While advice for companies looking to retain and attract Millennials is common, Millennials are no longer the newest faces in the office. Generation Z, those born between 1997 and 2012, are only just beginning to enter the workforce.

With research consistently showing Millennials and Gen Z only plan to spend three years or less in a given role, employee retention has never been more important.

However, to keep your best and brightest, you must understand what they value and how you can tailor your workplace to meet their needs. After all, happy employees are more likely to choose your company as the best place to grow and advance their careers.

SO, WHAT IS THE DIFFERENCE BETWEEN MILLENNIALS AND GEN Z?

Millennials are individuals born between 1981 and 1996. Today, they are between the ages of 23 and 38, so they are becoming more experienced and established in their careers. Because they have been part of the workforce for some time, you may already be familiar with their habits such as a digital-first attitude and a need for flexibility and mobility.

Generation Z individuals share some of these attitudes and habits, but also have their own perspectives on career development, stability, and work ethic. They grew up in very different circumstances as they remained at home during the 2008 economic recession and first saw the impact of their parents.

CAREER DEVELOPMENT AND SELF-LEARNING OPPORTUNITIES

Although primarily a US statistic, 75% of Gen Z believe that attending college isn't the only way to get a good education. Gen Zers may have seen their parents struggle to raise college tuition, but they grew up in a digitally friendly world where online tutorials and self-learning are readily available. After all, they were born around the same time as YouTube – a perfect place for DIY lessons and skill enhancement.

With a more open mindset toward learning, employers will need to consider new ways to assess skills. Does your new position really require a college degree? Similarly, you'll need to offer plenty of learning and skill enhancement opportunities to keep this youngest generation engaged.

INDEPENDENT, SOLO WORKERS

Unlike their predecessors, Generation Z tends to shy away from collaborative opportunities. Instead, they operate with the mindset of “if you want something done right, you need to do it yourself.”

Gen. Zers are more competitive and prefer flexible work. They want to manage their workload to showcase their skills and abilities and appreciate opportunities for independent work. As a results-oriented generation, Gen Zers want concrete outputs and clear KPIs.

A relatively easy way to support their more independent mindset is to provide more workspace. Breakthrough areas allow employees to leave their desks while private rooms allow employees to relax when deadlines are approaching.

Trusting them to manage their work and evaluate it based on results will also allow you to support Generation Z in becoming their best selves.

ENTREPRENEURS DRIVEN BY SECURITY

Gen Zers were still children when the economy collapsed in 2008, so they may have witnessed their parents suffer significant financial losses, job losses, and struggles to make ends meet. Therefore, it's no surprise that Gen Z wants and needs more security than Millennials.

With a more pragmatic mindset, this generation desires financial security and is more likely to have a side job to diversify their income. 53% don't rely solely on their job for pay.

Driven by a strong desire to start their own businesses, Gen Z is rapidly becoming a hustler generation.

As an employer, this means you'll need to adopt a more open-minded and supportive approach to Gen Z to avoid work-related distractions. Contacts that limit them to working only for your company may not fly!

BALANCE CULTURE AND COMPENSATION

When you think of companies that lead Millennials and Gen Z, you might picture ping-pong tables and beer coolers. However, you can't substitute decent compensation and financial rewards with a flashy culture.

Gen Zers are driven by financial security, meaning they want monetary rewards and career advancement opportunities to work at companies that make a difference. 84% of Gen Z employees say they want meaningful work at a company they trust, one that provides them with financial security and allows them to build their careers.

It's certainly a high priority, but not impossible.

As an employer, you need to strive to develop a positive culture, contribute to the social good, and reward your employees fairly.

 

LESS TRADITIONAL WAYS OF WORKING

Both Millennials and Gen Z are digital natives, having grown up in a world of the internet, digital apps, and mobile phones. Therefore, it's difficult for these generations to adhere to rigid and potentially outdated ways of thinking about work. For them, work doesn't necessarily have to be 9 to 5 hours or in a specific location.

Allowing employees to work remotely and maintaining regular administrative hours will encourage better work-life balance. And, better work-life balance leads to more productive, happier, and more engaged employees. A win-win for all.

Achieving a better work-life balance also helps younger generations avoid stress and burnout – something that 37% of Gen Z and 39% of Millennials say is detrimental to their growth.

LESSONS FOR EMPLOYERS

- Promote development opportunities such as online learning, mentoring, or on-the-job training.

- Allow Gen Z employees to work independently and rethink your workspace layout.

- Unleash the entrepreneurial spirit of Gen Z by recognizing and leveraging their motivation, drive, and creativity.

- Achieve the perfect balance between a great work environment and financial security.

- Investigate ways to support employees who want flexible working options and recognize some of the benefits of unconventional working hours.

Source: Changerecruitmentgroup.com