It turns out not every young employee entering the workforce wants to ditch the “soul-sucking” corporate nine-to-five if it means building wealth beyond the levels of their parents.
There’s plenty Gen Z wants to get out of their careers: flexibility, more time to spend on their hobbies and passions, and a greater focus on well-being. But the group of people currently aged between 12 and 27 also grew up in an ever-changing economy, where a crisis has always been looming around the corner.
And with a global pandemic adding even greater uncertainty to consumers’ financial outlook, it’s perhaps no surprise that Gen Z are increasingly prioritizing stability above their other wishes.
That’s according to writing platform EduBirdie, which surveyed young employees about how their career objectives marry up with their financial goals.
The 2,000 respondents summed up the age-old question facing much of the workforce: money or happiness. The report found that “enjoyment” came out on top, with 37% of respondents defining this as their priority, followed by 31% who said they want to “make lots of money.”
But a deeper look at the data shows a more complex story. A further 15% said their aim was to achieve job security, while only 12% said their focus was making a positive impact on society—something of a departure from the ESG-centered demographic Gen Z are often described as.
Willing to sacrifice
However, the data showed that younger workers would also make important sacrifices if it meant earning more—with the main financial goal for the group identified as buying a home.
Nearly half of Generation Z would stop working from home if it meant getting a raise (41%), with a further 37% saying they would sacrifice hobbies and 31% saying they’d give up social time with friends for more money.
Thus far, employers looking to get workers to return to the office have taken something of a stick approach as opposed to carrots. Google has folded in office attendance as part of performance reviews, while Amazon has told employees promotions will be on the line if they’re not in the office for more than three days a week.
Elsewhere, JPMorgan CEO Jamie Dimon has said those who want to work remotely will have to do so with another employer, with Deutsche Bank attempting to follow suit but reportedly coming up against a great deal of resistance.
In fact, the return-to-office push may not actually be coming up short because of younger employees—despite their well-known desire for flexibility and independence. A white paper from property analytics company Placer.ai released earlier this month found Gen Zers and millennials are actually among the keenest to get back to their desk, while “ultrawealthy” Gen Xers were actually the ones more resistant to return.
Out-earning parents
EduBirdie’s report also threw up a new trend: Gen Z’s desire to earn more than their parents. Some 63% didn’t describe their parents as wealthy but said they wanted to be, while 20% said their parents were wealthy and they wanted to be as well.
Younger people may well have to earn considerably more than previous generations if they want to reach the same milestones. Buying a home, for example, is a priority for 29% of the respondents, who will be battling an increasingly unaffordable property market.
Likewise 11% said they hope to pay off student loans, which will no longer will come with a forgiveness policy, and a further 29% said they just want to live “comfortably” in the current economic climate—one blighted with inflation and a higher base rate than the previous decades.
Gen Z’s desire to earn independently of their parents also differs from the reported outlook of millennial peers. Where 55% of Gen Z said they worry about never being financially independent, a study from Alliant Credit Union last year found that 53% of millennials expect to inherit at least $350,000 from their parents.
While millennials may be disappointed with their relatives (the Alliant report found 55% of boomers are planning to gift an inheritance of less than $250,000), the Gen Zers EduBirdie spoke to discovered an overwhelming fact: Family and relationships are more important to them than any career.
Almost 70% of those surveyed said their loved ones came before work, with 60% saying they also valued their health over a career.
Ksenia Hubska, data lead at EduBirdie, said: “Gen Z’s way of working and living reflects a modern American Dream. They prioritize happiness over just money, value family, and aim for a stable future.
“Defying misconceptions of their laziness, our data paints a picture of a resolute generation, hungry for balance and fulfillment. They’re still determined to own a home and be financially secure, but they won’t sacrifice well-being for success.”