The Alternative Work Arrangement: How to Motivate Younger Employees
An alternative work arrangement can fix the revolving door – unlocking the mystery of younger workers.
Your long week just got longer – Jason has served you with his notice. You are now facing the third attempt in six months to fill his position, and your staff are asking how you plan to cover his work during the transition. If this sounds familiar, you aren’t alone – legions of managers are dealing with the issue of employee retention.
Turnover costs money. Aside from basic recruitment costs, you will have to take into account orientation and training, not to mention overtime and lost productivity. What will it take to find someone who will stay? Studies in home improvement and grocery retail industries have estimated replacement costs of $4,000 to $6,000 for a minimum wage employee. These figures can seem shocking, until you consider opportunity costs along with direct expenditures.
Perhaps the most frightening part of this scenario is that it’s not anticipated to improve. As Baby Boomers transition out of the traditional workforce, Gen Xers and Millennials (basically, employees under 40) will be primary candidates to replace them. Recent studies have estimated that the average Gen Xer changes jobs every 18 months. Younger workers have come to understand that any job is not expected to last beyond three years, and most anticipate having two or three distinct careers in their lifetime.
So how will employers, forced by demographics to rely on younger workers, find and keep staff? The answer is in developing an alternative work arrangement, and creating an environment that supports growth and facilitates loyalty. Rather than condemning younger workers for lack of commitment, understanding their career attitudes can be the key to meaningful retention strategies.
We’re here for a good time…not a long time – Raised during rampant corporate downsizing, younger workers have no concept of job security. They don’t expect long-term employment, but rather daily proof that their contribution matters. Look for ways to create security beyond compensation; think about alternative work arrangements – tie rewards to flexibility, learning and autonomy to increase their motivation.
Keep up with us – Contrary to popular belief, not all younger workers have short attention spans. Gen Xers and Millennials have an insatiable appetite for learning. They are accustomed to having immediate access to information and don’t relate to bureaucracy. Many will respond to alternative work arrangements and learning opportunities, as well as immediate feedback and short-term rewards. Examine your training efforts, recognition practices, and the timeliness of incentives and rewards. Where can the cycle be shortened?
There’s more to life than work – Younger workers are more committed to work/life balance than any previous generation. This phenomenon is partly cultural – people are talking about the concept of balance more than ever, and organizations are taking a more holistic approach to managing people. Bottom line? If the payback is not there – they’ve got somewhere else to be. Does your organization still define commitment by the amount time on the job?
We need flexibility – These workers tend to focus more on what gets done rather than where or how it gets done. Of all employees, they are most likely to leave a company for more flexible work schedules or the ability to telecommute. Is your organization open to alternative work arrangements? Are mechanisms in place to accommodate the new work style?
Free agents for hire – Younger workers are more self-reliant and entrepreneurial than their predecessors. Some attribute this to the independence of “latch-key kids,” who grew up solving their own problems. One-quarter indicate that they believe they’ll be self-employed within 10 years, and 16% say they’ll eventually find themselves in consulting and freelance work. Are you considering contract or freelance arrangements for younger talent?
Providing younger workers – and in fact, all employees with alternative work arrangements, flexibility, timely rewards, and innovative learning opportunities can lead to a happier workforce and create a catalyst to solve organizational challenges. When job satisfaction is high, the revolving door stops spinning so quickly!
Content Editors or Webmasters: You may reprint this article providing you include the following “About the Author” information in its entirety. (Including a hyperlink to www.LeadingforLoyalty.com):
Wendy Phaneuf is a professional speaker and author and a global expert in employee motivation and retention. Wendy is also the Founder of The Training Source and www.LeadingforLoyalty.com — a one-stop information source that helps leaders and their organizations enhance employee motivation and retention.
