attracting and retaining the next generation of talent

Attracting and Retaining the Next Generation of Talent

There is no doubt in my mind that there will be a direct correlation between the success and growth of your organization and its ability to attract and engage the next two generations of talent, Gen Y & Z. The Canadian economy has an aging workforce, a major issue that cannot be ignored, yet most organizations have not yet taken action. That is why we are excited to share the findings of our latest talent study, to help you better understand how you can attract, engage and most importantly, retain these workplace game-changers.

Their student debt levels are higher than any generation we’ve seen to-date. Canada’s youth unemployment rate is twice the national average. As a result, they have new needs, expectations and are hungry for experience.

This report is only the first step. It is what you do with this information that matters to your long-term success.

It is clear that the dynamics and demographics of the Canadian workforce are changing. Currently, more than 50 per cent of the Canadian workforce is comprised of Millennials, those roughly born between 1980 and 2000. This is a staggering and important change for all industries in Canada.

Message from yconic President & CEORob Henderson

President and CEO yconic

50%

Table of Contents

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Setting the Stage: Student Debt & Youth Unemployment

Perceived Barriers to Youth Employment

Alternatives to Unpaid Internship Programs

Recipe for Attracting and Retaining Young Talent

Looking Ahead

Key Insights: Youth Mindset

What can your organization do?

About yconic

Survey Methodology

Student Debt

In Canada, the average student debt is $27,000.

Avg student debt difficult to pay off, delays life milestones,

CBC News Canada, March 2014

Survey of Financial Security, Statistics Canada, February

2014

Student debt grew 44.1% from 1999 to 2012, or 24.4% between 2005 and 2012.

The State of UnemploymentCanada’s youth unemployment rate (15-24 yrs) is a staggering 13.7%, nearly twice the national average. While the rate may dip for the older cohorts, at least four out of 10 of these young people are currently seeking employment opportunities.

Canada’s National Unemployment Rate

TOTAL: 15 yrs and over

15 to 19 years

25 to 29 years

20 to 24 years

30 to 34 years

15 to 24 years

2015

March

7.4

19.5

10.6

9.4

5.8

13.7

Source: Labour Force Survey, CANSIM, Statistic Canada,

March 2015

of young adults cite a lack of experience as their number one barrier to employment

Current employment status reveals students and youth are either working part-time or not at all. The perception of ‘lack of experience’ is perpetuated by simply not being immersed in active employment, particularly if they are not in their desired field of study.

Employed Part-Time Not Employed

55%

44% 43%

Source: yconic Talent Survey, February 2015

46%

They are Hungry…Source: yconic Talent Survey, February 2015

of 19-24 year-olds are actively seeking employment opportunities.

19Average number of resumes students expect to send before landing a job.

59Per cent of 15-34 year-olds disagree that: “Finding a job is easy.”

And plan to work for itSource: yconic Talent Survey, February 2015

Young people cannot find work in their respective field because they lack experience… and they lack experience because they cannot get relevant employment opportunities.

The Frustrating Cycle

Solution: Work for free?

Unpaid internships are debatably a potential solution enabling students the opportunity to gain work experience.

Would you take an unpaid full-time job with almost $30k in debt?!

In addition to a lack of experience, yconic found that 43% of young people surveyed think that a lack of job opportunities and too much competition are their biggest barriers to finding a job.

Contributing Factors

Boomers not retiring Older cohorts are under-employed Number of new grads flooding the market


Don’t have the budget for a paid internship program?

There are several opportunities for employers to help young people gain work experience and provide tremendous value, while simultaneously building meaningful relationships with Gen Y and Gen Z talent.

Alternative Opportunities for Fostering Talent

71% 58% 57%

Attract and engage young job-seekers and generate high employer brand ROI with limited investment.

Mentorship Program

Are highly interested in having a mentor.

Job Shadowing Program

Are highly interested in 1-2 day job shadowing.

Immersion Program

Are highly interested in a two-week immersion opportunity.


A Little Help Goes a Long Way

Young people notice when a brand takes notice of them. Helping young talent will ultimately help your brand succeed.


of 15-34 year-olds feel more inclined to work for a company or organization that invests in students.

80%

The Recipe for Attracting and Retaining Gen Y and Gen Z Talent

Aside from compensation, young professionals are driven by and looking for these factors when seeking employment...

Looking for...

1. Balance and CultureImportant Factors in a Job:

69% 59% 50% 24%Schedule Flexibility

Work-life balance and company culture are key motivators. It’s important to Millennials and Gen Z to work for a company that values healthy living and environments. These factors impact the harmony between the people they work with and the people they prioritize - friends and family.

Company Location

Team Members

Opportunity to Work Remotely - this jumps to 42% for 25-34 year-olds.



2. Impact and VarietyImportant Factors in a Job:

68% 65% 56% 48%Interesting and Challenging Work

Young people are keen to make an impact, and grow as professionals. It is important that opportunities offer a variety of interesting tasks and challenges – exposure to multiple projects, different team members and a line of sight of how their work is impacting the organization are ways to satisfy this.

Ability to Build Resume and Work Experience

Career Advancement Within The Organization

Variety in Job Tasks

Looking for ‘Recession-Proof’ Opportunities

39%

36%

29%

Government

Teaching, training or service in a field of interest/expertise

Professional Services (e.g. Accounting)

Top Areas of Interest

Considering the reality for many young people – academic debt, high unemployment – it’s less surprising that industries which offer long-term stability e.g. clear pay grades and increases, health benefits and more, top the list.


Industries that need help attracting Gen Y and Gen Z talent

9% 8% 7% Oil and Gas

Interest Level:

Manual Labour Manufacturing


The low level of interest across these trade-based industries will only perpetuate the current shortage of skilled workers in Canada. It is more important than ever to commit to a strategy that begins to evolve and align with the needs and expectations of the next generation of the workforce.

Looking Ahead

Job hoppers or life stage context?Understanding the context within each life stage demystifies the job hopping reputation of young workers. Education, graduation, experience gathering and growth each contribute to job mobility. Teens are balancing academics and a part-time job – post-secondary and career trajectory are still in flux. Young adults are focused on gaining experience, and older Millennials have started to gain traction on their career. Across all life stages, it is important to provide a dynamic work environment and a clear path on skill development – generating a strong employer brand and internal culture.

Anticipate change, movement.

38% of 25-34 year olds

37% of 19-24 year-olds

35% of 15-18 year-olds

Years Spent at Next Job


Data is 7 months to less than 3 years.

Anticipate stability, internal growth.

Seeking relevant field experience. Anticipate mobility.

1 2 3 4 5

At all times…Looking to increase ‘marketability’

79% 72%

73% 61%

63% 53%

Experience in field of study overall

Increase confidence

Develop useful job-related skills

A stronger network of peers

Increase problem solving skills

Better ability to take initiative

‘Hard’ Skills Wanted ‘Soft’ Skills Needed


Source: yconic Talent Survey, February 2015 Millennials and Gen-Zers aren’t as

entrepreneurial as everyone thinks.

27% indicated a high interest in pursuing a career as an entrepreneur.

>Ultimately, they seek leadership and prioritize gaining valuable work experience more than becoming their own boss…right now.

69%

40%

are interested in employment at an established company.

are very interested in working at a startup or innovative company.

So what?

Key Insights: Youth Mindset

Youth are ready and able. They want and need to gain experience, and are open to new, innovative ways.

Youth are resilient and versatile. They are ready for change, are adaptable and anticipate a tough road ahead.

Youth are eager to succeed. They have an appetite to impact and contribute. They are focused on becoming as ‘marketable’ as possible.

What can your organization do?

BUILD your employer brand early – learn how to connect and invest in students.

Be prepared and open to FOSTER talent, despite the risk of mobility.

Create a desirable environment to NURTURE employees – offer balance, culture, variety in the day-to-day, andopportunities for professional development.

How this can come to life…

…an environment that attracts.

• Consider unique innovative ways to engage youth in your business, short or long term.• Prioritize your employer brand strategy.• Create and showcase a fun, flexible and professional culture.

• Offer career-building strategies and tactics.• Expose youth to cross-functional teams and senior leaders.• Invest in students.

• Exemplify your employer brand culture through social outings, volunteer opportunities, and other workplace initiatives.• Create an inclusive environment that rewards innovative thinking at all strategic levels.• Invest in health and well-being.

…talent for the future, create advocates.

…a favourable employment environment that will increase retention.

Build

Foster

Nurture

About yconicyconic is the leader in understanding and building meaningful relationships with students and young adults. Our social platform, yconic.com, makes life easier and less stressful for students pursuing higher education. It is the largest student help platform in Canada with over 825,000 active members, access to over $170M in financial opportunities to help fund their education, and peer-to-peer support.

yconic is also a thought leader on Gen Y, Z and student behaviour because of the key insights we are able to obtain through our platforms, including Canada’s largest youth-focused consumer insights panel, with over 550,000 young Canadians participating in online market research.

yconic partners with select brands, institutions, educators, and their agencies who share our values and want to better understand, hire, and authentically build loyalty with our youth and student audience. For more information, please visit yconic.com/corporate

If your organization values youth and wants to develop a long term, meaningful relationship that will result in true ROI then we should chat.

Follow yconic on LinkedIn and Twitter for more youth insights.

mailto:[email protected]

https://www.linkedin.com/company/yconic.

https://twitter.com/Be_Yconic

Survey MethodologyIn January 2015, yconic surveyed 1,385 students and young adults (15-34 years old) across Canada, about their current employment status, their perceived barriers to employment and what opportunities they would be most interested in to gain job-related experience. The credibility interval for this study is +/- 2.63 per cent.

attracting and retaining the next generation of talent

Recruiting & HR