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How Gen Z employees will impact the future of engagement

Charles Cornwell, general manager, employee experience at SMG, shares tips on how to keep the Gen Z workforce engaged in their job which will drive financial performance for a retailer and deliver a real bottom-line impact.

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March 3, 2020 by Charles Cornwell — General Manager, Employee Experience, SMG

Gen Z, as defined by the Pew Research Center, are the pre-teens, teens, and young adults born in or after 1997. And with 61 million in the United States — the oldest of the group graduating college this year — the retail and restaurant workforces are already flooded with Gen Z.    

If there's one thing to know as an employer, it's that engaged employees drive financial performance and deliver a real bottom-line impact. To reap those benefits, you must know what increases engagement for the newest generation of workers. Based on analysis of employee experience (EX) data across SMG clients, Gen Z's top drivers are:
•    Autonomy + efficiency.
•    Opportunities to learn + grow.
•    Clearly defined expectations.
•    Recognition.

Additionally, Gen Z scored lower on important engagement benchmarks — Intent to Remain, Personal Commitment, and Energized — than every other working generation. Luckily, their top drivers can outweigh what they as a generation struggle with most in the workplace. How can employers provide the next generation of workers the tools they need to be the best employees? 

Provide direction with career pathing

If you don't define career trajectories for employees already, now is the time to start. Gen Z takes more ownership of their career than previous generations, and they want to know the clear-cut path to success. Communicate the route for employees to advance to shift leader, supervisor, or manager, and provide detailed requirements for each role. Laying it out for them early in their career can provide a goal to work toward, leading to long-term commitment and less turnover. 

Facilitate open lines of communication

Gen Z has been surrounded by technology their entire lives. And while half of them are online for more than 10 hours a day, they actually crave in-person social interaction more than the previous generation. In fact, 72% of Gen Z employees prefer a face-to-face conversation in the workplace.

Holding pre-shift huddles is a great way to encourage open communication and transparency. SMG's statistics show Gen Z scores particularly low on feeling their work is rewarding — in turn, they are less likely to recommend their place of employment to friends and family. Use huddles to remind employees why their job is important, relay vital information, and allow employees to ask questions or express concerns. Reinforcing company values and the “why” behind what they do creates a sense of purpose (and a stronger allegiance with your brand). These short meetings also provide a great platform to recognize those going above and beyond in the workplace, another Gen Z motivator that leads to increased engagement.

Use training to set expectations and encourage development

The onboarding process should be used to set clear and defined expectations for your employees. By incorporating hands-on, in-person training whenever possible, you introduce open communication early on and give employees the face-to-face interaction they desire.  
You might even consider looping in junior employees during certain management trainings. Not only will cross-training teach them new skills and provide transparency across the team, but it can also facilitate the career development and growth that Gen Z craves.

Attract and retain your Gen Z employees

Born into the world of technology and with instant gratification often at their fingertips, the newest generation of employees might be slightly intimidating to employers. Dig a little deeper into what they want from their jobs, and you'll see their desires can be met by adjustments that will benefit all generations (and tenure) of employees. What's more — striving to keep Gen Z engaged will reduce turnover and retain the young talent that may be the future of your company.