Newsletter - September 2008
Mom and Dad Were Right: Retaining the Gen Y Worker
September 11, 2008 - Greta Sherman
How many times have you witnessed the on-the-job actions of a Twenty-something and wondered what could they possibly be thinking? Or secretly hoped you could somehow instill a real work ethic into these educated and capable workers? If you are thinking that is the answer, you are missing the boat on how to recruit and retain this valuable part of the work force.
Take a lesson from a large financial company in New York. The company could not understand why over 80 percent of their African-American first-year analysts were leaving the company after only one year. As with most financial giants on Wall Street, this company spent a great deal of money courting the best and the brightest who were graduating from the finest schools in America. In fact, after the first year, the company estimated they had invested a minimum of $200,000 into each one of these Generation Y workers. Knowing they were losing big money—not to mention the skills and potential of these diverse employees—the company decided to do research on who influenced these Generation Y employees and why they were deciding to leave. The company wanted to get inside the first-year analyst’s head.
They found that the biggest influencers of this group were not their co-workers, college buddies or current friends, but rather their parents and more oftentimes than not, their grandparents. Long after moving from college student to Wall Street, these workers still valued most the approval and advice of their parents.
We have all experienced or heard about the call from the mother or father of a recent graduate hire attempting to negotiate a salary increase or benefit adjustment for their child. And we have all thought, “I hired Susie as a grown-up worker with a real paycheck and her father is calling? What’s wrong with this picture?” No one is suggesting that recruiters or managers start to negotiate with parents and grandparents about everyday work issues, but it would be wrong not to recognize the influence parents and grandparents have over this group of employees. That is, not if you want to retain them.
The financial firm in New York successfully embraced the influence of the parents by developing a “Weekend in New York” for parents/grandparents where they learned first-hand what their children were doing and what the opportunities were. That one weekend event flipped their turnover from 80 percent leaving to 86 percent staying.
The saying, “If you can’t beat them, join them,” has never been more accurate. The Generation Y workers, born in 1978 or after, are the very employees most facilities are looking for. They have enough experience to make them ready to hit the floor running and legs fresh enough to keep running. They are oftentimes more educated and confident. That generation was formed by the fact their parents and grandparents were highly involved in their lives. Most Gen Y workers come from homes where both parents always worked and the grandparents were more active, making sure they got to the soccer field and dance class. They feel they owe a lot of people and they don’t want to let them down. Recruiters and managers can stand firm and not deal with the “helicopter parents” (so called because they are always hovering) or they can get inside the head of the employees they want and embrace what is important to them. Consider having a time when parents or grandparents (even a spouse if appropriate) can view the opportunities your organization is offering to their pride and joy.
Their “community” is your community. Show them around your organization’s departments. Talk about the benefits and the opportunities to learn and grow. Give them the assurance that all those hours of working so their child could go to school was well founded. It will pay long dividends when it comes to commitment and retention. The only thing you’ll have to give up is your way of thinking.
Greta Sherman is senior vice president, Healthcare Strategy, for TMP Worldwide, the largest independent firm focused on recruitment advertising and communications, www.tmpworldwide.com.
