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Posted: 29 Nov 2024

Gen Z in the Workforce: How HR Must Evolve to Meet Their Demands

By Dilsheen Kaur

Welcome to the future of work, where job perks aren’t just about free coffee and festival celebrations anymore. Meet Generation Z—those born between 1997 and 2012—also known as Digital Natives—the first generation to grow up with the internet and are now stepping into the workforce with fresh expectations and some serious demands. 

Gen Z is driving change in ways that might improve workplaces for everyone. In this blog, we will explore the unique characteristics of Gen Z employees and how HR departments need to shift their engagement strategies to align with these expectations. 

Who is Gen Z?

The digital age, climate anxiety, a sifting financial landscape, and COVID-19 have shaped Gen Z. Growing up in an age of smartphones, social media, and instant connectivity, this generation has an intuitive understanding of digital tools. Although Gen Z encompasses a diverse group of individuals, its members share several key commonalities: 

  • Career growth and purpose: This generation is interested in staying active. They'll move on if there's no opportunity to learn, grow, and move up. 
  • Tech - a necessity: As the first real digital natives, Gen Zers—speaking generally—are highly online. 
  • Work-Life Balance Enthusiasts: They're not here for the traditional 9-to-5 grind. They expect the freedom to balance work and life. 
  • Transparency and Feedback Seekers: Gen Z craves transparency and constant feedback—no more annual reviews where you get one vague sentence about your "growth opportunities." 

Prioritizing Career Development and Purpose

For Gen Z, career growth is about personal and professional development that aligns with their values. Employers must offer tailored training and development opportunities that cater to their employees' individual aspirations. Mindfields is implementing customized career development plans that align with employees' personal goals, ensuring that Gen Z feels supported in their quest for continuous learning and growth. 

As per a Deloitte survey shown below, nearly nine in ten Gen Zs (86%) emphasize that having a sense of purpose in their work is crucial to their overall job satisfaction and well-being. Purpose-driven work is also a key motivator for Gen Z. They are deeply connected to social issues and want to work for companies that contribute to the greater good. Therefore, companies must embed purpose into their business strategies and demonstrate how their work contributes to larger societal goals. 

One of the transformative approaches to foster career development for GenZ is Servant Leadership. "Servant leaders prioritize the needs of their teams, create a shared sense of purpose, and focus on the growth and development of their people." – Indeed Editorial Team. At Mindfields, leaders adopt this approach by mentoring employees and fostering a shared sense of purpose, ensuring personal and professional growth. 

At Mindfields, we have Mindfields Care Day every quarter, during which our team collaborates with NGOs or camps to contribute to the betterment of the communities we serve. 

 

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Technology - A Necessity!

This generation grew up swiping and scrolling. As per a McKinsey report, Gen Zers spend six or more hours daily on their phones. They turn to the internet for information – news, shopping, dating, and even making friends. They expect systems at the workplace also to be intuitive, efficient, and as seamless as their favourite apps. With the same aspect in mind at Mindfields, we utilize tools like MS Teams, integrated chatbots, and automated onboarding processes to help us stay ahead of the curve and be cohesive of the generations collaborating here. 

While Gen Z is renowned for being tech-savvy, the top emotion they and millennials report feeling about GenAI is uncertainty. However, according to Deloitte's 2024 Gen Z and Millennial Survey, excitement and fascination aren't far behind. Interestingly, positive perceptions of the technology grow with hands-on experience. Frequent GenAI users from both generations are significantly more likely to believe the technology will positively impact their work. 

 

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Source: Deloitte Global 2024 Gen Z and Millennial Survey 

Flexible Working Models: The Cornerstone of Engagement 

Gen Z values the freedom to decide when, where, and how they work. They refuse to be confined to desks, demanding flexible hours and remote work options. At Mindfields, we embrace this mindset with our hybrid model. It's not just about convenience; it's about prioritizing mental health. The past has shown us that traveling miles isn't necessary when work can be done remotely. 

Mental health and wellness initiatives also resonate deeply with this generation. Research shows that 75% of Gen Z workforce prioritize work-life balance and mental health support when considering job satisfaction. At Mindfields, we proactively address these concerns by offering wellness programs and mental health days, fostering loyalty and engagement among our Gen Z employees.  

Flexibility at work extends beyond hours and location—it also includes recognizing individual needs and celebrating personal milestones, such as granting leave on birthdays. For example, inclusive policies like menstrual leave reflect Mindfields' commitment to employee well-being and equity. These initiatives not only improve work-life balance but also foster trust and inclusivity, ensuring that Gen Z employees feel supported in every aspect of their work-life journey. 

Building a Transparent Communication and Feedback Culture

Gen Z thrives in open, transparent, and frequent communication environments. They value collaborative spaces that actively listen to their voices and encourage free-flowing ideas. At Mindfields, the introduction of performance review tools like Peoplebox has significantly improved this. The platform facilitates transparent, continuous feedback, enabling employees to track progress and set clear development goals. 

Moreover, two-way communication is crucial. Gen Z employees expect leadership to be approachable and open to feedback. Over 60% of Gen Z workers report feeling more engaged in companies where leadership actively listens and fosters a culture of mutual feedback. Mindfields has embraced this by creating a Diverse Committee where employees can share their perspectives and contribute to organizational decisions. 

Conclusion: The Future of HR and Gen Z 

To successfully engage and retain Gen Z employees, HR leaders must embrace flexibility, foster transparent communication, leverage technology, and prioritize career development and purpose-driven work. By focusing on these aspects, organizations can create a work environment that resonates with Gen Z values. Organizations that adapt their strategies to align with these values will be well-positioned to attract and retain this dynamic talent pool as they continue to reshape the workforce. 

The future of HR lies in building an inclusive, flexible, and transparent environment that meets the unique needs of Gen Z employees, ensuring both their satisfaction and the organization's long-term success.

Topic: Blog