In today’s rapidly evolving business world, attracting and retaining the right talent has become more critical than ever. With an aging workforce, the retirement of baby boomers, and the growing demand for new skills, organizations are looking to the next wave of employees – Generation Z (Gen Z). As the fastest-growing demographic in the workforce, Gen Z represents a unique opportunity and challenge for employers across the globe.

Who is generation Z?

Generation Z refers to individuals born between 1997 and 2012. As the first true digital natives, they are the first generation to grow up in a fully connected world, with smartphones, social media, and the internet shaping their lives from a young age. This group is also set to be the most diverse and well-educated generation yet, with a strong focus on inclusivity, equality, and global connectivity.

Gen Z’s upbringing amid global challenges, such as the COVID-19 pandemic, economic uncertainty, and growing social justice movements, has given them a heightened sense of social responsibility. They’re deeply motivated by the desire to make a meaningful impact on society and the world around them.

A recent survey by LinkedIn found that nearly 72% of Gen Z workers are actively considering a career change within the next year – a telling sign that attracting and retaining this generation requires a fresh approach to workplace culture, values, and work dynamics.

What gen Z values at work

While salary and benefits are important, Gen Z workers are driven by a range of other factors when choosing and staying with an employer. To effectively engage this generation, companies need to consider the following:

Technology is key

For Gen Z, technology isn’t just a tool – it’s a way of life. Growing up in a digital world, they have high expectations when it comes to workplace technology. They seek seamless, intuitive platforms that allow them to perform their tasks efficiently, without unnecessary technical barriers. Companies looking to attract Gen Z talent should invest in consumer-grade technology and digital solutions that enhance the work experience, from day one.
Flexibility and hybrid work models

Having grown up in an age of virtual learning, social media, and global connectivity, Gen Z employees value flexibility in where and how they work. While remote work is important to them, they also recognize the value of in-person interactions for building relationships, collaborating, and fostering workplace culture. A hybrid work model that allows for both remote and in-office experiences is often seen as the ideal setup.
Mental health and well-being

The mental health of Gen Z is a key consideration for employers. Studies show that this generation is experiencing higher levels of stress compared to others, with nearly 91% reporting symptoms of stress. As a result, many Gen Z workers are looking for employers who prioritize mental health and well-being by offering resources, support, and a healthy work-life balance. Companies that invest in these areas are more likely to build loyalty with this generation.
Purpose-driven work

For Gen Z, work is not just about earning a paycheck – it’s about making a difference. Around 80% of Gen Z workers say they want to work for organizations that align with their personal values, such as social responsibility, environmental sustainability, diversity, and inclusion. Employers must demonstrate a commitment to these causes through meaningful actions, not just lip service.
Diversity, equity, and inclusion

Gen Z’s commitment to diversity goes beyond traditional categories like race and gender – they value cognitive diversity, which includes different perspectives, problem-solving approaches, and ways of thinking. In addition, Gen Z wants to see real efforts in fostering inclusivity in the workplace, with clear accountability and measurable outcomes. Creating an inclusive environment where everyone feels heard and valued will go a long way in retaining Gen Z employees.
Transparent and fair compensation

Gen Z workers expect transparency when it comes to pay and promotions. They want to understand how compensation decisions are made and be confident that they are being fairly compensated for their skills and contributions. Additionally, financial security is important, and benefits such as student loan repayment assistance, 401(k) matching, and tuition reimbursement can be significant motivators for this generation.
Frequent feedback and development

Unlike previous generations, Gen Z prefers frequent, real-time feedback. This group grew up in a world of instant gratification through social media, where likes, comments, and shares are immediate forms of recognition. On the job, they want feedback that is timely, specific, and actionable. Companies should foster a culture of coaching and mentoring to ensure Gen Z employees feel supported and empowered to succeed.

Additionally, Gen Z places a high value on continuous learning. They’re particularly interested in developing both technical skills and soft skills, such as communication and teamwork. Offering opportunities for training, growth, and development – both in the classroom and through hands-on experiences – will be crucial for attracting and retaining Gen Z talent.

The path forward: building a workforce for the future

As organizations face the reality of managing a workforce made up of five different generations, it’s clear that a one-size-fits-all approach will no longer work. To successfully attract and retain Gen Z, companies must embrace flexibility, inclusivity, and transparency, while providing meaningful work experiences that align with their values.

At Helvetic Business School, we recognize the importance of adapting to the changing needs of the workforce and preparing our students to thrive in this dynamic environment. By understanding the unique traits, expectations, and motivations of Generation Z, organizations can build a workforce that is not only diverse and innovative but also ready to tackle the challenges of tomorrow.

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