Generations at Work: Why They Won’t “Grow Out of it”

by Marsha Littell
Director, HOK Training and Organizational Development

How do you . . . understand what motivates the four generations currently in the work force?

Summary: According to Fortune Magazine, “You Raised Them, Now Manage Them,” May 28, 2007, “Nearly every businessperson over 30 has sat in his office after a staff meeting and—reflecting upon the 25-year-old colleague with two tattoos, a piercing, no watch, and a shameless propensity for chatting up the boss, wondered, What is with that guy?” We all know them. They are annoying and demanding. They have been here 18 months and want to know when they will run a project or get a promotion.”

What’s going on?

Over the past two years, the real impact of four generations working together as professionals in the same place at the same time is being recognized as an issue that must be addressed. The challenges of an aging experienced population and new attitudes toward work and learning have been emerging for a decade. Now that “Boomers” are retiring and the youngest generation, Gen Y, is growing in numbers, while the building economy is booming, has led to what feels like a sudden awakening for many organizations.

The need to attract and retain younger workers whose attitude is, “if I don’t like it, I’ll quit,” is an issue facing every professional services firm today. It is essential for leaders to do more than observe changing times. While technology is changing rapidly and must be managed, the sociological and demographic changes have more profound implications on our future. According to McCrindle Research, 2006 Study on Generations at Work, “Occasionally in history, massive demographic change combines with relentless technological change and within a generation society altogether changes. Today we are living in such an era.”

To understand and deal with the issue, it is necessary to define the generations that are in the workplace, consider how the differences affect management and leadership styles, and identify the top five factors for retaining younger generations.

Defining the generations
The four generations currently in our work places have been defined by key events and markers that shaped their lives and attitudes. Those four, plus the next one coming along, are:

Clearly, for the first time, Generations X and Y are nearly half of the workforce. Within the next five years, with Schwarzkopf and Boomer retirement, they will be the majority. Already, many Generation Xers are managing Boomers.

Why is this an issue? Each of these groups approaches work very differently and brings very different expectations, capabilities, and loyalty.

Duty first for Schwarzkopfs, who lived through the Great Depression and World War II, or were raised by parents who did. They consider duty to be a primary value and security is very important to them. They see “praise” as receiving their paycheck on time. This generation plans to stay with their firm for the long-term.

Accomplishment distinguishes boomers raised in the security of the growing U.S. economy and political power of the ‘50s. Their parents wanted to give them a better life and for this generation education is a primary value and freedom of expression/independence are very important to them. They were the first generation to grow up with television and mass media. They expect information and communication, though not necessarily from their manager. They tend to be loyal to an organization and usually plan to stay for the long-term. They invented the term workaholic. For Boomers, accomplishment is their drug of choice. This group lived through massive change and is very adaptable. Their experience and willingness to learn and change will keep them in leadership roles longer than previous generations.

Life-balance attracts Generation X, who were raised by workaholic Boomers. They were the first generation whose parents both worked and were likely to divorce. They invented the term “latchkey” children. For Gen X security is a primary value and self-reliance is very important to them. They saw their parents down-sized and outsourced, so they are not loyal to any organization. They are free agents who find security in managing their own careers—not in relying on a firm or others for support long-term. Generation X was not born with technology, but they are comfortable with it. They are a “bridge” generation in that they understand and usually adopt the work ethic of the Boomers, but they are closer in age to Gen Y and can connect somewhat with GenY’s culture and views. Boomers are much more comfortable with Xers than with Yers. Generation X will stay with an organization as long as it meets their needs. They do not plan to stay with an organization for the long-term. Work-life balance is a key value.

Praise and feedback motivates Gen Y, also known as the Echo Boom generation, because their total numbers are much higher than the numbers that make up Generation X. When the Boomers finally got serious about family, Generation Y emerged! They are having a dramatic impact because of their numbers and their extreme differences in values and outlook. Generation Y was practically born with a GameBoy in their hands. They have grown up with computers and technology. Their parents are financially well-off. Generation Y has the potential to be the richest of all the generations. Gen Y is capable of much, is very self-focused, has been told they are personally “the best” since childhood, and expects praise and feedback continually. Their capacity to work is very high, however, they are very high-maintenance due to their experience of constant stimulation and praise. They are comfortable working in teams and are less competitive personally than the older generations. They also insist on work-life balance. Gen Y does not plan to stay for the long-term and considers two years long-term! They are very involved in community service and care very much about making the world a better place.

Generation Z is still forming, but while Gen Y grew up with computers, Gen Z never knew a world without high tech. They expect rapid change and will demand it. This generation will see parental leave and work-life balance to be “of course” benefits in the work place. They are the children of Generation X and will likely reflect that self-reliant, independent-agent approach to work.

Leading the generations
What is the ideal leader for each of these very different generations? The most effective style is one that fits the mindset of that group.

• Boomers, raised by parents who were in the military and did not give praise freely, an effective leader is usually one who is more “command and control.” Boomers like Thinkers—they want clarity and facts. No coddling required, thank you very much, “just the facts.”
• Gen Xers are more into coordination and cooperation—not control. Gen X wants to know things have been planned well and wants to be involved in the process—no micromanaging if you want Gen X to stay and perform. Gen X likes “doers,” the leaders who do more than ride a desk.
• Gen Y thinks the best leader is one who strives for consensus and collaboration. Gen Y wants to be involved and wants to be part of the design or decisions. They will rebel if micromanaged. They want to contribute and believe that they can. The Gen Y leader is a more “feeling” type manager. Gen Y was raised being constantly asked, “How do you feel?” Those expectations did not change with college graduation.

Keeping the generations
“If we don’t like a job, we quit,” says Jason Ryan Dorsey, the 28-year-old author of 2007’s My Reality Check Bounced!, “because the worst thing that can happen is that we move back home. There’s no stigma to that.”

With a red-hot labor market, and a booming building market, attracting and retaining Generation X and Y is vitally important. And Gen Y is the biggest challenge for Boomer firm-leaders who “paid dues” and never expected or received much praise from their Schwarzkopf-generation managers.

“This is the most high-maintenance workforce in the history of the world,” according to Bruce Tulgan, the founder of leading generational-research firm RainmakerThinking. “The good news is they’re also going to be the most high-performing workforce in the history of the world. They walk in with more information in their heads and at their fingertips—and, sure, they have high expectations, but they have the highest expectations for themselves.”

Boomers must let go of the “they will grow out of it” mentality. They won’t. Deal with it.

We have found at HOK that what these generations want is stability, clarity, consistent feedback, and opportunity to learn and perform. However, it is critical to train our Boomer and Gen X managers that frequent feedback, judicious praise, and interesting work are vital to keeping the best of our Gen Y talent. The Boomers must let go of the “they will grow out of it” mentality. They won’t. Deal with it.

So, how do you keep them?
The top five retention strategies that every firm must have, based on research, to keep the best young talent are:

1. Work-life balance. X and Y see work as part of their life, but it is not their LIFE. Quote from a Gen Yer: “If there’s going to be a clash in work-life balance, life wins.” Gen Y has a strong relationship ethic. They are collaborative learners and enjoy working in teams. Manage their time to ensure they don’t consistently work 80-hour weeks.
2. Workplace culture. Gen Y and Xers consistently placed “relationships with peers” as one of the top three reasons to stay with an organization. Comfortable with diversity, these generations aren’t looking just for people their age—they like relationships because there are fewer family and neighborhood connections than in times past. Work to ensure social connections through the workplace with extracurricular activities.
3. Varied job role. Many young people leave not because there is a compelling reason to leave, but because there is no compelling reason to stay. Change is like air to the younger staff. Putting them on as a CAD jockey and leaving them there is to ensure they won’t stay. Young people naturally change jobs more frequently, but offering responsibility and the opportunity to be creative and contribute can encourage them to stay.
4. Management style. The findings in all the research are clear: unless we manage in an inclusive, participatory way and demonstrate people skills, not just technical skills, retention will decline. This is where the leader needs to be one who gives praise, pats on the back, coaches, and creates an emotionally safe environment.
5. Training. Gen X and Y have heard “lifelong learning” as a natural way of living all of their lives. Ongoing training is critical in the ever-changing world in which they grew up and in which we are all living. Eighty percent of the younger generations surveyed said training was “very important” and 90 percent said regular training would encourage them to stay longer with an employer. Preferred training was on-the-job coaching and mentoring.

The different generations at work is an issue that must be confronted and managed by every serious professional practice. The crop of 20-somethings is very different, more demanding, and more likely to leave our employ than any generation in history. They also offer a bright and exciting future, if we can adapt as leaders to release their brilliance rather than trying to force it into the molds with which we are familiar. There is an ancient saying that bears much truth: “People resemble their times more than they resemble their parents.” And, as we Boomers learned long ago, the times, they are (constantly) a-changin’.