Fact or Fiction?

- An Administrative Assistant racked up over $125,000 on her company card on personal purchases.

Fiction…sort of

The Facts:

An administrative assistant for Alza Corporation racked up over $325,000 debt on her company card for personal purchases…in only 10 months! Some of the purchases include:

- A 1968 Ford Mustang
- A 1969 Chevy Camaro
- Cosmetic surgery
- Cruises around Hawaii and Tahiti
- A granite kitchen countertop
- And more…for the whole scoop, BLR’s article can be found here.

Situations like this stress the importance of having internal controls on the use of company credit cards, and communicating to employees on proper use of company credit. Do you have any employees like this one on your payroll?

Thanks for playing and we’ll see you next time!

Who are Helicopter Parents?

Most helicopter parents in one article prepared by Forbes are described as past baby-boomers and present parents who take a more aggressive, active role in their children’s lives. Many of these parents believe that with plenty of time and money invested in their child they can ensure his / her successful future. Some parents proudly mention that they paid the college tuition bill, and were active by swarming onto college campuses scouting and ensuring a good education. For these parents, it is simply believed that attending career fairs, passing their child’s résumé, and even scheduling an interview is just the next step in ensuring that their investment is still of value.

Some parents have even taken it a step further. Hewlett Packard has reported that parents have contacted the company in order to discuss their child’s salary and relocation packages. Some organizations have received phone calls from dismissed candidates’ parents inquiring why their son or daughter did not receive a position. The children of these parents, commonly described as Generation Y or the Millennial Generation (currently ages 10-29), are so accustomed to parental involvement that there is no sense of impropriety with having such additional support. For many HR professionals, this extra involvement is so novel, that they don’t know how to react.

Underlying this phenomenon is the fact that the relationship between parent and child for this particular generation gap is closer than ever before. Hence, this young generation seeks parental help frequently. Having access via text message, e-mail, and phone calls, there is no wait time in order to find a solution. Help from mom or dad is only a few seconds away. Further, these baby boomer parents remember their own mistakes and the difficulties of the job market. They want to ensure that their children do not suffer as they may have from easily avoidable mistakes. Severing the cord seems to be increasingly difficult. However it must be done, as many HR professionals believe. Otherwise, it will be harder for Generation Y-ers to make decisions on their own.

How Does this Affect the HR World?

As the Millennial Generation prepares for the shrinking job market, helicopter parents are moving off college campuses and descending into the job market. This trend raises issues for Human Resources. How do you respond to these well-intentioned parents?

Many organizations are recognizing that there are only two ways to handle prospective Generation Y graduates and their helicopter parents: allow or deny involvement. Here are some examples of how organizations are handling this new employment dynamic:

• According to one article, the Office Depot’s website has an entire page dedicated to parents of candidates for hire, giving the parents tips on how to be supportive without being invasive.
• Enterprise Rent-a-Car Service has in the past sent letters to parents of recent hires informing them about the company for which their son or daughter will be working. Donna Miller, the European HR director of Enterprise stated, “While we don't like parents to attend induction sessions (we see that as being a little too much like a child's first day at school), we do believe in building on the family network."
• In 2006, Merrill Lynch held a parent’s day for parents of select applicants and new hires. Part of the parent’s day activities included a tour of the office where their child would be working and more information about the company. So far, only one applicant whose parents attended the event did not accept the job offer.

Organizations recognize that when it comes to recruiting Generation Y, more has to be done in order to attract and retain the best. There is a need to also recruit their parents. Many of these “parent workshops” are still in the infant stages. It will be interesting to see how they may evolve in the future.

For organizations that prefer not to deal with potential candidates and their helicopter parents, there are ways to avoid such a challenge. Many of these helicopter parents appear to belong to the affluent group in the Millennial Generation. This may give an advantage to Generation Y-ers whose parents could not take such an active role or may have had a diverse background. Ana Ivy, a career coach mentions, “In some ways there's an opportunity. There are plenty of Generation Y-ers who are professional and mature and they are really sticking out now. There's now a meaningful way to distinguish themselves.”

As the phenomena of the helicopter parent becomes an increasing issue for organizations around the world, HR must take the time to review how to address such a concern. Whether your organization decides to take a proactive approach or not, be sure to weigh the pros and cons carefully. Understanding what concerns a parent may have can be the first step. Understanding apprehension from the candidate’s perspective is another step. Equally important is being able to understand what the organization’s wants and needs are in a candidate. Being able to clearly describe these attributes will provide a gauge for both parent and candidate in understanding where the line is drawn. Certainly, most organizations will have to face this topic, each with their own action plan. Awareness and strategic planning are essential in successfully handling your organization’s “helicopter parents.”

Looking for a top-notch presenter for your human resource organization's meeting? Both Jennifer Loftus and Michael Maciekowich present highly-rated sessions on a variety of compensation and employee retention issues. For more information, send an e-mail to info@astronsolutions.com.

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Copyright 2008, Astron Solutions, LLC

ISSN Number 1549-0467