Case Studies
A happy coincidence

Heidi was promoted recently to personnel manager in a garment retailing corporation. Her company planned to expand by opening several new boutiques throughout Hong Kong. Heidi and one of her subordinates were tasked with recruiting shop managers and sales assistants for these new stores. During the recruitment interviews, Heidi discovered, to her surprise, that one of the candidates was her cousin. Seeing it as a happy coincidence, she conducted the interview herself without disclosing their relationship to the company. She believed she could uphold impartiality when carrying out her official duties and in her eyes her cousin’s performance was the best among the other candidates. She gave very favourable comments on her cousin’s performance during the interview.
Case Analysis
Given that one of the candidates was Heidi’s relative, Heidi, responsible for conducting the recruitment interview, was in a conflict of interest situation. Heidi should avoid the situation as far as possible and adhere to the company code of conduct in handling it, such as declaring their relationship to the company.
If Heidi failed to disclose such a conflict of interest, the company could not take appropriate measure to mitigate the risk arising from the conflict (e.g., deploying another officer with no conflict of interest to take up the interview) and even worse, giving rise to allegation of bias and unfairness, and putting the company into disrepute. Moreover, such failure to declare the conflict as required would cast doubt on Heidi’s integrity. Even if Heidi acted impartially and her relative was the best candidate, the conflict of interest could still lead to the perception of favouritism and unfairness to other candidates.
If false document is involved (e.g. falsifying documents to cover up conflict involved), it may breach S.9(3) of the POBO. Using fraudulent means to conceal conflicts during the recruitment exercise for personal gain or to benefit acquaintances may lead to criminal charges such as deception and fraud, and could breach the Prevention of Bribery Ordinance if bribery is involved.