Photo by Shridhar Gupta on Unsplash
Today, 9.8 million US jobs remain unfilled—a near-record high. As companies work to fill their open roles, attracting workers from Generation Z will be key to winning the talent war. After all, this generation will soon represent a third of the workforce. Companies that ignore them do so at their peril.
However, to earn the loyalty of this generation, born in 1997 or later, HR leaders need to first understand what makes Gen Z unique.
Gen Zers have been profoundly shaped by completing their education and starting their careers during the COVID-19 pandemic as well as by economic uncertainty, geopolitical unrest and cultural polarization.
Driving their financial worries are high inflation—made worse by a lack of entry-level wage growth—along with burdensome student loan debt and a slowing economy. Many are concerned about affording even basic necessities, and more than half are now choosing to live with their parents to save money.
All this turmoil has contributed to struggles with mental health. Almost half of Gen Zers report being stressed or anxious all or most of the time. They also report the least-positive life outlook of any generation, including lower levels of emotional and social wellbeing.
Despite the challenges confronting Gen Z, overlooking this younger talent pool is a missed opportunity for employers. They can bring a lot to the workplace, according to research from The Conference Board, which held a series of focus groups with Gen Z workers to understand their motivations better.
In these conversations, Gen Zers stressed that they don’t understand why hybrid work isn’t the norm; they believe they are just as efficient when remote. They know how to collaborate virtually and be productive because many started their careers on virtual platforms due to pandemic lockdowns.
Their familiarity with the speed at which the digital world evolves means they are less resistant to change than some older colleagues. They are receptive to automating tasks and improving processes—and can serve as champions to help make change happen.
But beware: that openness to change also means they are willing to job-hop to get what they want. They also aren’t afraid to use social media to amplify their concerns—including those with their employers. This includes skepticism of organizational missions and statements of values without action behind them. They want to see companies advance meaningful change on a host of societal challenges. Growing up wholly in the digital era has made Gen Z the “influencer generation,” either influencing or being influenced by ideas and movements.
In the conversations The Conference Board had with Gen Z workers, they emphasized the key elements they are looking for in their jobs. With Gen Z poised to make up one in three workers in just a few years, CHROs and their teams should take note of these five attributes that Gen Z cares most deeply about, in order of their importance.
Even with the US on the precipice of recession, labor shortages will remain widespread across the US. Businesses will urgently need Gen Z workers to fill their ranks. The businesses that win them—and keep them—will be those that put a laser-like focus on understanding what makes them unique and what matters most to them.
Read the full report here.