Millennials, born between 1981 and 1996, make up 35% of the US labor force and are the largest working generation. They prioritize career advancement through concrete means and seek a structured path to advancement with predetermined benchmarks. Millennials value greater input and control over their careers, access to continuing education programs, and training for specialty certifications. They also prioritize work/life balance and are attracted to companies that offer flexibility in time and the ability to work remotely. A positive work culture is important to attract and retain millennial employees, with employers focusing on creating a positive work environment through fair practice rules, team building exercises, flexible hours, and recognition of achievements. Adapting benefits packages to reflect the preferences of the majority of the workforce is crucial for companies to stay competitive.
Gen Zers, born between 1997 and 2012, are the youngest generation entering the workforce. They have grown up in a world of rapid technological advancements and economic uncertainty. While they have access to more information and opportunities, they also face higher levels of stress and pressure. Gen Zers are more diverse and socially conscious than previous generations, and they have an entrepreneurial spirit and are inclined to explore multiple revenue opportunities. They are hard-working and have high standards for themselves and their employers. Gen Zers value authenticity and expect their employers to share their values, including fair pay, empathy, mental health, and diversity. They are unafraid to speak up against perceived injustice and are forcing once-taboo topics into the common dialogue. Gen Zers have a natural skepticism and questioning nature, which can be harnessed as a superpower in business. They are likely to start their own businesses in the future. Business leaders should understand and leverage Gen Z's unique attributes to benefit both the workforce and the economy.
According to a survey of 1,243 business leaders, 94% of them have a negative attitude towards hiring Gen Z employees due to their sense of entitlement, deficit work ethic, and subpar communication skills. However, with Gen Zers set to surpass baby boomers in the workforce this year and make up 30% of all eligible employees by 2030, employers may have no choice but to hire them. A survey of 1,344 managers and business leaders found that 74% of them find Gen Zers harder to work with than employees of other generations. Gen Z employees often feel disconnected and not engaged at work, with higher rates of anxiety, depression, and distress. Strategies for employers include hiring the best Gen Z applicants, providing clear expectations and guidance, outlining a career path, and giving specific feedback. If employers fail to address the needs of Gen Z employees, more than half of them intend to leave their jobs within a year.
Gen Z, born from the late 1990s through the early 2010s, has different values compared to other age groups. A recent poll showed that Gen Z is less likely to prioritize patriotism, belief in God/religion, having children, and agreeing that America is the best place to live compared to baby boomers. Gen Z is also the least likely to attend religious services. They have a lack of belief that America is the greatest nation to live in and are more willing to settle in another country. Gen Z is economically stressed, with a majority dissatisfied with their financial situation and carrying student loan debt. They are more likely to support gay marriage, want an end to transgender discrimination, believe the country is not doing enough to deal with climate change, and support making cuts to the defense budget. Gen Z is less interested in the upcoming 2024 election and gets their news from the internet and social media.
Gen Z is the fastest-growing generation of workers, with 17.1 million entering the labor market in 2023. By 2030, Gen Z is expected to make up [unknown percentage] of the U.S. workforce. 53% of Gen Z professional respondents said they were opting for freelancing, with more than half (53%) of Gen Z freelancers performing freelance work for at least 40 hours per week. Gen Z freelancers can be categorized into four types: portfolio careerists (39%), side hustlers (26%), caregivers (7%), and income supplementers (24%). 61% of Gen Z freelancers incorporate AI into their workflows, demonstrating a higher rate of technology integration than their full-time counterparts. Engaging with Gen Z freelancers who are proficient in AI allows companies to sidestep the lengthy and costly process of training existing employees. The shift towards freelancing among Gen Z presents implications for organizations seeking to thrive in an evolving labor market. Businesses must understand where the next generation of talent is concentrated and overhaul their structures accordingly to attract the best talent and foster adaptability and innovation.
The negative stereotypes associated with Gen Z, such as being 'always late,' having high demands, and frequently job-hopping, are largely misconceptions rooted in psychological biases. Gen Z, having grown up during a technological revolution, has a different approach to work. They are accustomed to quick responses and high levels of information availability, leading to higher demands and a propensity for job-hopping. Meaningful work is a significant priority for Gen Z, with 86% finding a sense of purpose critical for job satisfaction. Companies should embrace flexible work arrangements and results-driven evaluations to align with Gen Z's expectations. In Asia, a nuanced approach to managing Gen Z employees is suggested, combining autonomy with traditional values. Adapting communication styles to digital channels and engaging in personal interactions are important. AI and technology have implications in the workplace, and multi-generational teams should engage in open discussions about AI's role. Gen Z's inclination towards the gig economy is driven by their desire for autonomy, purpose, and career growth. Companies can attract and retain Gen Z talent by offering flexible work arrangements, clear career development opportunities, and roles that align with their values. Three key strategies for engaging and motivating Gen Z employees are flexible work arrangements, transparent communication, and results-based evaluation. [590e0d03]