The Great Detachment: Why Employee Engagement is at Risk—Especially for Gen Z

Aug 23, 2024

As described in a recent article entitled, “The Great Detachment is looming for employees, experts warn—especially for Gen Z” by Lindsay Dodgson, employee disengagement is becoming an increasingly critical issue for companies worldwide. With a staggering cost of over $8 trillion globally, the implications of a disengaged workforce are far-reaching. Amidst this landscape, the “Great Detachment” looms large, with younger employees, particularly Gen Z, leading a significant shift in workplace dynamics.

 

The rise of “quiet quitting” and the need for boundaries

Gen Z, often associated with the term “quiet quitting,” is redefining the relationship between work and personal life. Unlike previous generations, Zoomers are not afraid to set clear boundaries, emphasizing that a job is just that—a job. This shift has sparked concerns among older generations, who may perceive it as discontent or laziness. However, the reality is more nuanced. Gen Z’s approach reflects a broader reevaluation of work-life balance and mental well-being.

 

The high cost of disengagement

According to Richard Wahlquist, CEO of the American Staffing Association, the drop in employee engagement is the most significant challenge facing companies today. Gallup data reveals that only three in ten employees are actively engaged, with a concerning percentage of the workforce either neutral or actively disengaged. This lack of engagement is costly, with disengaged employees costing their companies the equivalent of 18% of their annual salary.

The data is particularly concerning for younger generations. Millennials and Gen Zers are seeing the most significant drops in engagement, with a marked increase in those who are actively disengaged. For Gen Z, this trend is particularly troubling as they are poised to become a dominant force in the workforce, making up 27% of it by 2025.

 

The pandemic’s lasting impact on engagement

The COVID-19 pandemic has played a significant role in this disengagement crisis. As workplaces shifted to remote work, the physical and emotional connection to jobs was disrupted. Even as companies return to in-person work, the connection has not fully recovered, leading to what Leena Rinne, global head of coaching at Skillsoft, describes as a “crisis of trust.” Younger workers, in particular, may feel that their companies are less committed to them, especially after witnessing their parents and peers face job losses and economic uncertainty.

 

Gen Z: redefining work expectations

Gen Z’s approach to work reflects a shift in priorities. They value work-life balance, mental health support and transparency, challenging traditional workplace norms. As Khyati Sundaram, CEO of Applied, notes, Gen Z is not afraid to voice their needs, whether it’s for mental health days, equal parental leave or time off for personal growth. This vocalization, while sometimes criticized, represents a generational push towards a more humane and balanced work environment.

 

Despite the stereotypes, Gen Z’s desire for change is not rooted in a lack of commitment but in a demand for workplaces that align with their values. They are willing to job-hop or take time off to find roles that truly resonate with them, viewing these experiences as opportunities for growth rather than signs of instability.

 

Building trust and engagement

The solution to the disengagement crisis lies in fostering trust and making employees feel valued. Building a culture where employees feel safe and connected requires intentional effort, investment and leadership. Companies that invest in coaching and development for their leaders see significant improvements in engagement, which in turn positively impacts the entire workforce.

 

Ultimately, the key to addressing the “Great Detachment” is recognizing the diverse needs of all employees, not just focusing on one generation. By creating an environment where every employee feels valued and supported, companies can foster a more engaged, productive and innovative workforce. As Gen Z continues to shape the future of work, organizations must adapt to meet their expectations, ensuring that the workplace remains a space where everyone can thrive.

 

Tackle the Great Detachment with the GenShift eLearning course

As employee disengagement continues to pose a significant challenge, especially among younger generations, addressing generational diversity is more critical than ever. This is where SunShower Learning’s new course, GenShift: From Tension to Teamwork, comes into play. In today’s fast-paced work environment, five generations work side by side, and successfully navigating their diverse characteristics is essential for enhancing employee retention, boosting recruitment and elevating overall job satisfaction. Led by Dr. Katherine Jeffery, a pioneering generational researcher, GenShift offers a comprehensive, engaging approach to bridging the generational divide. From understanding each generation’s unique values and communication styles to developing strategies that foster collaboration, GenShift is your essential guide to transforming generational tension into productive teamwork.

 

Keep an eye out for our upcoming GenShift eLearning course, including a webinar where course information will be shared. Details will be available on the SunShower Learning website in the coming weeks.