Nepotism is the practice of unfairly favoring your relatives when giving out jobs, opportunities, or special treatment, especially when they haven't earned those advantages through their own merit or qualifications.

Centuries ago, some Catholic popes would give important church positions to their nephews (and sometimes their own sons, whom they called nephews to hide the relationship). Today, nepotism happens when a company owner hires his unqualified daughter as a manager instead of someone more experienced, or when a school principal gives the lead role in the play to her child even though other students auditioned better.

Nepotism differs from simply helping family members succeed. There's nothing wrong with a parent teaching their child the family business or recommending them for a job they're truly qualified for. Nepotism becomes a problem when family connection becomes the main or only reason someone gets an opportunity, bypassing more deserving candidates. It creates unfairness because it means positions go to people based on who they're related to rather than what they can actually do.

When nepotism exists in an organization, it often damages morale. Talented people feel discouraged when they see family members getting promoted regardless of performance, while everyone else has to work twice as hard just to be noticed.