According to recent surveys done by Deloitte, Gen Z makes up more than 24% of the current population in the U.S. — meaning that companies will need to learn and adapt to their needs and behavior when considering how to boost employee satisfaction for Gen Z workers.

Here’s what we know about Gen Z so far:

What’s new with Gen Z? 

The Gen Z demographic (1992-2012) has an increased focus on flexibility at work, employee benefits, diversity, values and social impact. And if your team doesn’t have these same values and wear them proudly – it will be nearly impossible to engage and satisfy this group.  

This generation is reshaping the definition of what a “job” means for employers around the world. 

But where people were pigeonholed into specific positions before, now, this talent pool is more focused on being hired for their skills and leveraging those skills in their role. 

This group is highly empowered and also more aware of the skillsets and talents they possess compared to the generations before them. This is due to a growing body of accessible knowledge on workplace practices (and malpractices), skills and options available to them through social media.

The hashtag #corporatelife has garnered more than 5B views on TikTok, and the hashtag #Worktok, “The surge of venting about the worst of work”, has garnered more than 2B views. Such transparency in terms of salary, skillsets and job opportunities within the gig economy has not been experienced in the generations prior. 

What’s more, having observed older millennial workers experience burnout, time poverty and economic insecurity (with so many millennials living in cities no longer being able to afford to buy property due to the hike in interest rates and housing costs) has probably made Gen Z warier of the old beliefs underlying millennial work culture. 

In the Western world, it was a cultural mandate that employees would work hard for their employer to climb the corporate ladder. But seeing as there was little security and return in this equation, Gen Z have naturally become more demanding – they desire work-life balance, fair pay and value alignment.

It’s far more difficult to keep this highly-empowered demographic of workers satisfied and engaged enough to stay. One BBC article has even touted them “Gen Z: The workers who want it all”.

So with this new wave of workers who are more influential and aware of their skillsets than ever, how can you as HR leaders keep up? 

5 things HR leaders need to do to increase employee satisfaction for Gen Z

1. Put your focus on increasing ESG initiatives 

If you want a good chance at growing employee satisfaction for Gen Z employees, your ESG initiatives have to be up to par. This means focusing on a net positive global impact and showing devotion towards important causes like climate change and world hunger.

Ensure your overall ethics and values are front and center in your business. Gone are the days when you can simply say that you care. This generation wants to see results.

Instead of stating commitments, demonstrate your action plan for not only creating an impact – but making it consistent and sustainable over time.

That’s why when we sell our gamified app to clients, we offer the option to support their ESG initiatives through giving employees the opportunity to donate themselves with the YuCoin that they earn by simply tracking steps and wellness activities. 

2. Be champions of diversity

While sustainability, environmental awareness and social impact are high on the list of Gen Zers' criteria, diversity is just as crucial for companies to demonstrate. 

If you want to grow your talent pool and achieve employee satisfaction for Gen Z workers, your company has to be an active champion of diversity. And not in a performative way.

And while you consider implementing more DEI-focused strategies and initiatives, it’s important to note that diversity is all-encompassing. It’s more than simply race and gender diversity – but also includes identity, pronouns and sexual orientation. 

Make sure that any marketing initiatives and the basis of your company is built on having a diverse team and representing all forms of people in your internal and external content. 

If people don’t see people like them represented in your organization, they won’t be able to see themselves in your company either. 

It’s even more challenging to build a sense of diversity if you’re a tech company. 

With women only making up 28% of positions in STEM in America, and only 34% seeking roles in the industry compared to males (73%), it’s going to be harder to encourage women to apply.

That’s why it’s important to put women at the front and center of your business to make this demographic feel encouraged and welcome in the industry – since they haven’t in the decades and centuries previous.

One company approaching diversity well is Global Women in Blockchain – a group of women who have created a space directly to include women of all backgrounds to join in on the new tech revolution happening around the world. Their goal is to create organizations and spaces that support women and make them feel welcome in tech environments – and it’s something many more companies who want to succeed should be putting a focus on. 

It’s more important than ever to partner with women at the university level, identify top female talent, showcase them and start recruiting them before they graduate from college. Because naturally, they won’t feel as drawn to a space where they aren’t being represented.

It’s also important to consider that even though, naturally, Gen Zers are pulled towards the tech industry for employment opportunities (51%) – they are also greatly drawn to organizations that are focused on bettering the world like education or healthcare.

If you’re not positioning yourself as a “tech-for-good” company, you’re less likely to attract and retain talent from this group. 

3. Invest in learning and be education-oriented

Something that is common amongst most Gen Zers: they are dedicated to improvement, learning and investment in skill development.

Try incorporating as much of an element of learning and development as possible and position your organization as one dedicated to innovation and constant education.

Equally, while presenting job opportunities – be careful about how you label them. Instead of being a “job”, label it as more of a partnership opportunity for growth as an individual. No one wants to be a cog in the machine. They want to learn, make active change and grow.

Jobs and work are becoming increasingly separated from one another, and it’s going to be a case of hiring talent for their skills and the value they bring to your company from a culture perspective.

Try making a profile of what a “good employee” would be to you, and then find a place for them in your team rather than searching out the perfect profile based on a few particular capabilities.

Because Gen Z wants to learn and do it all. 

Gen Z has a passion for education and especially post-secondary education. It’s something they value and still think should be widely accessible for each young person.

In fact, this generation is rising to the top as the most educated generation in the history of the world. But because of this, they are also quickly taking on the most debt.

4. Be competitive in salary and perks 

Because Gen Z is highly focused on financial wellbeing, make sure to offer a competitive salary. But also keep in mind that the flexibility and perks around the position are equally, if not more important, for many. 

Offering flexibility and personalization is going to be key in this context.

When surveying Gen Zers, it was split down the middle when asked whether they would rather work for higher pay and less-engaging work, versus a lower pay but more engaging work. 

Have these discussions with your candidates openly to see what they value, and demonstrate your flexibility and desire to cater to their needs as well as those of the company. 

5. Offer a hybrid work environment 

While Gen Zers are fans of remote and independent work, it doesn’t mean they want any shortage of human connection. That’s why offering the opportunity for hybrid work is highly attractive to this demographic.

It provides an opportunity for your team to work independently, but not be completely isolated.

While power dynamics have shifted between employer and employee, and demographics in the workplace change – it’s more important than ever to leverage your older generations’ insight on leadership.

Having them mentor your younger employees ensures you have a growing group of future leaders as the majority of older generations start to exit the working world.

If you want to build employee satisfaction for Gen Z workers, your Head of People needs to be prepared for these big shifts that are happening. And if you follow the tips above, you’ll be off to a great start.

Just remember:

Build a culture that is lean, agile and ready for change. Every new demographic that flows will disrupt the job market, and these qualities are key to being bulletproof through economic, demographic and market shifts.