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Are organisations in India ready to embrace the Gen-Z workforce? This cohort (born between 1997 and 2007) comprise over 350 million individuals, representing about 27% of the population, now forms a vital part of India’s working population, likely hovering around the mid-to-high twenties per cent, urging employers to adapt how they attract, grow, and retain this energetic cohort.
While jobs have are huge cause of concern today, companies are also finding it tough to retain employees especially from the Gen-Z cohort. A recent report on Gen-Zs by Randstad (the Gen-Z Workplace Blueprint) calls out for a change in mindset of employers. “The Gen-Z is eager to learn and grow, looks for new opportunities, and that’s not always appreciated. That’s interpreted as being opportunistic, and not wanting to work hard,” says Sander van 't Noordende, chief executive officer and chair of the executive board, Randstad.
Over 94% Gen-Zs in India often or always weigh long-term aspirations when considering new paths, a figure that outshines the global 79% and matches millennials at 96% and Gen-X at 91%. “This vision steadies them through today’s uncertainties, marking them as a key player in India’s demographic edge, where their vitality and sheer numbers could power economic strides,” Noordende explains.
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Salary Matters Most
However, this trait of thinking long-term doesn’t necessarily bring about loyalty among employees. Loyalty takes a backseat. Overall, 49% of respondents expect to linger with their current employer for 1-5 years, with a mere 8% eyeing a lifelong commitment, well under the global average of 17%. This cohort is restless. Around 38% are eyeing a stay of less than 12 months, outpacing millennials at 23%, Gen X at 14%, and the global 33%, while 26% aim for a 1-2-year stint.
The reason for early exits is invariably low pay and not being recognised and valued for their work - 41% cite low pay for leaving within a year (above the overall 35%), with misaligned values (13%) and stalled growth (12%) close behind. For Gen-Z, low pay drives 50% of departures, a clear signal they are weighing worth carefully. Their workplace spirit blends boldness and balance, 81% feel strong in their roles while exploring options, beating the global ~68%, yet only 82% feel valued, trailing millennials at 93% and Gen X at 89% compared to the global 60%, suggesting a need for deeper connection.
“The Gen-Z’s are moving from organisations not because they want to move, they are looking for opportunities to grow. Therefore, organisations need to reflect upon how they can create opportunities for Gen-Zs to learn. Is there a next step, is there a way to move to newer responsibilities, so that there is a sense of progress. In India, some companies have introduced intermediary levels, more levels than what they earlier had, to give a sense to people that you are at the next level and you get a bit more responsibility. The challenge for organisations is to tailor their offerings to their employees,” explains Noordende.
“Of course, there are limits to that, because organisations need to work for clients, produce stuff and at the end of the day be profitable. But a bit more flexibility, a bit more focus on learning and growing, a bit more focus on mentoring and turning the role could go a long way,” he further adds.
Keeping talent on board starts with better pay, which tops the list at 15% for all Indian respondents, though it lags behind the global 24%. While Gen Z prioritises pay at 16%, upskilling at 10%, and career progression at 9%, millennials lean slightly lower on pay (~14%) with modest interest in upskilling (~8%) and progression (~7%), and Gen X trails further with pay at ~12%, upskilling at ~6%, and progression at ~5%, reflecting a generational shift toward skill-driven growth. When picking their top three priorities, 37% settle on pay, 25% on flexible hours, and 22% on work-life balance, showing a clear preference for real rewards over perks like extra leave, which only 11% value compared to 22% globally.
Side Hustles Are Welcome
A striking 43% of Indian Gen Zs are drawn to pairing a full-time job with side hustles, outpacing the global 31%, signalling a pivot to diversified income streams amid gig economy growth, driven in part by the sheer scale of India's youth bulge, where close to 12 million new workers enter the labour market year, far outstripping the formal jobs available.
This mismatch pushes many to supplement incomes through freelancing and gigs just to bridge the gap. This shift marks a break from the past. Gen Z at 94% stands apart from millennials (with 96% eyeing long-term goals) and Gen X (91%), showing less attachment to a single career track. Subtle gender differences emerge too where men edge toward side hustles (44% vs. 43% for women), while women hold a slight preference for the stability of full-time work (18% vs. 15%).
“We see people with multiple jobs. I was in an Uber car, driven by an IT specialist working in IBM. People have main jobs as well as a side job to make additional money. We have digital platforms where we offer short-term jobs. So, if I am a nurse who works nights shits, I am open to making a little more money by working part time somewhere else. That flexibility in terms of time and space is appreciated. It fits in with the Gen-Z mindset, as Gen-Z is also about balance of work and life,” Noordende points out.
This urge to have a stable job and also do an additional gig or two is what sets the Indian Gen-Zs apart from those in matured markets, says the Randstad report. “There is a big difference between India and matured markets. In India it is always about now is my time, let’s go for it. In Europe or US, the Gen-Z is more demanding, more focused on work-life balance. Pay and work-life balance are at the same level in matured markets. In India, getting ahead, prioritizing your family, taking care of them, making a bit more here than there is more prominent,” Noordende explains.
AI-Proficient Generation
The Randstad report also urges employers to capitalize on the ease at which Gen-Z’s embrace AI, a tool that is crucial for the success of any business. The report says 85% Gen-Zs across India are excited and 64% trained, almost twice the global figure of 37% trained. Around 83% are using AI for problem solving at work, and 63% having received AI training at work, showcasing their knack for turning tools into advantage. Yet, a shadow of doubt remains with 44% of gen Z worrying about job security, edging past Millennials at 42% and Gen X at 36%, with women voicing more concern at 47% versus men’s 41%.
The Gen Z in India, according to the report, dives into learning with a hands-on, need-driven mindset, with 52% turning to AI tools, close to millennials at 56% and Gen X at 51%, showing a shared tech lean. They also lean on on-the-job training (47%), pick up tips from mentors and colleagues (44%), and often upskill only when a role demands it (46%), proving their knack for seizing the moment. “This down-to-earth, digital-first style fits India’s skilling landscape perfectly, favouring quick, practical gains over the slower pace of formal programs. Organisations need to be clear what to expect from the Gen-Z,” says the global head of Randstad.
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