence decision-making can create severe consequences for companies. Nepotism in the workplace has many negative connotations and is an unfair practice for a business to undertake. Give employees preferential treatment during day-to-day activities (selection for desirable projects, poor work overlooked or unpunished, assigning uneven workloads, etc.).Hire or promote a family member or friend over a better-qualified candidate.Typical examples include someone in a managerial or executive position using their power to: Nepotism in the workplace occurs when a leader within an organization uses their influence to favor particular individuals based on personal relationships. Difference between nepotism and referrals.Why does nepotism in the workplace happen?. ![]() Organizations should strive to prevent nepotism from becoming a factor in the workplace.
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