In today’s rapidly evolving business landscape, Generation Z’s curiosity and eagerness to learn represent powerful assets for any organisation. LinkedIn’s Workplace Learning Report reveals that 83% of Gen-Zers are eager to learn new skills to excel in their roles. This statistic underscores their readiness to bridge the skills gap and thrive in a learning-rich environment.
A recent LinkedIn Live session hosted by People Matters for the upcoming Tech HR Conference 2024 delved into the crucial topic of bridging the skills gap for Gen Z through skill-based hiring. The conversation served as a precursor to the upcoming People Matters TechHR India Conference, which centres around the theme “Inspiration to Action: Speed, Sustainability, Resilience.”
The session featured prominent speakers Bhavya Misra, Group CHRO, Godrej capital, Alekhya Chakrabarty, Vice President, Marketing and Growth, Unstop and Biswaroop Mukherjee, HR Head, Commercial vehicles, Tata Motors, who shared their perspectives on the unique traits, motivations, and priorities of Gen Z in the workplace, as well as strategies for adapting hiring practices to better align with this new generation’s expectations.
The discussion began by emphasising the importance of understanding Gen Z’s unique characteristics. This generation values authenticity and purpose in their professional lives, expressing frustration with traditional hiring practices that focus solely on resumes.
Gen Z’s Demand for Meaningful Work and Transparent Hiring Practices
Gen Z advocates for a more holistic approach that considers their interests and professional aspirations. They are driven by meaningful work and seek to understand the challenges they might face in the workplace, viewing these experiences as opportunities for growth.
Bhavya Misra highlighted that Gen Z integrates their personal and professional identities, questions hierarchy, and demands transparency, preferring meaningful conversations over traditional assessments. This openness and willingness to challenge the status quo can drive organisations to reevaluate and improve their practices.
Another noteworthy trait of Gen Z is their confidence and willingness to question the status quo, which can drive organisations to reevaluate and improve their practices. Gen Z is highly purpose-driven and values alignment with their personal beliefs and goals. They also have access to a vast amount of information, fostering a belief that they possess extensive knowledge. However, they may lack the nuanced experience that comes with time, which can sometimes affect the depth of their insights.
The discussion elaborated on the need for a balanced, reciprocal relationship in the hiring process. Traditional interview setups, where organisations hold all the power, are becoming outdated.
Today’s hiring process should involve both parties evaluating each other, and fostering open, transparent, and equal dialogue. This approach ensures a better fit for both the organisation and the candidate, aligning with Gen Z’s preference for authenticity and purpose.
Gen Z’s Impact on Workforce Dynamics and the Triple E Framework
Biswaroop Mukherjee taking a systems view shared that any significant change in the ecosystem creates a new equilibrium. This new balance emerges as Gen Z enters the workforce, altering organisational practices in hiring, retention, and engagement. The degree of change varies by sector, with industries facing higher retention challenges adapting more rapidly. For candidates, the evolving business landscape necessitates a greater focus on readiness and adaptability. Organisations now seek application-oriented skills with less willingness to train, unlike a decade ago.
Candidates must therefore prepare themselves thoroughly, staying ahead of trends such as digital skills, AI, and generative AI. The accelerated pace of business has shifted expectations, with companies demanding quicker ROI from employees, thereby reducing the prevalence of long-term management training programs. Candidates must also cultivate a combination of education, experience, and exposure—referred to as the “Triple E”—to meet these new demands. Traditionally, educational institutions have focused solely on education, neglecting the experience and exposure components.
The importance of continuous learning and development. Given the fast-paced technological landscape, organisations should offer ongoing training opportunities to help employees stay current with industry advancements. This commitment to employee growth demonstrates an organisation’s dedication to its workforce, resonating with Gen Z’s values.
Transitioning to Skill-Based Hiring Through Engagement Strategies
Alekhya Chakrabarty addressed the critical question of transitioning from traditional hiring practices to skill-based hiring. He provided an example from the Flipkart GRiD 6.2, an engineering hackathon that received nearly 500,000 registrations last year. This demand underscores the preference for skill-based hiring engagements, where candidates are evaluated on relevant skills rather than traditional interview methods.
To adapt to this shift, organisations can introduce hackathons, ideathons, and other skill-based competitions to assess candidates’ capabilities. Implementing continuous engagement practices, such as post-hiring surveys and regular touchpoints, is crucial for retaining talent. Authentic storytelling, where companies share success stories of current employees from similar backgrounds, can provide relatable insights and foster a sense of belonging.
Offering ongoing training and development opportunities helps employees stay current with industry advancements, demonstrating a commitment to their growth. Moving away from rigid, resume-based hiring practices to more flexible, skill-focused evaluations aligns with Gen Z’s expectations for transparency and authenticity.
Challenges in Skill-Based Hiring and Development for Gen Z
Organisations face challenges in skill-based hiring and development for Gen Z due to the gap between academic learning and real-world job requirements. A survey revealed that 91% of recruiters see a disconnect between college education and workforce needs, while 66% of students feel adequately prepared.
This gap often leads to initial struggles for young professionals. Enhancing onboarding processes with mentoring programs and skill-focused initiatives can bridge this gap. For instance, Tata Motors’ approach of extensive internships before hiring MTech interns ensures cultural and skill fit. Business simulations can also provide practical assessments of candidates’ abilities, aligning talent acquisition with organisational needs and fostering a culture of continuous learning.
Addressing Mismatched Expectations for Gen Z Employees
Organisations must address the “this is not for me” mindset among Gen Z professionals, often stemming from mismatched expectations. Effective onboarding and mentorship programs are crucial. Training hiring managers to support Gen Z employees is essential, as seen at Portridge Capital, which provides detailed insights into company culture and job specifics before new hires join.
Structured functional inductions and mentorship programs within the first six months enhance productivity and confidence. Cultivating value within the organisation and clear communication of employer branding can also attract and retain top Gen Z talent, ensuring mutual success and long-term retention.
Emphasising human connections, Gen Z advocates for workplaces prioritising employee well-being and inclusivity, alongside technological advancements. They prefer flatter organisational structures and inclusive leadership styles, promoting collaboration across all levels. Gen Z’s influence is steering workplaces towards greater openness, flexibility, and a stronger focus on human-centric values, fostering a more empathetic and collaborative organisational culture.
Fostering Authenticity, Purpose, and Continuous Development
The LinkedIn Live session underscored the critical need for organisations to adapt their hiring practices to better connect with Gen Z talent. By focusing on authenticity, purpose, and skill-based evaluations, companies can attract and retain top talent, ensuring long-term engagement and growth.
As the workforce landscape continues to evolve, both organisations and educational institutions must collaborate to foster an environment where continuous learning and development are integral to success.
The insights shared during the session provide a valuable roadmap for bridging the skills gap and preparing Gen Z for the dynamic and rapidly changing workplace of the future.
To explore more on how to bridge the skills gap and adapt hiring practices to align with Gen Z’s values of authenticity, purpose, and transparency, ensuring a dynamic and inclusive future workforce, join us at the Tech HR conference 2024.