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Gold's Gym / nepotism

UT, US

The owner of the companies son (we will call him BOB) is second in command. His wife we will call her (SUE) recently got hired, then promoted after 4 months of working, to a supervisor position. Releiving a much more qaulified employee of her duties, and ignoring much more qualified employees that were available for the job, and had worked for the company much longer. Sue is still not qualified in her duties. Many complaints are made yet nothing is done. Employees work under fear, often picking up slack for sue, while Sue does whatever she pleases. Running her own side business in the work place with out giving the company a %. Most employee's are fearful of even expressing how they feel, and just quit. It's hard to watch. I have recently put in my two weeks because of this. Affects it has caused. A big problem that the Golds Gym Utah owner fail to see is the devastating effects nepotism is causing in their workplace & that has been going on in their business. I mean it is normal for a son or daughter to want to continue the family business, but there is a limit to where you can go with hiring people from your family. The most important aspects of this problem are for me legitimacy and competence. You need to make sure before you hire any family member in a business you manage that they have the adequate skills for the job. Which Sue, does not have. If you show special treatment and ignore better suited candidates than it will most likely backfire on you, because you will have poorer business performances. When it comes to legitimacy, it is crucial that the family member you hire can prove capable, and be a valuable member of the team, not promoted after 4 months, otherwise, his or her co-workers will start feeling frustrated and discriminated, and again your business performances will drop. I will focus on other problems that might are arising regarding this nepotism in the workplace in the paragraphs to come, but I just want to point out that if these issues of competency and legitimacy are resolved, than there shouldn’t be any problem with you hiring someone from your family as long as you don’t show him or her preferential treatment. Saldy for Golds Gym this was not the case.

Lose the trust of your employees. The biggest problem this has caused which you will have to deal with is your employees losing trust in you. Nepotism in the workplace becomes a problem when your employees feel that the person you have hired isn’t qualified for the job, or that someone better was rejected. If it comes to this than it will be very hard for you to try and earn back the trust of your employees. And if you are unable to get your employees to trust you than for me the only solution is to start over again because without trust any business is doomed.

Hiring unfit people for the job. When Sue does not know how to perform duties such as closing, desposit drop, etc it is a big problem that this company will have to deal with when people that are not qualified for the job are promoted. Don’t let sentiments get in the way when it comes to business. Don’t hire someone just because you believe it’s a family obligation. Any business is just about simple math. You need to make sure that the people you hire bring value to your team and produce a good quality product which you can make a profit of. So sentiments have nothing to do with it. If the person you hired is not bringing extra value fire him or her without any regrets.

Lowers employee morale. Nepotism in the workplace is hurting you in the first few weeks no matter how qualified the person you hired is. It is inevitable for employee morale to drop when you hire someone from your family. They will immediately make the connection that you are preparing the person you hired for your job when you retire, and so their chances for promotion will be blocked. It will take a very long time for that person to convince the rest of the staff of his or her qualities no matter how good he or she is, because prejudices will always exist in any group.
Increase chance of lawsuit. Your Nepotism in your workplace might also bring you a lot of unwanted attention. You must realize that whenever you are hiring somebody from your own family to work for you, you are opening the door for litigation for any unsatisfied employee.

Employees might start undermining the new person. Prejudice can be very impressive in some people and it might even go so far as trying to ruin someone else’s work. If some people of your team feel that the person you hired is unfit for the job they might actively try to bring him or her down by sabotaging his or her work.

Misconceptions. Many people have misconceptions about certain things like nepotism in the workplace which you will not be able to change no matter what you do. And these misconceptions might lead to a very tense working environment.

Employees are leaving. If some valuable employees feel that there has been committed a grave injustice by you for hiring a member of you family than you might find yourself with a full blown mutiny, with all of your employees deciding to leave. This is why your turn over rate there has been extremely high since the promotion of Sue.

Nepotism in the workplace has become a real problem in your business.

Jo

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