Gen Z in the workplace – the value and benefits
Recent statistics (January to March 2024) show that there has been an increase in the number of young people aged 16 to 24 years old (Gen Z) not in education, employment or training (NEET). The current total is estimated to be 900,000 which is up from 812,000 in January to March 2023. Some of the reasons for this include:
- ‘Degree inflation’: 75% of new jobs now require a university degree compared to 55% in 2014. In other words, the people currently doing the work don’t have degrees, but as they retire or leave their positions, their replacements will be expected to.
- Economic Conditions: Economic downturns and recessions often lead to higher unemployment rates, particularly among young people. Companies may be more cautious about hiring, and entry-level positions may be among the first to be cut.
- Demographic Changes: Changes in population dynamics, such as an increasing number of young people relative to available job opportunities, can exacerbate the NEET situation.
Some of these reasons are out of employers’ direct control, but other elements are addressable. Is a degree really required to perform a job? Are apprenticeships a good option? Could employers chip away at that barrier to entry for young people seeking employment?
With a significant number of young people being of employable age, let’s explore some of the advantages that Gen Z employees bring to the workplace.
What are some of the benefits Gen Z workers bring to the workplace?
- Innovation and fresh perspectives: Younger employees often introduce new ideas and approaches, driving innovation and helping companies stay competitive.
- Tech-savviness: Having grown up with digital technology, Gen Z workers are generally adept with new tools and platforms, enhancing productivity and efficiency.
- Adaptability: They are usually more flexible and open to change, making it easier for businesses to implement new strategies and adapt to market shifts.
- Long-term potential: Investing in young talent can lead to long-term growth for the company as they develop and advance within the organisation.
- Energy and enthusiasm: Their motivation and enthusiasm can boost team morale and drive collective success.
- Cost-effectiveness: Hiring Gen Z workers can be more cost-effective as they may command lower salaries initially, providing value while developing their skills.
Considerations for Gen Z in the workplace
By 2030, Gen Z is expected to comprise 58% of the workforce, making it crucial for employers to understand their workplace preferences in order to attract and retain young talent.
HR Review recently wrote about Gen Z’s top workplace ‘icks’, mentioning some of the following:
- Appearing in company TikToks: Many Gen Z employees find it frustrating when they are expected to feature in company social media content, especially TikTok, despite being labelled the ‘TikTok generation’.
- Unnecessary comments, especially on food and drink choices: While comments on appearances, clothing, lifestyle choices, and similar topics were once accepted, Gen Z now find such behaviour rude. A significant proportion of Gen Z follow meat-free or plant-based diets, prioritising these choices and taking offense to comments about them. They are also less likely to drink alcohol. Therefore, acceptance of others’ preferences is crucial.
- Being expected to work overtime: Gen Z values work-life balance more than previous generations and tends to reject the notion of unpaid overtime. Companies could consider measuring productivity by quality of tasks completed rather than hours logged to promote a more balanced work life.
- Working whilst ill: Gen Z and millennials were in pivotal life stages when Covid-19 emerged, making them more cautious about attending work when sick. They also prioritise mental health more than previous generations, leading them to be more inclined to take sick leave from work.
- Inflexible working hours and lack of remote working options: Gen Z values flexibility in their work schedules and the option to work remotely, prioritising a healthy work-life balance. Inflexible working hours and the lack of remote work options can lead to frustration. However, this does need to be balanced depending on the role, so as not to exclude the individual from learning experiences and interaction with colleagues.
- Poor communication and lack of transparency: Gen Z finds poor communication and lack of transparency from management particularly frustrating. They value open, honest and frequent communication, and expect to be kept informed about company decisions, changes and their own performance.
How the combination of Gen Z and older employees in a team can boost organisational performance
- Mentorship opportunities: Older workers can mentor younger employees, providing guidance and knowledge transfer. This can improve job performance, satisfaction and retention for younger workers.
- Balanced work environment: A diverse age range can create a more balanced and inclusive work culture. It can help mitigate age-related biases and foster mutual respect among employees of different generations.
- Enhanced adaptability: Organisations with a diverse age workforce are often more adaptable. Younger employees might drive change and innovation, while older employees can provide stability and continuity.
By combining the unique strengths of both Gen Z and other generations, organisations can foster a dynamic, inclusive and high-performing team. This blend of perspectives and skills enhances collaboration, drives innovation and cultivates a culture of mutual respect and adaptability.
Workers at different life stages need different types of support to reach organisation success
Workers at different life stages need tailored support in the workplace in order to maximise the use of their skills and abilities:
Gen Z employees, typically in their early careers, benefit from:
- Mentorship and coaching
- Training with a focus on competency and skill levels
- Opportunities for rapid skill development.
Midlife workers, often balancing career and family responsibilities, may need:
- Flexible working arrangements
- Pathways for career advancement to maintain engagement and productivity.
Older workers, bringing extensive experience, can be invaluable as mentors and leaders, and may require:
- Support with health and wellbeing to stay active and engaged.
- To be given work that provides a sense of belonging and purpose.
Tailoring support to these diverse needs fosters a more inclusive, dynamic and successful workplace.
In conclusion, valuing Gen Z workers and integrating them with the rest of the workforce is essential for organisational success. The unique strengths of Gen Z, such as innovation, tech-savviness and adaptability, complement the experience and stability of older employees. It’s far too easy to think, “when I was your age, I had to work extremely long hours!” Instead embrace the ‘quirks’ and differences that younger generations bring. They might just influence a company’s approach to their people agenda overall.
If you’re looking for HR advice or assistance, feel free to get in touch and talk to one of our consultants.
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