At 56 million strong, millennials are currently the largest generation in the workforce, making up one-third of all workers in the United States. That cohort (roughly translated as those individuals ages 23 to 38 as of 2019, and also known as Gen Y) is expected to continue to grow, according to data compiled by the U.S. Bureau of Labor Statistics. As the pool of talent expands, what exactly can business owners do to not only leverage what millennials have to offer, but also retain them well into the future?
To do so, business owners must first consider the many characteristics that define this generation of professionals and makes them different from other generations. One of the most obvious things that set millennials apart from previous generations is being tech savvy. Millennials were the first generation to grow up with technology. While older generations had their first experiences with computers and the Internet sometime in college and as employees, millennials were surfing the web and communicating via emails, message boards, and chat rooms throughout their adolescence. As digital natives, this familiarity with technology has made them an asset professionally, since they’re comfortable with incorporating social media, text messaging, and other types of technology into their day-to-day tasks.
Another common trait among this generation is their desire for a collaborative work environment. Gone are the days when a worker would close herself off in her corner office to pound away at a computer until the five o’clock bell rings. Today’s young employees would much rather work as part of a team in an environment that promotes collaboration, such as open workspaces that make it easy to toss ideas back and forth without the confines of four walls and a closed door. An open work environment also figures into millennials’ desire for regular feedback. As a generation raised to be a part of sports teams and clubs as children and teens, this appetite for praise and guidance has translated into their work lives where they not only want, but expect, regular dialogue and transparency from their bosses. While this may come across to some as being overly needy, this is actually an excellent opportunity for older generations to nurture and mentor their younger colleagues and help meld them into tomorrow’s leaders.
Having a communal company culture also leads into another important attribute of this generation: the need for a good work-life balance. While the average older worker came up during a time when working a 9-to-5 and clocking out for the day was the norm, today’s technology has enabled workers to check emails, reply to texts, and work on projects remotely 24/7. This constant connectivity has led to a strong need to separate their work lives from their outside lives. According to a 2016 Millennial survey by Deloitte, nearly 17 percent of millennials ranked a good work-life balance as the most important thing they looked for when evaluating a possible job opportunity. (Flexibility and a sense of meaning from their work ranked third and fourth, respectively, with opportunities to progress and become leaders coming in second.) While older generations were more lenient when it came to work-life balance, constantly tolling away behind a desk for eight-plus hours each day just doesn’t cut it with millennials.
One way that business owners can nurture this need for balance is by allowing a more flexible work schedule among its employees. The most obvious example would be giving workers the ability to work remotely. (That same survey found that the current level of flexibility in their workplace didn’t adequately suit millennials’ needs, and 88 percent of respondents said that they wish they had a “greater opportunity to start and finish work at the times they choose.”) Thanks to technology, this doesn’t seem like too much of a thing to ask for and could do wonders in the attainment of current employees.
This leads into one of the downfalls of millennials, at least from an employer’s standpoint. This generation is prone to job hopping. Unlike older generations who worked at the same place of employment throughout their careers, it’s rare to find millennials with a similar career trajectory. According to a survey by Gallup, 21 percent of millennials say they have changed jobs in the past year, an amount that’s three-times higher than that of older generations. What’s more, only half of millennials say that they plan to be working at their current place of employment one year from now opposed to 60 percent of older workers. This constant turnover costs the U.S. economy $30.5 billion annually.
So, what’s causing this need to switch jobs on a regular basis? While there’s no one right answer, the Gallup survey revealed that the majority of millennials (55 percent) are not engaged at work. If that’s the case, is it any wonder that they’re constantly on the lookout for something bigger and better that allows for better flexibility and collaboration, among other things that this generation looks for in a career?
Not engaging employees is a missed opportunity for employers. If not adequately addressed, don’t be surprised when you see that your company has become a revolving door for employees. As business owners, it’s our responsibility to remain nimble and adapt to the many changes that millennials bring to the workforce. After all, Generation Z, the next generation, is waiting in the wings and ready to take the workforce by storm with their own ideas of what they look for when seeking employment.
