Generation Z Continues to Challenge the Traditional Workplace: Here’s How Leaders Can Adapt
The following contribution to INC.com, a leading magazine specifically for the SMB sector in the United States, is by Darragh McGillicuddy, a member of the Entrepreneurs Organization (OE) in Cape Town, South Africa, and founder of McGillicuddy Hospitality, which creates exceptional luxury guest experiences through innovative service solutions. McGillicuddy shared how the hospitality industry is managing the influx of Gen Z workers, resulting in a mentally healthier culture and increased productivity:
With a few adjustments, leaders can adapt to Gen Z as their influence in the workplace continues to grow.
There’s an old saying: «You have to earn the recognition.»
You work late and say yes to everything. You focus, and eventually, perhaps, you lead. That was the path I took.
It’s also how most leaders empowered their employees. For a long time, I believed it was the only way.
Then Gen Z came along, saying, very clearly, «No, thank you.» To be honest, it threw me off at first.
I was used to team members who didn’t question why they were expected to work every weekend and who patiently waited for opportunities to present themselves.
Suddenly, I was managing people who wanted flexibility from the start and asked about my purpose in their first interview.
They weren’t afraid to say, «This doesn’t work for me.» This forced me to rethink everything I thought I knew about leadership. Here’s what I’ve learned.
The «pay what you owe» mentality is outdated and, honestly, wasn’t a good one to begin with.
The belief that you have to suffer before you succeed is not only outdated, but also unhelpful. Resilience used to be about staying silent in the face of difficulties.
Gen Z sees it as setting boundaries and working smarter, and they’re not wrong.
One of my teammates, a young and resourceful customer service manager, once told me, «I love this job, but I’m not going to burn myself out to prove it.»
That stuck with me. She wasn’t asking for less accountability. She was asking for a healthier path to growth.
This generation isn’t afraid to say no to environments that expect them to work nonstop with little support or clarity. Honestly, most people didn’t like that system either, but they just didn’t think they had any other option.
The new hierarchy is flat (and that’s a good thing)
Before, leadership meant distance.
You got promoted by being less accessible, with more authority. That approach doesn’t work with Generation Z. They want mentorship, not management. Conversations, not orders.
So I started to change my way of leading.
I abandoned rigid hierarchies and started being present on the floor, in group chats, and over coffee.
Instead of giving feedback, I started asking for it. I also focused more on developing people than proving my worth.
The result? A more engaged team, better communication, and a leadership culture that isn’t based on fear or tradition.
What can other industries learn from hospitality’s wake-up call?
The hospitality industry thrives on human connection. When that connection weakens internally, it shows externally.
Generation Z has challenged the industry to rebuild itself from within, and I believe that shift applies to all industries and businesses, regardless of sector.
Here are some takeaways I would offer to any entrepreneur going through a similar generational shift:
- Redefine growth.
It doesn’t have to mean longer hours, more stress, or more years of waiting.
Create development paths that are visible, fair, and aligned with your team’s real goals, not just your company’s hierarchy.
- Stop rewarding burnout
If you continue to glorify all-nighters and 80-hour weeks, you will lose your best employees. Generation Z values balance and mental health. When they are well-rested and supported, they do incredible work.
- Get closer to your team
Leadership isn’t a title. It’s a relationship. Spend time understanding what motivates your team, what they struggle with, and what kind of leader they really need.
Gen Z wants to feel part of something bigger. As their leader, you need to create that deeper connection to meet that need.
Gen Z is the future of the workplace
I used to think leadership was about being the hardest worker. Now I think it’s about being the most human.
Gen Z may have challenged our traditions, but they’ve also made us better.
They’ve reminded us that people don’t grow when they’re burned out and undervalued.
They grow when they’re supported, listened to, and trusted. Really? That’s a workplace I want to be a part of, too.
Understanding Generation Z in the Workplace
The following contribution is from Deloitte’s perspective analysis and was written by the team.
New Employee Engagement Tactics for Demographic Shifts
Entire industries and companies will rise and fall with the arrival of Generation Z.
However, few industries or organizations seem prepared. Are you?
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A new generation has arrived
Generation Z will soon surpass Millennials as the largest generation on the planet, with more than a third of the global population considering themselves Gen Z.
In the United States, Generation Z makes up more than a quarter of the population and, by 2020, will be the most diverse generation in the country’s history.
With Generation Z arriving on the global stage, the impact of their arrival will be rapid and profound, rippling across the workplace, retail consumption, technology, politics, and culture. Radically different from Millennials, this generation has a completely unique perspective on careers and how to define success in life and the workplace.
To better understand the challenges facing this growing workforce and their impact on employers and the workplace, we collaborated with the Network of Executive Women (NEW) to explore the key events that contributed to the formation of Generation Z; delve into their individual behaviors, attitudes, and preferences; and separate myths and stereotypes from reality.
Some questions to ask yourself:
– Who are Generation Z?
– What are their behaviors?
– And what impact will they have on the workplace, businesses, and the economy?
Given their experience in the aftermath of the Great Recession, one might think that Generation Z has emerged as a pragmatic, risk-averse, and non-entrepreneurial group, motivated by job security. Instead, a more nuanced picture emerged when exploring their career aspirations, professional development, work styles, core values, behavior and character, education, and stance on diversity.
Their Value of Salary
While salary is the most important factor when choosing a job, Gen Z values it less than any other generation: when given the choice of accepting a better-paying but boring job versus a more interesting but lower-paying job, Gen Z was quite divided.
To win Gen Z’s support, companies and employers will need to highlight their efforts to be good global citizens.
And actions speak louder than words: companies must demonstrate their commitment to a broader set of societal challenges, such as sustainability, climate change, and hunger.
Diversity is the watchword for Generation Z: it matters to them in many dimensions, not just in terms of race and gender, but also in terms of identity and orientation. Companies that better represent the spectrum of differences in their branding and external marketing are much more likely to diversify their talent pools.
The Future of Work
As we analyze the preferences and behaviors of the new generation entering the workforce, we must also look at how work itself is changing and evolving.
The new realities generated by these forces of change pose complex questions for us to consider, such as the ethics surrounding human-machine collaboration, how to plan for 50- to 60-year careers, and how to propel organizations across a continuum of talent pipelines.
The future of work will demand the return of the Renaissance figure: a person with multiple talents, interests, and areas of expertise.
It will require the fusion of four key job skills:
– Digital tools and technology skills
– Mastery of analytics and data
– Business management skills
– Creative and design skills
What does this mean for employers?
We believe that Generation Z will have the ability to demand greater personalization in their career paths.
For organizations to attract and retain the best and brightest of the generation, a different mindset will be required. To attract Generation Z, employers must be prepared to adapt to a pace of evolution that matches the external environment.
This involves developing robust training and leadership programs, with a real and tangible focus on diversity.
– Develop the profile of the ideal employee, establish internal learning programs, or hire smart and talented people and then assign them to a position within the organization.
– Consider collaborating with universities to recruit the best female talent and attract more candidates for technology positions.
– Create interlocking career paths and multiple work formats.
– Establish internal markets to match projects with the necessary skills.
– Leverage the experience of Generation X, Generation Y, and Baby Boomers to help Generation Z become strong leaders.
– Consider the attractiveness of the sector you operate in and your company’s reputation, and plan accordingly.
Generation Z is redefining the workplace, and companies must adapt or face talent loss.
The following contribution is from the Entrepreneur portal and was written by Anthony Knierim, a regular contributor to the Entrepreneur Leadership Network®.
The power dynamics in the workplace are shifting as young people prioritize individuality and meaningful work over climbing the corporate ladder.
Key Takeaways
Generation Z is transforming the workforce, prioritizing entrepreneurship, flexible work arrangements, and specialized professions over traditional career paths.
Organizations risk becoming obsolete if they don’t adapt to Generation Z’s demand for a work-life balance that prioritizes autonomy, purpose, and personal growth.
Business leaders must embrace individuality, prioritize purposeful work, and offer flexible and hybrid models to attract and retain Gen Z talent.
The workforce is undergoing a radical shift, driven largely by Gen Z’s redefinition of what work can and should look like.
This generation, born between 1997 and 2012, is redefining traditional career paths by opting for entrepreneurship, gig economy roles, and specialized professions, while also pushing the boundaries of what work means.
For people leaders and organizations seeking to connect with this dynamic demographic, understanding their motivations and aspirations is critical.
The Opt-Out Mentality
The most significant trend among Gen Z is their willingness to opt out of systems they consider outdated or incompatible with their values, such as attending college or aspiring to climb the corporate ladder.
This generation not only rejects rigid employment structures but is questioning the very premise of employer power.
Historically, the balance of power between employers and employees has been cyclical, influenced by economic trends and labor supply.
But the Gen Z mindset introduces a new dimension: the freedom to step away completely. Between the gig economy, remote work opportunities, and digital platforms for personal branding, traditional employment is now optional, rather than essential.
The term «employer market» could become obsolete in the near future as Gen Z and their successors, Generation Alpha, are redefining the power dynamics in the workplace.
This shift is forcing employers to reconsider how they attract and retain talent.
Organizations that fail to adapt risk losing relevance, not only as workplaces, but also as brands, given the merging of employee and consumer identities.
The Rise of Gen Z Entrepreneurship
Gen Z is the most entrepreneurial generation to date, with platforms and technology lowering the barriers to entry for launching businesses or side hustles.
A report revealed that half of Gen Z aspires to start their own business.
Starting a business through social media platforms, such as TikTok or Instagram, has further fueled this trend, offering tools to monetize creativity and reach global audiences with minimal initial investment.
Unlike previous generations, Gen Z views traditional employment as just one of many options.
A corporate job is no longer considered the default; rather, it is one of several paths to achieving financial independence and personal fulfillment.
Prioritizing Workplace Flexibility
According to a recent report on workplace well-being, Generation Z is the only generation that prioritizes flexibility in work location and hours over competitive benefits.
With the gig economy offering unmatched flexibility and scalability, many young professionals are turning side hustles into their primary sources of income.
This generation’s comfort with diversifying their income reflects a broader cultural shift: the idea that work should fit with life, not the other way around.
Rise of Craft Professions
In a surprising twist, Generation Z is also showing renewed interest in craft and vocational careers.
Far from being an option of last resort, skilled trades are increasingly viewed as lucrative, stable, and entrepreneurial opportunities.
According to data from the National Student Clearinghouse Research Center, community colleges experienced a 16% increase in student enrollment between 2022 and 2023.
Why this resurgence? In part, it’s due to their practicality. With average student debt exceeding $29,000, many Gen Zers see vocational careers as a way to circumvent the financial hardships associated with traditional four-year college degrees.
Additionally, these trades offer the opportunity to develop tangible, marketable skills, often leading to the creation of businesses in fields such as plumbing, electrical engineering, or carpentry.
Social media has also played a surprising role in the rise of these professions.
Platforms like YouTube and TikTok feature professionals who not only showcase their expertise but also promote the lifestyle and entrepreneurial possibilities these careers offer.
Rethinking People Leadership
For business leaders, the conclusion is clear: Gen Z expects more from work, and meeting these expectations requires a fundamental shift in leadership strategy.
Here are three steps to effectively connect with this demographic:
– Embrace individuality: Gen Z values being seen as individuals, not cogs in a machine. Leaders must invest in understanding their employees’ unique goals, strengths, and challenges. This includes fostering meaningful relationships and designing tailored professional development plans.
– Redefine work culture: Flexibility is paramount. Remote and hybrid work models are not just perks, but expectations. Furthermore, companies must create cultures that emphasize personal growth, mental health, and work-life integration.
– Prioritize purpose over profit: Gen Z seeks purpose
