Jobs and layoffs are the buzz word. It is a tight rope walk to recruit, sustain and retain talent. This calls for creating a new generation of workers, let’s call them Generation Z+. What would the generation be like and what are their characteristics?
On a recent report on layoffs in India, Kamal Karanth, Co-Founder Xpheno said, “The global layoff count since 2022, exceeds over 2,000 rounds accounting nearly half a million employees. With nearly two-third of the impacted staff in the US, the rest of the world contributes to one-third. India ranks second, with an impact in the range of 35,000 to 40,000.”
Used to turbulent times
This generation, as senior HR leaders put it, is one that is inherently resilient because they have grown up in a turbulent world. They have seen layoffs happening before and they know the need to remain on top of their game in order to survive. They have their own defence mechanisms and do not feel committed to a company long term. They also look keenly if the company has a track record of being reasonably fair in its employment practices. They expect to stay and move on after a few years. Apart from viewing current employment as a possible gig, they moonlight too, especially if they can take advantage of a clear policy that permits moonlighting.
Why do layoffs happen
To understand why these layoffs happen, IE spoke to several heads of HR to understand the genesis of the layoff pandemic. A Senior Vice President in a tech major said, “Post pandemic, there were high hopes that the economy would speed up again. These are normal macroeconomic cycles and in anticipation, companies began to recruit. But a downturn in the economy proved negative.”
One former CEO highlighted how AT&T once suffered with mass recruitment. When telephones first started ringing, they needed a switchboard to connect calls. Back then, it was said that everyone in the US should be trained to be telephone operators because of the current and projected demands. However, in one swoop everything fell. The industry became automated and the markets were awash with people who had lost their jobs.
A new category of employees
Layoffs affect companies’ reputation and the workforce’s engagement. It is necessary for a steady pace to motivate employees to work better. There are ways in which companies can become sturdier. And, one way is to create a category of Generation Z+ employees. They are defined not just by the characteristics of the individuals across generations but in characteristics of companies as well. Employees should be hired not just for projected current performance but for potential to grow as well. This Gen Z+ must be constantly upskilled and for that consistent investment is necessary. Learning and development budgets need to be monitored so that all employees have some agency in choosing how they upskill, rather than only mandatory inputs. The more technology takes over, the more organizations should humanise and individualise.
Skilling the Gen Z+
There is a psychological contract between the individual and the organisation. Run of the mill learning and development initiatives no longer suffice the changing landscape. Effort needs to be put to build different scenarios, bring different narratives into play, engage employees into working out strategies for growth and success even in difficult environments. Scenario planning, design thinking, systems thinking, appreciative enquiry can be some useful methods.
This new generation Z+ must be deeply immersed in its psychological contract with the company and the very definition of the generation must include both the company and the person all at once. Additionally, in order to build more robust sturdier organizations, interviewing and selection must be done both for predicted performance and potential. The potential that must be looked at here includes potential for resilience, adaptability, teachability and coachability.
Layoffs will never become a thing of the past. What can happen is stronger, sturdier investments in people by companies so that workers are future ready.
