A New Generation Has Arrived

 In the digital age, new forms of work have emerged. These new forms of work are defining the future of the labour market in many ways, and despite concerns about unskilled work on the edge of disappearance, technology has proven that its purpose is not to eliminate jobs but complement them.

The Impact of Technology on the Labour Market

Concerns about the impact of technology on the labour market are growing as new technology reshapes the way we work. These new technological advances could result in the loss of many jobs, however, many governments and unions seemingly still do not consider that these technological advances are intended to change the way we work.

The globalization of technology is allowing people from different parts of the world to offer their services online. A web developer in India can create a website for someone in Spain. But, what is even more interesting about the emergence of new types of digital work, is the creation of local work open to all skill levels. Today, digital platforms like Uber, eBay and many others, are providing the technology that is generating work opportunities for many unskilled workers. Countless digital platforms are creating local work, many of which do not require skilled labour, and these new forms of work without technology, would not exist as they are today!

Artificial Intelligence (AI) will continue to grow and stimulate productivity positively. The effects of productivity will mean that industries will grow, expand, and create more jobs — jobs that will be open to all skill levels. What we must consider is that many of these jobs will be completely different and will require new skills. For this reason, upskilling is crucial, and a new educational system will be needed for us to be able to fit in these new roles.

However, AI is a double-edged sword — while it may seem to be creating work that is more difficult to perform, it also intends to complement human skills and logic. This means that with a forged educational system boosted by AI, we will be able to polish and learn new skills easier and much faster.

Generation Z will soon surpass Millennials as the most populous generation on earth, with more than one-third of the world’s population counting themselves as Gen Zers. In the US, Gen Z constitutes more than a quarter of the population and, by 2020, will be the most diverse generation in the nation’s history

“Gen Z”

 As Gen Z is about to step onto the world stage, the impact of their entry will be swift and profound, its effects rippling through the workplace, retail consumption, technology, politics, and culture. Radically different than Millennials, this generation has an entirely unique perspective on careers and how to define success in life and in the workforce.

To better understand the challenges facing this rising workforce and their impact on employers and the workplace, we worked with the Network of Executive Women (NEW) to explore the key events that helped shape Generation Z; dive into their individual behaviors, attitudes, and preferences; and separate the myths and stereotypes from reality.

 

Who is Generation Z?

What are their behaviors? And what sort of impact will they have on the workplace, business, and the economy?

Given its experience growing up in the aftermath of the Great Recession, you might think Gen Z has emerged as a pragmatic, risk-averse, non-entrepreneurial group motivated by job security. Instead, a more nuanced picture emerged as we explored their career aspirations, career development, working styles, core values, behavior and character, education, and stance on diversity.

While salary is the most important factor in deciding on a job, Generation Z values salary less than every other generation: If given the choice of accepting a better-paying but boring job versus work that was more interesting but didn’t pay as well, Gen Z was fairly evenly split over the choice.

To win the hearts of Generation Z, companies and employers will need to highlight their efforts to be good global citizens. And actions speak louder than words: Companies must demonstrate their commitment to a broader set of societal challenges such as sustainability, climate change, and hunger.

Diversity matters to them through many dimensions, not just isolated to race and gender but also related to identity and orientation. Companies that can better represent the spectrum of differences in their external branding/marketing are much more likely to diversify their talent pipelines.

The Future of Work

As we draw insights from the preferences and behaviors of our newest generation entering the workforce, we need to also look at how “work” itself is changing and evolving. The new realities produced by these forces of change present us with complex questions to consider, including the ethics around human-machine collaboration, how to plan for 50-60 year careers, and how we unleash organizations through a continuum of talent sources.

The future of work will call for a return of the Renaissance figure: a person with many talents, interests, and areas of knowledge. It will require a fusion of four key work skills:

• Digital tools and technology skills

• Comfort with analytics and data

• Business management skills

• Design and creative skills

What Does This Mean For Employers?

 We think Gen Z will have the ability to demand greater personalization in how they move along their career journey. For organizations to attract and retain the best and brightest of the generation, it will require a different mindset.

To attract Gen Z, employers must be ready to adopt a speed of evolution that matches the external environment. That means developing robust training and leadership programs, with a real and tangible focus on diversity.

• Develop the profile of a great employee, establish internal apprenticeship programs, or hire smart, talented people and then match them with a role once inside the organization.

• Consider partnering at the university level to adopt top female talent to attract more women candidates for tech roles.

• Create latticed career paths and multiple work formats.

• Set up internal marketplaces to match projects with needed skill sets.

• Leverage the expertise of Gen X, Gen Y, and Boomers to help mentor Gen Z into strong leaders.

• Consider the attractiveness of the industry you are in and the reputation of your company and plan accordingly.

   What Can HR Do To Attract & Retain “Gen Z”?

HR Team should ensure companies are providing adequate compensation. Not only will this address Gen Z’s financial concerns, but these employees view it as a matter of both equity and respect. HR heads will need to begin by reevaluating starting salaries and raises. And if they haven’t already, they should consider adding transparency to their culture and talent strategy. 

They should also give Gen Z more control over where and when they work. For knowledge workers, this can mean the opportunity to work remotely at least some of the time. For hourly workers, it can mean having some say in the shifts assigned to them and knowing their shifts well in advance so that they can plan for personal commitments. It is also critical for HR teams to foster a culture that supports workers’ safety and mental and physical wellness. Gen Z wants their employers to genuinely support them on the job and respect their boundaries and needs outside it. HR leaders should survey employees’ wellbeing and seek feedback on established policies and benefits.

HR team should recognize that Gen Z is have something to offer and ensure they have opportunities to grow. In our research, many noted that a lack of growth opportunities would be a reason to leave a job. They also are eager to share their knowledge and skills, such as their facility with technology. HR leaders should work with managers to create and communicate career paths with internal and external development opportunities.

Finally, HR teams should encourage all business leaders to not just talk about a company’s purpose and values, but live them. Gen Z would leave a job if their employer’s values did not align with their own. By setting expectations, HR can help employees understand the impact and importance of the work they do, and ensure all team members including the lead managements are living the organization’s principles in how they communicate with and treat employees.

Increasingly, it’s clear that we have been too limited in the way we look at work. Instead of trying to fit people to a fixed ‘job’, we should be focused on identifying what skills are needed to do the work. Forrester calls this ‘unbundling the job’: a more adaptive model to work, where elements of jobs are broken down into projects, gigs or tasks. Rather than focus on ‘jobs’, we focus on the problem to be solved or the ideal outcome – and then find the people with the skills, interests and capacity to get us there.

A skills-based approach acknowledges that people are so much more than a job title. Or even one static job description. They have skills from previous roles, skills they picked up in other walks of life, and ‘adjacent skills’ that they could – with the right training – quite easily acquire. And they are keen to learn. As their skill sets grow, they can be deployed to new tasks or projects to meet business needs.

A skills-first organization is therefore one that is incredibly agile and well set up to meet the needs of a changing world, and demanding workforce. This is where the strength of HR lies!

Your genuine feedback, healthy criticism, interesting ideas for brainstorming and valuable insights are always welcome for overall improvement regarding such advanced topics and elevating discussions!

References
[1] https://www.gallup.com/workplace/404693/generation-disconnected-data-gen-workplace.aspx
[2] https://www.bbc.com/worklife/article/20220613-gen-z-the-workers-who-want-it-all
[3] https://www.mckinsey.com/featured-insights/sustainable-inclusive-growth/future-of-america/how-does-gen-z-see-its-place-in-the-working-world-with-trepidation
[4] https://www.deloitte.com/content/dam/assets-shared/legacy/docs/about/2022/deloitte-2022-genz-millennial-survey.pdf
[5] https://www.milkround.com/recruiter-advice/mental-health-sick-days-report-by-milkround
[6] https://www.microsoft.com/en-us/worklab/work-trend-index/great-expectations-making-hybrid-work-work