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Abstract: The modern workplace is undergoing significant changes as the Gen Z cohort, born between the mid-1990s and mid-2000s, enters the workforce. Gen Z has very different expectations compared to prior generations, demanding flexible work arrangements, continuous learning opportunities, and a strong sense of purpose in their work. To attract and retain top Gen Z talent, organizations must take a holistic and innovative approach, moving beyond standard HR policy adjustments. This article outlines three key challenges faced in engaging Gen Z employees - disengagement with traditional work structures, demand for continual skill development, and expectations of strong organizational purpose. It then provides research-backed recommendations for embracing flexible and remote work, offering continuous learning and skill-building opportunities, and aligning work with a clear organizational purpose and values. Successful implementation of these innovative workforce models is critical for organizations to build a sustainable talent pipeline for the future.
The modern workplace is undergoing significant changes as new generations enter the workforce. Gen Z, those born between the mid-1990s and mid-2000s, are now graduating college and becoming the newest cohort to join organizations. This generation has very different expectations for how they want to work compared to prior generations. They demand flexible work arrangements, opportunities for continuous learning and growth, and a strong sense of purpose in their work (Lyons et al., 2019). Meeting these expectations will be critical for organizations to recruit and retain top Gen Z talent. However, simply making standard adjustments to existing HR policies and practices will not be enough. To fully engage this new generation and build a sustainable workforce model for the future, organizations must take a holistic and innovative approach.
Today I will outline the key challenges faced in attracting and developing Gen Z employees.
Challenges in Attracting and Retaining Gen Z Talent
There are three main challenges organizations face in attracting and retaining Gen Z employees:
Disengagement with traditional work structures. Gen Z has come of age during a time of rapid technological advancement and views work more fluidly than prior generations (Morgan, 2020). They expect to have agency over how, when and where they work. Rigid 9-5 structures with strict presence-based performance metrics do not align with their values. This misalignment leads to dissatisfaction and higher turnover.
Demand for continual skill development. Constant exposure to new technologies has made Gen Z eager to continuously update their skillsets (Lyons et al., 2019). They want ongoing learning opportunities to feel engaged and avoid professional obsolescence. Traditional frameworks focused more on initial training do not meet this need for constant skill upgrades.
Expectations of strong organizational purpose. Having come of age during worldwide issues like climate change and globalization, Gen Z places a high value on the societal impact of their work (Morgan, 2020). They want their jobs and the organizations they work for to have a clear positive purpose beyond just profits. Narrow views focused only on the bottom line will not attract or retain Gen Z talent.
To successfully attract and retain top Gen Z talent facing these challenges, innovative solutions are needed. The following sections outline recommendations grounded in research for developing such far-reaching workforce models.
Recommendation 1: Embrace Flexible and Remote Work Arrangements
Research consistently shows Gen Z strongly values flexibility in when, where and how they work (Lyons et al., 2019; Morgan, 2020). Embracing flexible and remote work arrangements has significant benefits for both engagement and business outcomes:
Flexible work schedules. Allowing flexibility in core/nonguaranteed hours and schedules meets Gen Z expectations while boosting productivity. Studies show flexible schedules increase work-life balance and job satisfaction without impacting performance (Baptiste, 2008).
Core hours and outcome-based performance. Move away from strict presence-based metrics towards core hours where employees must be available alongside outcomes-based performance reviews. This structure gives autonomy while ensuring accountability.
Embrace remote work. Leverage technology to allow partial or full-time remote work arrangements. Surveys show 71% of Gen Z find a company's remote work policy important in their job decisions (FlexJobs, 2021). Remote work also expands hiring pools while reducing overhead costs.
As an example, until recently, Twitter embraced flexible and remote work early due to its distributed global workforce. It had no core hours requirements and allowed staff to work fully remote. As a result, Twitter consistently ranked high as an employer of choice for Gen Z and was an attractive hiring destination (though circumstances have since changed dramatically).
Adopting flexible, autonomy-focused work structures is key to meeting Gen Z expectations and engagement over the long-term. Research shows it leads to higher retention rates, productivity, and overall business success when implemented correctly.
Recommendation 2: Offer Continuous Learning and Skill-Building Opportunities
Gen Z values constant self-improvement and remaining professionally relevant (Lyons et al., 2019). Organizations must accommodate this need for continuous learning to attract and retain top talent:
Formal and informal training programs. Offer both structured formal training programs as well certification-focused courses. Also provide informal learning opportunities through conferences, seminars and skills-focused communities.
Tuition reimbursement and skills development budget. Offer tuition reimbursement benefits for external degree/certification programs. Also allocate annual skills development budgets for staff to select relevant training.
Internal job rotations and mentorship. Create structured rotational programs to build cross-functional skills. Also implement robust mentoring initiatives pairing junior/senior staff.
As an example, Deloitte allocates over $1 billion annually to learning/development initiatives. Programs include tuition reimbursement, skills development stipends, leadership training, and rotational internships. As a result, Deloitte consistently ranks high for Gen Z and retains top talent long-term through skills upgrades.
Offering rich learning and skills opportunities empowers Gen Z to stay professionally relevant and engaged. It also builds organizational capability through a culture of continuous personal/professional growth.
Recommendation 3: Align Work With Organizational Purpose and Values
Research shows Gen Z highly values work aligned with principles of social good and responsibility (Lyons et al, 2019). To attract this generation, organizations must clearly communicate positive purpose beyond profits:
Develop a articulated purpose statement. Clearly outline the higher-level societal impacts and responsibilities of the organization through a concise purpose-driven mission.
Integrate purpose into strategy and operations. Ensure the purpose genuinely guides strategic priorities and daily decision-making beyond just marketing rhetoric.
Report on ESG initiatives and impact. Communicate transparency through integrated reporting on environmental, social and governance initiatives and measurable positive impacts.
As an example, Patagonia operates through a "mission-driven" model clearly outlining environmental protection as core to its purpose and strategy. It has gained a strong Gen Z following through transparent reporting on tangible impacts and initiatives like political activism supporting green causes.
Aligning work with an authentic higher purpose motivates Gen Z and positions organizations to leverage social impact as a competitive advantage in talent attraction. An articulated societal mission also builds trust and engagement over the long-term with future-oriented job seekers.
Conclusion
To build a sustainable workforce model for Gen Z and future generations, organizations cannot rely on surface-level adjustments. Instead, they must thoughtfully implement innovative, research-backed solutions transforming how work is structured, skills are developed, and purpose is defined. Flexible work, continuous learning opportunities, and alignment with a clear higher purpose are critical for engaging this new generation.
Leading organizations like Twitter, Deloitte and Patagonia demonstrate tangible success from embracing new workforce models ahead of industry peers. By making far-reaching changes now, all employers can develop truly modern workplaces where Gen Z talent choose to build long-term careers. Looking ahead, those who fail to innovate risk being left behind in the growing war for this next generation's unique skills and perspectives. Adopting practices that empower Gen Z in new ways holds the key to long-term competitive advantage in any industry.
References
Baptiste, N. R. (2008). Tightening the link between employee well-being and performance: A new dimension for HRM. Management Decision, 46(2), 284–309. https://doi.org/10.1108/00251740810860361
FlexJobs. (2021, February 15). The top 10 reasons why Gen Z values remote work flexibility. https://www.flexjobs.com/blog/post/reasons-why-gen-z-values-remote-work-flexibility/
Lyons, S., Kasic, A., Schweitzer, L., & Ng, E. (2019). Wants, Attitudes and Individual Differences That Distinguish Gen Z and Millennials. Personnel Assessment and Decisions, 5(1). https://scholarship.sha.cornell.edu/cgi/viewcontent.cgi?article=1136&context=articles
Morgan, H. (2020, October 15). What Gen Z wants in the workplace (and why it's different). Forbes. https://www.forbes.com/sites/hollymorgan/2020/10/15/what-gen-z-wants-in-the-workplace-and-why-its-different/?sh=51b1c5547a09
Additional Reading
Westover, J. H. (2024). Optimizing Organizations: Reinvention through People, Adapted Mindsets, and the Dynamics of Change. HCI Academic Press. doi.org/10.70175/hclpress.2024.3
Westover, J. H. (2024). Reinventing Leadership: People-Centered Strategies for Empowering Organizational Change. HCI Academic Press. doi.org/10.70175/hclpress.2024.4
Westover, J. H. (2024). Cultivating Engagement: Mastering Inclusive Leadership, Culture Change, and Data-Informed Decision Making. HCI Academic Press. doi.org/10.70175/hclpress.2024.5
Westover, J. H. (2024). Energizing Innovation: Inspiring Peak Performance through Talent, Culture, and Growth. HCI Academic Press. doi.org/10.70175/hclpress.2024.6
Westover, J. H. (2024). Championing Performance: Aligning Organizational and Employee Trust, Purpose, and Well-Being. HCI Academic Press. doi.org/10.70175/hclpress.2024.7
Citation: Westover, J. H. (2024). Workforce Evolution: Strategies for Adapting to Changing Human Capital Needs. HCI Academic Press. doi.org/10.70175/hclpress.2024.8
Westover, J. H. (2024). Navigating Change: Keys to Organizational Agility, Innovation, and Impact. HCI Academic Press. doi.org/10.70175/hclpress.2024.11
Westover, J. H. (2024). Inspiring Purpose: Leading People and Unlocking Human Capacity in the Workplace. HCI Academic Press. doi.org/10.70175/hclpress.2024.12
Jonathan H. Westover, PhD is Chief Academic & Learning Officer (HCI Academy); Chair/Professor, Organizational Leadership (UVU); OD Consultant (Human Capital Innovations). Read Jonathan Westover's executive profile here.
Suggested Citation: Westover, J. H. (2025). Innovative Solutions to Build a Modern Workforce for Gen Z+. Human Capital Leadership Review, 16(4). doi.org/10.70175/hclreview.2020.16.4.7
