Managing the Millennial Generation
They’re here and they’re here to stay.
Recently, the hiring manager for a publisher of a commercial real estate magazine was interviewing a candidate for associate editor—an entry-level position. The candidate, a recent college grad with little relevant professional experience, informed the manager that she thought a starting salary of around $85,000—$50,000 above the budgeted price—would do nicely. The manager says this may be an extreme example, but it gives you a sample of her experience with fresh-faced 20-somethings now entering the workforce today. Get ready, here come the Millennials. Also known as Gen Y and the Echo Boomers, they’re the offspring of the Baby Boom and they’re coming into their own. By 2010, an estimated 31 million of them will be in the U.S. workforce, outnumbering Gen Xers and taking up the slack left by retiring Boomers. Small businesses, which create the most new jobs, will be doing most of the hiring.
So, how will your business accommodate this energetic, tech-savvy—and enormously impatient—generation of workers? “Companies have yet to recognize that they need to take the time to figure out where these people are coming from,” says Roberta Matuson, president and founder of Human Resource Solutions, a management-consulting firm in Northampton and Brookline, Mass.
Start by changing your expectations. Don’t look for a Gen Y worker to approach work as you did—eager to please your boss and willing to do scut work or put in extra hours to get ahead. The stereotypical Gen Y employees “seem to feel entitled to a raise and promotion in a week, that corner office in six,” says Dr. Carolyn Martin, co-author of Managing the Generation Mix (HRD Press, 2002). “They want things now, now, now.”
That attitude may be hard to take, but it may not be too hard to understand. Many Gen-Y workers are products of hectic dual-career families, where Boomer parents indulged their offspring, in part to compensate for how little time they actually spent with them. That’s where the sense of entitlement comes from, says Martin. At the same time, many Gen Y children saw their parents unceremoniously booted from large corporations in waves of downsizings over the past two decades. So, they arrive in the workplace with a jaundiced eye. Their attitude, says Martin, is “I’ve gotta take care of myself.” While the older generation may be shocked, the Gen Y workers “are just being sensible,” she says.
Martin, who works with a human resources-consulting company called RainmakerThinking, tells of the response to a Rainmaker survey question on job security that she received from a Gen Y worker: “I’ll learn all I can here and as soon as opportunities to keep learning here disappear, I’ll look for a better position. Of course, I’ll negotiate the best deals for my expanded skills, experiences and knowledge,” the respondent wrote.
Smart employers can turn that attitude to their advantage by giving these eager Gen Y workers what they want. Indeed, small employers are in a better position to accommodate these upstarts than larger organizations. “In a small business world, the opportunity for immediate impact is very attractive,” says Martin. “In contrast to a corporation, there is greater visibility. They can be working side-by-side with the president of the company, rubbing elbows with the decision-makers.”
Sure, there is a risk that the ambitious young workers will run out of challenges and leave. But in the meantime, think of the energy and original ideas they may bring to the job. “These kids are learning how to do things faster, smarter and better,” says Martin. “They have the potential to be the most productive work force in history.”
Tips for Managing the Unmanageables
In many ways, the tricks to managing Gen-Y workers are just plain good management. For example, Janis Rosheuvel, a Millennial employee at a nonprofit organization in New York, says she and her friends want to know how their work is going to help the company and help them. “I think a lot of managers think they do not have to engage in a dialogue with you about what you want out of the job,” she says. It’s frustrating, Rosheuvel says, when companies forget that “the employee-employer relationship is a two-way street.”
Martin advises employers to act as mentors rather than managers. Like other workers—only more so—Gen-Y employees don’t take well to “orders” and resent being assigned tasks without understanding their purpose. The way to bring out the best in these workers is to teach them about the company and explain how their work will lead to specific results.
Listening is also important. Millennials are full of ideas and they want to feel like they matter. For Rosheuvel an ideal manager would be someone who is direct and honest. “They would also value my skills, time and efforts and acknowledge me accordingly,” she says.
Though they are independent-thinkers, Millennials also love working in teams. They want to feel that they are valuable contributors, so let them work on projects with higher-ups when appropriate.
Like other workers (again, perhaps more so), Millennials want feedback. If you can hold them accountable for mistakes, you should also praise them for success. In the event of poor performance, Martin says it’s absolutely crucial to let young employees know, an area that many managers struggle with, she says. Similarly, company managers also need to make it clear when Millennials can have more freedom to be creative and when they should follow strict guidelines.
Recruiting and Retaining Young Candidates
To help in recruitment, make your company mission clear and emphasize all the ways that your business is serving its customers, its employees and, if appropriate, contributing to society (Millennials love social commitment).
Offer appropriate benefits and perks. Health insurance may be less prized than tuition reimbursement because this is the generation that believes “education is cool.” A relaxed workplace is a priority for these young employees, but you’re still the boss—you don’t have to put up with cubicles that look like dorm rooms.
