How Can Employers Attract Gen Z Workers?

By most measures, today’s labour market should favour the youngest generation of workers.

Demographics are shifting. With approximately 25% of Canadians aged 56-75, retirements are increasing (source only available in English).

The talent shortage continues. Our research finds that 71% of Canadian employers are struggling to locate the skilled talent they need.

Remote work loosens geographic considerations. The pandemic marked a lasting shift in the workforce, allowing employers to tap into a broader talent pool by removing the need for employees to be onsite.

On paper, these conditions should create opportunity for Gen Z, the largest generation in the workforce pipeline.

And yet, many Gen Z workers are struggling to find jobs.

What’s Holding Gen Z Workers Back?

The answer isn’t a lack of ambition or ability. It’s the collision of structural shifts in hiring, broken entry‑level pathways and rapidly changing employer expectations.

1. The disappearance of entry-level jobs

One of the biggest barriers facing Gen Z is simple math: there are fewer true entry‑level jobs than there used to be.

Over the past three years, the number of young Canadians with bachelor’s degrees has grown, but opportunities have shrunk. Entry-level vacancies requiring degrees have dropped by more than half since early 2024 (source only available in English).

Non-college educated workers aren’t necessarily doing any better. The overall unemployment rate for 15-24-year-olds has remained well above pre-COVID numbers for years.

Why? Many companies are holding onto experienced workers longer, freezing headcount or redesigning roles to do “more with less.” As a result, candidates are frequently encountering postings labeled “entry level” that still demand multiple years of experience, niche technical skills or industry‑specific credentials.

For Gen Z, this creates a paradox: they’re expected to arrive job‑ready, but no longer have access to the jobs that taught previous generations how to become job‑ready in the first place.

2. The hiring process itself is working against young talent

Today’s hiring systems weren’t built with Gen Z in mind.

Automated screening tools eliminate candidates who don’t match exact criteria. Young candidates often feel their actual capabilities are being overlooked, particularly when hiring filters prioritize degrees, linear career paths or narrowly defined experience.

“Ghost jobs” remain posted even when roles aren’t being filled. Lengthy, opaque interview processes disproportionately disadvantage inexperienced candidates who don’t yet know how to navigate them.

Layer in economic uncertainty, uneven hiring across sectors, and shifting demand — and Gen Z job seekers face a fragmented and often discouraging market. Many land in roles that don’t align with their training or long‑term goals, fueling frustration for both workers and employers.

3. Older workers are staying in place

The share of Canadian workers over age 55 has risen by 184% since 2000. Due to good health, financial reasons and personal preferences, many people are delaying retirement, resulting in fewer job openings overall.

4. AI anxiety is reshaping early careers

Generative AI has arrived faster than most organizations were prepared for — and Gen Z sees both the opportunity and the risk.

AI adoption among Gen Z is far from uniform. Many young workers embrace these tools and experiment with them regularly, while others are hesitant or actively disengaging. This inconsistency isn’t surprising. Although a small number of colleges now offer undergraduate degrees in artificial intelligence, most graduates enter the workforce with little formal AI training and limited guidance on how these tools should be used on the job.

At the same time, attitudes toward AI are becoming more polarized. A survey by Abacus Data (source only available in English) found that:

55% of 18-29-year-olds expressed anxiety about needing to shift careers within the next five years due to AI.

This ambivalence isn’t irrational. Many jobs historically designed for skill‑building — research, drafting, data analysis — are now partially automated. Without intentional redesign, early career ladders risk losing rungs altogether.

5. Skills gaps aren’t what employers think they are

Another disconnect lies in how “skills gaps” are defined. Gen Z is often highly fluent in digital tools, collaboration platforms and emerging technologies, but when it comes to “soft skills,” they may be lacking.

Like most entry-level workers throughout the generations, skills such as communication, confidence, interviewing skills or office etiquette will need time to fully develop. Some employers mistake these gaps for a lack of motivation or work ethic.

What Is Gen Z Looking for in an Employer?

According to our research, Gen Z workers are the least satisfied with their jobs than any other generation. But despite headlines characterizing them as “entitled” or “disengaged” Gen Z’s priorities are remarkably pragmatic.

Better work‑life balance — and flexibility that makes sense

The pandemic changed many of the rules around working. Research consistently shows that flexibility matters to this age group. As reported in BusinessWire (source only available in English),

Half of Gen Z (52%) workers prefer a hybrid environment

The study cited in the article also found that Gen Z favours a mostly in-office schedule with occasional remote days (44%) over mostly remote with occasional in-office days (34%).

Bottom line: they’re asking for balance, clarity and some autonomy about how and where work gets done.

Alignment with company values

Values aren’t “nice to have” for Gen Z—they’re part of the employment equation.

According to Deloitte’s Gen Z and Millennial Survey (source only available in English), 86% of Gen Z say that having a sense of purpose is important to their job satisfaction. And large shares say they have turned down employers or assignments that did not align with their values.

Environmental sustainability, ethical technology use (including gen AI) and social equity consistently rank at the top. Many Gen Z workers actively research employers’ ESG commitments and are willing to change jobs or industries to align with their values.

Diversity, equity and belonging matter just as much. Gen Z wants to connect with companies that value them — and are willing to demonstrate that commitment in tangible ways. This is especially important given the high levels of stress this generation reports. Our Global Talent Barometer finds that Gen Z men have the highest stress levels among all genders and age groups, with 60% reporting high daily stress. Viewing this as a problem to be solved, they’re proactive about seeking well-being support.

Research by GreenShield found that

63% of 18-24 year-olds would leave their current job for more comprehensive mental health benefits.

A clear path for advancement

Gen Z is deeply invested in growth.

According to Deloitte’s 2025 survey (source only available in English), more than 7 in 10 Gen Zers say that they’re developing skills to advance their careers at least once a week. And they list learning and development as one of the top three reasons why they would choose an employer (just behind work/life balance and opportunities to progress).

Development isn’t optional for this generation. It’s foundational.

What Can Employers Do to Get Gen Z in the Workforce?

Focus on well‑being and ESG

• Offer real support. Mental health resources, benefits and mental health days matter — and they directly affect performance, engagement and retention.
• Build community. Employee or business resource groups foster belonging and support DEI goals.
• Encourage mentoring. Pairing younger employees with experienced workers strengthens knowledge transfer and career development on both sides.
• Listen continuously. Start with a company-wide well‑being survey and track progress over time.
• Take ESG seriously. Strong ESG performance attracts Gen Z talent—and resonates with investors and customers alike.

Don’t over‑rely on college as a gatekeeper

• Shift to skills‑based hiring. Leading employers (Google, IBM, Delta Airlines to name a few) are moving away from blanket degree requirements in favour of demonstrated capabilities.
• Expand early‑career pathways. Apprenticeships, internships and earn‑and‑learn models help rebuild the entry‑level pipeline.
• Support multiple education routes. Not all high‑potential talent follows a four‑year degree path—and Gen Z knows it.

Solving the Talent Shortage with Gen Z

Gen Z is navigating a labour market that changed faster than its systems.

Many are struggling to land the jobs they trained for. Others are rethinking college altogether to avoid long‑term debt without guaranteed outcomes. What they’re asking for — clarity, development, flexibility, and purpose — isn’t radical. It’s realistic.

For employers, professional development is the single strongest way to bring Gen Z into the workforce and keep them engaged for the long term. This can include any combination of upskilling, reskilling, mentoring, career pathing and education benefits.

That’s not just good for Gen Z. It’s essential for closing the talent gap ahead.

How Manpower Can Help

Manpower helps employers redesign early‑career pathways: connecting talent with meaningful work, providing access to skills development and building workforce strategies that expand opportunity while meeting business needs. By combining skills‑based hiring, targeted training and ongoing support, Manpower helps organizations unlock Gen Z’s potential — and turn today’s talent paradox into tomorrow’s advantage.

Let us help you.