gen Z in the workplace: understanding the youngest talent.

Gen Z isn't the future workforce; they are here, and they know what they want. To future-proof your business and maintain continuous growth, you must understand the new professional playbook Gen Z is writing and know their workplace preferences and attitudes from A to Z.

Despite the stereotype that young workers have poor work ethic, Gen Z talent wants to grow in their careers, according to Randstad USA’s recent survey of 750 U.S. talent on Gen Z in the workplace. However, our analysis of 126 million global job postings found a shocking discovery: entry-level roles are growing significantly slower than other positions across industries. Even with Gen Z workers wanting to build their professional futures, they’re struggling with simply getting started.

fewer entry level roles: how professional growth opportunities are key to engaging and motivating gen Z

One of the most challenging aspects of Gen Z entering the labor market is the lack of roles. The number of entry level jobs is shrinking globally and has dropped by 29% since January 2024. In the U.S., postings for junior roles have grown much more slowly than those for mid-career and senior positions–rising just 3% since January 2024, compared to increases of 31% and 25%, respectively. This level of postings is having repercussions on the young workforce.

A lack of job options is leaving Gen Z to enter the workforce where it can, rather than where it wants to. Almost 60% of the generation reported that they went into their industry based on job availability. In turn, it shouldn’t be surprising that Gen Z workers are the least motivated and engaged (68%) in their current roles compared to older generations, like Millennials (81%), Gen X (73%) and Boomers (86%). However, their lack of motivation doesn’t reinforce negative stereotypes of Gen Z in the workplace. Rather, over two in three (70%) Gen Z workers say they perform their job effectively, although they are still exploring other opportunities.

What does this mean? Gen Z wants a space to grow professionally and by cultivating that environment, you can unlock the potential of this workforce. Even with fewer entry level roles, there’s an opportunity to engage and motivate the young workers who manage to secure their career starting point, so that what began as their only gateway transforms into where they want to be. Providing upskilling opportunities, mentorship programs, and clear career advancement pathways fosters a workplace that young workers want to be in.

gen Z job hopping: how pay and flexibility overcome cultural misalignment

Yes, Gen Z is reputed for job-hopping and being easily bored. Two-thirds (66%) of Gen Z respondents said they are planning to leave their current company within the next two years. Interestingly, this trend is highest in the U.S., compared to other regions like Japan (44%), Argentina (53%) and France (59%). However, it’s not poor work ethic; it’s lack of fulfillment.

While the stereotypes persist, our data shows Gen Z is hungry for growth. The real issue? They are forced to settle. Young workers are just waiting for the next opportunity that aligns with their ambition. When making decisions regarding job changes, 90% of Gen Z respondents often or always consider their long-term career goals. This means that you have an opportunity to gain the loyalty and interest of Gen Z by nurturing their careers and meeting this group’s professional wants – including through learning and development.

However, Gen Z workers are also seeking better pay and more flexibility from their jobs. The number two drivers of young workers switching jobs are low pay and lack of flexibility, according to 56% and 42% of respondents in this age group, respectively. These two factors are so important to this group that 62% of Gen Z will compromise their values for them. Use this tactical insight: a competitive offer in pay and flexibility can strategically overcome cultural misalignment, a willingness far higher than other generations (Millennials (58%), Gen X (54%), and Boomers (44%)).

the growth premium: why learning & development is the ultimate retention lever

Gen Z places an emphasis on professional development, with a preference for a diverse range of learning styles. Learning through on-the-job-training (56%), colleagues and mentors (45%) and skilling opportunities when required for their job (45%) are top avenues for young workers to grow professionally. Interestingly, almost half (41%) of Gen Z sometimes learn through AI tools. Remember, Gen Z is ambitious, so including a variety of opportunities that will support their career development and help them to achieve their professional goals can be the key to long-term retention.

Specifically, Gen Z has an interest in growing its AI skills. Overall, the generation is optimistic about AI; yet, widespread use hasn’t been adopted. While over half of Gen Z respondents are excited about the prospect of AI in the workplace, 60% of Gen Z respondents haven’t received AI training in the last year. However, across generations, there’s a disparity between who is receiving this training, with 40% of men having received AI training compared to 31% of women. This is a key opportunity to activate on. Those who deliver AI training and skills development will be one step ahead of everyone else in Gen Z recruitment and retention.

gen Z’s professional goals: why advancing their career development maintains your talent pipeline

Gen Z workers have shown that they care about their careers, but they aren’t using the same playbook as older generations. They want to grow and advance, but they also want an environment that values them and supports a positive work-life balance. Employers have the insights on how to create an environment and culture that supports these workers. Now, it’s up to you to engage and grow the future talent pipeline.

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