How the
Gen Z workforce
can help your
contact center

By 2030, the labor workforce will have seen a major demographic change as millennials and Generation Z (Gen Z) will comprise 74% of the workforce. While millennials (people born between 1981 and 1996) have been in the workforce for some time, the Gen Z workforce (people born between 1997 and 2012) is only starting out.

With an attrition rate of 42% in 2021¹ (over 50% for companies with more than 5,000 agents), the contact center industry could benefit from understanding the impact Gen Z customer service agents may have on their operations. It's important to know what sets them apart from their peers, and how to better engage, train, and retain these critical, and soon-to-be critical, team members.

The Pew Research Center identified several important traits of Gen Z:

• They are digital natives, knowing only a world with smartphones and social media.
• They are more racially and ethnically diverse than any previous generation—52% are non-Hispanic white, compared to 61% of millennials.
• They are the most well-educated generation so far, as 57% of those ages 18–21 were enrolled in college in 2018, compared to 52% in 2003.
• They are entering the workforce later, chiefly because they are staying in education longer. Only 62% of those ages 18–22 were employed in 2018, compared to 71% in 2003.

According to The Deloitte Global 2022 Gen Z & Millennial Survey, there are many reasons Gen Z employees chose to work for their current organization: good work/life balance (32%), learning and development opportunities (29%), high salary or other financial benefits (24%), positive workplace culture (23%), opportunities to grow (23%), sense of purpose from the work (21%) and flexible working arrangements (20%). On top of this, 37% of Gen Z respondents said they have rejected a job or assignment based on their personal ethics.²

When you compare the above list with responses to the 2022 NICE Workforce Engagement Management (WEM) Global Survey Report on contact center attrition, you can see employees have similar expectations in the industry. According to the 2022 NICE WEM survey, four factors that have the biggest impact on whether an agent stays in their position are better pay, a clear career growth path, flexible shift scheduling and flexible work arrangements.³ The message for organizations? Target these issues when addressing employee experience and retention.

A cloud contact center solution allows employees to work from virtually anywhere, which expands the talent pool available to hire. Also, a workforce communication platform that supports mobility, flexibility and self-sufficiency can help foster a productive and inspiring work environment across locations.

Research from Frost & Sullivan found training was second only to COVID-19 as a leading obstacle facing contact centers. The NICE 2022 NICE WEM survey found that one-third of contact centers are offering training and professional growth opportunities in an effort to reduce resignations.⁴

Contact center workplace solutions with integrated advanced technologies, such as artificial intelligence, machine learning, and automation, can use personalized insights to help train employees more effectively, optimizing their time and improving productivity.

When considering learning and development methods for the Gen Z workforce, their preference for visual learning should also be noted.

Two-fifths of Gen Z workers would like to leave their jobs within two years, per the Deloitte survey. This number is even higher for public-facing industries such as consumer and retail.⁵ Therefore, it will be critical for contact centers to adopt effective retention policies in order to keep top Gen Z talent.

Employer actions—beyond how they treat individual staff—are an important component of job satisfaction for the Gen Z workforce. Those who were satisfied with employers' attempts to foster a diverse and inclusive environment and the company's actions on societal and environmental issues were more likely to stay with their employer for more than five years.⁶

Feeling empowered, heard, and a sense of belonging were also influential in Gen Z employees leaving or continuing in their jobs. Gen Z staff who felt empowered were more likely to stay beyond five years, and those who didn't feel heard were more likely to leave within a year.⁷

Workforce engagement tools that give employers a comprehensive view of employee interactions, strengths, weaknesses and progress—and the tools to adapt to them—will be crucial for contact centers as they address workplace trends, such as changing demographics and remote employees.

Contact center management solutions can help empower agents by allowing them to use workplace scheduling services to choose when they work. Encouraging agent specialization is another way to increase engagement and reduce attrition.