Since the McDonald’s #leadership scandal involving former CEO Steve Easterbrook emerged months ago, I have kept pointing out that the VP of #HR was let go at the same time. A coincidence? No.
We now know that the HR department was complicit in covering up bad behavior and engaged in its own not-so-HR-friendly behavior. And now the McDonald’s board is investigating this clown show. It’s all detailed HERE.
But it underscores what happens when HR goes from implementing policies and helping instill culture to breaking policies and muzzling dissent.
It’s a downward spiral that, unless addressed, can hurt organizations for a generation. Congratulations to Steve Hernandez, Chairman of the Board at McDonald’s, for leading the board to take action.
In my book, The Arsonist in the Office: Fireproofing Your Life Against Toxic Coworkers, Bosses, Employees, and Cultures, I talk about my experiences with “H.R. Harry,” a corrupted and confounding HR leader who created and contorted as many H.R. issues as he covered up. He was the problem because he had deliberately chosen not to serve in his designated role as an honest broker — and a solution.
Also, I reference in this BLOG POST the 2017 Wynn Casinos scandal, caused by their founder, Steve Wynn, and by bullying HR leadership that silenced employees.
HR’s role is often misunderstood, and they are, by design, in place to follow management’s direction. But they should be expected to adhere to ethical, legal, and cultural guidelines established both by their company’s policies and their profession’s standards. When employees lose trust in HR, they lose trust in the organization as a whole. And it hurts morale and, as SHRM frequently points out, few things damage a company’s reputation more than a CEO scandal.
For employees, fully understand when to talk to HR and when you shouldn’t. Know who you can trust within your organization before you speak up to those who can help you–or hurt you!
For leadership in companies, understand that having an HR serve as your protective guard can work out well for a brief period of time, but it can also destroy you if a scandal goes public.
For HR leaders who skirt the lines of the law, ethics, and policies, know that you’re more expendable than your leadership, and you can quickly be thrown overboard if bad publicity emerges.
In the end, doing the right thing and building a great culture lead to much better results — for reputations, shareholders, careers, leadership, and people’s lives. The McDonald’s CEO scandal was preventable, but hopefully they’ve fixed it going forward. G00d for Hernandez and their board of directors for doing the right thing.
Pete Havel is a speaker, trainer, and consultant on workplace culture and leadership. He speaks and consults for organizations ranging from law enforcement agencies to Fortune 500 companies. He’s also the author of “The Arsonist in the Office: Fireproofing Your Life Against Toxic Coworkers, Bosses, Employees, and Cultures,” which was named a #1 Hot New Release by Amazon. It’s available at www.arsonistintheoffice.com .Pete can be reached at pete@petehavel.com . You’ll also find more information on him at www.petehavel.com.
