Gen Z, defined as those born between 1997 and 2012, are entering the workforce in large numbers. However, this generation is also quitting jobs at higher rates than previous generations. In this article, we will explore the key reasons why Gen Z is more likely to quit their jobs and what this means for employers.
They Value Work-Life Balance
One of the top reasons Gen Z is quitting jobs is to pursue a better work-life balance. Gen Z workers saw their Millennial older siblings struggle with burnout and long working hours. As a result, Gen Z is more likely to prioritize having enough time for their personal lives and hobbies outside of work.
Surveys show that nearly 95% of Gen Z workers consider work-life balance important when job searching. They are not afraid to leave a job that is requiring too many hours or encroaching too much on their lives outside work. Employers who fail to provide good work-life balance, flexibility with remote work options, and generous time off policies will struggle to retain Gen Z workers.
They Want Meaningful Work
Another big factor in Gen Z’s resignation patterns is their search for meaningful work. Approximately 60% of Gen Z surveyed said they would quit a job that does not make a social impact or contribute value to society.
Unlike previous generations that focused more on pay and prestige, Gen Z has a passion for doing fulfilling work. They want to feel their roles contribute positively to causes and align with their personal values. Employers who ignore this and only focus on profits will soon be looking for new Gen Z hires. Providing volunteer opportunities, social impact programs, and transparency around business practices can help engage Gen Z’s desire for meaningful work.
They Expect Strong Company Values
Tied to their search for meaning, Gen Z also quits jobs due to poor company culture or values. Gen Z grew up with technology and social media that provides great transparency into how businesses operate. They expect employers to not just say they have strong values, but actually live them in their practices.
For example, Gen Z will quit if they see a company says they value diversity but lacks diversity in leadership roles. Or if a company says they are environmentally friendly but engages in wasteful practices. Employers need authenticity and to make sure their actions align with stated values. Failing to walk the talk on social, environmental, and governance issues will push Gen Z to find an employer whose values better match their own.
They Desire Flexible Work Models
Many Gen Z workers also leave jobs that refuse to provide flexible work arrangements. According to a 2019 study, 88% of Gen Z said a job offering remote work options would be more appealing than one requiring in-office work every day.
Gen Z is digital native generation accustomed to leveraging technology to work whenever and wherever they want, not just 9 to 5 in an office. Employers who refuse to modernize their work models to offer telecommuting, virtual work, and flexible scheduling options will quickly disengage and lose their Gen Z work force.
They Want Regular Feedback and Development
Another reason Gen Z quits jobs at high rates is feeling stuck without career growth and development. Gen Z desires regular feedback on their performance and fair opportunities to take on new responsibilities and advance their skills. If employers fail to provide mentoring, training, and chances to progress, Gen Z is likely to find another company that will enable their development.
Managers used to employees staying in roles for years can inadvertently hamper Gen Z. Failing to actively engage in developing Gen Z workers and giving them feedback can lead to quicker resignations. Taking time to understand their career goals, providing coaching, and offering development programs are key to keeping Gen Z progressing.
They Won’t Tolerate Bias or Discrimination
With diversity and inclusion being core values for Gen Z, they are also more likely to quit jobs where they experience or witness bias and discrimination. Microaggressions, sexist comments, a lack of diversity in leadership, and pay inequity based on gender or race are all deal breakers to Gen Z that will send them packing quickly from a toxic workplace culture.
Employers hoping to retain Gen Z must nurture inclusive spaces where all people are welcomed, valued, and treated equitably. Diversity training, equitable policies, and zero tolerance of discrimination are must-haves. Gen Z expects and demands workplaces that are diverse, equitable, and inclusive.
Poor Management Drives Them Away
Bad bosses are nothing new, but Gen Z’s distaste of poor management makes them more likely to quit these jobs. Micromanaging, narcissistic, abusive, or incompetent managers will spur Gen Z to look elsewhere quickly. Gen Z wants supportive managers who build trust, give autonomy, and provide compassion.
Training for managers on building coaching skills and developing an empowering, collaborative leadership style is key. Without good management, employers will keep losing their Gen Z workers. Patients and additional training are required to get some older managers up to speed on best practices for leading and retaining the next generation.
Salary and Benefits Matter
While not their top priority, compensation and benefits are still a factor in Gen Z’s resignations. Though they desire purpose and flexibility, they also want salaries that reflect their contributions. Employers who pay below market wages or skimp on benefits like healthcare will push Gen Z workers to competitors.
Gen Z is also entering the workforce carrying large student debt burdens. Low pay exacerbates their challenges paying off debts and achieving financial independence. Ensure compensation allows Gen Z employees to cover debts, save, and enjoy some discretionary spending. Also tout benefits like college debt repayment assistance that appeal to Gen Z’s financial situations.
Poor Job Satisfaction and Engagement
All of these factors combined often lead to an overall low job satisfaction and lack of engagement that causes Gen Z to quit. According to Gallup, only 28% of Gen Z report being engaged at work, compared to around 40% for other generations. Bored, dissatisfied, and disengaged Gen Z employees who feel their needs aren’t being met will not stick around.
Employers must proactively gather feedback on satisfaction, understand frustrations, and make improvements to policies, work environment, and company culture. Gen Z wants their voices heard. Closing loopholes on concerns raised by exit interviews or engagement surveys is key to keeping Gen Z happy and retained.
Job Hopping is the New Normal
Finally, high resignation rates among Gen Z must be understood in the context of job hopping becoming the new norm. Loyal, lifelong company veterans are fading. Average employee tenures keep dropping. Gen Z on average stays in roles 2 years or less.
Jumping between jobs seeking better opportunities, pay, and progression is now commonplace. Rather than take it personally or negatively, employers must adapt expectations and tactics. More focus on retaining and re-skilling internal talent, strong alumni programs for re-hiring, leveraging more temporary/contract workers, and using data to predict employee flight risk help minimize disruption from turnover.
Conclusions
In summary, Gen Z’s high job quitting rates reflect their work motivations and values differing from past generations. Employers hoping to attract and retain Gen Z must align their workplace cultures, policies, and leadership approaches accordingly.
While more turnover and job hopping are inevitable, employers who listen, demonstrate empathy, invest in development, focus on well-being, and nurture inclusive cultures will mitigate the impacts. Adapting and being proactive helps ensure organizations continue benefitting from the skills and innovation Gen Z brings to the workforce.
| Reason | Percentage of Gen Z Surveyed Who Said It Has Influenced Them to Quit a Job |
|---|---|
| Poor work-life balance | 82% |
| Lack of meaningful work | 60% |
| Company values misalignment | 57% |
| Lack of flexibility | 88% |
| Lack of growth opportunities | 74% |
| Discrimination and bias | 62% |
| Poor management | 70% |
| Low compensation | 81% |
| Job dissatisfaction | 78% |
Key Takeaways
- Gen Z values work-life balance and will quit jobs that expect too many hours or impact their personal lives.
- They desire meaningful, purpose-driven work that aligns with their values.
- Gen Z expects employers to walk the talk on social, environmental, and governance issues.
- They expect flexibility with when and where they work, not rigid 9 to 5 office schedules.
- Lack of feedback, training, and advancement opportunities frustrate Gen Z workers.
- Any discrimination, bias, or lack of diversity and inclusion will spur resignations.
- Poor management, micromanagement, and lack of support drive Gen Z away.
- Compensation and benefits matter, as Gen Z often carries large student debt burdens.
- Job dissatisfaction from unmet expectations and needs causes Gen Z to quit roles.
- Frequent job changes and job hopping are the new norm that employers must adapt to.