More than half of employees aged between 23-28 – also known as ‘Zillennials’ – claim that having an unfulfilling job is the top cause of stress at work.
In fact, job satisfaction has hit a 20-year low across the US workforce; and is the lowest among Zillenials, confirmed a MetLife study. However, better employee experiences coupled with wellbeing benefits would help ease the stress and retain this group.
MetLife’s 20th annual US Employee Benefit Trends Study (EBTS) found that Zillennials have assumed a new level of influence in the workplace when it comes to the whole employee experience. Zillennials, a micro-generation born between 1993-1998 that has increased in size by more than five million workers over the last five years, are demanding a work culture and environment that better aligns with their personal values. The report finds they are the least satisfied in their jobs; amid a 20-year low across all generations – and more than half of Zillennials (53%) say having an unfulfilling job is currently a top source of stress.
Over the last 20 years, MetLife’s EBTS has examined workers’ shifting perceptions of their employers as work-life balance, purposeful work, and supportive cultures have newly emerged as key retention-driving aspects of the employee experience. In that time, long-term data shows a change in expectations driven by younger employees during the pandemic, as well as a trend of younger employees being less likely to conform to traditional workplace conventions due to evolving values and priorities.
EMPLOYEE BURNOUT STRUGGLES
As they continue to struggle with burnout and social isolation two years into the pandemic – with 53% having sought mental health help in the last year (versus 31% of all employees) – Zillennials feel more strongly than other employees that their employer is doing only the “minimum possible” to help them adapt to their new working environments (41% vs. 36%, respectively). As a result, the report finds Zillennials are now more discerning than other generations in evaluating their employers, considering all aspects of the employee experience beyond traditional benefits.
“It’s clear we’ve reached a critical inflection point in the workplace, and employers across industries should not only be taking note, but should also see this as an important opportunity for reflection and growth,” highlighted Todd Katz, Executive Vice President, Group Benefits at MetLife. “As employees rethink not only how, but also why they work, Zillennials are quickly setting a new standard for evaluating the employee experience. By using this generation’s expectations as a barometer for success, employers can evolve to meet their needs in stride; which is important, particularly as Zillennials gain a stronger foothold in the workforce.”
SUPPORTING THE EMPLOYEE EXPERIENCE
As Zillennials seek fulfilment at work, many are looking for purpose-driven environments that meet their shifting priorities. More interested in companies that provide a clear sense of purpose – with less than half (46%) willing to stay with a company that doesn’t have a clear and positive company purpose (vs. 57% of all employees) – Zillennials’ new needs go beyond traditional benefits to include enhanced interest in an employer’s stance on environmental and ethical issues (45%), as well as diversity, equity & inclusion (DEI) resource groups (40%); both of which have emerged as “must-have” employer expectations for this age group. According to the study, while more pronounced among Zillennials, this shift is consistent with that of other generations – in particular, younger employees – who are expressing similar priorities in 2022.
A work culture that taps into and improves employee social and mental health has also become a top consideration for Zillennials. According to the report, recognising the importance of employees’ lives outside of work, and policies that place boundaries on employees’ working hours both rose in importance by double-digit percentages in the last two years (by 13% and 11%, respectively). This too is reflective of Gen Z and millennial employees, the study found.
IMPROVING WELLBEING & JOB SATISFACTION
As employers consider how to improve the employee experience, the report found thinking holistically about benefits can help; particularly as one in four Zillennials (27%) say they have considered leaving their employer for an improved benefits package over the past year (vs. 19% of all employees). Traditional benefits remain of high importance to Zillennials; this is particularly true of legal plans, life insurance, and hospital indemnity insurance, which jumped 25 percentage points, 23 percentage points, and 19 percentage points since 2017 among this age range, respectively.
At the same time, this group is also increasingly expressing interest in new benefits, such as student debt assistance, with 50% calling it a “must-have.” When asked which would most improve their well-being, Zillennials cited paid and unpaid leave benefits (74%); work-life management programmes (67%); mental wellness benefits, including employee assistance programmes (EAP) and reimbursement for therapy sessions (62%); and programmes to support their financial needs (55%) as top priorities.
“When it comes to improving job satisfaction, loyalty, and retention, employers need to think of benefits as the foundation of the whole employee experience,” added Katz. “Benefits are critical, but they don’t exist in a silo. Employers should be offering comprehensive packages that both complement and reinforce the other critical elements of the employee experience. If they don’t, they risk losing this vital sector of the workforce to an employer who will.”
Click here to read the report.
Employee burnout, particularly amongst younger workers, continues amid the pandemic, confirmed another study. Click here to read more.
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