Hiring Family Members: Yes or No?

Asking auntie Suzie if she would like to take care of your business’ accountability or giving work to your brother in need can be tempting. However, while integrating family members into your company contains its advantages, it is also source of pitfalls.

Working with loved ones has many advantages, especially when you are the head of your company. You are already well aware of their qualities and shortcomings, know how to communicate with them, and above all, it is a trustworthy move. Some business leaders thus feel more comfortable delegating which in turn helps them to grow their company faster.

Recruiting an uncle does not necessarily mean nepotism. Contrary to what one might think, hiring a parent is not always perceived as special treatment against the law. The courts tend to consider that restricting the hiring of family members is discriminatory, unless conflict of interest is real or that it does excessive harm to the company.

An occasional explosive situation

The problem of working with family is that when things go sour, it can end very badly. For example, firing an inefficient nephew cannot just end a personal relationship, but also means that bridges can be cut between brothers or sisters if parents take side or even create problems with parents themselves.

To limit damage, it is important to tread carefully when ending a collaboration between family members, more so even than any other employee. Gradually make the person understand that their involvement is in question, explain the reasons for this decision while remaining as objective as possible and give them sufficient notice as to allow them time to find another job.

Out of bad can come good. Parents who feel little comfort or out of place in the company may be relieved and perhaps even happy with your decision. Announcing your resignation when your boss is part of your family, it is not easy!

Be up-front!

Prevention is better than cure. Avoid family feuds by adopting, from the onset, a strict separation between professional and private spheres. We’re talking about the salary, expectations, tasks that will assigned, whether the employment is temporary or not… The more family members will know and be treated like any other employee of the company, the easier it is to preserve the relationship in the event of problems at work.

It is therefore important to separate the roles: at work, you are the boss, and during family dinners, you are cousin Mark. Talking about the next business meeting at the cottage is to be avoided, as well as catching up on the latest office gossip between two hot-dogs at the summer barbecue.
 

 

By Fanny Bourel – 37e Avenue

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