Brokerage Ops the July/August 2024 issue

Managing the ‘Challenging Generation’

Gen Z has earned a reputation for difficulty in the workplace. Start from a place of understanding.
By Kimberly Paterson Posted on July 15, 2024

These complaints are more than anecdotal. An April 2023 Resume Builder survey of 1,344 U.S. managers and business leaders found that 74% of respondents rated Gen Z as more difficult to work with than previous generations. The top reasons cited were “lack of technological skills, lack of motivation, easily distracted, easily offended and dishonest.”

Forces at Work

Generation Z (you might call them Zoomers) is commonly defined as people born between 1997 and 2012. Like all generations, they are shaped by world events, prevailing societal and cultural norms, and how they were parented and educated.

Based on professional articles, research, and my coaching experience, six factors influence how Zoomers think and behave in the workplace.

Beliefs about work. Zoomers view work as a means to an end, not a life purpose. They prize work/life balance and draw clear boundaries around what they will and will not do. They grew up in the wake of the 2008 financial crisis and the mass layoffs that accompanied it, including of families and friends. Then they went through another wave of cutbacks during the COVID-19 pandemic. Zoomers don’t think companies are committed to their employees; in return, they feel little loyalty to their employers. They see no stigma in job-hopping and are quick to move on for more money or opportunity and better benefits and work environment. Many have side gigs and don’t hesitate to leave an unsatisfactory job before landing a new one.

Pressure to succeed. The pressure to perform starts early. Earning good grades, having the right extracurriculars, building an impressive résumé, and getting into the right college are critical. Zoomers are realists. They recognize the amount of money needed to support their lifestyle and are focused on securing good-paying jobs with career advancement opportunities. Zoomers believe that succeeding depends on standing apart from the competition. As a result, they prefer to be judged on their merits, not on team results.

Hypersensitivity and stress. Social psychologists say Generation Z and its millennial predecessors suffer from hypersensitivity. This can manifest as difficulty in handling negative feedback, overreacting to minor issues, avoiding conflict, emotional exhaustion, and overthinking that leads to difficulty in making decisions. Experts blame overindulgent parenting focused on building self-esteem and shielding children from the feedback and painful learning experiences that build resilience. Others cite hypervigilant parenting and 24/7 media exposure to fears about climate change, gun violence, global disasters, and conflicts as contributors to anxiety.

The American Psychological Association’s Stress in America 2023 study of 3,185 adults showed that respondents ages 18 to 34 reported higher stress levels than older generations. Of that group, about two thirds reported, “Stress makes it hard for them to focus,” and 58% described their stress as “completely overwhelming.” McKinsey’s most recent American Opportunity Survey suggests the problem is beyond stress and hypersensitivity, with 55% of 18- to 24-year-olds reporting having “either been diagnosed with or having received treatment for mental illness.”

Underdeveloped social skills. Zoomers missed out on experiences that support development of social skills. COVID-19 kept many locked in their homes unable to participate in normal experiences like graduation, proms, sporting events, and college campus life. Many who entered the workforce during the pandemic worked from home and couldn’t observe behavioral norms or integrate into the workplace.

COVID-19 is only part of the story. In a 2020 study of 4,000 adults, the Survey Center on American Life found that, compared to prior living generations, Zoomers spent less time socializing with friends and were less likely to have a part-time job, participate in outdoor activities, have romantic experiences, and be part of a religious community.

Social activism. Students from many public schools and private colleges and universities are entering the workplace with strong values on climate change, environmental responsibility, diversity, social justice, and equity. They believe in making the world a better place and that their employers must act in socially responsible ways.

Distrust of authority. A Gallup-Walton Family Foundation study released in April shows that Generation Z lacks trust in political and societal institutions. They’ve inherited a world with significant problems and see themselves as catalysts for change. They question everything and everyone. Unlike prior generations who believe you earn the right to an opinion, Zoomers feel entitled to their opinions and a seat at the table.

Adapting to Generational Expectations

In 2024, Generation Z will surpass the number of baby boomers in the workplace and by 2030 will comprise 30% of workers. Your success will depend on understanding and learning how to manage their expectations. Consider these strategies.

Design work to motivate. Many managers mistake job dissatisfaction for poor motivation. Gen Z’ers are motivated to succeed and value career success more than millennials. Zoomers are entrepreneurial, so look for ways to give them ownership of their work. They value independence, variety within their roles, learning, and opportunities to distinguish themselves. Avoid micromanaging. Set clear expectations for results but be as flexible as possible about how, when, and where work is done.

Feed forward, not back. Zoomers will be less sensitive if you position your comments as “feed-forward” for professional development and not constructive criticism. For example: “Your next sales presentation could be more effective if you highlight how the program addresses the client’s frustrations” rather than, “You spent too much time talking about the coverage differences.”

Assess and train. Many Zoomers are unprepared for work. Their needs go beyond the technical training required for the job. Common skill gaps include communication, managing interpersonal relationships, resilience, and appropriate workplace behavior. Critical thinking skills may also need development. Raised with the perception that all knowledge is a click away on Google or YouTube, Zoomers’ understanding and solutions may lack depth. Be prepared to identify and train for skills gaps.

Offer clear career paths. Those in Generation Z expect fast career advancement and are willing to change jobs to get it. Improve job satisfaction by ensuring that employees have clear opportunities for professional growth and career advancement.

Be inclusive in decision-making. Generation Z looks for consensus, not top-down leadership. Identify situations for participatory decision-making. When leaders must decide, be transparent in sharing what the decision is and why it was made.

Coach Generation Z on becoming office influencers. Generation Z’s outspokenness, tendency to question everything, and readiness to offer opinions can be off-putting to experienced workers. Teach Zoomers the tact and perspective-taking skills they need to influence colleagues and promote their ideas.

Bridge the divide. Casual comments about the younger generation’s work ethic or sense of entitlement may seem harmless, but they fuel the generational divide. You’ll be more effective if you emphasize the qualities that unite people, such as the desire to build skills or excel at work. Each generation brings unique qualities to the job. Create avenues to build mutual respect by learning from each other. Generation Z brings challenges to the workplace but also valuable strengths. Forward-thinking managers will find ways to use Zoomers’ fresh perspective, lack of tolerance for the status quo, and desire to impact their world to continuously improve the organization and adapt to the needs of a changing world.

Improving Gen Z employees’ performance begins with understanding the forces that shape their behavior and expectations. Seeing the world through their eyes and adapting your strategies where needed will put you, and them, on the path to success.

More in Brokerage Ops

Technology Is a Catalyst for M&A Integration
Brokerage Ops Technology Is a Catalyst for M&A Integration
Buyers and sellers can both benefit from good tech.
Sponsored By Trucordia
Brokerage Ops Mixing High-Tech and High Touch
Q&A with Courtney Hutchison, Market President—Colorado, The MJ Companies
Growing Through Product and Geographic Expansion
Brokerage Ops Growing Through Product and Geographic Expansion
This approach to firm growth may become the new normal as brokerages look to gra...