A recent survey of Gen Z and Millennials around the world revealed that many young people are deeply concerned about their financial future.
The survey, conducted by Deloitte between November 2021 and January 2022, included responses from more than 14,000 members of Generation Z (defined as those born between 1995 and 2003) and 8,400 millennials (good between 1983 and 1994).
Among respondents, 46% of Gen Z and 47% of Millennials said they live paycheck to paycheck and regularly worry about not being able to cover their expenses.
“This year’s report shows that many Gen Z and Millennials are reassessing what matters most to them as they grapple with the continued disruption and uncertainty of recent years,” said said Michele Parmelee, Deputy Managing Director of Deloitte Global, in a press release.
More than a quarter of Gen Z and nearly a third of Millennials said they weren’t confident they could retire with financial comfort. About 30% of all respondents said they did not feel financially secure.
For Gen Z and Millennials, the cost of living was cited as their top concern, followed by climate change.
Additionally, 43% of Gen Zers and 33% of Millennials said they had taken on a second part-time or full-time job. Deloitte says this can be due to financial concerns, but it can also be driven by a desire to hone new skills.
THE GREAT RESIGNATION CONTINUES
Deloitte’s survey also suggests that it may be some time before we see an end to the “great quit,” which refers to the ongoing phenomenon of employees increasingly leaving their jobs since the start of the COVID-19 pandemic.
The survey found that 40% of Gen Z and 24% of Gen Y would like to quit their job within two years. Additionally, 35% of Gen Zers and 32% of Millennials said they would quit even without another job.
Gen Z and Millennials said a good work-life balance, career development opportunities, and a high salary were the top factors when it came to choosing an organization to work for. Deloitte says the survey results underscore the need for employers to make changes in order to retain talent.
“There is an urgent need and opportunity for business leaders to redefine the talent experience to better meet people’s needs,” Parmelee said.
PREFERRED HYBRID WORK
As more employers reduce work-from-home options, three-quarters of young people say they don’t want to return to the office permanently.
Among Gen Z respondents, 63% said they would prefer a hybrid working model, while 12% still prefer working remotely. For millennials, 62% said they prefer hybrid working while 14% prefer permanent remote work.
Currently, 49% of Gen Z and 45% of Millennials said they already work from home or have the option to work remotely at least some of the time. Respondents say they like the flexibility of remote work and how it helps them save money.
However, Deloitte says employees may face challenges if remote working is not implemented effectively. One in five respondents said connecting with colleagues was made more difficult by working remotely, and nearly 14% said working remotely made it harder to find mentorship opportunities.