For Gen Z workforce: Salary takes back seat to career dev’t

MANILA, Philippines — It’s not all about the money for the country’s youngest workforce as far as job attractiveness is concerned. 

A new survey of more than 18,000 Filipinos across 25 industries titled “Laws of Attraction” conducted by online job portal JobStreet.com showed that while salary/compensation is cited as among the top three drivers of attraction among the Gen Zers, or those in the 18- to 24 year-old bracket, it is not their top priority.
Gen Z’s ranked salary/compensation as second only to career and development opportunities.

Meanwhile, those within the 25- to 34-year old age group, dubbed as the Gen Y or millennials, ranked salary/compensation as the number one driver of attraction, followed only by career and development opportunities.

A competitive base income also appears to be of greater importance to millennials (84 percent) than to Gen Z professionals (77 percent).

Both Gen Y and Z respondents, however, agree on work-life balance as the third key driver for job attractiveness.

For millennials and Gen Zers, a job is not just work and a means to earn, but a passion and expression of themselves.

When it comes to work-life balance, both segments expressed preference for companies that allow employees to cash out unused annual leaves, adhere to public/general holidays, and implement a five-day work week. 
More than 90 percent of Gen Y and Z respondents believe that mandatory government benefits and health/life insurance plans should be the top two inclusions in any compensation package.

While double pay during public holidays is the third most essential factor for both of them, a competitive base income appears to be of greater importance to millennials (84 percent) than to Gen Z professionals (77 percent).

In comparison with Gen Y, more Gen Zers view guaranteed 14th month pay (67 percent vs 63 percent) as a must-have. Meanwhile, practically the same number of both  generations affirm the essentiality of high night differential (and bonuses or profit sharing schemes.  

But compared to millennials, Gen Zers are more inclined to look for daytime working hours, while Gen Y candidates more likely demand for flexible working hours. 

Aside from their varying views on the importance of salary and career opportunities, the survey further showed that Gen Y and Gen Z differ in their perception of three other vital drivers of attraction.

For millennials, job security is decidedly important, but this is not so for Gen Z talents who have a higher regard for management/leadership style. 
Gen Z is also more experiential, looking for more growth and travel opportunities compared to their Gen Y counterparts.

Both millennials and Gen Zers are driven by career growth, with Gen Y valuing more mentorship opportunities and Gen Z looking for capacity- and skill-building programs.

Both Gen Y and Gen Z look for jobs that give them work-life balance, with flexibility as a key factor for Gen Y and daytime working hours for Gen Z.

The study also indicates that corporate social responsibility is more relevant to Gen Y and Gen Z respondents than to other generations, as both groups believe that employers must value and contribute to its people as well as help nurture and protect the environment.

However, more Gen Zers wish to work for organizations that make a positive impact on society and the environment compared to their Gen Y counterparts.

While often misunderstood, these younger generations of workers are set to comprise majority of the future workforce, according to JobStreet.com.

Latest data from the Philippine Statistics Authority showed that 27.5 percent of the country’s workforce are Gen Y or millennials, while the Gen Z respondents make up 14.7 percent, a figure expected to grow to 35 percent by 2025. 

The online job portal said while both segments have their fair share of differences, the country’s future workforce looks to be one that is growth-centric, balance-oriented, and values-driven. 

“For companies looking to attract and retain young talent, competitive compensation packages, inclusive career development opportunities and work-life balance are crucial. This younger generation of workers also find great purpose in values-driven companies that take corporate social responsibility seriously,” JobStreet.com Philippines country manager Philip Gioca said.