Labor Problems and Solutions in Family Businesses

Abstract

The place of the family business in the world economy is certainly important. For example, 70% of Italian companies, 83% of French companies, 90% of German companies and 75% of British companies are family-owned. In Western Europe, 65% of GDP is due to family-owned businesses, and two out of three companies in the world are known to be family-owned (Gazioglu & Oralhan, 2021). The family business, like any other, aims to improve continuity, growth and profitability. The family business is a difficult system in which emotions and logic must coexist. There are problems at every stage of the process, from creation to expansion. The problems these companies encounter are not sudden problems. But good business and a company’s financial strength hide these problems. A family business is a structure made up of one or more family members, with other family members participating actively or outside the structure. These are economic and social institutions in which the concept of property rights is important and which pursue the policy of maintaining unity and solidarity to avoid the collapse of the existing heritage. It is inevitable to see the family work, the impact of work on the family, and a reflection of unique family culture and traditions in corporate life. When evaluated by the workforce, we see that family businesses have various problems. Work problems plague the family business and prevent the company from achieving its goals. In this study the issue of family work and its solutions are discussed. © 2022 by Nova Science Publishers, Inc.