Gen Z Attrition: Is Your Employer Brand to Blame?

I recently did a LinkedIn poll looking to understand the gaps in knowledge HR Leaders felt they had. One of the stand outs was the issue of Generation Z (Gen Z) attrition.

Among emerging talent, Gen Z are the pool coming into the workforce and those that will become future leaders. Born between 1997 and 2012, Gen Z brings a unique set of skills and expectations to the workplace. One crucial factor influencing their decision to stay with, or leave, a company is a strong employer brand.  

In today's competitive job market, attracting and retaining top talent is a significant challenge for businesses. Earlier this year our partners at ViewHR, wrote a blog outlining how organisations can engage Gen Z. In this piece, I will be doing a deeper dive on why employer branding is key to Gen Z talent attraction and how businesses can enhance/leverage their employer brand to better engage and therefore retain this generation. 

So what are Gen Z’s expectations? 

As the aforementioned article mentions, there are key expectations that Gen Z seek from a people experience perspective: 

• Purpose-driven: Gen Z seeks meaning and purpose in their work, desiring to make a positive impact on society and align their values with their employer's mission.
• Authenticity and transparency: This generation values honesty, transparency, and authenticity in their interactions, expecting the same from their employers.
• Career growth and development: Gen Z is ambitious and motivated by continuous learning opportunities and clear career progression paths.
• Work-life balance: Achieving a healthy work-life balance is a priority for Gen Z, and they actively seek organisations that value employee well-being.

Why is Employer Branding important to Gen Z?  

Gen Z individuals heavily rely on digital channels, social media, and testimonials to research and evaluate potential employers. As a result, a strong employer brand is crucial for attracting and retaining top Gen Z talent. Here's why:

• Attraction and recruitment: A compelling employer brand set’s an organisation apart from competitors, attracting high-potential Gen Z candidates who resonate with the company's values and purpose. 
• Employee engagement: Gen Z employees are more engaged when they feel connected to the organisation's mission, values, and culture, leading to increased loyalty and productivity. 
• Retention and reduced attrition: While Gen Z may be known for job-hopping, a positive employer brand can reduce attrition rates by providing the growth opportunities, work-life balance, and purpose they seek. 

How to enhance your employer brand for Gen Z:

The following key strategies align with Gen Z’s expectations and can be implemented by businesses to minimize Gen Z attrition:

1. Authenticity and transparency: Communicate honestly about values, culture, and career growth opportunities, encouraging employees to share their experiences openly.
2. Embrace digital channels: Utilise social media, company websites, and online review platforms to showcase your employer brand and engage with potential and current employees.
3. Focus on purpose and corporate responsibility: Highlight the organisation's mission and commitment to social impact, showing dedication to making yours a positive one on society.
4. Employee development programs: Invest in robust learning and development initiatives to foster continuous growth and skill enhancement.
5. Prioritise work-life balance: Offer flexible work arrangements, well-being initiatives, and support programs to emphasize employee well-being. 

For a deeper dive into this topic, Early Talent specialists Handshake have a guide on building a strong employer brand that attracts Gen Z.

Gen Z's increasing significance in the workforce requires businesses to recognise the impact of employer branding on engagement and retention. By aligning your employer brand with Gen Z's values and expectations, organisations can reduce attrition rates and create an environment where this generation thrives, contributing to long-term success.

As the leaders of the future, Gen Z deserves careful attention and investment to ensure a loyal, high-performing, and successful workforce. Building an authentic, purpose-driven, and transparent employer brand will not only attract Gen Z talent but also cultivate an environment whereby they thrive and contribute to organisational success in the long run. 

 If you would like to discuss any of the above, your next HR role in the Commerce sector, or are growing your HR function, email me at td@elliottscotthr.com or message me on LinkedIn.