How Gen Z Is Shaping the Future of Work

Understanding how to engage, communicate, and collaborate with all the generations in the workplace is critical to organizational success. Baby Boomers are redefining retirement, Generation X is holding leadership roles, and Millennials are driving many of the changes in workplace culture — but Generation Z is shaping the future of work.

It’s the youngest generation in the workplace, with its oldest members turning 30 in the next few years. Gen Z grew up with a well-being mindset, cares greatly about personalization and optimization, and is anxious about the emergence of AI at work.  

Researcher Kim Lear, founder of Inlay Insights in Minneapolis, has studied Gen Z for years. She explained to attendees March 25 at SHRM Talent 2025 in Nashville that the academic spine of generational theory is examining the events and conditions of a person’s formative years.  

This theory is rooted in sociology, Lear said. The broader macro trends, economic shifts, and evolving cultural norms produce “trends, not traits,” that are observable in people’s behavior over time.  

“It’s during these formative years that we come to terms with the world around us,” she said. “That experience has a lasting impact on how people feel about work.”  

Lear said that Gen Zers have spent the majority of their lives online and grew up in an era of economic turmoil. She acknowledged that a “black swan” moment could change the trajectory of trends related to Gen Z, but right now, employers should be aware of these three:   

AI anxiety. This generation grew up with artificial intelligence becoming more advanced and widespread. “They express a fear of becoming obsolete,” Lear said. “HR should make an effort to measure the efficiency and effectiveness of AI tools so they can communicate that to their workforce to alleviate the anxiety that all workers feel, but especially the youngest workers.”  

She cited a recent SHRM study in which 35% of U.S. workers said they are concerned that AI will displace their job in the next five years and 77% of HR managers said they have not been tasked with assessing AI’s impact on work.

Emphasis on well-being. Gen Z grew up with a focus on well-being and mindfulness, Lear said. The pandemic then put a spotlight on health and pre-existing conditions.  

“At the core of this trend is the realization: What am I willing to sacrifice for my job?” she said. “Younger people are trying to consider the parameters of work in their lives.”  

This is an opportunity for HR to make the connection between well-being and work.  

“Work can be healthy if you are working toward something that matters,” Lear explained. “The more that we can fuse into our workplaces the concept that hard work can impact our sense of vitality, the more we can build a resilient workforce.”   

Built for optimization. “Gen Z has abandoned convenience for optimization,” Lear said. “Optimized technology serves as a backdrop for Gen Z. AI will accelerate this trend dramatically.” 

She described Gen Z as craving personalization, customization, and the data that makes those things possible. “Sometimes people think that Gen Z thinks they are special,” she said. “Instead, I believe that they have become accustomed to technology that allows them to find solutions that are most perfect or useful for themselves.”

That includes the time they spend at work. “This generation wants to produce, and whether it’s the bureaucracy or outdated technology, if they feel prohibited from optimized work, they won’t be happy,” Lear noted.   

She also briefly outlined the trends of the other primary generations in the workplace:

• Baby Boomers (born 1946-1964), who have an intense and rigid work ethic and are reinventing retirement.
• Generation X (born 1965-1980), who showcase independence, skepticism, and a direct, unfiltered communication style.
  
• Millennials (born 1981-1996), who value collaboration, feel empowered, and have been shaped to bring authenticity to work.