The Australian workforce is experiencing significant changes. Cultural developments and new technologies have transformed work practices. Today, employees from different generations have varied expectations of their jobs, such as flexible working arrangements and a workplace culture that embraces diversity and inclusion.
While not everyone of the same age shares the same attitudes and values, understanding general demographic trends and differences can help you recognise individual variations within your team. This awareness can help build a more productive and motivated team and may also help you attract new employees.
Below we explore some important trends at play in the workforce.
The Australian Bureau of Statistics (ABS) defines Millennials as those born between 1981 and 1995. According to PWC, they’ll make up almost 75% of Australia's workforce by 2025.
This growing influence makes it important for employers to understand their Millennial employees’ expectations. For example, some Millennials are at a stage in life where they’re buying homes or starting families. As a result, they often prioritise job security, financial stability, and benefits such as pensions or healthcare.
It’s important to note that Millennials started working during a time of cultural change in the workplace. Paid parental leave and childcare options are more common than in previous generations, with women in this group more likely to join the workforce. This shift towards greater equality may mean that Millennials often value diversity and flexibility in their jobs and appreciate a workplace that embraces inclusivity and supports a work-life balance.
The Australian Government reports that the population of people aged 65 and over in Australia has increased from 12% in 1993 to 17% today. Within that period, the number of older Australians in the workforce doubled, from 6.1% in 2001 to 15% in 2021.
With healthcare improvements and a longer life expectancy, many people are choosing to work beyond the ‘traditional’ retirement age. They may have ongoing family responsibilities, need to support themselves financially for a longer period of time, or simply want to stay active and socially engaged by remaining in the workforce.
Understanding the experience older employees bring and their motivations for staying in the workforce can help you retain valuable, experienced team members. They might appreciate opportunities to upskill or enjoy mentoring junior staff. Additionally, they may also be interested in more flexible working arrangements such as hybrid working as they transition towards retirement. Avoid letting assumptions and stereotypes hinder your engagement with this very important employee group.
Generation Z (Gen Z) refers to those born between 1996-2005. They are the first generation to grow up entirely in the digital age, which is why they’re often referred to as "the first global generation".
Their level of access and exposure to global news and information, means Zs often have a broad world view. This can make them sensitive to worldwide social and environmental issues. They expect their employers to take these issues seriously and act responsibly.
The Telstra Tech State of Play report shows that 51% of 18-24 year olds want a diversity, equity and inclusion policy at work. This is important for their productivity and well-being. Research by McCrindle found that 63% of Gen Z employees think company culture and values are more important than working conditions and even salaries.
There are many ways to meet the preferences, values, and expectations of different people in the workforce. Below we unpack some ideas to explore.
Many Australians, whether just starting their careers or nearing retirement, are opting for flexible working arrangements to achieve better work-life balance. Data from the ABS shows 22% of employees engaged in freelance or contract-based work.
If you’re thinking of offering hybrid and flexible workstyles, there are several models to consider. The option to work remotely might also be attractive, whether on a full-time or part-time basis.
The Telstra Tech State of Play report found that 80% of 25-34 year olds and 79% of 35-44 year olds expect some level of flexibility from their jobs. These age groups value the benefits of remote work and are confident in their productivity when working from home. Even among those over 65, 83% value having a physical office to work from but may appreciate the option to work part-time.
Consider talking to your staff about the work styles they value. However, whatever approach you choose, make sure it also aligns with your business needs.
Learn more about how to make hybrid working work for you.
Many employees in the workforce want to understand what a business stands for. A strong company culture and clear vision can particularly engage younger employees. In fact, 65% of Millennials say that a sense of purpose is important when considering a new employer.
Demonstrating community engagement and positive social impact are great ways to show this. This can be key to encouraging job satisfaction and motivation among younger workers. Research by Deloitte found that Millennials and Gen Zs are more likely to reject assignments that don’t match their values.
Investing in training and development programs to improve the technology skills of their staff can appeal to all demographics.
Although Millennials and Gen Z may be comfortable with technology, they are eager to learn more. For example, 85% of 25-34 year olds want to learn new digital skills to advance their careers. Supporting teams when you introduce new technology is also valued by workers, particularly older employees. Over three quarters (77%) of 55-64 year olds say they’d like more support and training when new technology is introduced.
Training initiatives do not always have to be expensive. There are many helpful resources available for upskilling teams on a budget.
For example, programs like Cyber Wardens offer free cyber security training to help small businesses and their employees prevent cyber threats.
Almost 70% of workers agree that introducing the latest technology can help them be more productive at work. This should be carefully managed to ensure the best outcome.
For example, artificial intelligence (AI) is becoming more advanced by the day. Tools that leverage generative AI can help make many business functions, such as marketing, more efficient. A clear strategy for the use of AI in the workplace can help you maximise the potential benefits of AI in your business.
Learn more about what to consider when implementing AI in your business.
Consider the individual needs of your staff. Do they require flexible arrangements to work around their family commitments? Would they prefer to work in a physical office on a part-time basis? What motivates them to make a positive impact?
A strong system of technology support is essential to helping create a positive employee experience. This is true for both older and younger employees alike. Research for the Telstra Tech State of Play Report found that fast, reliable and secure internet is the top priority for both business owners and staff.
By giving employees the tools and resources they need to do their best, your business can strengthen its competitive edge.
Insights and tips for small and medium businesses to boost productivity and empower teams.
Download your Tech State of Play report to help propel your business further through technology.
