In family businesses, there is often a subtle phenomenon that has a profound impact: the owner tends to trust, care for, and love professional employees more than their own family members. This can be surprising, especially for the next generation who assume that blood ties will automatically give them a place of privilege.

So, why does this happen? What impact does it have on the future of the family business? And how can the business owner’s family create balance?

Unraveling the “Employees Are More Cherished” Phenomenon in Family Businesses

Many family business founders feel more comfortable dealing with loyal employees than with their children or siblings. The reason? The main reason is dedication and commitment. Many professional employees are often willing to work overtime, sacrifice their weekends, and prioritize their duties. Meanwhile, family members are sometimes considered less disciplined and more likely to prioritize their personal affairs.

Another reason is that employees are more obedient to rules and instructions. They continue to do so even if they disagree. This is in contrast to children or siblings, who sometimes dare to refuse orders and even criticize the owner.

Often, employees consider the company their second home. They take care of the family business’s assets and reputation seriously. On the other hand, some family members seem to be more focused on their personal interests.

Employees also tend to have a “nothing to lose” mentality. Employees are aware that their position depends on their performance. They have no guarantee of being retained if they do not contribute. Meanwhile, family members often feel they have an “inheritance right” that makes them more relaxed or even demand special privileges.

Do Family Business Owners Dislike Potential Successors?

For founders or owners of family businesses, prioritizing employees is not simply a matter of liking or disliking them, but is often a rational decision. For owners, the continuity of the business is paramount. Those who deserve the most appreciation are those who contribute the most to the progress of the business, regardless of whether they are family members or not.

Relationships with non-family professionals are also simpler. This means that relationships with employees are purely based on professionalism. They are limited by contracts, targets, and evaluations. In contrast, relationships with family members are much more complicated because they are burdened with household matters, egoism, and inheritance issues.

Sometimes family business owners are disappointed with their children. This is because the children do not show the dedication and commitment that they should to the business. It is no surprise that owners turn to non-family professionals.

Impact on Family Members and Professionals

If the founder truly wants their children to continue the business in the future, the tendency to favor professionals should not be underestimated. This situation can leave deep emotional scars for the next generation. Their efforts and ideas are not taken into account, while the contributions of employees are overvalued.

Furthermore, jealousy may arise because employees receive more trust and preferential treatment. Children become unmotivated to continue the family business because they feel they are being treated unfairly. Not only that, but because they are given fewer opportunities, employees become less competent. What will happen to the company if it is led by incompetent people?

For professionals, being loved by the owner is certainly pleasant. They gain trust, opportunities for growth, and a more personal relationship. However, behind that, being the founder’s favorite can actually become a burden. These professionals are prone to being dragged into family conflicts. Their loyalty is tested: should they side with the founder or the successor? It is not uncommon for employees who are too close to the founder to become victims when there is a change in power.

Finding a Middle Ground: Balancing Relationships

So, how can this dynamic be managed in a healthy way?

1. Family members who want to join the family business must be able to prove their competence, not just rely on the big names of their parents or founders. Conversely, appreciation for non-family professionals should not ignore the role of the family.
2. Create transparent rules. Formulate in writing the criteria for people who can work in the company, career paths, and evaluation mechanisms for everyone, both family and non-family members.
3. Form a family forum or similar. A Family Council can be a forum for all family members to express their aspirations and be involved in formulating and achieving the vision without interfering in daily operations.
4. Value contributions, not status. Give equal appreciation based on actual contributions. Employees are valued for their hard work, while the next generation is supported to develop and prove themselves.
5. Manage succession carefully. During the transition period, involve the next generation in important decision-making. Value key employees, but ensure that the position and authority of the family as owners remains clear.

Family businesses are a paradox. Sometimes, an employee’s sweat and loyalty feel more real than blood ties. This phenomenon should not be seen as a threat, but as a reminder to create balance.

The key to success lies in the ability to combine the professionalism of non-family employees with the involvement and long-term vision of the family. By valuing both fairly, family businesses will not only survive but also grow stronger, passing on values and sustainability to future generations.

Keyword: family business

meta description: In family businesses, there is a unique phenomenon where employees are more trusted and loved than family members themselves.

#family business #Family business dynamics #Employee loyalty #Employees vs. family #Succession #Family business conflict #Founder disappointment #Emotional wounds #Jealousy #Feeling unappreciated #Governance