The mass exodus of employees across sectors, now widely known as the ‘Great Resignation’ or ‘Great Reshuffle’, presents an unprecedented challenge to corporates.

It’s not merely an issue of finding replacements – the real task is attracting and retaining a workforce, particularly among Millennials and Gen Z, who prioritize job roles that augment their quality of life, not just their bank accounts.

The majority of Millennials, that is 62 percent, are currently searching for new jobs. According to a recent report by Gallup on the Millennial workforce, 21 percent of Millennials reported switching jobs in the last year, three times the number of non-Millennials who switched jobs.

Why do Millennials often change jobs? Primarily, it’s due to a lack of workplace engagement. A Gallup survey in 2023 revealed that only 23 percent of Millennials are emotionally invested in their work and employer. A notable 18 percent are actively unhappy and a significant 59 percent are disengaged, outpacing other generations.

Gen Z and Millennials are adept with data, technology and AI and have a broad knowledge base. They differ from previous generations with their unique values, restlessness and focus on aspects like culture, incentives, purpose, immediate recognition, feeling valued, flexibility and work–life balance.

Research indicates a trend of decreasing job tenure with each successive generation, with Gen Z employees averaging around two years and three months and Millennials around two years and nine months. This stands in stark contrast to the longer tenures of Gen X (five years and two months) and baby boomers (eight to 10 years), underscoring the evolving nature of career trajectories.

The challenge for organizations

Companies struggle to keep employees long-term, with financial perks and mental health concerns as key factors. Nearly half of Gen Z and Millennials report workplace burnout.

In contrast to feeling burned out and bored at work, it is surprising that Gen Z can spend up to nine hours daily on their screens. Out of this time, 5.9 hours are spent on their phones. This means that the average screen time for the younger generation is more than the typical full-time job. It has become their way of life.

Consequently, these psychological, sociological and physical habits developed through their screen time may influence their work engagement and preferences.

The use of smartphones has impacted the attention spans of both generations, with Millennials having an average attention span of 12 seconds for ads and Gen Z only eight seconds. Smartphones have been proven to be as addictive as drugs or gambling.

Based on a report by Statista in August 2018, Gen Z smartphone users in the United States tend to unlock their phones approximately 79 times per day. Millennials are the second-highest group, unlocking their phones 63 times per day, while Gen X averaged 49 and Baby Boomers (who mostly hold senior management positions) unlocked their phones around 30 times a day.

According to research conducted in the United States and published by Mike Hynes in Emerald Publications, on average, an American will tap their phone 2,600 times and have 76 sessions per day. Nearly half of all touches were directed toward apps created by Alphabet and Mark Zuckerberg’s Meta.

The great reimagination

The evolving behaviors and preferences of Gen Z and Millennials present an opportunity for organizations to redefine the concept of the workplace in what can be called a ‘Great Reimagination’. By revising strategies and work processes, companies can leverage technology to create an engaging work environment.

According to trends, surveys and statistics presented above, Gen Z and Millennials spend more time on their phones than they do in the workplace, even when this activity does not provide them with financial benefits. It is evident that smartphones have a high level of power and appeal.

Therefore, to retain young talent sustainably, corporations should leverage smartphone psychology to become ‘dopamine organizations’.

Harnessing smartphone strategies

Enjoyable activities like eating favorite foods or receiving likes on social media trigger dopamine releases, inducing pleasure. Feeling loved, appreciated and cared for boosts dopamine, reinforcing happiness, motivation, energy, alertness and focus, potentially leading to addiction.

Conversely, low dopamine levels can lead to tiredness, lack of motivation and unhappiness, which may result in disengagement.

So, how can organizations become ‘Dopamine Corporates’ by learning from the smartphone’s addictive features? A recent study by Samuel Veissière and Moriah Stendel published in Frontiers in Psychology suggests that the most addictive functions of smartphones are those that fulfill the human need to connect with others.

The factors that contribute to phone and app addiction bring about a sense of happiness. One such factor is the release of dopamine and the subsequent reward loop created when a particular behavior is repeated and rewarded. Organizations must recognize this phenomenon of phones and apps and create a workplace culture that can establish a dopamine reward loop.

Here are some attributes that can help achieve this goal:

1. Human connection – Deep human connection is fundamental to our wellbeing, sense of belonging and validation. Meaningful connections boost self-esteem and confidence, benefiting emotional and mental health.

2. Self-expression – The ‘Like Epidemic’ describes the modern phenomenon of seeking instant social validation through platforms like Facebook, Snapchat and Instagram, where feedback in the form of likes and comments becomes a powerful form of self-expression. A culture of sharing and receiving feedback can enhance employee engagement and productivity.

3. Random reward – Intermittent, variable or random expressions of appreciation are more addictive than scheduled rewards or treats, similar to the ‘slot machine effect’ studied by BF Skinner. He discovered that unpredictable rewards – those given after a variable number of actions – are more effective at sustaining behavior than predictable ones.

4. Behavior design – Behavior Design by Stanford’s BJ Fogg focuses on user’s behavior through motivation, ability and trigger. In a corporate context, it aligns with company objectives by motivating employees and encouraging desired behaviors. Mobile app developers use BJ Fogg’s behavior model to enhance engagement.

5. Engaging onboarding – A compelling onboarding experience is crucial for employee retention; 77 percent abandon an app within 72 hours if it fails to engage. Similarly, organizations must create a positive, rewarding experience in their first few days on the job to make them feel valued, recognized and emotionally invested, building positive early memories.

6. Speed and ease in the organization – Organizations need to prioritize speed and simplicity in their operations to accommodate the younger workforce effectively. This involves swiftly implementing clear and understandable policies that align with the values, preferences and habits of both Gen Zs and Millennials. Updating outdated policies to meet their expectations.

7. Fun at the workplace – Creating a workplace environment that incorporates fun and relaxation is crucial to combat monotony and boost morale among employees. This is especially important for younger generations who often use gaming apps to unwind.

Modern office designs that integrate technology and fun atmosphere, along with personalized spaces reflecting employees’ personalities, can significantly enhance engagement and morale. Small adjustments to office ambience can have a meaningful impact on overall employee satisfaction and productivity.

8. Deep connections – Gen Z and Millennials prioritize social media for building relationships and meaningful connections. Organizations should implement programs facilitating deeper social bonds among employees and cross-functional teams to meet this need for connection.

9. Continuous feedback – Continuous feedback on smartphones keeps younger individuals engaged through social validation, comments and likes. Designing an ecosystem that supports continuous feedback, fostering engagement where feedback becomes habitual.

10. Extended self – Organizations should create a culture that is an extension of their employees’ selves, reflecting their technological friendliness, freedom, preferences and values. The tech-savvy nature of younger generations demands an evolving culture that adapts quickly.

This article is co-authored by Waseem Rehmat, who is a seasoned and diverse educationist with a varied training, coaching and business consulting background. He is currently pursuing a doctoral degree at the University of Jyvaskyla, Finland.

Opinions expressed by The CEO Magazine contributors are their own.