Attracting younger generations has never been more crucial for the accounting profession, which is facing an existential staffing problem because
These factors combine to create a long-term nationwide labor shortage and pipeline problem.
What can firms do to help millennials and Gen Z professionals get excited about accounting?
The answer lies in engagement.
Understanding what makes millennial and Gen Z accountants and students feel motivated and energized can have a profound impact on their job satisfaction, commitment and overall well-being. Once you crack that code, you might discover the problem isn't that the younger generations don't want to be accountants; perhaps they just want to be different accountants than their baby boomer and Gen X predecessors. And that's OK.
(In full disclosure, we're generalizing here. Not all members of these generations share the same characteristics, attitudes and behaviors. But for educational purposes, it can be helpful to separate workers into their generational buckets.)
Who are we talking about?
| Gen Z: Born 1997-2012 | Millennials: Born 1981-1996 | Xennials: Born 1977-1985 | Gen X: Born 1965-1980 | Baby boomers: Born 1946-1964 |
| Unlike past generations, these digital natives built their lives around digital technology and entered the workforce amid climate change anxiety, COVID-19 pandemic lockdowns and fears of economic collapse, making them more socially conscious and financially cautious. | Raised during the advent of computers, the internet and social media. Many have less disposable income, having started their careers after the Great Recession of 2008, and tend to prioritize experiences over products and delay traditional markers of success (buying homes and having children). | Technically millennial but with Gen X leanings, this microgeneration was raised without digital technology. Many started their careers during the Great Recession of 2008 and experienced its worst effects. | This cohort grew up without the internet, cell phones and computers. Having had minimal adult supervision, they tend to be self-sufficient and resourceful and value work-life balance. | Born during a post-war population surge, this generation grew up amid the Civil Rights Movement, the Cold War, the Vietnam War and the moon landing. They have experienced the benefits of hard work and dedication, and often associate work with self-worth. |
Myth No. 1: Gen Z and millennials are entitled.
What's actually happening: These generations are hardworking and driven, but they need a good reason to be, and many accounting firms aren't providing that.
Younger accountants have different work preferences and priorities than their older colleagues. They seek meaningful work and a positive work culture. While older generations might have been fine with keeping their heads down and simply doing the work, knowing that making sacrifices for their career would allow them to buy a home and raise a family, that's no longer a given for many millennials and Gen Z workers — regardless of how hard they work.
Address this by connecting the accounting profession to a bigger picture — such as how it can contribute to social good or how it helps clients make an impact — and by explaining the value of even simple tasks and contributions.
Myth No. 2: Quiet quitting is a generational phenomenon driven by laziness.
What's actually happening: Quiet quitting is all about autonomy, connection and purpose — and those who are doing it, don't have it.
Gallup has found that
- Lack of autonomy stems from employees feeling micromanaged and not trusted to approach tasks in their own way. (Many return-to-office disagreements are rooted in autonomy issues, as younger employees feel, "You've trusted me for so long working remotely and, as far as I'm aware, my productivity is the same or better. So why am I expected to come into the office?") Correct this by giving employees input and influence over their work environment, assignments, deadlines and decisions affecting the firm.
- Lack of connection means employees don't have healthy and supportive relationships with colleagues and managers. Create a sense of belonging by hosting social meetings, connecting the company's core values to behavior, camaraderie and performance, and conducting regular one-on-one meetings.
- Lack of purpose occurs when employees are unable to answer the questions, "How does my work make a difference?" and "Why does my work matter?" Regularly make purpose visible by providing the bigger picture when giving assignments or overtly sharing how their work makes an impact on the team, client and business.
Myth No. 3: Work-life balance means slacking off.
What's actually happening: Wanting to lead a balanced life with time for family, friends, hobbies and other commitments is healthy. It's also a reaction to the expectation of 24/7 availability that these digital natives have grown up with. Throw in COVID-19 and the accounting industry's notoriously rigid schedule, and it's understandable why so many have rethought their relationship to work.
Fix this by balancing workload, deadlines and stress with time to recharge. Communicate expectations for responsiveness, use delayed delivery to send emails during work hours and encourage uninterrupted appointments for productivity.
How to build engagement
Mental health and wellness initiatives are good, but they are Band-Aids for the after-effects of a wider problem — the root of which is engagement.
Only around
It's telling that our highest engagement rates happened during the pandemic, when we all banded together to slay the beast called COVID-19. Managers were calling their employees on a weekly basis just to say, "Hey, how are you doing?" and were actively trying to take care of and adjust for everyone.
We can increase engagement in the accounting industry, but we must be deliberate about changing the way we manage accountants. Until then, Gen Z and millennial employees will choose themselves over sub-par working environments. Can we really blame them?
