Millennials, or more accurately Generation Y, are a phenomenon that has had a major impact on the labour market for nearly 20 years. Today’s young adults have brought many new aspects to the work process and often represent a huge question mark for employers and HR professionals. Paylab took a closer look at the financial behaviour of today’s most attractive target group for HR managers, as well as retailers, marketers and developers.
CHARACTERISTICS of millennials born in the 1980s (1980 – 1989) aged 28 to 37
Those born in 80s, meaning the current generation of thirtysomethings and those who are turning thirty soon, are in the most productive phase of their career, earning attractive job opportunities and facing some serious personal milestones, including leaving their parents, resolving their personal housing and starting a family. They have already gained their first work experience, some have jumped from employer to employer and they see their careers as a way of continuing to search for meaningful personal and professional fulfilment with an emphasis on work-life balance.
Many already have experience in lower, middle and upper management and are developing into new-age, modern leaders and influencers. Many of them work on projects that are setting the course for our future development. Millennials, the thirtysomethings, are also reaching a critical age when they begin to intensively contemplate the meaning of life and real-life values. They are more aware of their qualities and weaknesses and focus on their personal development and subsequent professional growth more intensely at this age.
Most are weighed down by loans and mortgages from their efforts to resolve their housing needs and family obligations and are forced to watch their expenses carefully. The question of sufficient income is therefore essential to them at this stage of life. Pay is not the only motivator, but given the circumstances of their lives, it is often the most important factor when changing jobs.
CHARACTERISTICS of millennials born in the 1990s (1990 – 2000) aged 18 to 27
The second half of the millennial generation are those born in the 90s and at the very start of the 21st century who remain in school, are entering positions for new graduates or who have just joined the labour market. A clear majority of these millennials in the region of Central and Eastern Europe live with their parents and postpone anything having to do with commitments, such as parenthood and buying property, for some point in the future. Relationships and friends are very important for them, both in terms of forming their opinions and how they spend their leisure time. However, their parents retain a relatively large amount of influence as their children remain financially dependent and often continue to receive financial support from them. This support sometimes results in a higher willingness to take a job offer that they find satisfying, with salary considerations becoming less important. This group of young millennials is much more likely to be excited by new ideas and the fast-paced start-up environment. Work experience abroad is another attractive option for them, thanks to the fact that they don’t have major commitments holding them back.
They receive their first pay slips at this age and a large portion of their hard-earned money is devoted to items they have long planned to purchase; they literally, at least in a partial sense, fulfil their consumer dreams. Fun, hobbies, fashion trends and travelling are prominently involved. Essentially, they are still searching, trying out what they enjoy and finding out what they want to do in their professional careers. A relatively large portion of them work in a field other than the one they studied.
These young millennials are very attractive to companies because companies can mould them to the working environment to meet their internal needs and literally train them on the fly. Companies face a major challenge in terms of their long-term retention, as changing jobs comes quite naturally to this generation. Employers are also finding that they are encountering a very confident and educated generation that is comfortable with actively searching for information on salaries, financial bonuses and benefits on the Internet and a generation that takes a lot for granted.