DISCOVER INSIGHTS

The Generation Game

Introduction

Partner, Head of Platform and Benefits

Age diversity in the workforce is more prevalent than ever, thanks to people living – and working – longer. Gen Z, Millennials, Gen X and Baby Boomers now work sideby side, which brings a wealth of benefits to employers. Having a more age-diverse workforce equips businesses with a mixture of skills, experience and perspectives, and creates a more adaptable workforce. Increased innovation, knowledge sharing, and an environment where younger workers can learn from experienced employees creates a much richer talent pool within a business, which can ultimately drive productivity and contribute to performanceand business success. However, while the benefits are apparent, this multigenerational workforce alsoposes a new set of challenges for firms to navigate. Being able to strike a balanceis no longer optional; it’s essential. It is key to ensuring the employee base works in harmony, which requires a fresh approach to leadership and management to meet the needs – both collectively and individually – of different generations. This is one more plate to spin for businesses which are already facing mounting challenges. The inflationary environment, combined with costly government policies like the increased National Living Wage and National Insurance contributions, are putting intense pressure on bottom lines. As a result, utilising a diverse workforce needs to be an enabler of profitability, not a hindrance. This means a laser-focuson results and impact.

To do this well, businesses must truly understand their employer DNA (eDNA). By leveraging data to understand their eDNA, an employer can develop solutions to implement targeted, cost-effective measures that cater for the bespoke needs of their specific workforce.

Gen Z

Our research makes it clear that wellbeing is the most prominent factor for Gen Z – who are most likely to feel the effects of anxiety, stress and burnout. Many are seeking paid mental health leave days, emphasising the need for employers to acknowledge and address the mental pressures and considerations faced by a younger workforce.

Maximising the potential of a multigenerational workforce

STRATEGIES FOR SUCCESS

EMPLOYER PREPAREDNESS

AGE GROUP CHALLENGES

CONTACT

RESOURCES

STRATEGIES FOR SUCCESS

EMPLOYER PREPAREDNESS

AGE GROUP CHALLENGES

CONTACT

RESOURCES

STRATEGIES FOR SUCCESS

EMPLOYER PREPAREDNESS

AGE GROUP CHALLENGES

CONTACT

RESOURCES

STRATEGIES FOR SUCCESS

EMPLOYER PREPAREDNESS

AGE GROUP CHALLENGES

CONTACT

RESOURCES

Partner, Head of Benefit Consulting

DAVID COLLINGTON

Senior Workplace Consultant

RIAAN VAN WYK

Partner, Head of Platform& Benefits

JULIA TURNEY

Partner, Head of Employer Consulting

NICK GRIGGS

STRATEGIES FOR SUCCESS

EMPLOYER PREPAREDNESS

AGE GROUP CHALLENGES

CONTACT

RESOURCES

Partner, Head of Benefit Consulting

DAVID COLLINGTON

Senior Workplace Consultant

RIAAN VAN WYK

Partner, Head of Platform& Benefits

JULIA TURNEY

Partner, Head of Employer Consulting

NICK GRIGGS

STRATEGIES FOR SUCCESS

EMPLOYER PREPAREDNESS

AGE GROUP CHALLENGES

CONTACT

RESOURCES

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FURTHER READING

Challenges among age groups

Understanding, analysing and mapping out the differences in generational needs is not a simple task for employers, but by utilising eDNA, businesses can get to the bottom of the areas which need addressing among different groups. There is no one-size-fits-all approach – this is a process which requires time and commitment to get right, but businesses that do this will reap the benefits of a more coherent, productive workforce.

Different generations bring with them different sets of challenges.

18-27 years

For Millennials, the primary concern appears to be juggling the pressure of career progression with growing mental health challenges. Many have reported that their wellbeing directly impacts their productivity, and without adequate support it becomes harder to maintain momentum in their career paths. Workplace flexibility remains a concern, with the data highlighting frustration over balancing career aspirations with personal goals. Development seems to be a sticking point as some feel overlooked for promotion opportunities as they get older. This has caused a notable shift in Millennials looking to change industries in the search for career advancement. For employers, this cost of dissatisfaction goes beyond turnover. Losing Millennials means losing experience as they take valuable knowledge elsewhere, creating gaps which are hard to fill and putting further strain on businesses.

Balancing ambition with wellbeing

For Gen X workers, many are entering a new phase in their career as they increasingly shift towards part-time work, or roles which offer better balance leading up to retirement. For some, this has also meant delaying retirement, whether that’s down to a desire to continue working – which is often an underreported point – or for financial reasons. Adapting to new technology, processes and ways of working has also become a more common concern, highlighting a need for continued support and training across all generations. Naturally, health benefits become increasingly valued, with a stronger desire for accessible services such as online GPs or health screenings. Meeting the demands of this generation requires thought and investment in training, flexibility and upskilling, while businesses must also consider the impact of delayed retirements and increasing demands for benefits such as healthcare.

Redefining work in later life

44-59 years

Gen X

BW’s research shows that Baby Boomers are becoming increasingly concerned with benefits offered in workplaces, which they feel are geared more towards a younger workforce. Many also feel that there’s a lack of guidance and support regarding pension options, which is especially relevant for them ahead of retirement. Financial security is the priority while mental health is less of a concern, as many have returned to work or made plans to, in order to boost their financial position. Retaining workers from this generation means businesses benefit from a wealth of experience and honed skills, though they will need to consider tailoring their benefits to ensure employee needs are met.

Looking for relevant benefits and support

60-78 years

Baby Boomers

How do the needs differ between generations?

28-43 years

Millennials

This generation also leads the way when it comes to taking time out, whether that’s in the form of extended career breaks, or additional time to protect their health and wellbeing. Flexibility is essential for Gen Z workers, and many have already shifted industries, planned career breaks, and even taken lower paying jobs to prioritise a better work/life balance.

GEN Z

For employers, this means rethinking traditional approaches to talent recruitment and retention. Without meaningful wellbeing initiatives and benefits or flexible career options, businesses run the risk of higher staff turnover.

78%

have experienced high rates of anxiety, stress (85%), depression (69%), and burnout (74%). 29% think paid mental health leave days would be most beneficial to them.

have taken an extended leave for illness or mental health reasons versus 25% of Baby Boomers, and 36% of Gen X.

63%

have already changed industry entirely with 33% planning to do so, almost a third (31%) are planning career breaks, while nearly a quarter have taken a job with lower pay for a better work life balance (with a further 25% planning to).

21%

From safe, inclusive spaces and flexibility to career development and workplace benefits that reflect the diverse stages of life, it is essential for employers to proactively tailor solutions for each generation in order to boost retention and create workplaces where people will ultimately thrive.

What are the key pillars to address?

Employer preparedness

Unfortunately, two-fifths (40%) of employees avoid disclosing mental health challenges over fears of discrimination. This isn't helped by the fact that nearly half (45%) of workers believe that their employer does not provide adequate mental health support. Businesses will need to take this firmly into consideration – introducing tick-box solutions and makeshift adjustments won’t suffice. Employers need to create a safe and trusted environment where employees can feel comfortable sharing issues and can discuss reasonable adjustments with managers. Failing to address this causes increased burnout, absenteeism and productivity dips, while also impacting workplace morale and hampering inclusivity, all of which ultimately affects the bottom line.

Wellbeing and mental health needs

Creating a safe space

Removing the stigma and strengthening support

By analysing patterns in absenteeism, turnover, and productivity data, businessescan spot signs of mental health challenges which may otherwise go unnoticed. Anonymous feedback tools are an important part of this and are key to understanding what might be holding employees back from disclosing their challenges. Once firms have a clearer picture and a better understanding of their reality, it’s time to invest. Whether that’s offering dedicated mental health leave, creating tailored adjustments for neurodiverse employees, or training managers to support wellbeing with confidence and compassion, targeted support is crucial to removing mental health stigmas and enhancing the level of support for employees.

Flexibility is the new non-negotiable. It’s the new gold standard, especially for Millennials, and one of the most sought-after requirements for jobseekers – meaning different things to different people. Younger workers are craving hybrid setups and adaptable schedules. Older employees are looking for part-time roles that give them room to enjoy life beyond work and provide security in retirement. But when people feel like they’re being denied flexibility – especially because of their age – that frustration can turn into disengagement.

The new gold standard

Flexibility

Offering a range of flexible options isn’t a luxury anymore; it's a crucial part of keeping teams connected, satisfied, and performing at their best, no matter what generation they’re in. Ignoring flexible working demands risks alienating staff, reducing employee satisfaction, and increasing turnover, particularly among younger generations. Meanwhile, failing to accommodate older workers' preferences could lead to lost expertise and a drop in productivity.

Nearly a quarter (23%) of Millennials do not see a path for their career, and a similar number (22%) believe they have been overlooked for leadership roles and promotions. Having employees that feel stuck is one of the biggest factors impacting staff retention, and for younger workers a lack of clear progression is often a catalyst for them to look at changing industries – something a third (33%) of Gen Z workers plan to do. Whereas for older workers, staying ahead of developing technology can feel like a constant uphill battle. Implementing meaningful policies and support mechanisms cultivates a culture where employees believe they can grow. Paving the way for open conversations, demonstrating clarity on career pathways and support to help workers develop their skills all help to address these issues. Firms must also be aware that fairness is perceived differently across generations when it comes to career opportunities, and finding a way to identify requirements between workers of different ages mitigates the risk of losing younger talent and disengaging older workers.

Keeping ambition alive

Career development

More people are working longer, whether to keep finances steady or because they simply enjoy the rhythm and routine of work. But as careers progress, needs change. Middle-aged employees are prioritising their health, and older workers want benefits that reflect their stage of life, not just the needs of younger colleagues. And everyone is looking for guidance as they plan the next chapter. For employers, this is the moment to rethink what support looks like – making sure benefits are inclusive, retirement transitions are smooth, and expertise stays within the business for as long as possible. Understanding the eDNA of a business helps a firm understand differing requirements across all age groups, allowing them to tailor benefits accordingly. For some, this will require reviewing workplace policies and redesigning benefits and changing the way in which they’re managed.

Playing the long game

Retirement, healthcare, and benefits

To tackle these key challenge areas – and any other pressures businesses face – it is vital that employers leverage data to understand the pressures and nuances which are unique to their organisation. While this identifies the needs among different generations of the workforce, businesses will also have to consider any impacts on their bottom line.

Leveraging data to meet employee needs

Strategies for success

A recent CIPD report1 revealed that 32% of businesses which face higher staffing costs plan to reduce employee numbers, either through redundancies or reduced hiring. 42% are having to increase prices to deal with rising costs, and a fifth (21%) are turning to alternative solutions, such as automation, to mitigate the impact on the balance sheets. Employer DNA can help businesses avoid needing to take drastic measures to fight costs. Using data and analysis to streamline processes and identify cost-saving opportunities in other areas of the business can free up much needed budget for staffing and improve productivity – a priority for more than a third (37%) of firms.

1 www.cipd.org/uk/knowledge/reports/labour-market-outlook/

From insight to action

Though this report has already highlighted the importance of flexible working arrangements for employees, it’s worth reiterating that flexibility means different things to different generations. For some this means remote work, whereas for others it may mean adjusted hours or part-time work. Firms will need to track these preferences across their workforce and identify these expectations. By tracking what employees actually want, and how different setups affect productivity and engagement, businesses can refine flexible work policies that balance employee needs with business goals. Piloting new approaches, taking feedback onboard and refining policies play a key role, and can be tailored to fit in with the organisational structure and processes of a company.

Ensuring flexibility works for everyone

From insight to action

When career progression stalls, people start to look elsewhere. Data on promotions, turnover, and exit interviews can reveal where things are falling through the cracks. For the majority of businesses, it’s all about creating clear pathways for employees, and communicating this effectively. Personalised development plans, mentorship programs, and reskilling opportunities ensure growth is enabled across the entire workforce, no matter which generation they belong to. This not only boosts retention, engagement and productivity, but also creates a leadership pipeline for the future.

Evolving development and retention

From insight to action

As the workforce ages, the need for thoughtful retirement planning and inclusive health benefits becomes more pressing. Reviewing workforce demographics helps to identify gaps and forecast future staffing needs, while analysing how employees actually use their health benefits can guide more tailored offerings – such as GP services or regular health screenings. Supporting phased retirement, offering financial planning guidance, and ensuring older employees feel valued can help retain expertise while giving individuals control over how they wind down their careers.

Benefits, wellbeing, and the path to retirement

From insight to action

Understanding employer DNA

Every business has a unique makeup – a blend of different generations, needs, and priorities that shape the culture and determine what people expect from their employer. The key to this often lies in digging into all available data to determine the composition of a workforce, its preferences and its pain points. Utilising methods such as employee surveys, demographic data and engagement metrics can all be used together to provide a clear picture of an organisation’s DNA.

However, it is worth noting that the data reveals contradictions between generations in places. For instance, it’s clear that Baby Boomers believe benefits are catered towards younger generations, but younger generations do not believe that their benefits meet their needs. Tapping into this insight helps businesses to craft initiatives and benefits that are genuinely meaningful– balancing the needs of staff with the realities of the business model, financial goals, and operational structure. But even the most effective support systems won’t have the desired impact if no one knows about them. This is where clear, inclusive, and accessible communication becomes essential. It’s not just about offering the right resources, it’s about making sure every employee feels informed, empowered, and able to access what’s available. Understanding eDNA sets a foundation for creating a workplace that grows with its staff, keeps them engaged, and supports them at every stage of their career. But it is only the first step.

Communicating with a multigenerational workforce requires a targeted approach, to get the right message to the right generation at the right time and in the right way to meet their needs.

By utilising data to understand their unique workforce – the eDNA – businesses can prioritise the areas that matter most. With targeted, thoughtful strategies, it’s possible to meet the evolving needs of every generation, reduce risk, and boost retention, all while building a workplace where people genuinely want to stay and thrive.

No business needs to solve everything at once.

Conclusion

Workers across all generations need better support to thrive, stay in, or return to work. With different generations having varying needs and expectations, businesses must provide a range of solutions, from flexible working and career development to health and wellbeing support.

Julia Turney, Partner and Head of Platform and Benefits Barnett Waddingham

Businesses that proactively tailor solutions for each generation and harness data to anticipate workforce challenges will not only maintain a competitive edge, but also mitigate key employer risks such as talent loss, decreased productivity, and rising health-related costs. By adapting to the evolving needs of their employees, organisations can safeguard against workforce disruption, optimise productivity and contribute to broader goals, such as improving access to healthcare and promoting workplace wellbeing, fitting in with the objectives outlined in the Government’s “Get Britain Working” whitepaper. Taking these steps now is essential to enhancing business resilience and ensuring long-term success. It’s clear that challenges lie ahead – but firms which take the right steps will be well placed to convert these challenges into opportunities.

Steph Gold, Principal and Head of DrumRollBarnett Waddingham

For employers, this cost of dissatisfaction goes beyond turnover. Losing Millennials means losing experience as they take valuable knowledge elsewhere, creating gaps which are hard to fill and putting further strain on businesses.

are also switching industries, and 27% are planning to, signaling a shift in career priorities and dissatisfaction with current roles. 22% believe they have been overlooked for promotion or leadership roles because of their age.

23%

Development seems to be a sticking point as some feel overlooked for promotion opportunities as they get older. This has caused a notable shift in Millennials looking to change industries in the search for career advancement.

One in five express dissatisfaction with their ability to balance career goals with their life stage, and 23% don’t see a career pathway to develop as they age.

19%

of Millennials have reported that mental health challenges have negatively impacted their productivity.

44%

Naturally, health benefits become increasingly valued, with a stronger desire for accessible services such as online GPs or health screenings. Meeting the demands of this generation requires thought and investment in training, flexibility and upskilling, while businesses must also consider the impact of delayed retirements and increasing demands for benefits such as healthcare.

say they are not offered 24/7 online GP, but would like to use it, with the same said for the 44% of those who don’t have health screenings but would use them if they did.

41%

Adapting to new technology, processes and ways of working has also become a more common concern, highlighting a need for continued support and training across all generations.

have expressed concerns about challenges adapting to new processes and technologies because of their age.

39%

For Gen X workers, many are entering a new phase in their career as they increasingly shift towards part-time work, or roles which offer better work life balance leading up to retirement. For some, this has also meant delaying retirement, whether that’s down to a desire to continue working – which is often an underreported point – or for financial reasons.

have transitioned to part-time work for a better work life balance as they approach retirement. 17% are already considering delaying retirement because they want to continue working, or for financial reasons (21%).

25%

Retaining workers from this generation means businesses benefit from a wealth of experience and honed skills, though they will need to consider tailoring their benefits to ensure employee needs are met.

are least likely to feel comfortable discussing mental health concerns with managers, and 31% with colleagues.

35%

Financial security is the priority while mental health is less of a concern, as many have returned to work or made plans to, in order to boost their financial position.

have delayed retirement because they want to continue working with 15% planning to. Others are doing so for financial concerns (21%), with 15% planning to. 7% have returned to work after retiring, for financial reasons.

27%

feel that benefits are more catered to younger generations, while 28% feel they are not given guidance on pension options, or flexible work options as they approach retirement (28%).

23%

Comparing priorities between generations

Flexible working arrangements are top of the agenda, especially for younger employees.

of Millennials

Older employees have a higher propensity for part-time work.

13% believe they have been denied flexible work because of their age, with Gen Z most concerned.

of Gen Z most concerned

Part-time hours

Working arrangements

of older employees

Flexible working

What are businesses currently doing, and how are they prepared?

Monitor stress related disorders

46%

of employers said their organisation has seen a rise in absenteeism due to mental health issues across all age groups.

64%

Monitoring

Prepared

Monitor for anxiety

44%

Monitor for depression

44%

Monitor for learning difficulties

40%

Believe they are prepared for mental health issues

73%

Believe they are prepared for an ageing workforce

73%

Believe they are prepared for long-term sickness

70%

GEN Z

MILLENNIALS

GEN X

BABY BOOMERS

Click on each generation below to find out more.

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Real world impact

How understanding Employer DNA drives results

Our Employer DNA approach empowers organisations to make evidence-based decisions that reflect the unique make-up of their workforce. By combining rich data insights with strategic consultancy, we help businesses create tailored, practical solutions that support every generation.