Randstad says Gen Z expect companies to do more than talk about values
Gen Z employees make up 27% of the Australian workforce but are redefining what makes a great employer, according to new research.
Randstad’s annual Employer Brand Research found purpose-led brands led the employer rankings for this year, with seven of the top ten companies ranked highest by Gen Z, opposed to just one last year.
The research also shows that of the top ten employers, six are social impact organisations – a sharp change from 2024 when blue-chip companies dominated the list.
“Gen Z isn’t just redefining what makes an employer attractive, they’re accelerating the pace at which the workforce moves to find what they want," the findings state.
“While older generations are opting for stability with only 12% having changed roles in the past six months, Gen Z shows a persistent willingness to move. In the same period, 22% of Gen Z workers switched roles, and a further 28% are considering doing so in the next six months.”
The findings are based on feedback from more than 5,400 Australian workers on Australia's 75 biggest employers by workforce size and an insight into their drivers and preferences when looking for work.
Randstad says the findings can help employers ensure they remain attractive and competitive in the battle for talent.
The top ten most attractive employers are:
The impact of Gen Z's priorities on workplace values has been described as “fundamentally revolutionary” in improving employee value proposition (EVP) and how employers appeal to the next generation.
“Gen Z are a very vocal component of the workforce, and I think it’s now driven by a deep desire for employers to be more authentic,” David Owens, Managing Director of HR Partners at Randstad Australia, told HRD.
“It’s not enough anymore to just state your values. Gen Z expect the organisation to truly live them – you can’t get away from the fact that this is a very smart, nuanced group of employees who aren’t going to have the wool pulled over their eyes.”
The apparent lack of authenticity within workforces, Owens analysed, now has a greater correlation with attrition – as Gen Z are more willing to move between jobs if their values aren’t aligned with their employer.
“The Gen Z crew really walk with their feet – and they’re more willing to move than their predecessors. It’s the responsibility of HR leaders to make sure you know the offer is going to be sufficient to attract and retain.”
Managers play a big part in this – ensuring culture and values transcend all aspects of the business and believing in what’s being offered, such as work-life balance and autonomy.
Integration between company and society is now key to attracting and retaining talent – with the values of businesses potentially needing to take a “U-turn” to align with this, something that’s not easy to do, Owens emphasised to HRD.
“The tradition of working hard, working weekends when needed, getting promoted, eventually making it to partner, just doesn’t really matter anymore. The challenge for employers is accepting that.”
“Things like diversity, balancing our regime, flexibility – they’re all intrinsically connected to making our lives at work meaningful and sustainable. That’s the new priority.”
Buy-in and commitment to change, Owens emphasised, is key to adopting change - not separate programs for a specific section of the workforce.
“When you get commitment from up top, you can be sure you’re getting buy-in from Gen Z,” he analysed.
Change is driven by effective people in your organisation, Owens concluded, in order to build a sustainable relationship.
“If you can engage with people who will stay with you for a year or two, that's where the value of your HR leader is. To make that work, you've not just got to attract the right people – you’ve got to create an environment in which they can be comfortable and perform at a high level.”
“Money’s the number three motivators, job security’s fourth. It shows that they want a wholesome place where they’re going to end up spending half their waking hours every week,” Owens said.
