Canadian employers are tasked with retaining a new generation of workers with fewer entry-level opportunities, rising expectations, and rapid technological change.

For Gen Z employees, the top incentives to stay in long-term positions are better pay, improved benefits and more flexible working hours. However, according to Randstad Canada’s latest white paper, The Gen Z Workplace Blueprint: Future-Focused, Fast-Moving, short tenures remain the norm. Among those who left a role within a year, the main reasons cited were low pay, poor workplace culture, and minimal opportunities for career growth.

The findings from the talent company draw on a survey of 11,250 workers globally – including 750 in Canada – and an analysis of more than 126 million job postings worldwide, the results reveal a nuanced picture.

Despite job market doubts (41 per cent don’t feel confident they could find another job) one in three plan on leaving their current role within one year. The attrition rate is the highest of any generation, with 22 per cent having already left a job in the past 12 months.

In the first five years on their job, the average tenure for Gen Z is just 1.1 years, compared to 1.8 for Millennials and 2.9 for Boomers at the same stage.

Rather than indicating disloyalty or casual job-hopping, this movement reflects unmet ambition and a search for clear career progression, purpose, and growth opportunities. In fact, 37 per cent said they always make decisions based on long-term career goals, while nearly half balance their future ambitions with short-term needs like salary and work-life balance.

However, more entry-level doors are closing. Since January 2024, global postings for roles requiring 0–2 years’ experience have dropped 29 percentage points, with tech down 35 per cent, logistics 25 per cent, and finance 24 per cent. For many workers, it’s a shift reshaping traditional pathways into the workforce.

Alongside this uncertainty is artificial intelligence (AI), viewed as both supportive and threatening. Three out of four Gen Z workers now use AI to learn new skills, more than half use it at work, and nearly as many rely on it for job searches.

However, 46 per cent worry about its long-term impact. Formal training in AI remains uneven as men and white-collar workers are more likely to receive it than women or those in operational roles.

In response to job market dynamics, a growing number of young workers are actively seeking side hustles to gain experience, diversify income, and exert control over their career trajectories. Only 45 per cent of Gen Z currently work a single full-time role while one in four would prefer to combine full-time work.

Flexibility is now a top priority for their ideal job set-ups, with 48 per cent citing flexible hours and 39 per cent favouring a flexible location.

Key actions employers should consider

To actively attract Gen Z talent, employers must move beyond traditional approaches and embrace strategic changes that address these young workers’ expectations and challenges.

• • Redesign entry-level roles: Treat early-career positions as stepping stones to skill development (critical thinking, creativity, collaboration) rather than routine tasks.
  • Provide clear and visible career paths: Map progression paths, offer regular feedback, and reward growth to build confidence in long-term development.
  • Integrate learning into growth strategies: Offer upskilling opportunities that are practical, tech-focused, and include AI training.
  • Ensure equitable access to skills: AI and other learning opportunities must be available to all, closing gaps between men and women, and white-collar and operational roles.
  • Build trust and align values: Cultivate a culture that supports flexibility, purpose and growth, all essential to earning loyalty.
  • Collaborate with talent: Involve Gen Z in defining career paths and creating work environments where they feel heard, supported, and engaged.

Guidance for Gen Z professionals to boost opportunities

• Stay proactive and agile: Use side hustles, AI tools, and learning agility to diversify experience, income, and career control.
• Leverage AI as a competitive advantage: Learning new skills and optimizing job searches with AI can differentiate candidates in a competitive market.
• Request growth early: Actively seek feedback and co-create development plans with managers.
• Recognize your value: Even with gaps in experience, fast learning and technology skills are strong assets.
• Seize opportunities to demonstrate impact: Engage in projects that highlight unique, non-automatable skills.
• Build resilience and networks: Find mentors, track achievements, and cultivate peer networks to thrive in challenging environments.