The workplace loyalty of younger generations is shifting, and companies may face a mass resignation in 2025 if they fail to meet demands for better compensation. According to a survey by background screening platform Checker, 51% of Gen Z workers (aged 18-27) and 47% of millennials (aged 28-43) indicated they would leave their jobs without a raise next year. This is in stark contrast to just 20% of baby boomers (aged 60-69) expressing the same sentiment.
A New Era of Workplace Expectations
The dissatisfaction stems from a growing sense of being undervalued and underpaid. Only 43% of Gen Z workers felt they were fairly compensated in 2024, the lowest among all age groups surveyed. Financial literacy expert Alex Beene attributes this trend to rising costs of living and Gen Z’s willingness to take career risks. “Early in their careers, Gen Z workers are more likely to take bold steps if they feel they aren’t being compensated fairly,” Beene told Newsweek.
Generational disparities in workplace happiness also highlight this shift. While 50% of baby boomers and Generation X (aged 44-59) reported being happy at work, only 25% of Gen Z and 42% of millennials said the same.
Kevin Thompson, CEO of 9i Capital Group, emphasized the impact of changing job market dynamics: “Gone are the days of lifelong loyalty to one employer. Today, competition for talent is fierce, and companies must pay competitively to retain top performers.”
Redefining Workplace Loyalty
The notion of loyalty in the workplace is undergoing a profound transformation. Finance expert Michael Ryan explained the generational divide: “Baby Boomers viewed job security as a mutual commitment. Younger workers see employment as a transaction—performance, innovation, and fair compensation are the new currencies of loyalty.”
Ryan warned that businesses failing to adapt risk costly consequences. “Higher turnover leads to more spending on recruitment, training, and onboarding. If companies don’t pay fairly, offer growth opportunities, and treat their workforce like humans, they’ll bleed money on avoidable attrition.”
As workplace priorities evolve, experts urge companies to rethink their approach to retaining younger talent. Offering competitive salaries, meaningful career development, and a positive work environment could be the key to preventing a mass exodus.
“Companies that don’t reinvest in their workforce will face the highest price,” Ryan cautioned. “The real question isn’t whether they can afford to step up—it’s whether they can afford not to.”
With 2025 approaching, businesses are at a crossroads. For many, the decisions made now could determine whether they retain or lose an increasingly restless and ambitious workforce.
