the evolving workforce: managing multi-generational teams.

Today’s employers are tasked with a new challenge: managing a multi-generational workforce. As new Gen Z candidates look for their first job, Baby Boomers are delaying retirement. These two generations are now working alongside Millennial and Gen X employees, each with unique values and working styles shaped by past economic conditions.

No generation is a monolith, and employees across generational divides value competitive pay, professional development, and flexibility. However, on average, not all generations value these things equally or for the same reasons. Employers who understand each generation’s experience of work will be better positioned to adapt to their needs and preferences.

Below is an overview of our research on how the job market has affected the career trajectories of each generation, how that affects their preferences, and strategies employers can use to create a more collaborative multi-generational workforce.

meeting the demands of a multi-generational workforce: from gen z to baby boomers.

The rapid economic and cultural shifts of the last century have created different working environments for each new generation – and had an impact on what different generations expect from work. Managing a multi-generational workforce starts with understanding the context behind these expectations, leaving employers better equipped to meet employees where they’re at.

gen z

Born between 1997 and 2013, many Gen Z workers entered higher education and careers amid the pandemic, as employers embraced flexibility and remote work. A growing awareness of social responsibility also left Gen Z with a stronger drive to work on meaningful, impactful projects.

In spite of the economic recovery that followed the pandemic, many Gen Z workers report that they struggle to achieve the success that prior generations took for granted as wages stagnate. Often referred to as “digital natives,” Gen Z’s digital mindset has helped them embrace side hustles and self-directed learning to support their career as the future remains uncertain.

This combination of unique circumstances has left Gen Z with a strong desire for flexibility and a sense of purpose at work. Gen Z is more highly motivated by work-life balance than pay or job security, and 53% would quit a job if they didn’t agree with the viewpoints of leadership.

millennials

Born between 1980 and 1996, Millennials grew up in a period of relative economic stability, but started their careers in a very different landscape. Many millennial careers were set back during the Great Recession of 2008, leaving them struggling to catch up during a slow economic recovery.

Millennials also entered the workforce at a time of rapid technological progress between 2000 and 2016, requiring them to stay adaptable. Like Gen Z, they make up a large portion of the gig economy and are more comfortable with job hopping compared to older generations.

Today, Millennials make up the largest share of the labour force, many of whom are juggling family and work responsibilities. As the hustle culture of the 2010s gives way to post-pandemic calls for balance, Millennials are rethinking their priorities. They value pay and stability more than Gen Z, but rate work-life balance as their top priority today.

gen x

Born between 1965 and 1980, Gen X entered the workforce as the industrial economy gave way to the information economy. Raised with the expectation of lifelong careers at a single company, they entered the job market as companies began to outsource production and downsize their workforce.

After working through the dotcom bubble and financialization of the economy, Gen X faced the 2008 financial crisis in the middle of their careers, and adapted to the pandemic later in life. Navigating these changes after a long history of in-office work has required this generation to stay independent, resourceful, and adaptable in their approach to work.

For Gen X workers, pay and job stability remain more important than work-life balance as they plan for retirement. However, 45% of Gen X workers would still quit their jobs if their employer couldn’t accommodate their request for flexibility.

baby boomers

Born between 1946 and 1964, Baby Boomers entered a job market characterized by the expectation of loyalty and long-term stability. The post-war prosperity of the 1960s and 1970s created opportunities for Baby Boomers across many sectors, before rapid inflation began to chip away at workers’ buying power.

When the 2008 financial crisis hit, many Baby Boomers had to delay retirement. Others are embracing encore careers to contribute in ways they find meaningful. 52% of Baby Boomers would still choose to work even if money was no object, highlighting the value they find in workplace communities.

In 2023, Pew Research reported that 19% of this cohort was working past age 65, creating a significant source of new talent for employers. However, a lack of opportunities to develop their skills may set them back. Only 29% of Baby Boomers have received AI training from their employer, compared with 53% of Gen Z workers.

how employers can meet the demands of a multi-generational workforce.

Employers managing a multi-generational workforce can use an adaptive approach to meet the needs of each worker. Personalized compensation and growth plans should start with the things that appeal broadly across all workers, with the ability to adjust for each worker’s preferences. That includes things like:

flexible and hybrid work

Gen Z and Millennial workers who crave work-life balance value remote work opportunities that let them work from home. However, Gen X and Baby Boomers who prefer more traditional work environments may look for in-office roles.

To strike a balance, employers can adopt hybrid work models that give employees options about how they collaborate with each other. Combining instant messaging like Slack with in-person collaboration can help bridge the divide between communication styles and preferences.

meaningful work

For Gen Z and Millennial workers, meaningful work matters. Strong employer values and the chance to see the impact of their work can help engage younger employees. Having a shared vision can also help grow the sense of community that 83% of workers crave.

Gen X and Baby Boomers have a wealth of experience to draw from that they can pass on to younger workers. For this cohort, the opportunity to mentor young workers can help create more meaningful work. It can also bridge knowledge gaps and enrich the work of emerging and seasoned workers alike.

work-life balance

Work-life balance is particularly important to Gen Z and Millennial workers faced with competing educational and family demands. For this cohort, flexibility around when and how they work is key. Millennials with family responsibilities may need to step out early to take care of children and return later; Gen Z workers may need to work around education commitments.

Employers can create work-life balance that fits the needs of different generations by creating different types of work-life balance. Some workers may require flexibility around when they work, while others may require a more flexible approach to the volume of work they take on.

giving each generation a seat at the table.

Managing a multi-generational workforce is both a challenge and an opportunity. Each generation brings unique perspectives, values, and skills to the table, shaped by the distinct economic, technological, and cultural landscapes they’ve experienced.

The key to success is embracing these differences to create a workplace that adapts to the needs of each generation. Open communication, flexible work arrangements, and opportunities for cross-generational collaboration can unlock the full potential of a workforce that spans more generations than ever before.

Ready to take the next step in managing your multi-generational team? Start a conversation with our expert talent consultants to gain actionable insights for building a thriving workplace that empowers every generation.