Younger generations are demanding more accountability from businesses and institutions to drive changes that will result in a more equitable and sustainable world, reveals a new study.
The latest Deloitte Global Millennial and Gen Z Survey reveals that these two generations worldwide are pushing for social change and accountability. After a year of intense uncertainty due to the Covid-19 pandemic, political instability, racial discord and severe climate events, millennials and Gen Z around the world are determined to hold themselves and others accountable on society’s most pressing issues.
The majority of millennials and Gen Z believe we are at a tipping point on key societal issues, such as climate change, inequality and discrimination. One in five millennials feel discriminated against “all of the time” or “frequently” because of an aspect of their background. Additionally, 40% do not feel their employers have done enough to support their mental wellbeing during the pandemic. They are demanding accountability to drive changes that will result in a more equitable and sustainable world, confirmed the study.
ACTION TO DRIVE CHANGE
Deloitte’s 2021 Millennial and Gen Z Survey, now in its 10th year, finds respondents are channelling their energies towards meaningful action, increasing political involvement, aligning spending and career choices with their values, and driving change on societal issues that matter most to them. These generations also expect institutions like businesses and governments to do more.
“In the 10 years Deloitte has been conducting the Millennial Survey, millennials and Gen Zs’ lives have changed, but their values have remained steadfast. They have sustained their idealism, their desire for a better world, and their belief that business can and should do more to help society,” stated Michele Parmelee, Deloitte Global Deputy CEO and Chief People and Purpose Officer.
ENVIRONMENT & CLIMATE CONCERNS
Climate change and protecting the environment was millennials’ number one personal concern a year ago. Perhaps unsurprising, this year, health and unemployment fears topped the list of personal concerns for millennials. Yet, their continued focus on environmental issues (coming in third), and the fact that it remains the number one concern for Gen Z, even during a global pandemic, when other threats to their health, family welfare and careers may feel more imminent, demonstrates how important this issue is for younger generations.
Additionally 37% of millennials and 40% of Gen Z believe that more people will commit to take action on environmental and climate issues after the pandemic. This could include anything from recycling more to increasing use of public transportation, to changing their eating and shopping habits. As consumers, millennials and Gen Z continue to make decisions aligned with their values. More than a quarter of respondents say businesses’ impact (both positive and negative) on the environment has influenced their buying decisions.
However, approximately 60% of millennials and Gen Z fear that corporate commitment to helping combat climate change will be less of a priority as business leaders reckon with challenges brought on by the pandemic. On the other hand, these generations are taking proactive action to drive change they want to see in the world from creating content or writing letters/posting comments on an issue they are concerned about, to raising money for – or donating to – charities, as the chart below illustrates.
WIDESPREAD DISCRIMINATION
Millennials and Gen Z believe discrimination is widespread, enabled by systemic racism across society and major institutions, according to the study. In fact, six in 10 Gen Zs and 56% of millennials say systemic racism is widespread in general society. However, the past year has prioritised the issue of racial discrimination in such a way that 55% of all survey respondents believe society is “at a tipping point and there will be positive change from this point forward”.
Millennials and Gen Zs are doing what they can to address the problem, but are also looking to government and other institutions to accelerate change. The issue is personal for many, noted the report. At least one in five respondents say they feel personally discriminated against “all of the time” or frequently because of an aspect of their background. A quarter feel they have experienced discrimination by their governments; and approximately the same number feel they have been targeted on social media. Around 34% of millennials and 38% of Gen Z believe racism in the workplace is systemic.
ADDRESSING SYSTEMIC RACISM
As discrimination can become embedded in organisations over time, three in five respondents agree that positive change will only come from the top down; from a change in attitude and actions from those in power. Yet, they don’t believe institutions are living up to their potential. When asked to rank who is making the greatest effort to reduce systemic racism, individuals and activists topped the list ahead of education systems, the legal system and governments.
The role of business in the conversation is uncertain and is potentially downplayed by millennials and Gen Zs. Business’ perceived potential to help bring about significant change is about half that of individuals, education systems and government. And in terms of who is making the greatest effort to address systemic racism, businesses and business leaders ranked last among the eight choices offered.
To fill the void left by institutions, millennials and Gen Zs are taking change into their own hands. Respondents say they are educating others, sharing informational content on social platforms, voting for progressive politicians, and boycotting businesses and brands that don’t share their values on the topic of discrimination (as the chart above illustrates).
MENTAL HEALTH & WELLBEING
Stress and anxiety permeate the workplace, highlighting a growing need for business to focus on better workplace mental health. The Covid-19 pandemic has brought stress to the forefront of social consciousness. In fact, 41% of millennials and 46% of Gen Z feel stressed “all” or “most of the time”. Finances, family welfare and job prospects have been the main stress drivers.
This stress spills over into the workplace, noted the report. About a third of all respondents (31% of millennials and 35% of Gen Z) have taken time off work due to stress and anxiety caused by the pandemic. However, nearly half of this group gave their employer a different reason for their absence, likely due to a continuing stigma around mental health in the workplace.
In fact, only 38% of millennials and 35% of Gen Zs have felt comfortable enough to speak openly with their supervisors about the stress they’re feeling, as reported. And approximately 40% say their employers have done a poor job supporting their mental health during the pandemic.
“Fostering open and inclusive workplaces where people feel comfortable speaking up about stress, anxiety, or other mental health challenges they are experiencing is critical,” highlighted Parmelee. “Employers have a responsibility to create a work environment that supports employees’ mental health and well-being and allows them to thrive.”
FINANCIAL CONCERNS
The pandemic has also heightened Gen Z and millennials’ financial worries and concerns about wealth inequality and their financial future, according to the report. Two-thirds of all respondents say they “often worry or get stressed” about their financial situation. The same number say that the pandemic has caused them to reassess and alter their financial goals.
Looking ahead, only 36% of millennials and 40% of Gen Z believe their personal financial situation will improve by 2022. While personal financial concerns increasingly are on their minds, so is wealth inequality as a larger societal issue. Two-thirds of millennials (69%) and Gen Z (66%) surveyed think wealth and income is distributed unequally throughout society.
Many believe government intervention may be needed to drive change. Nearly a third have voted for, or supported, politicians who want to reduce income inequality. Roughly 60% of respondents say legislation to limit the gap in rewards between senior executives and average employees would significantly help; as would legislation that requires business to pay workers at least the minimum required to live on. And more than half of respondents say universal basic income could help remedy this issue.
BUSINESS SOCIAL IMPACT
Views on business’ social impact continues to decline, as job loyalty slips, noted the study. Continuing a steady decline over the last few years, less than half of millennials (47%) and Gen Z (48%) think business is having a positive impact on society. This marks the first time that figure has dipped below 50%. Interestingly, it has dropped almost 30 points since 2017.
Job loyalty also slipped a bit from last year’s record high. More millennials and Gen Z would, if given the opportunity, leave their current employers within two years (36% and 53% respectively, compared to 31% and 50% in 2020); while about the same say they plan to stay at least five years (34% millennials, 21% Gen Z). And, 44% of millennials and 49% of Gen Z say they have made choices over the type of work they are prepared to do; and the organisations they are willing to work for based on their personal ethics over the past two years.
“Over the years, this survey has consistently shown that millennials and Gen Zs are values-driven and action-oriented, and they are holding themselves and business, accountable,” added Parmelee. “Even during a difficult year, they continue to push for positive societal change. Businesses that share their vision and support them in their efforts to create a better future will come out on top.”
For more information on Deloitte’s 2021 Global Millennial & Gen Z Survey, click here.
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