The distinctly different work-life balance requirements of Gen Z are seen as the biggest challenge faced by employers looking to adapt to the new generation of workers, according to new global research from Wipro-owned experience innovation company Designit.

Nearly half (49%) of respondents to the poll said Gen Z’s work-life balance demands were the number-one challenge to employers, followed in second place by the need to align to Gen Z values (38%).

Both of these were seen as significantly more challenging to employers than retaining creativity (8%) or embracing the tech innovation required to engage digital natives (6%).

With Gen Z set to comprise a quarter of the global workforce by 2025, Designit’s research highlights how businesses are going to have to shift dramatically to attract, engage and retain younger employees – particularly as employee experience has a direct impact on customer experience.

Dr Pardis Shafafi, global responsible business lead at Designit (which partnered with Los Angeles World Airports to develop its proprietary digital airport worker experience platform, Altitude), said: “There is a general sentiment that Gen Z is hard to work with – that they are insouciant and actively withhold their creativity, energy, and commitment. The desire for greater work-life balance is at the forefront of that perception.

“But rather than blaming Gen Z’s seeming lack of effort or motivation, a better approach for employers is to realise that insouciance is not a problem to be fixed; it’s an evolution in mindset from a generation facing the consequences of history. Employers are the ones who will need to adapt.

“Many employers have focused on employee experience and are already aware that workers increasingly seek transparency, integrity, and commitment to communal values in their workplaces. Companies that recognise these priorities and modify their practices accordingly will have better success in both attracting and retaining Gen Z talent.

“That means creating environments that honour Gen Z’s values, while also offering a fair and transparent exchange for their employees' time and energy.

“Increasingly, Gen Z is motivated by a common good, strong company values, and the offer of a fair and transparent transaction for their time. If neither are available, insouciance will reign. As Gen Z becomes the dominant force in the workplace, employers who respond proactively to these changes will thrive.”