Today, the workplace is composed of 19% baby boomers, 35.5% Gen Xers, and 39.4% millennials. However, according to research by Johns Hopkins University, Gen Z is slated to make up 30% of the workforce by 2030. It is therefore vitally important for leaders to be in tune with the motivating trends, behaviors, and values of this growing demographic—especially if they wish to stay competitive in the world of recruitment and retention.
To best understand how to cater to Gen Z workers, it’s important to understand who they are. They are the first fully digitally connected generation and have never known life without technology at their fingertips because smartphones debuted when they were infants. Plus, Americans born between 1997 and 2013 show signs of being the most entrepreneurial generation, with many being purpose-driven, according to a recent Fast Company report on how to best manage Gen Z.
What does Gen Z want from employers?
According to Alex Kline, director of talent acquisition at LandCare who interviewed more than 500 people across the United States last year—most of whom were Gen Z—there are several key priorities among Gen Z job seekers, regardless of the geographical locations in which they are based. This includes a clear path for growth, work-life balance, and feelings of community and camaraderie through a strong company culture.
“One Gen Z hire from Florida can be extremely different from another Gen Z hire in Los Angeles,” Kline explains. However, regardless of their location, “Gen Z employees understand their ‘why,’ have a lot of confidence in themselves, and want to move up quickly.”
Understanding a company or individual’s mission is a common thread popular among this demographic, as well. This can include finding a career path led by similar values, or deeply understanding one’s own personal purpose to guide the direction of one’s career.
“I was very mission-driven in my job search,” explains Charlotte Jones, a 23-year-old who works at a software engineering bootcamp company in San Francisco. “I wanted [to work] somewhere that felt like they were having a positive add to the world . . . but then also, internally, a place that offers a lot of growth, flexibility, [and encourages] you to take the initiative to make it what you want.”
I spoke with numerous members of Gen Z like Jones. I also connected with business leaders and combed through industry reports. What I learned is that there are concrete steps businesses can take to stay competitive among Gen Z talent. What’s more, these policies and practices not only cater to younger employers, but also can ensure a strong foundation for business growth and productivity. Here are three ways businesses can adapt to Gen Z workers.
Implement a flexible work policy
The hybrid model seems to be dominating businesses—with 90% of U.S. companies planning to implement return-to-office policies by the end of 2024, according to a report from Resume Builder. Going forward, flexibility will remain a top priority for attracting and retaining talent. Flexibility is no longer viewed as a perk, but rather a must-have, among Gen Z workers. Even companies that require employees to work from the office full time should be lenient when it comes to life events that may pop up and require flexibility.
“We have a five-day work policy, but something [my company] preaches is, ‘flexibility more than anything,’” explains Allison Hallums, a 25-year-old sales manager for tech company Collabera. “For example, if you have a doctor’s appointment, or say you have a family member coming into town and you need to leave early to pick them up from the airport . . . they do a really good job of highlighting that this job is not a prison. It’s something I really enjoy. I’m not confined to my office space if I need to get out and do something.”
Kara Brothers is the president of Starface, a skincare brand whose customers are primarily members of Gen Z. She emphasized the importance of establishing not just a flexible, but also a fun and collaborative, work environment. “I love to hire people who reflect our customer base which means youthful, diverse in background and perspectives, and love the art of style and self-expression,” she said. “All of our employees are super engaged and hardworking, and they value flexibility and honesty from their employer in response to that hard work, which feels like more than fair exchange.”
Invest in team-bonding and corporate-training programs
Fostering in-person relationships through company-organized programs can pay off in the long run. Not only does this create space for Gen Z to feel valued and heard today, but also it positions businesses to have well-trained, long-term employees who will bolster the business’ future productivity and results. Popular programs that can be implemented include in-person management-training sessions (including gathering separate offices for an in-person meeting at least once per year), as well as internal mentoring programs and leadership collectives that allow professional—and personal—connection.
Jones expressed her enthusiasm for an internal group at her organization called the Women’s Leadership Collective, which offers the opportunity to connect with colleagues of all levels on work and nonwork related topics, such as building community, communications, and survival skills. “Especially for someone who’s young in their career, being in spaces where I can connect with people who are higher up than me, [and create] a conversational environment where I can chat with them and build those relationships [is important].”
Furthermore, it’s important for businesses to coach empathy into their management staff. According to a recent Deloitte study, Gen Z workers highly value empathy from their bosses and consider it a prerequisite to engagement at work. Therefore, proving that fostering a feeling of personal investment can be just as important as professional investment from managers.
“I’m only three-and-a-half years into a career, but I appreciate that [my company has] taken the time to invest in me for the long term, understand what my goals are, and make it work with how they want to progress forward,” Hallums says. “I feel like I’m part of the vision of where the company is headed.”
Provide a clear path for growth
Gen Z is known as the most-connected generation, with 95% of Gen Z owning a mobile device (according to Verizon). So it should be no surprise that the demographic that’s always had knowledge at their fingertips want a clear path for growth—and often data to go with it—when seeking long-term career paths.
Nicole Oge, cofounder and chief growth officer of real estate company, Official Partners, founded the Prodigy program to make real estate a more viable path for those interested in guidance, coaching, and leadership. With 50% of Prodigy members being Gen Z, she’s experienced firsthand the needs and expectations of the demographic. She told me this includes a data-backed approach that allows for agents to track analytics and garner a solid understanding of their business, and how to grow it.
Investing in tools that could advance career paths, while also fostering clear and transparent conversations about paths for growth, will deeply resonate with younger colleagues. That, and explaining the reasons why tasks big and small need to be done, will result in clear direction and deeper professional and personal connection. And, as Jones herself says, “When you actually believe in what your company is doing, it makes all the difference.”
