Gartner HR Survey Finds 41.5% of Australian Gen Z Employees Seeking New Job Opportunities Due to Improved Business Conditions

SYDNEY, Australia, November 18, 2024 - Improved business conditions in Australia are driving 41.5% of Gen Z employees to actively seek new job opportunities, reaching the highest rate in three years, according to a new survey from Gartner, Inc. The survey found that only 26.3% of Millennials, 19% of Gen X and 8.5% of Boomers are looking for new positions. 

"While the current cost-of-living crisis and record high interest rates continue to have a significant impact on Australians, Gen Z employees have a much more optimistic outlook when it comes to seeking new job opportunities," said Robin Boomer, Senior Director, Advisory in the Gartner HR practice. 

Gartner's latest Global Talent Monitor survey data, collected between July and September 2024, revealed overall confidence in the current business environment in Australia is the highest among Gen Z employees, reaching 49.3% in 3Q24. This is followed by Millennials (43.9%), Gen X (41.5%) and Boomers (39.6%).

According to the survey, 35.4% of Australian employees in 3Q24 intended to stay with their current employer - a figure that has consistently remained low following a peak of 45% in 2Q22. However, only 15% of Gen Z employees reported they were likely to stay in their current jobs.

Gartner's 3Q24 survey showed the main reason Australian employees are leaving their organization is due to manager quality, followed by the degree of respect shown to employees, and dissatisfaction with people management practices. Compensation dropped to fifth place, highlighting that Australian employees on average prioritize respect at work over financial incentives. 

"In the current environment, relationships with managers and coworkers have the potential to significantly impact an employee's intent to stay, particularly negative interactions," said Boomer. "Failure to recognize the value of individuals and the importance of effective working relationships will lead organizations to experience reduced productivity and higher turnover."

For employees seeking a new role, location, work-life balance and compensation remain the top three drivers of attraction in Australia, remaining the same for the fourth consecutive quarter (see Table 1).

Discretionary Effort Declining
Gartner's latest survey data shows the overall willingness of Australian employees to go above and beyond on the job declined slightly from 18.4% in 1Q24 to 17.9% in 3Q24. However, Gen Z employees fell significantly further behind other generations, with less than 10% reporting they put in extra effort for their employer in 3Q24. 

"Having started their careers in the middle of a pandemic, Gen Z employees have faced a multitude of challenges and changes to their working environment," said Boomer. "The desire for a more personal connection to their work and organization could leave some feeling disconnected and unwilling to work harder. Many want more opportunities to learn, develop and establish mentoring relationships with peers and leaders."

Seeking Financial Gains With New Employers
Despite Australian employees prioritizing respect over compensation at work, Gartner's survey indicates that Gen Z employees are the most confident in securing a pay increase when changing jobs (9.8%), followed by Boomers (7.3%), Millennials (7.1%) and Gen X (6.8%). This comes as overall employee views in Australia towards pay fairness within their organization fell to 31% in 3Q24, from a peak of 38.5% in 3Q22.

"While organizations may have successfully tempered employee and manager expectations about pay increases remaining flat, Gen Z employees are more willing to act on workplace dissatisfaction and seek financial compensation elsewhere," said Boomer.

Editor note
The Gartner Global Talent Monitor survey is made up of more than 6,000 employees in 40 countries, including 854 in Australia in 3Q24. The data is reflective of market conditions during the quarter.

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