Generation Z employees are leaving jobs at the highest rate of any generation, with 22 per cent quitting in the past 12 months and one in three planning to exit their current role within a year, according to a new report from Randstad Canada.
The findings, released Oct. 15, highlight a retention challenge for employers as Gen Z workers average just 1.1 years of tenure in their first five years of work. That compares to 1.8 years for millennials and 2.9 years for baby boomers.
The Gen Z Workplace Blueprint report draws on a survey of 11,250 workers globally, including 750 in Canada, and analysis of more than 126 million job postings worldwide.
Job mobility reflects unmet career ambitions
The frequent job changes reflect a search for career growth rather than instability, according to the report. Thirty-seven per cent of Gen Z workers said they always make decisions based on long-term career goals, while 49 per cent balance future ambitions with short-term needs such as salary and work-life balance.
Among Gen Z workers who left a role within a year, the main reasons were low pay (51 per cent), poor workplace culture (41 per cent) and lack of advancement opportunities (34 per cent).
When asked about retention incentives, 54 per cent cited better pay as the top reason to stay long term, followed by improved benefits (23 per cent) and more flexible working hours (23 per cent).
Confidence gap despite active job seeking
The survey found 41 per cent of Gen Z workers don’t feel confident they could find another job, creating tension with their high mobility rate. This anxiety exists despite many actively planning career moves.
Entry-level job opportunities have declined significantly, with global postings for roles requiring zero to two years of experience down 29 percentage points since January 2024. Technology sector postings dropped 35 per cent, logistics fell 25 per cent, and finance declined 24 per cent.
AI adoption outpaces formal training access
Gen Z workers are adopting artificial intelligence tools at high rates, with 75 per cent using AI to learn new skills, 55 per cent using it at work, and 50 per cent using it in job searches. However, 46 per cent worry about AI’s long-term impact on their careers.
Access to formal AI training varies significantly by gender and role type. Men (46 per cent) and white-collar workers (50 per cent) are more likely to receive AI training than women (38 per cent) or workers in operational roles (35 per cent).
Multiple income streams becoming common
In Canada, many Gen Z workers pursue additional income streams to gain experience and control over career growth. Only 45 per cent currently work a single full-time role, while one in four would prefer to combine full-time work with other opportunities.
Flexibility ranks as a top priority, with 48 per cent citing flexible hours and 39 per cent citing flexible location as key factors in their ideal job setup.
Employer recommendations
The report outlines several strategies for employers to improve Gen Z retention:
- Career development: Provide clear progression paths with regular feedback and recognition for growth
- Entry-level roles: Design early-career positions to build critical thinking, creativity and collaboration skills rather than focusing on routine tasks
- Learning opportunities: Offer practical, technology-focused training that includes AI skill development
- Equal access: Make AI and other learning opportunities available across all roles, closing gaps between genders and job types
- Workplace culture: Build environments that support flexibility, purpose and growth
The report suggests employers who treat Gen Z mobility as an asset rather than a problem can turn their ambition into a competitive advantage.
Randstad is a global talent company with 46,000 employees worldwide. The company works with clients to build workforces across multiple industries.
