Why Are Younger Generations Less Engaged at Work?

Why are younger generations less engaged at work? That's the question that's been on my mind since reading Gallup's Generation Disconnected: Data of Gen Z in the Workplace study. The research found that 54% of Generation Z and younger millennials are not engaged at work, compared to Generation X (49%) and baby boomers (50%).

According to the data, 68% of Gen Z and younger millennials say they often feel stressed at work. That, of course, makes them more likely to quit their jobs. One conclusion in particular got me thinking: "Younger employees may be less willing to settle for a less-than-ideal company as they keep an out for something better."

As an employer, leader and talent developer, I need to figure out what I can do to better understand their needs and provide them with the conditions they need to feel fulfilled in the workplace. 

A few weeks ago, at Collective, we hosted a great Master Class on multigenerational workplaces, to which we had the pleasure of inviting Isabel Martínez-Carrera, Head of People at WeWork Latam; and Daniel Ordaz, entrepreneur, columnist and expert on HR. 

This session helped us realize that the youngest generations need to find a connection between their personal purpose in life and that of the company they work for. But they also want flexibility from their managers in terms of working hours, working model and leadership (horizontal rather than vertical).

They also call for a greater focus on human capabilities, well-being, work-life balance, and a culture where they feel safe, supported, and heard.

According to Gallup, 65% of Generation Z and younger millennials rate a good work-life balance and better personal well-being as very important, almost as important as their desire for a raise or better benefits. Oddly, despite being digital natives, they crave face-to-face contact with their colleagues and managers (and that explains why the study suggests they are the generation least connected to their work teams — blame the pandemic).

All of this makes sense. Younger workers were shaped by a series of social, economic, and political circumstances. They grew up during the 2008 economic crisis and have since supported necessary causes, such as fighting racism and discrimination, sexual harassment, gun violence, climate change, and income inequality. In addition, many of them entered the job market during the pandemic and faced uncertainty, chaos, and in many cases, layoffs.

No wonder we faced phenomena like the infamous "quiet hiring."

Is It OK to Expect So Much From a Job?

There are many things we can change and improve in the workplace, and we have the younger generations to thank for forcing us to think about leadership, work environment, mental health, and other issues that will shape the future of work.

Still, I cannot help but wonder if we will ever meet their expectations. Generation Z and some millennials are looking for purpose, professional growth, great culture, compensation and leaders they admire, among other things. I wish every company could offer them that, but the truth is that there is no perfect job and we are constantly faced with challenges, changes and adjustments to circumstances.

I think there is a way for centennials and businesses to meet each other halfway because perhaps it is not so healthy to have so many hopes, expectations and demands in just one area of life. Even though work is a big part of our sense of fulfillment and happiness, we cannot rely exclusively on always having our dream job.

We are all responsible for building high quality relationships, for having healthy lifestylists (mental and physical) and developing personal projects that bring us closer to our purpose. 

In the meantime, there are some changes companies and leaders can make now to attract the best young talent and keep them: 

• Have a transparent communication policy. The younger generations are faced with so much uncertainty, and maybe we think we are protecting them by withholding data but the truth is that the only way to build trust is to share information and over-communicate.

• They need to know where they are going. These days, there are no linear career paths like there were in the past, but every leader should know their team members well enough to understand what their goals are, what motivates them, what they want to learn, and work together to develop individual plans for career growth.

• Regardless of their role within the company, each person should know why their work is important to achieving the company's purpose. Make sure they know exactly how they are making a positive dent in the world.

• Annual feedback is not enough, and it shouldn’t be only the manager-employee type. Regular and bidirectional feedback will improve centennials’ self awareness, and will give them the chance to learn, to receive mentoring, and to know they are being seen and heard.

• Lifelong learning is a must. Give your employees the opportunity to participate in educational programs that will bring them one step closer to their goals. At the same time, their knowledge will benefit the company.

While meeting the diverse expectations of every generation may seem like an insurmountable task, it is vital to acknowledge and respond to the needs of younger generations within the workplace. If we address their desire for purpose, flexibility, personal development, and supportive cultures, organizations can foster an engaged and productive workforce. This continuous effort to create better workplaces will undoubtedly yield positive results for both employers and employees.