How do experiences differ across a multigenerational workforce?

'When you run any organization, you have to look as far down the road as you can and create a conveyor belt of talent… It’s always easier to produce a consistent level of high performance when you nourish youngsters. They can inject fantastic spirit and will repay you back with loyalty.' – Sir Alex Ferguson, former Manchester United manager

Multigenerational workforces are now the norm, whether the business world likes it or not. As a result, there is considerable interest in understanding the similarities and differences that might exist between generations’ experiences, beliefs and expectations. This is particularly important for those in leadership positions, who need to be able to manage and support their people as effectively as possible. Differing ages and experiences within leadership groups can also complicate matters further.

More similar than different?

Much of the discourse around this topic feeds the idea that generations are clearly distinct groups and desperately different from one another. The data, however, presents a far more nuanced and intricate picture.

'Millennials only want to communicate with coworkers via text – and Baby Boomers don’t text, right? And you need to attract those tech-y Millennials with promises of flexible work schedules, but their older counterparts all want a traditional workday, correct? Well, actually, wrong.' – Harvard Business Review

Researchers at Harvard Business Review found that the generational differences among employees are smaller than perceived. Research has also found that Millennials have very similar career aspirations to Gen Xs and Boomers, that all generations have experienced similar challenges working from home and that all generations ultimately want meaning and purpose in their work. These similarities drive the uniting consensus that across the generations, 53% of employees prioritise their wellbeing over work – significantly more than they did before 2020.

Differences in workplace experiences

In what many are calling 'The Great Reshuffle', we’re increasingly putting our lives and our wellbeing ahead of our work. However, this is where research shows generational differences in experience: whilst the majority of generational groups report a positive experience of working from home, significantly more Gen Xs and Boomers (72%) report the experience to be positive than Gen Zs (64%). This is argued to be the result of differences in remote work set-ups, caring responsibilities and the financial burden of travelling. But one thing all generations can agree on is that loneliness is more of an issue in hybrid working arrangements – 55% of hybrid employees feel lonelier at work than they did when they were working in the office full-time. In addition, 43% of leaders cite relationship-building as the greatest challenge of hybrid working.

In other words, although the data does indicate differences in expectations and experiences in the new world of work, these do not immaculately subscribe to the cookie-cutter shapes of generational stereotypes.

Our statistical models show that the best predictor of generational group is an employee's sense of belonging, autonomy and purpose within their role. Sense of belonging is strongly linked to our immediate relationships at work, as well as how psychologically safe we perceive the culture to be. Data reports that employees who have thriving relationships with their immediate team members report better wellbeing (76% versus 57%) and productivity (50% versus 36%) than those with poor relationships.

Purpose is a key predictor of psychological health, resilience and a psychologically safe culture, and has been described as key to the survival of business globally. If an organisation is to attract, retain and engage its workforce, its purpose must be clear and authentically established. Purpose is gathering more and more traction in part due to pressure applied by the younger generations – nearly half of Gen Zs and Millennials in senior positions report having turned down jobs that didn’t align with their personal ethics/values.

Differences within leadership

Given Millennials are currently the largest group in the global workforce, it is interesting to consider how their experiences compare to those of other leadership groups. Our data (n=1335; Feb ’21) suggests that among leaders (Millennials = 66%; Gen X = 27%; Boomers = 7%; combined leaders n= 120) there are statistical differences in their experiences at work, but not in the way you might think. We see uniting experiences at work between leaders from Millennial and Boomer generations, while significantly higher scores are reported by Gen X leaders:

(Above) Leaders reporting their sense of purpose and meaning, as well as how psychologically safe they believe the culture to be (n=120). Gen X report significantly higher scores than Millennial and Boomer leaders.

This is perhaps surprising considering the typical messaging surrounding multigenerational workforces and the pervasiveness of generational stereotypes. Recognising unifying factors will be key in shifting from the current 'us versus them' tribal dynamic to a place where we accept that we are all fundamentally different people with equally valuable insights to offer. It is important to consider diversity in all forms: even a unigenerational team is made up of distinct individuals with unique backgrounds, biases and belief systems. If we can value wisdom and experiences over age and support effective communication, different generations can challenge and stretch each other to come up with something much more profound. This is backed by research showing that age-diverse teams are more effective, creative and successful (Wegge and Jungmann, 2012). When viewed in this way, inclusivity generates a competitive advantage; we should all consider beginning with communication, humility, and a deeper curiosity about the strengths and limitations of our team members and ourselves – and the individuality we all bring.

The impact of leaders

At Positive, we believe that investing in leaders is the most effective way to make an impact and drive change across an organisation. But how much influence – and in what areas – do leaders from different generations actually have?

Among departments with predominantly Millennial leadership (n=760) we see that the workforce feels more stretched and challenged by their role. In contrast, when asked to reflect on how psychologically safe the culture is, departments with Gen X/ Boomer leadership (n= 510) reported a higher score:

(Above) Departments with either predominantly Millennial leadership or Gen X / Boomer Leadership reflecting on how psychologically safe they believe the culture to be and how challenged they feel by their role (n=1270).

Given these findings, it could be argued that a variety of leadership styles are the driving force. Research by the Great Place to Work Blog (2019) describes how Millennials value communication and regular feedback from leadership when it matters: focusing on performance, key projects, or challenging times. Unlike Gen Xs, who suggest they’d like a leader who can come in and solve a problem, Millennials want moral support and understanding to help them work through the problem themselves. In the Great Place to Work Blog (2021), when Millennials described how their managers helped them in problem situations, the word 'empathetic' was mentioned most often. Gen Xs would like leadership to be engaged in work and easily approachable; open to everyone’s ideas and create a workplace where all levels can participate freely. These results parallel the Gen X/ Boomer leadership focus on a psychologically safe culture, and contrast to the emphasis on challenge by Millennial leaders. In other words, we become the kind of leaders we seek as part of the workforce.

Positive's data, in parallel with the scientific literature (Hasan and Kashif, 2021; Triplett and Loh, 2020; Dollard and Bakker, 2010), show strong correlations between psychological safety and the workplace wellbeing factors highlighted above across all generations (p<.001; r=.45). An actional insight from these relationships relate to building psychological safety through role-modelling. We know from multiple datasets within Positive that leaders have the largest impact on those in early-career roles and members of the Gen Z faction. If leadership can authentically role model behaviours that highlight psychological health and wellbeing as being a priority and build a psychologically safe culture, we can expect the leaders of the future to adopt and further drive forward this psycho-social agenda.

(Above) The % impact of leadership role modelling on the workforces’ sense of belonging. Positive leadership role modelling defined by employees who rate their Leadership highly (>=6/10) in their ability to display role-modelling behaviours, show compassion and support, communicate regularly in and open and honest way, and to make psychological health/wellbeing a priority. Only departments with n>10 were included (departmental n=3) and leaders were removed from the dataset. A population of 667 was included.

• Recognise and reward leadership (of all ages) who authentically live the vision and values of the organisation. With purpose playing a significant role in employee experience across all generations, but especially among the younger groups, organisations will secure the most benefit by attracting and retaining individuals who are supportive of diversity across the workforce and who seek a sense of belonging. This is a self-fulfilling prophecy, whereby attracting employees who authentically role model these behaviours will assist in retaining and engaging their diverse workforce. Those organisations who clearly define their purpose and values, and propagate a workforce who live them, will be the ones who seamlessly adapt with the inevitable evolution of the working world.
• Focus multi-generational discussions around opportunities for learning. It is likely Gen Zs and younger Millennials are managed or led by members of older generations. Here it is important to emphasise that we all have something to learn from one another. With five generations in the workforce, there are plenty of mentoring and learning opportunities. And remember, mentoring relationships aren’t just a one-way street: mentors can learn just as much from their mentees as their mentees might learn from them. This belief system fosters a culture where your employees continue to learn from one another, regardless of age, background or diversity group.
• Ground challenging or divisive topics in discussions of how the issues are relevant to your organisation’s values and purpose. It’s unrealistic and unnecessary for every person in the organisation to agree or share the same opinions; in fact, these differing beliefs play out advantageously when problem-solving! But it is important for all employees to understand why the organisation places a high value on the issues being discussed. You can unite the workforce through joint vision, purpose and a supportive, connected culture.
• Remember that 'intergenerational divides' can reveal as much about the generation of the business as they do about the generations of the workforce! Although workplace age diversity has increased, the challenges are not new, and differences do not sit cleanly on generational boundaries. It is important to highlight that seeking a positive workplace culture unifies the expectations of the workforce: younger generations may be voicing their expectations more loudly and voting with their feet, but in many cases they are seeking exactly the same outcomes as their more mature counterparts. Prioritising time for employees to connect in deeper and more authentic ways beyond the to-do list, and to foster a culture of connectedness, will be crucial to future-proof the workforce.