Gen Z vs. the world of work

"No desire to work", "Is Gen Z destroying the world of work?", "Young, demanding, misunderstood?", "Gen Z in the world of work: Not worse, just different", "Will Gen Z save the world of work?" ... 

Few generations are debated as much as the supposedly social media-driven, environmentally conscious, woke and work-shy generation of the 1995-2010s. The media can't agree on whether today's early 20-somethings represent a much-needed breath of fresh air or are ruining companies. In this article, we want to take a look at the facts about Gen Z and their work attitudes to answer the question: Is this generation really that dangerous to the world of work?

A contribution from Lisa Rätze

What makes Gen Z tick?

It should be said in advance: Not everyone in a generation thinks the same way, not everyone in a cohort has the same views and not everyone holds the same values. However, there are attitudes and behaviors that are characteristic of certain birth cohorts and are frequently observed in them. For this reason, the following section refers to characteristics that characterize Generation Z in this context.

People in their early 20s today have grown up in an increasingly digital world. They therefore have a natural affinity with technology and social media, which has a profound impact on the way they communicate and absorb information. This generation uses technology not only as a tool, but also as an integral part of their social lives. This results in new forms of collaboration and networking that are used in both private and professional contexts.

In addition, constant access to information and global perspectives has prompted Generation Z to place value on transparency and authenticity in all areas of life. They are very aware of the social, economic and environmental challenges of their time and expect the brands and organizations they interact with to act ethically. The Deloitte Gen Z and Millennial Survey 2023 shows that this generation rates their employers according to their social and environmental commitment. A better work-life balance and the social efforts of employers are positively emphasized (3).

Gen Z is looking for work environments that not only offer flexible working hours and locations, but also a culture that responds quickly to change and recognizes individual achievements. Gen Z particularly values flexible working conditions, a healthy work-life balance and meaningful tasks. A US survey by ResumeLab reveals that 83% of Gen Z workers can be considered job hoppers, with many having held multiple jobs in their short careers. However, they prioritize personal development and meaningful work over financial incentives, which could explain their frequent switching (7).

Being shaped by a digital world also leads to challenges. For example, constant connectivity can lead to excessive demands and stress, which in turn brings the importance of mental health and well-being to the fore. Companies that take the needs of this generation seriously must therefore find ways to integrate these aspects into their corporate culture and offer support.

Battle of the generations in the workplace

The headlines quoted at the beginning have long recognized that the younger generation has different expectations of their employers. Studies such as the "Gen Z Segmentation Study" conducted by EY 2023 show that Gen Z has a strong influence on workplace cultures by emphasizing inclusive practices and ethical standards (4).

Their expectations of transparency, authenticity and corporate social responsibility are high, which challenges companies to adapt their approaches accordingly. However, according to Dr. Monika V. Kronbügel: "The pain [...] is apparently not yet great enough" for companies to respond sufficiently to the desire for change. Instead, there are media-driven generational conflicts in teams and organizations (5).

Baby boomers (1956-1965), Generation X (1966-1980), Generation Y (1981-1995) and Generation Z work together in many areas today. These are four generations with different social backgrounds and different values in their everyday working lives. It seems questionable that only the youngest among them cause such difficulties. Rather, behaviors are interpreted differently and, depending on the attitude, lead to incomprehension and resentment. According to Timo Müller, head of the Institute for Conflict Management and Leadership Communication (Ikuf), it is normal for "baby boomers" to work longer hours and accept overtime. According to Müller, a Generation Z person is more likely to argue that overtime means losing important free time and the balance to the working day and is therefore more unwilling to stay longer. So if younger team members go home on time, older colleagues might interpret this as laziness (8).

Again, a member of Gen Z could also interpret the "Baby Boomer" manager's aversion to online meetings as backward-looking and entrenched, whereas this is merely due to the older team member's lack of technical expertise and not malicious intent.

Expectations, opinions and attitudes of different generations, but above all different individuals, collide every day. Therefore, when dealing with Gen Z, the priority is: Talk to each other instead of about each other.

Positive influences from the younger generation

As this article is written by a member of Generation Z, it was clear from the outset that it would not be a diatribe about the laziness, willingness to change jobs and selfishness of Gen Zers. Instead, it is worth seeing the demands that young people place on their employers as opportunities and growth potential. If a company regularly loses candidates in the application process because it does not or hardly allows flexible working hours, then the conclusion should not be: Young people are too lazy to work eight hours at a stretch. Rather, one approach could be to question the extent to which the softening of regulated working hours could also bring advantages and why this concern is so important to applicants. Last but not least, the pandemic has also shown that a restructuring of work processes can succeed if the will (and the need) is there.

The following section will highlight a few aspects of how the values and attitudes of Gen Z can enrich the world of work:

1. Promotion of flexibility and work-life balance

   Work-life balance and mental health are particularly important to Generation Z employees, forcing companies to develop more flexible working models. They are particularly keen for their employers to implement measures to support mental health and promote a healthy work-life balance (3). In turn, these flexible models benefit all employees: they not only promote well-being, but can also increase productivity and satisfaction.

2. Driving forward digitalization

   Gen Z is the first generation to have grown up entirely in a digital world, which makes them natural users of new technologies. This technological affinity helps companies to implement digital transformations faster and more effectively. Studies show that Generation Z easily integrates innovative digital tools and platforms into their work processes, leading to more efficient workflows and better results (1, 6).

3. Promoting diversity and inclusion

   Young people expect their employers to actively promote diversity and inclusion. Regardless of the values of this generation, an inclusive work environment and diverse teams are essential if companies want to withstand global transformation processes. According to a global survey by Catalyst, members of Generation Z prefer organizations that foster a diverse and inclusive culture and remain loyal to these companies for longer (2).

4. Social and ecological responsibility

   Generation Z attaches great importance to social and ecological responsibility. They prefer employers who actively take measures to combat climate change and are committed to social justice. Companies that integrate these values into their corporate culture also benefit from a positive corporate image and a committed workforce.

Change the perspective

In conclusion, it can be said that tensions between the generations are not primarily caused by the characteristics of a particular age group, but rather by a lack of communication and different values. Instead of dwelling on generational conflicts, companies should focus on mutual understanding and cooperation. One promising approach is individual coaching, which helps employees of all ages to better understand the perspectives of their colleagues. Such measures promote the ability to approach each other with goodwill and help to create a respectful and productive working atmosphere. By investing in communication and changing perspectives, companies can harness the potential of generational diversity and achieve more harmonious, effective collaboration.

Do you also experience tensions between the generations in your company? Then arrange a non-binding introductory meeting in which we will show you the possibilities of individual business coaching as an opportunity for better cooperation.

Sources:

1. Benítez-Márquez, M. D., Sánchez-Teba, E. M., Bermúdez-González, G., & Núñez-Rydman, E. S. (2022). Generation Z within the workforce and in the workplace: A bibliometric analysis. Frontiers in Psychology, 12, 736820. doi:10.3389/fpsyg.2021.736820. Available at: https://www.frontiersin.org/articles/10.3389/fpsyg.2021.736820/full

2. Catalyst. (2020). Generation Z, the future workforce (Trend Brief). Catalyst. Available at: https://www.catalyst.org/research/generation-z-the-future-workforce/

3. Deloitte United States. (2023). 2023 Gen Z and Millennial Survey. Deloitte. Available at: https://www2.deloitte.com/content/dam/Deloitte/global/Documents/deloitte-2023-genz-millennial-survey.pdf

4. EY Building World. (2023). Understanding the influence of Gen Z today can empower your tomorrow. Ernst & Young. Available at: https://www.ey.com/en_us/workforce/how-can-understanding-the-influence-of-gen-z-today-empower-your-tomorrow

5. Funk Group. (2023). How Gen Z is changing the world of work. Funk Group. Available at: https://www.funk-gruppe.de/de/themen-blog/karriere/wie-die-gen-z-die-arbeitswelt-veraendert

6. McKinsey & Company. (2023). On Point: Gen Z's workplace must-haves. McKinsey & Company. Available at: https://www.mckinsey.com/business-functions/organization/our-insights/on-point-gen-zs-workplace-must-have

7. ResumeLab. (2023). 83% of Generation Z workers are job hoppers. Available at: https://www.resumelab.com/job-market-research/gen-z-job-hopping-statistics

8. ZEIT Online. (2022, July 1). Solving generational conflicts in the workplace. ZEIT Online. Available at: https://www.zeit.de/news/2022-07/01/generationskonflikte-am-arbeitsplatz-loesen