The Right Company Culture for Generation Z

Did you know that almost one in three young employees plans to leave their current employer within two years? That’s... alarming, right? But for Generation Z, it’s not really unusual. In fact, surveys show that they are the generation most likely to switch jobs and the most open to career changes.

(Source: greatplacetowork.co)

A survey even shows that one in five people under thirty, mostly Gen Z, is generally dissatisfied with their job. The reasons for this are of course varied, but in 99% of the cases, it’s because the corporate culture doesn’t meet the needs of Gen Z, and as a result, companies indirectly drive away young talent. These employees then actively seek employers who fully meet their needs. While basic needs such as fair pay and job security remain important, there are now many new values that have become a “must-have” for Gen Z. So, how can you really convince Gen Z and digital natives to stay long-term at your company? That’s exactly what we want to show you today.

The fact is that Gen Z will be the workforce of tomorrow. So, if you want to attract and convince Gen Z, the digital natives, to join your company, you should take their desires seriously.

But before we dive into that, let's take a look at the previous generations:

(Source: adigiconsult GmbH)

As you can see, the job market is by no means homogeneous, but consists of a variety of people: from 16-year-old apprentices to experienced professionals and soon-to-be retirees. Each generation brings different needs, values, and norms to the workforce, all shaped by their individual life stages. While Baby Boomers mainly value job security and permanent employment, employees between the ages of 40 and 49 prioritize a good work-life balance that allows them to reconcile family and work. Millennials, on the other hand, value a respectful corporate culture, hybrid working models, and flexible working hours. They appreciate flat hierarchies and opportunities for further education and development.

What trend can you identify?

Terms like flexibility, appreciation in the workplace, and work-life balance are becoming more common. In short, the new generations will long for a job that is increasingly tailored to their needs. Unlike Baby Boomers, for whom job security and fair pay are the main focus, today’s employees center their individuality and personal needs.

But now let’s take a closer look at Gen Z and their needs

Gen Z includes young people born roughly between 1997 and 2010. As you can see, this is the first generation that has grown up entirely in the digital age — the Digital Natives. These are not people who merely see smartphones as a communication tool. Instead, they are people for whom a life without smartphones is hard to imagine. Digital Natives have grown up in a world where they are constantly connected, can access things quickly and easily, and everything is generally... more flexible. Gen Z strives for independence and seeks the perfect balance between work and leisure. In fact, the majority of Gen Z prefers not to have traditional 9-5 jobs with fixed hours, but values flexible working models that can adapt to their life.

But the most important thing...

For Gen Z, self-actualization comes first

Gen Z looks for a job that fits their personality and life, where they can fully express themselves. Unlike Millennials, who seek meaningful work, Gen Z focuses more on having their individuality respected and allowed to thrive. This is reflected in their desire for self-determined working hours, personalized training opportunities, and an open work culture.

So, what does the ideal company culture look like to convince Gen Z?

Simply put, it needs a company culture that promotes values like freedom, independence, individuality, and flexibility. Employee benefits can massively influence company culture in this regard. You may be wondering why. The truth is, benefits have already become completely normal for today’s job entrants. That’s why their expectations for the benefits offered by companies are very high. Interestingly, more than half of Gen Z workers prefer benefits that can be fully flexible. This means that these young workers value the opportunity to use their benefits according to their individual needs.

So, how can benefits be made flexible? Quite simply: offer exactly what your employees want. Of course, this isn’t an easy task, as every person is unique and leads a life with individual interests, hobbies, needs, and values. But the first step alone is to ask your employees what they find interesting and what benefits they would like. However, if you want to go a step further and engage Gen Z long-term, you’ll need a flexible and customizable benefits offering. Only this way can you meet the individual wishes and passions of your employees. If you want to better understand how you can achieve this, take a look at how we solve it at HelloBonnie and let’s talk directly.