A generational shift at the workplace is happening! But what is it?
Updated: Apr 9
A lot of change is happening, and companies have a hard time keeping up. Most companies forget to prepare for the next phase, where we will welcome up to 25% of gen z into the workplace. And not to mention that the primary workforce already consists mainly of millennials.
A generational shift is happening! But what is it?
A generational shift refers to a change in the demographics of a population, typically characterized by a significant change in the dominant age group. This can happen as a result of changes in birth rates, mortality rates, or migration patterns, and it can have significant impacts on a variety of factors, including the economy, the labor market, and social and cultural norms.
Generational shifts can also have implications for businesses, as they can affect the composition of the workforce and the preferences and behaviors of consumers. It significantly impacts the company's culture and policies. As a result, it is essential for businesses to be aware of generational shifts and to adapt their strategies and operations accordingly. Not adjusting is a threat.
From what we can already see, average job tenure has dropped from 5-8 years to 1-1.5 years. Generations are moving from prescribed paths in lots of different ways. That means that giving options to your talent is now more essential than ever.
They no longer care about buying a home or having a good pension. GenZ barely has enough money to pay bills, student debts, and rent. It would be better to shift from long-vest benefits towards creating a personalized benefits program that meets their monthly obligations and becomes an instant solution in their life.
Young employees are more likely to join young firms with greater innovation potential and exhibit faster, higher growth. Here it is important to remember that in order to keep these young employees as long as possible, you should give them tailored training programs from day one to keep them hooked on constant growth.
The new generations are now-thinkers. They want to feel unique, heard, and seen. They want to experience it now. So everything you do, do fast! They might prefer project-based (gig-feeling) commitments. They want to be financially independent fast, so maybe you should consider dividing and shortening annual salary increases and reflecting on their performance based on project deliverables.
make sure when hiring GenZ the process is fast, and they have immediate closure. If you don’t deliver an excellent candidate experience, you might experience what “cancel culture” means. They don't hesitate to publicly call out what they dislike, so watch out here.
Companies need to adapt to the generational shift and start speaking the language of the generations they're hiring; otherwise, they will keep losing their talent. These new generation talents have different needs and demands.
If your attitude stays with boomers and X-ers, you have already lost the talent war. Change your value proposition and stop spending money on strategies that don't work. (source)
So here is a question for you: how are you/your company doing when it comes to generational shift trends? What is the issue you are currently facing? Why is it essential for your company? What do you want people, in general, to think of you in the future? How should your brand be represented to attract or retain the right generational segments? Do your current perks and benefits reflect what concrete generations might find valuable?