Global workplace study points to big differences between Gen Y, Gen Z

Gen Y has been largely described as entitled and narcissistic. Their younger counterparts, Gen Z? Apparently not so much.

Gen Z appears more loyal and open-minded and less motivated by money than Gen Y, according to a global study released today.

The first international study to focus on workplace preferences of Gen Y (those aged 21 to 32) and Gen Z (aged 16 to 20) found that only 28 per cent of Gen Z said money would motivate them to work harder and stay with their employer longer as opposed to 42 per cent of Gen Y.

Conducted by Millennial Branding, a Gen Y research and consulting firm, and Randstad US, an HR services and staffing company, the research also found that Gen Z has more of an entrepreneurial spirit than their older counterparts, with 17 per cent of Gen Z wanting to start a business and hire others compared to 11 per cent of Gen Y.

Entitled “Gen Y vs. Gen Z Workplace Expectations”, the study surveyed about 1,000 people from each generation in 10 countries: the United States, Brazil, Canada, China, Germany, India, South Africa, Sweden, Turkey and the United Kingdom.

“When you think about what they [Gen Z] have grown up with, with technology being part of their lives compared to previous generations that were working into technology in the workforce, and what they’ve seen over the last 10 to 15 years, that corporations go through growth and diminishing profitability and challenging times…Gen Z has come across with more of an entrepreneurial spirit,” says Michelle Prince, Randstad North America’s senior vice president of talent management on the line from Atlanta.

“For Gen Z it’s not as much about the money, although that’s still one of their top three motivators, but it’s about advancement opportunities…and meaningful, challenging work. With Gen Y, it’s money, advancement, and meaningful work.”

The study found other attributes that distinguish Gen Z and Gen Y employees.

Gen Z (61 per cent) has stronger desire for managers to listen to their ideas and value their opinions over Gen Y (56 per cent), while Gen Y (58 per cent) has a stronger desire for managers to allow them to work independently than Gen Z (46 per cent).

In Canada, Gen Z is most interested in mentoring as a means of learning and development, whereas Gen Y selected online courses as being most beneficial, Prince notes.

“Gen Z has a clear advantage over Gen Y because they appear to be more realistic instead of optimistic, are likely to be more career-minded, and can quickly adapt to new technology to work more effectively,” Dan Schawbel, founder of Millennial Branding and author of Promote Yourself: The New Rules for Career Success, said in a statement.

“Additionally, since Gen Z has seen how much Gen Y has struggled in the recession, they come to the work place well prepared, less entitled, and more equipped to succeed.”

Although both generations picked a corporate workspace as their preferred work environment, Gen Z likes the idea of working from home, with 20 per cent saying they would perform best in a home office compared to 11 per cent of Gen Y.

The two generations have similarities when it comes to the workplace.

Both value honesty. Just over half (52 per cent) of both Gen Z and Gen Y state that honesty is the most important quality in a good leader. Leaders should also exhibit a solid vision (34 per cent of Gen Z saying so, and 35 per cent of Gen Y), followed by good communication skills (32 per cent for Gen Z, and 34 per cent Gen Y).

Gen Z and Y also want real, personal interaction rather than doing everything via technology. Both say they prefer in-person meetings with managers (Gen Z 51 per cent; Gen Y 52 per cent) as opposed to emailing (16 per cent and 18 per cent respectively) or instant messaging (11 per cent for both).

Few believe that technology enhances personal relationships with co-workers (Gen Z 13 percent; Gen Y 14 per cent).

In Canada, both generations stated a preference for working at a medium-size company of 100 to 1,000 employees over a larger or smaller organization.