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Which of the following is an ethical issue in HRM?

A. Nepotism in hiring
B. Using job portals
C. Providing training
D. Conducting background checks (with consent)
Correct Answer: A. Nepotism in hiring

Ethical issues in Human Resource Management (HRM) involve situations where HR practices or decisions conflict with moral principles, fairness, or legal standards. These issues often relate to equity, transparency, and respect for individuals.

Option A: Nepotism in hiring is an ethical issue because it involves favoritism towards relatives or friends, disregarding merit and fair competition. This undermines equal opportunity and can lead to less qualified candidates being hired, impacting organizational effectiveness and employee morale.

  • Option B: Using job portals is a standard, ethical, and efficient recruitment method.
  • Option C: Providing training is a beneficial and ethical HR practice that supports employee development and organizational growth.
  • Option D: Conducting background checks (with consent) is a legitimate and ethical practice for due diligence, ensuring safety and suitability for roles, provided it's done legally and with proper consent.

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