What Does Gen Z Want in a Workplace?
Did you know that 14 percent of the US population was born between 1997 and 2007? Recruiters know what that means: a large new demographic is reaching adulthood and entering the workforce.
Generation Z is a tech-savvy, socially conscious generation that’s surprisingly unmotivated by pay. And if your manufacturing company is struggling to attract or retain this elusive talent, you aren’t alone.
What we know about Gen Z.
As the large Baby Boomer generation retires, many companies are desperate to answer the question, “What does Gen Z want in a workplace?” The conclusions are both insightful and somewhat concerning for manufacturers.
A study by Deloitte reports that Gen Zers are looking for a boss who demonstrates empathy, trust, psychological safety (i.e., assurance that failure will prompt guidance, not punishment), and a commitment to employee well-being.
Similarly, a survey by McKinsey & Company revealed that Gen Zers’ top five reasons for taking a manufacturing job are, in order of most to least important: reliable coworkers, meaningful work, caring leaders, workplace flexibility, and inclusive community. Compensation didn’t make the list.
In short, Gen Zers are most attracted to a workplace that cares for them as intrinsically valuable human beings. With that comes trust and flexibility, support for emotional and physical wellness, and the feeling that one’s work is part of a bigger, better picture.
At first glance, the manufacturing industry may seem at odds with these values. In a world of timecards and production quotas, how can you give your employees more of a sense of control? In an industry dominated by machines, how do you make the workplace feel more human?
As an architecture and engineering design firm with decades of experience designing plants for manufacturers across the globe, C2AE has a few environmental solutions to these difficult questions.
Flexibility and Trust
Gen Zers desire a supportive work environment where they can learn by doing, without fearing consequences for mistakes made early on. As Deloitte reports, “Gen Zers normalization of mental health discourse creates new expectations and needs for experiential learning.”
McKinsey & Company also notes, “Gen Z wants to know that they can make mistakes, learn, and still have a chance to develop their skills for long-term career growth. It therefore may be especially important for manufacturers to shift mindsets and behaviors—particularly at the shop floor supervisor level—to convince Gen Z to stay.”
C2AE has witnessed a similar change in the education market. In recent years, we have worked with school districts, colleges, and universities to design more experiential learning spaces for young people. In addition to traditional labs, schools are focusing on career and technical education centers (for example, test kitchens, cosmetology labs, ambulance simulators, and even plant layout learning labs), where the next generation can learn by doing.
So, how should your company respond to this trend? I recommend focusing on your workforce’s continuous improvement (CI) mindset. Communicate that your company values learning and growth, starting with the work environment.
Consider adding CI labs that lean into Gen Z’s technological prowess. Fill these spaces with electronic whiteboards, video conferencing equipment, virtual reality equipment, and other tools such as electronic borescopes. Hold training in these spaces to give new workers the hands-on experience they need to solve problems with others. Invite young employees to help with the early adoption of new technologies. They will not only master those technologies quickly, but they will also be more successful, proud, and driven to help solve business challenges.
Along the same lines, Gen Zers value trust from their employers. They want the flexibility and freedom to meet their benchmarks without feeling watched or micromanaged. And while flexible and hybrid schedules won’t always be possible for manufacturing employees, think about what you can offer to improve work-life balance. Manufacturers looking to go the extra mile to recruit young workers can offer cozy break areas that feel like home, cafeterias with great food selections, or perhaps even in-house childcare. While an on-site daycare would be challenging, what a benefit it would be for both workers and companies to allow employees to stay connected to their children during work hours. At a minimum, work hard to maintain policies that make it easier for employees to go to the doctor or care for their kids.
Emotional and physical well-being.
Another common characteristic of Gen Zers is that they want to know their employer sees their value with no strings attached. As employers, we understand that happy, healthy workers are the foundation of profitable, productive businesses. Therefore, we can accommodate Gen Z (and all employees) by supporting holistic employee well-being. Why can’t the company assist employees with their physical, mental, emotional, social, intellectual, and spiritual health?
To communicate to young workers that you’re committed to employee wellness, create spaces throughout your plant where employees can socialize, have respite, and collaborate with coworkers, which in turn will boost creativity and teamwork.
Throw positive, social media-ready events that young employees will want to show off to their peers. Create opportunities for them to express pride in working somewhere that’s part of a better future. As a result, your company will also attract more passionate and skilled workers within each employee’s network.
Introduce outdoor amenities wherever possible, such as walking paths, where employees can spend their breaks exercising and unwinding in nature. Some progressive companies even set aside a space where employees can enjoy a guided stretch before and after a long shift. Either way, enabling employee health will likely lower insurance costs and reduce workplace injuries.
In short, make spatial decisions with your site that will prioritize employee and company wellness, not one or the other.
Part of the whole.
“How Gen Z Can Help Manufacturers Remake The Future,” by Forbes reports, “Gen Z hold firms highly accountable for their impact on society and the planet and will swiftly reject (as both consumers and employees) any organization that fails to deliver on its ethical, social and environmental promises.” So, how can manufacturers show employees that they work somewhere that makes a real difference in the world?
Start thinking about net zero and green design. Focus at least some of your continuous improvement efforts on reducing energy use and sustainable plant features, while perhaps investing in renewable energy generation to help offset what can’t be saved. Most manufacturing plants have large flat roofs that can support solar panels for example. A greenhouse on your site would also be a highly visible reminder that your company is committed to the natural world. I know of at least one company that raises bees in support of their local farming community.
Another way to demonstrate your company’s values is through branding. A great brand tells the true and compelling story of how your team’s work makes the world a better place. If your employees can’t connect to your brand and don’t feel that their work is contributing to society, perhaps it’s time to overhaul your company brand.
In summary, addressing change in support of Gen Z or your overall workforce requires a thoughtful and human-focused approach. Your company doesn’t need to spend exorbitant capital to reinvent its recruitment and retention strategies. By creating a supportive and engaging work environment, manufacturers will attract and retain young talent with unique perspectives and skills who will be eager to contribute toward long-term company success.
Sources:
Caldwell, L. (2023, September 25). How Gen Z can help manufacturers remake the future. Forbes. https://www.forbes.com/sites/lisacaldwell/2023/09/21/how-gen-z-can-help-manufacturers-remake-the-future/?sh=73b233b35cb7
Deloitte. (2023, March). Gen Z Insights: HX Signature Issue. www.deloittedigital.com. Retrieved June 30, 2024, from https://https:/www.deloittedigital.com/content/dam/digital/global/legacy/documents/blog/blog-20230519-gen-z-research-insights.pdf
Freeman, T., Mugayar-Baldocchi, M., Perez, F., & Salguero, J. (2024, May 6). From hire to inspire: Getting—and keeping—Gen Z in manufacturing. McKinsey & Company. https://www.mckinsey.com/capabilities/operations/our-insights/from-hire-to-inspire-getting-and-keeping-gen-z-in-manufacturing
