Most people assume Millennials and Generation Z (Gen Z) are lazy and entitled. They should see the workforce differently than previous generations. They are more in tune with social media and trends. And they’re happy to walk away from a job they enjoy in the hopes of finding something better.
This is something that is making some top leaders panic. If they can’t retain their Millennial and Gen Z employees, what can they do with the ones who don’t like their jobs? How is it possible to find top talent and build a strong workforce? Here are the top reasons why Millennial and Gen Z employees quit their jobs and what you can do about it.
They’re Not as Engaged
One of the biggest reasons why Millennials and Gen Z are leaving their jobs behind is simply because they’re not engaged. They have become the least engaged people in the workforce. Only 29% of Millennials are engaged, compared to 33% of Baby Boomers, 32% of Gen Xers, and 45% of traditionalists.
Fifty-five percent of Millennials have admitted to feeling disengaged in the workplace while 16% said they are actively disengaged with their current line of work. The high turnover from disengagement has cost the U.S. economy $30.5 billion.
They Want Better Opportunities
Millennials and Gen Z leave their jobs behind to find better opportunities. This is great news for companies who are looking to hire and retain their employees. Eighty-nine percent of Millennials admitted they would stay in the same employment for a decade or longer if there were more opportunities for advancement and an increase in pay.
It doesn’t mean that Millennials and Gen Z want to job hop. They want to have those opportunities to grow and advance with a company. It’s up to companies to provide these opportunities so these two generations don’t have to look for jobs elsewhere.
They Want to Grow
Millennial and Gen Z employees want to grow within their careers. They’re looking for growth opportunities and more engagement than previous generations. When they don’t feel as if their career is challenging or rewarding, they’ll look for another job. Growth opportunities don’t necessarily mean getting their own office or a promotion. The definition of growth is different for each individual and should be addressed by management.
They’re Looking to Relocate
One out of every four Millennials decided to quit their jobs because they want to relocate. Companies will have a hard time retaining employees if they’re quitting due to their changes in geography. While there are opportunities that allow for working remotely or in coworking spaces, companies will have to take each of these options into account.
Both generations are more mobile than previous generations. Most of them relocate because of a spouse’s job or school situation. Others relocate because they want to explore the world. No matter the reason, technology has made remote work a reality. Companies that don’t want to lose a quarter of their workforce should embrace the option to telecommute.
They Want More Than a Paycheck
Millennials and Gen Z agree that having a reliable paycheck isn’t enough to consider long-term employment. They want to feel as though they belong and can connect to the mission and values of that organization. When a company has poor values or culture, neither generation intends on sticking around. Seventy-one percent of Millennials feel that their organization’s values determine their decision to stay with that company for another year.
They Want to Go Back to School
Sixteen percent of Millennials would leave their jobs in a heartbeat if they could go back to school. There are so many reasons why a Millennial would like to go back to school. Some want to advance their careers while others missed out on the college experience. The reason why Millennial and Gen Z employees would quit their jobs is because they want more opportunities for career growth.
There are numerous reasons for going back to school. It’s important for organizations to treat their former employees as alumni. What can improve a company’s branding is when some of their best employees are enrolled in the best schools across the country. They can become brand ambassadors on the company’s behalf.
Traditional Management Styles Don’t Work
These management styles no longer appeal to Gen Z and Millennials. They want managers who act like coaches rather than bosses. They want someone who shares their values and can help them identify their strengths and weaknesses.
They Want to Learn New Skills
When a talented person is in the wrong role, a strong company will help them find a position that’s a better fit. Since most Millennial and Gen Z employees are in the early stages of their careers, it’s important for them to find the right opportunities that allow them to develop these skills. Organizations need to provide an environment that tells them what’s working and what isn’t. This will help them determine the best fit for the skills they already have and the skills they need to develop. It can benefit both the company and the employee.
Annual Reviews Don’t Cut It
Annual reviews no longer cut it for Millennial and Gen Z employees. They’re looking for regular coaching and feedback. This should become an ongoing process for all of your employees, not just the young ones.
They Want to Change Fields
Even though Millennial and Gen Z employees love their jobs, they’re willing to quit them to change to another field. Some people change jobs because they want to try something new. Others change jobs for personal or health reasons. It’s important for employers not to burn bridges. If one of your employees wants to change fields, wish them luck with their future endeavors.
No matter what happens, respect their decision and treat them kindly. They could become a future customer or client. Or, they could refer potential employees to your company. They could become a brand ambassador for your organization wherever the future takes them.
If your company is looking for top Gen Z and Millennial talent, then you should refer to this guide on a regular basis. This will help you to attract, engage, and retain new employees.