Gen-Z Has Issues. What Bosses Need to Know

Gen-Z Has Issues. What Bosses Need to Know

Smartphones and social media threaten the stability of the younger generation.

Photo: Getty Images

The youngest generation entering the workforce, Generation Z, bears a unique burden. Famous social psychologist Jonathan Haidt draws attention to the cohort in his recent book, The Anxious Generation: How the Great Rewiring of Childhood Is Causing an Epidemic of Mental Illness

A generation under siege

The dawn of the 2010s marked a distressing shift in adolescent well-being across the globe, with skyrocketing rates of depression, anxiety, and suicide. Haidt points to a crucial transformation during this period: the swap from flip phones to smartphones and the subsequent migration of social lives online. This transition, Haidt argues, fundamentally altered the developmental trajectory of an entire generation, embedding a deep-seated malaise in its wake.

Haidt’s analysis exposes a generation afflicted by increased loneliness, diminished academic achievement, and a stark decline in mental health. The ramifications of these trends extend into adulthood, with Gen-Z exhibiting lower rates of employment, familial formation, and general well-being. “Surveys show that members of Gen-Z are shyer and more risk averse than previous generations too, and risk aversion may make them less ambitious,” Haidt notes, highlighting a concerning outlook for innovation and entrepreneurship.

The smartphone era and its discontents

The core of Haidt’s argument centers on the drastic shift in childhood’s essence with the advent of the smartphone era. He delves into the historical deprivation of freedom and unsupervised play that preceded this era, suggesting that the rapid digitalization of social interactions further compounded these developmental deficiencies. The early 2010s saw an independence-deprived generation seduced into a “new virtual universe,” perceived as safe by parents but turning out to be fraught with hidden dangers.

We need to reevaluate the smartphone’s place in childhood and adolescence. As Haidt says, “Smartphone-based life, it turns out, alters or interferes with a great number of developmental processes.” This digital intrusion disrupts a myriad of essential growth and learning experiences–from friendship formation to identity exploration–restructuring the very fabric of youth development.

The profound impact of this “phone-based childhood” extends into the workforce, with Gen-Z entering the labor market bearing unique challenges and needs. As Gen-Z is projected to become the largest component of the global workforce, surpassing Millennials in numbers, understanding and adapting to these realities becomes even more crucial. By 2025, Gen-Z is expected to make up approximately 27 percent of the workforce, according to a report by Bloomberg. This demographic shift underscores the urgency in addressing the issues ingrained in the era of digital saturation.

Leading a troubled generation

Organizations and leaders must recognize and adapt to these realities, fostering environments that promote mental wellness, encourage real-world interactions, and nurture the inherent potential within this generation. In response, Haidt calls for a “dramatic cultural correction,” advocating for strategies to mitigate the digital domination of young lives. This includes reinvigorating play and independence, reinstating boundaries around technology use, and reimagining educational environments to foster real-world engagement and resilience.

As Gen-Z continues to carve out its place in the world, the insights from Haidt’s work serve as a crucial compass. Understanding the underlying factors shaping this generation’s psyche and behavior is imperative for crafting a future of work that is inclusive, supportive, and adaptive to the unprecedented challenges they face. The task ahead is not merely to accommodate Gen-Z in the workforce but to actively engage in reshaping societal norms and technological interfaces to nurture healthier, more robust developmental pathways for all future generations.

What about Gen Z customers?

And at no surprise, your Gen Z customers are experiencing the same social challenges and craving the same connections from society. Connecting with them creates an opportunity for a customer base into the next generation. So what are Gen Z customers expecting from the companies they do business with? We can help you uncover those needs as it relates to your specific business.

Give us a call, we’d love to become a partner in growing your service culture.

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BY NICK HOBSON AND CARL PHILLIPS

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