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This was published 3 months ago
Good money, good vibes: Why Gen Z doesn’t care about work perks
By David Swan
Forget flashy perks and free gym memberships: Gen Z workers want cold, hard cash and are chasing higher salaries when deciding who to work for, according to a survey of more than 3000 young professionals.
The 2024 Hatch Hotlist, released on Monday, reveals the shift among Gen Z, who comprise about 27 per cent of the workforce and are set to become the dominant labour force generation by 2031.
More than 75 per cent of Gen Z workers want to spend two or three days in the office as part of a hybrid-work policy.Credit: istock
Gen Z – defined as those people born between 1997 and 2012 – are increasingly less attracted by perks and gimmicky thrills, instead aspiring to fair compensation and financial stability due to the ongoing cost-of-living pressures.
They are also keen on returning to the office, with more than 75 per cent of Gen Z workers wanting to spend two or three days in the office as part of a hybrid-work policy.
The report comes from Sydney-based jobs marketplace Hatch, which pitches itself as “Seek for Gen Z” and has more than 160,000 young professionals on its platform.
In February, the company raised $7 million from a range of Australian venture funds including Rampersand, Alberts Impact Ventures, Aura Ventures, Jelix Ventures and Investible, as well as private investors that include former Latitude and Australia Post chief executive Ahmed Fahour.
“Gen Z are very quickly going to be the largest part of the workforce, and they’re coming with different attitudes about their career.”
Adam Jacobs, Hatch co-founder
Hatch co-founder Adam Jacobs, who previously co-founded online fashion and lifestyle retailer The Iconic, said the survey found that many Gen Z workers are only taking new jobs if they feel like the compensation will ease their anxiety about cost-of-living pressures.
“What came through in the survey is that there are three things that good employers need to do to engage and attract Gen Z workers. The first is to put culture first, and be clear who they are and what they stand for,” Jacobs said.
“Secondly, they have to pay fairly; you will lose really high-quality candidates if you’re not competitive with your salary in the market right now.
“And the third essential element is to have a hybrid, flexible working model. That’s really important for Gen Z. More than 90 per cent of the companies that made the Hotlist offer hybrid work options.”
According to Jacobs, Gen Z are a generation who missed out on the buzz of an office environment at the start of their careers – yet they don’t want to be told they have to be in the office.
Technology companies dominated the 2024 Hatch Hotlist, with Google, Amazon, Canva, Microsoft and TikTok named among Gen Z’s favourite places to work.
Qantas, Airtasker, venture capital firm Blackbird, The Iconic, Zip and Domain were also named among the top companies, with Lyka, Vow Food and technology scale-ups SafetyCulture and Deputy also on the list.
Other report findings were that Gen Z prioritises “good vibes” and work-life balance, with “bad vibes” the number one reason more than 25 per cent of Gen Z workers walk away from job opportunities.
Learning and growth opportunities top the list as the number one thing Gen Z want in their next career move, with one-in-five prioritising these over everything else.
Jacobs cited examples of “good vibes,” including Canva’s initiative to give team members a “golden ticket”, allowing them to choose which meal the in-house chef cooks for the entire company, and Eucalyptus, which offers its workers weekly social sport, catered fireside chats and quarterly rooftop parties.
“Gen Z are very quickly going to be the largest part of the workforce, and they’re coming with different attitudes about their career and what it means to them,” Jacobs said.
Hatch co-founders Chaz Heitner and Adam Jacobs with investor Taryn Pieterse.Credit: Steven Siewert
“For them, work is not just a box-ticking exercise of having a nine to five job; they are putting values first and thinking about their development and impact.”
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