How to Engage The Multi-Generational Workforce

by Al Dea | Feb 7, 2024 | Talent Development, The Future of Work

Welcome to the Multi-Generational Workforce

In the world of work today, there are many issues that leaders are faced with when it comes to navigating our changing world of work. But one topic that often comes up in my conversations with leaders is around the idea of the multi-generational workforce. While it’s been true for decades that generations have had to work together, more and more frequently I’m engaging in conversations where leaders are asking questions about this topic.

What Are the Generations in the Workforce?

What is unique and different this time around is that, for the first time in history, five generations are in the workplace. They are:

Generation Z: born between 2001 and 2020
Millennials: born between 1981 and 2000
Generation X: born between 1965 and 1980
Baby Boomers: born between 1946 and 1964
Silent Generation: born between 1925 and 1945

As a self-identified millennial, this is a topic that I am excited to dig into as I think I sit right in the middle of the conversation literally and figuratively.

As a millennial, my peers who I entered the workforce with are right in the middle to upper middle of the org chart, and often vacillate between the C-Suite and the front lines, not to mention, we entered the workplace long enough ago to notice the changes in the workplace but still close enough to empathize with the newest generation entering the workforce.

Additionally, I often liaise across the generations in the work I do each day, talking with executives and leaders about issues with attracting and retaining their employees and developing their leaders, and then spending time with employees and leaders on in the foundational parts of the org chart who are experiencing the strategy and decisions that are made by their leaders.

This ability to see multiple perspectives puts me in a unique position to offer up my own insight and observations. Throw in my ability to nerd out on data, research, and best practices and I think I’ve got some unique and fresh takes that will start an interesting discussion, and hopefully push the audience (mainly CFOs and Finance leaders) to think about how they are investing in their talent and the workplace.

There’s been a healthy debate and skepticism about generational data and trying to read too much into it. So much so that Pew Research has actually updated some of their own practice when it comes to reporting on this data.

There’s a lot of validity in the concerns and criticisms, but I think the data (and broadly, the study of your diverse employee base) is valuable when used appropriately. I’ve tried to develop my own mental model for looking at and evaluating data, stories, and insights into the multiple generations in the workplace topic, and this is what I’ve come up with:

Cautions With Generational Data & Insights

Generational categories are not scientific – One caveat to any generational data and research is that there is a loose agreement on what constitutes a generation. No generation is a monolith, and people have unique experiences. While there is a lot to be learned by studying and observing people and what makes them unique, labels do not define an entirety of a population. A great way to look at this is that generational insights are clues, not labels

We have more in common than we do that’s different – Even though its true that people are different and culture, society, and norms change, we also still have a lot in common. While it’s important to study and acknowledge the differences, it’s also important to remember that especially in the context of work, there still are a lot of commonalities between people and across generations. In fact, some research shows that the differences within generations are often greater than generation to generation.

People change over time – Through lived experience, culture and influence of others, people change and evolve. What you think at 22 often isn’t the same at 32 or 42. I think this is an important sanity check for us especially when we see a data point or hear a story about a generation different from us that we scoff at.

Curiosity > Conclusions – Whenever you hear a data point, insight, or phrase about generations, consider leaning into curiosity over a conclusion (at least to start) Seek to learn more before jumping into a conclusion.

Rethinking our Approach to Talent in a Changing World of Work

The following are four key trends that I think are of interest to the multi-generational workforce dialogue, and specifically, what it means for leaders as they look to attract and retain talent, and build sustainable organizations built for today’s world of work.

1)People are living and working longer

People are living and working longer. Traditionally, employees went to college, worked for 30 years, and then exited the workforce through retirement. While that still happens, people are working longer, and in general, people are living longer. Many of these are due to positive trends, like advances in medicine and technology.

But this also has implications for the workforce. First, it means that how we think about careers is evolving and changing. Gone are the days of lifetime employment, and education that is ‘one and done.” Now, it’s common for people across all generations to change jobs and careers, and while a college degree still has importance, many of us will have to embrace career accelerators at various points in our careers if we want to evolve and stay relevant. Case in point: Generative AI wasn’t on our mainstream radar a year ago, and look where we are today.

Key Data Points:

Age +75 is one of the fastest growing age demographics of workers in the United States
45% of 65 Year olds in the U.S. are retired (2021) which is down from 58% (in 2001)
Every age bracket under the age of 55 is less likely to work today than in 2000, and every age bracket over 55 is more likely to work than in year 2000.

2.Our Workforce is Getting Older and Smaller

As people are living and working longer, the overall US workforce is therefore getting older. This intuitively makes sense, in that the baby boomers who are working longer are pushing up the rates of employed workers in those age demographics. What’s also true is that as more and more of them continue to exit, we are not adding workers of younger generations to the workforce in an equal manner.

Many attribute this to stricter immigration policies and lower fertility rates, and in some cases, different age cohorts (Ex: Men 25-54) are dropping out of the workforce. What this means is that in the United States, the workforce is not only getting older, but it’s also getting smaller. The labor force participation rate, which is the number of people who are either working or actively seeking work as a share of the working age population has declined significantly over the past few decades. In fact, fewer and fewer Americans have been participating in the labor force for decades, resulting in a smaller workforce that is expected to continue shrinking for years to come.

Key Data Points

Labor Force Participation Rate: 63.1% (Nov ‘23) vs 67.3% (Nov 2000) and projected to be 61.3% in 2013
U.S Population Growth of 16-64 Year olds: 4.2% vs 65+: 38.6%

3.Professionals are evolving slower and later in life

Another interesting trend that is that longitudinal data suggests a continuing trend that young adults are reaching milestones in life later and later. This has a direct impact on the people who enter into your company, who in many cases, are entering their first job and first company.

This reflects to me, some of the challenges that organizations are facing with onboarding early career talent. This is not the fault of anyone, but rather, goes to show you how culture and upbringing (something 21 year olds do not control) influences how people grow and evolve.

Key Data Points:

In 1980 62% of 21 Year olds worked full-time, versus 38% in 2021
In 1980, 42% of 21 year olds had financial independence, versus 25% in 2021
In 1980, 18% of 21 year olds had a child in their household, versus 6% in 2021

4.We have talent, skills, and opportunity mismatches (of our own doing)

When you pick up the headlines of your news outlet of choice, it’s common to see headlines talking about talent shortages, the ongoing child care crisis, as well as the struggles of workers looking for jobs. On the flip side, you might have seen headlines about how the pandemic opened up opportunities for workers through flexible working arrangements.

So what is it? Well, all of these are interconnected, and point to the mismatch at the intersection of talent, skills, and jobs. Multiple truths can be true, in that there are real shortages of talent in specific jobs and industries all while there are professionals looking for jobs that can’t find roles. At some point, this just becomes a math equation. You either increase the number of workers, or increase the number of jobs. I call this a mismatch, because at times, we have shown we can find ways to balance the equation through flexible work arrangements, equitable hiring practices, and workforce planning.

In the United States, there are 9.5 million job openings in the U.S., but only 6.5 million unemployed workers. (US Chamber of Commerce)
The “Hidden Workforce” represents anywhere from 14-17% of the workforce and up to 27M workers in the US who want to work but are currently overlooked for employment
In 2022, about 21% of people with a disability in the U.S. were employed, up from about 19% percent in 2021, and the highest since the BLS started tracking in 2008.

5)Bonus: The Impact of Technology on The Workplace

Here’s a thought exercise: Think about your first day of your professional career, and think about the technology that was prevalent in society and that you used on your first day of work. Compare that to what employees who are starting their professional careers in 2023. It’s clear there is a shift in how technology is used and the tools at our disposal, and this has a huge impact on how professionals work.

Conclusion: What Leaders Can Do To Unlock The Multi-Generational Workforce

I’ve got a section in the presentation titled “What’s the So What” which digs into what I think the implications are for leaders of organizations and the workforce in general which I’m going to save for the keynote, but I do have a built out section for what leaders can do to lead effectively in a multi-generational workforce so I will share those thoughts with you for now. And if you’re someone who is thinking about the multi-generational workplace (or is leading in one) and you have thoughts I’d love to hear what you think:

Think Like an Explorer – Lean into curiosity to understand diverse perspectives + experiences. This goes back to the idea that to best serve a multi-generational workplace, we must seek curiosity over judgment. Work as much as you can, to use your curiosity to learn, and as a leader, to listen first, before jumping to judgements or decisions. When you understand the context of your employees, you will be in a much better position to make a decision that impacts them.
Observe Like a Scout – Look for the talent & strengths that exist in your employees + call it out – Part of the beauty of your role is that you observe so many different people in each of your interactions. Taking the time to spot when people are doing things that they are excellent at, and letting them know that they are excellent is a great way to encourage and leverage the diverse talent you have in your organization. The great football coach Tom Landry used to show his players game tape of them doing their best work to encourage them to do that more often. You can operate in a similar manner
Act Like a Conductor – Connect the dots for others who don’t have your vantage point. Many of the other generations in the workplace don’t have the experience you do, and your advantage is that you have probably had many of the roles in the hierarchy of the people who report into you. Your job is to use your vantage point, to help connect the dots between the generations, so that they can work together effectively.

Note: Are you looking for a speaker on this topic for your event? I’m passionate about this topic and would love to speak to you. Contact Me for more information.

PS – Are you looking for more data or resources on The Multi-Generational Workforce? I’ve compiled a list of podcasts, books, and blogposts, and am sharing them below: