Hiring the Next Generation: What Companies Need to Know About Gen Z Workers

Hiring the Next Generation: What Companies Need to Know About Gen Z Workers

By Jenessa McCrae, Associate Recruiter

Gen Z workers are redefining what it takes to stay competitive in a rapidly evolving market. To recruit, retain, and engage this talented generation (those born from 1997 to 2012), employers must adapt to their unique traits and expectations. By aligning workplace practices with Gen Z’s values—such as flexibility, diversity, and career development—companies can build a more innovative and future-ready workforce. This article explores key insights into Gen Z workers and practical strategies to attract and retain their talent.

Key Characteristics of Gen Z Workers

1. Value of Flexibility

Flexibility in work schedules and locations is fundamental for the Gen Z workforce.

Having experienced remote learning and socializing through digital platforms, many in this generation prefer hybrid or fully remote work options. Flexibility in working hours and environments is often seen as essential for maintaining work-life balance. For this generation, the freedom to share how, when, and where they work empowers them to bring their best selves to the table, leading to innovative solutions and deeper engagement. 

Gen Z workers talking and laughing while holding phones. Image is placed beside the pull quote: "In speaking with candidates, it's clear that flexibility in the workplace isn’t just a nice-to-have for Gen Z—it’s something they really value. Being able to choose how, when, and where they work helps them feel more creative, productive, and balanced. When companies offer that flexibility, it allows Gen Z to show up as their best selves, leading to more engagement and fresh, innovative ideas."

– Tara Gousseau, Senior Consultant & Team Lead at People First HR Services

“In speaking with candidates, it’s clear that flexibility in the workplace isn’t just a nice-to-have for Gen Z—it’s something they really value. Being able to choose how, when, and where they work helps them feel more creative, productive, and balanced. When companies offer that flexibility, it allows Gen Z to show up as their best selves, leading to more engagement and fresh, innovative ideas.” – Tara Gousseau, Senior Consultant & Team Lead at People First HR Services

2. Tech-Savvy and Digital Fluency

Gen Z is the first generation to grow up fully immersed in technology, making them highly proficient with digital tools and platforms. They are adept at multitasking across devices and are quick to learn new technologies.

This comfort with media has shaped how Gen Z employees approach work and communication. These employees are likely to prefer digital communication, create digital workflows, or have strong social media skills. For Gen Z, technology isn’t just a tool—it is an integral part of how they live, learn, and solve problems.

3. Emphasis on Diversity and Inclusion

This generation is more diverse than previous ones, and they expect their employers to reflect and promote that diversity. Inclusive work environments where different perspectives are valued and representation is prioritized are important to Gen Z workers.

These values significantly influence Gen Z employees’ decisions about where to work and how long to stay with an organization. Gen Z views inclusion as more than just having diverse employees; it’s about creating an environment where everyone, regardless of their background, feels valued, heard, and empowered to contribute.

4. Desire for Career Development

Gen Z is highly focused on personal and professional growth. They have an entrepreneurial spirit and have a strong desire for workplaces with room for career progression. They value opportunities for skill development, mentorship, and career advancement.

Employers who invest in training programs, clear career pathways, and up-skilling initiatives are more likely to retain Gen Z employees. For this generation, career development isn’t just about promotions or salary increases—it’s about gaining new experiences, improving their skill set, and staying competitive in an ever-changing job market.

5. Focus on Financial Stability and Benefits

Unlike previous generations, many Gen Z workers are entering the workforce with concerns about student debt and economic uncertainty. As a result, they prioritize financial security and tend to seek out employers offering competitive salaries, benefits, and clear compensation structures. Retirement plans, health insurance, and student loan assistance are also highly valued.

With mental health awareness being another main priority of Gen Z workers, having a benefits package and culture that promotes this is crucial. These employees place high importance on work environments that support mental wellness through flexible hours, reasonable workloads, and access to mental health resources.

6. Preference for Feedback and Communication

Lastly, Gen Z workers value continuous, transparent feedback. They are used to immediate responses in digital environments and appreciate regular check-ins with their supervisors. They want to know how they are performing in the moment so they can adjust and improve.

Traditional annual performance reviews may not suffice; instead, ongoing coaching and real-time feedback are preferred. They expect their managers and leaders to be approachable and communicative. Gen Z workers want leaders who provide guidance, support, and encouragement, helping them develop professionally rather than just monitoring performance.

Strategies for Employers Hiring Gen Z Workers

To successfully attract and retain Gen Z talent, companies should focus on the following:

  • Promote Flexibility – Provide flexibility in both work hours and locations, offering hybrid or remote options where possible. Employers can further support work-life integration by encouraging flexible schedules, integrating wellness programs into the workplace, and promoting a culture where time off and personal development are valued.
  • Offer Digital Tools and Learning Opportunities – Employers must support a tech-forward work environment. Companies should prioritize investing in cutting-edge technology, provide access to the latest digital tools, and support flexible working conditions that allow for the integration of these technologies into everyday work processes.
  • Prioritize Diversity and Inclusion – By actively fostering a diverse and inclusive work environment, companies not only align with Gen Z’s values but also create a more innovative, engaged, and loyal workforce. A few examples include providing ongoing EDI training, establishing a zero-tolerance policy for discrimination, and celebrating cultural diversity.
  • Provide Clear Development Opportunities – Do this through mentorship programs, training, and transparent career advancement paths. Employers should offer learning opportunities such as workshops or certifications and promote a culture where feedback and personal growth are prioritized.
  • Offer Financial Wellness Programs – These programs provide financial literacy training, student loan repayment assistance, or competitive retirement savings plans to address the financial concerns of Gen Z workers. Offering salary transparency and opportunities for bonuses or incentives can also attract this generation.
  • Prioritize Mental Health Support – Organizations should promote mental wellness by offering flexible work options, encouraging time off when needed, and providing access to mental health resources like counseling or employee assistance programs (EAPs).
  • Implement Real-Time Feedback Systems – Instead of relying solely on annual reviews, companies should create systems for continuous feedback and recognition. This could be as simple as regular one-on-one meetings or the use of digital tools that allow for immediate performance updates and coaching.
  • Promote Authentic Leadership and Transparency – Leaders should strive for authenticity and openness in communication. Gen Z employees appreciate leaders who are honest about company goals, challenges, and successes.

Generation Z is bringing fresh perspectives and new expectations to the workforce, challenging businesses to rethink how they engage and support their employees. From their demand for flexibility and technological fluency to their emphasis on diversity, inclusion, and continuous feedback, Gen Z is driving employers to rethink traditional approaches to management and work culture. Companies that prioritize career development, foster an inclusive environment, and maintain open lines of communication will be better positioned to attract and retain this talented generation. As the influence of Gen Z continues to grow, businesses that align with their needs will be better positioned to thrive in an ever-evolving workplace landscape.