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‘What’s age got to do with it?’ HRpulse Sponsor RESEARCH REPORT

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Page 1: RESEARCH REPORT - ahri.com.au · Research Report 3 page Which generation do you prefer to manage? When the total sample group were asked which generation they would prefer to have

‘What’s age got to do with it?’

HRpulse Sponsor

RESEARCH REPORT

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ForewordThe significance of the role of different generations in the Australian labour market has macro and micro implications.

At the macro level, the large cohort of workers born just after World War II are now beginning to leave the workforce and that has repercussions for the national economy. The issue is particularly a matter of concern in a booming resources economy that is beginning to feel the impact of labour and skill shortages while at the same time a large part of the workforce is beginning to retire.

That said, even though baby boomers are leaving in greater numbers, many are also choosing to remain in the workforce.

This survey was conducted at a micro level and looked largely at micro questions.

It has been observed for some time that the significance of age differences can be too readily over-rated in workplaces and the issue over-stated.

The findings of this study tend to give cautious support to the view that there are more significant differences among people in the workplace than age, though the findings also lend weight to the view that differences ascribed to generational difference are being ignored and business can’t afford that neglect to continue.

Despite signs that respondents are reluctant to subscribe to age stereotypes, the findings suggest that many of them think that age differences in the workplace do not get sufficient management attention and that it is the cause of conflict that contributes to failures of performance.

The question of business leadership looms large as a consequence of the findings from this HRpulse study and HR practitioners are once again challenged to exercise influence and find solutions.

Peter Wilson AMNational President, AHRI

During February 2008, the Australian Human Resources Institute surveyed its membership base for the purposes of conducting another in the series of AHRI’s quarterly HRpulse studies. The survey in this case was designed to explore members’ perspectives on generational attitudes in the workplace. It sought both their personal and their professional views on the subject, as objective professional observers on the one hand and subjective employees belonging to one of the generational groups on the other.

More than 1000 AHRI members responded to the survey and I am delighted to commend this document to you as a research report on the findings.

Serge SardoChief Executive Officer, AHRI

AcknowledgementsProject director: Serge SardoResearch coordinator: Anne-Marie DolanReport authors: Serge Sardo, Paul Begley

Volume 2, Number 2© Australian Human Resources Institute 2008

CONTENTS

Key findings 1

General findings – all ages 2

Specific findings – Generation Y 6

Specific findings – Generation X 11

Specific findings – Baby Boomers 18

Conclusion 24

Action points & Case studies 26

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Research Report

Background The literature in the field of generational differences in the workplace often questions the extent to which real differences exist. Certainly there are differences in age between the main players in the contemporary workforce – commonly identified as baby boomers, generation X and generation Y – but differences in age that lead to conflict and loss of productivity and performance, are often claimed to be over-blown and that there are arguably more similarities than differences among employees of different ages.

Jennifer J Deal from the US based Center for Creative Leadership conducted research that she published in her 2007 book Retiring the Generation Gap: How Employees Young & Old Can Find Common Ground. The book argued that there were far more similarities than differences among the generations. Even when age differences were acknowledged, a Hudson Global Human Resources study suggested that good leadership and management can both maximise the workplace benefits of those differences and minimise the potential for negative developments.

That said, in a recent takeaway comment on Randstad USA’s 2008 World of Work Survey of 3000 employees, Bnet’s Jessica Stillman reports that 71 per cent of gen Xers have little contact with the older generation of workers and that 51 per cent of baby boomers and 66 per cent of their more mature colleagues (born before 1944) have limited interaction with gen Yers.

Stillman also makes the provocative point that rather then setting high workplace expectations, narcissistic gen Y employees set the bar low. She adds that unless situations are created that encourage the generations to talk to each other, the essential knowledge of retiring boomers will be lost and gen Y’s workplace expectations will remain out of tune with reality.

Against this sort of background, AHRI surveyed its Australian member database.

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KEY FINDINGS

DemographicsThe survey attracted a response rate of 1060 individuals from the Australian Human Resources Institute (AHRI) database over a two week period in February 2008, 85 per cent of whom held HR positions in their organisation (see Figure 1).

Figure 1: Job roles

Approximately half the respondents had worked for their organisation for between 1-5 years, 14 per cent between 6-10 years, 8 per cent between 11-20 years, and 14 per cent for less than a year. More than 60 per cent of respondents expect to remain with their employer for between 1-5 years, 20 per cent for up to the next 10 years, and nearly one in five (18 per cent) anticipate leaving the organisation with the next 12 months.

Respondents were contacted by email and completed the survey online.

The respondent breakdown in terms of generations is set out in Figure 2. Approximately 40 per cent of respondents are generation X (born between 1965-79) and 43 per cent are baby boomers (born between 1945-64). By comparison generation Y (born between1980-93) represents a minority of 15 per cent. Only 2 per cent of respondents were born earlier than 1944.

Figure 2: Generations

Seventy-two per cent of respondents are female and 28 per cent male. Two out of three respondents work within HR departments (67 per cent), nearly one in ten (9 per cent) in senior management, 6 per cent in general management, 4 per cent in administration and 8 per cent in other business units. Marketing, legal and finance departments represent less than 2 per cent each.

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GENERAL FINDINGS – ALL AGES

Which generation do you prefer to work with?Nearly half the total number of respondents (49 per cent) express no preference for working with any generational group in the workplace, while 30 per cent prefer to work with generation X, 12 per cent with baby boomers and 9 per cent with generation Y (see Figure 3).

Figure 3: Which generation of people do you prefer to work with?

Which generation do you prefer to work for?On the question of which generation respondents prefer to work for, 41 per cent express no preference, while 30 per cent express a preference for reporting to baby boomers suggesting there is a significantly stronger preference for reporting to baby boomers than working alongside them. By comparison the total respondent preference for reporting to generation X (25 per cent) is similar to the preference for working alongside them (30 per cent). A mere 2 per cent express a preference for reporting to generation Y (see Figure 4).

Figure 4: Which generation do you prefer to work for?

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Which generation do you prefer to manage?When the total sample group were asked which generation they would prefer to have report to them, 50 per cent expressed no preference, around a quarter (26 per cent) preferred to manage generation X, 15 per cent generation Y and a mere 7 per cent the baby boomers (see Figure 5).

Figure 5: Which generation would you prefer to manage?

Are there inter-generational conflicts that impact on performance?On the workplace impact of generational differences, the sample was asked whether they thought generational conflict affected performance. Nearly half (49 per cent) answered ‘yes’ to that question, 41 percent ‘no’ and 10 per cent were not sure (see Figure 6).

Figure 6: Do you think there are inter-generational conflicts in your organisation which impact on performance?

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Inter-generational issues and managementNearly half the respondents (48 per cent) do not believe management discusses generational differences in the workplace, more than one in three believe the issue is discussed at management level and 16 per cent are not sure (see Figure 7).

Figure 7: Are inter-generational conflicts discussed at management level within your organisation?

Inter-generational issues and HRNearly three out of four respondents (71 per cent) believe that HR or the organisation should have strategies in place to manage different generations in the workplace, with 17 per cent believing strategies are not needed and 13 per cent are not sure (see Figure 8).

Figure 8. Are HR strategies needed to manage different generations in the workplace?

Perhaps a reflection of the level of management interest is revealed in the degree to which HR teams among the sample promote awareness of generational differences in their workplaces, with 68 per cent saying the team does not, 28 per cent saying HR does promote the issue and 5 per cent being unsure (see Figure 9).

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Figure 9: Does the HR team promote awareness of inter-generational differences in the organisation?

Not surprisingly, nearly three quarters of respondents (73 per cent) say their organisation has no specific HR strategies in operation to manage different generations in the workplace while fewer than one in five (18 per cent) have a strategy (see Figure 10).

Figure 10: Does your organisation have any specific HR strategies in place to better manage different generations in the workplace?

Table 1 shows that of the 186 respondents who made up the 18 per cent of organisations with HR strategies in place, 130 mentioned retention, 129 attraction and recruitment, 126 work/life balance and 108 leaning and development. Other HR areas with more than 70 mentions were paid and unpaid leave (91), succession planning (89) and performance management (75).

Table 1: Which areas do the strategies address?

(185 Responses)

Option Count Percent

Health and safety 48 25.9

Paid and unpaid leave 91 49.2

Attraction and recruitment 129 69.7

Retention 130 70.3

Succession planning 89 48.1

Learning and development 108 58.4

Performance management 75 40.5

Remuneration and rewards 65 35.1

Technology 26 14.1

Work/life balance 126 68.1

Other areas (please specify) 11 5.9

Total: 898 100.0

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SpEcIFIc FINDINGS – GENERAtIoN YWhich generation do you identify with?Of the 160 respondents in the generation Y age group, 135 (84 per cent) work in HR roles and 133 (86 per cent) are female.

In answering a question about which generation these respondents most identify with, more than one in five (22 per cent) admitted identifying with generation X.

Reasons offered include the following “Loyalty to company, whilst I am on the cusp of generation Y, I do not think I relate to this category.”

“I am classified as gen Y by age, and I do demonstrate some classic characteristics of this generation – ambition, career focus, travel, etc. However I also identify with elements of gen X – loyalty, hard work, long hours, etc.”

“I feel my values are more closely aligned to gen X.”

“I am young but I have a child and a mortgage and a lot of career aspirations. this kind of throws me into the gen X category even though ‘theoretically’ because of my age I am supposed to be in the gen Y zone.”

Which generation do you prefer to work with?Less than half of the generation Y respondents (43 per cent) express no preference about the age group with whom they work. However, 27 per cent prefer to work with generation X rather than their own generation, 18 per cent with other gen Ys, and 11 per cent express a preference for working with baby boomers.

Reasons offered include the following:“I don’t have a preference. However, I do find working with gen Y can be frustrating because they have such high expectations of management and also seem to have inflated self worth. I administered the Graduate Development program for our organisation and found they want to run before they can walk.”

“I find gen X to be more focused than gen Y but more flexible and understanding than baby boomers.”

“there is an understanding of one another that is common amongst both sexes. the baby boomers have different values to ours as do the X generation. My generation, generation Y, are happy to put in hours, work hard to see a decent result at the end of the day.”

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Figure 11: Gen Y – which generation do you prefer to work with?

Which generation do you prefer to work for?The proportion of generation Y respondents who express no preference about the age group they report to (42 per cent) is much the same as the proportion who express no preference on whom they work with. However, 23 per cent prefer reporting to baby boomers and 28 per cent to generation X. A mere 7 per cent prefer reporting to their own generation Y (see Figure 12).

Reasons offered include the following:“I don’t think that it matters what generation they are from, as long as they are well educated and good leaders.”

“I prefer working for baby boomers as there seems to be more freedom with creativity and general independence. Although generation X tends to ignite a higher amount of competitiveness for me, as a result I would produce better results but experience higher levels of stress.”

“It’s not so much an age group that I look for in a manager. I like to work under people who are successful, purpose driven and give me clear goals and advice”

“I have been under the supervision of baby boomers and generation X. I find baby boomers to be more nurturing and willing to give on-the-job training, while generation X has tended to be less helpful and more paranoid over my generation’s ability, as previous literature suggests, generation X are very wary of generation Y and their opportunities.”

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Figure 12: Gen Y – which generation do you prefer to work for?

Which generation do you prefer to manage?Nearly half of the generation Y sample (48 per cent) express no preference in the age group they manage, though nearly one in four prefer to manage their own generation, with 16 per cent preferring generation X and a mere 6 per cent prefer baby boomers, about the same number who prefer managing generation Z (see Figure 13).

Reasons offered include the following:“currently not interested in people management but would prefer a team of energised generation Ys.”

“Managing someone younger than me would be preferable.”

“I would prefer to manage passionate, talented and committed individuals, no matter what their age.”

“Just not Ys (they’re lazy)”

Figure 13: Gen Y – which generation would you prefer to manage?

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Are there inter-generational conflicts that impact on performance?On the question of whether the generation Y sample thought inter-generational conflict affects performance, nearly half (49 per cent) answer ‘yes’, 38 percent ‘no’ and 13 per cent are not sure (see Figure 14).

Figure 14: Gen Y – do you think there are inter-generational conflicts in your organisation which impact on performance?

Inter-generational issues and managementNearly half (41 per cent) of the generation Y sample think management does not discuss generational differences in the workplace, while one in three (33 per cent) believe the issue is discussed, with 26 per cent are unsure whether management discusses the issue or not (see Figure 15).

Figure 15: Gen Y – are inter-generational conflicts discussed at management level within your organisation?

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Inter-generational issues and HRNearly three out of four generation Y respondents (73 per cent) believe that HR or the organisation should have strategies in place to manage inter-generational difference in the workplace, with 13 per cent believing that’s not needed and 15 per cent not sure (see Figure 16). These are similar to the general numbers on this question, indicating a strong belief that the issue is under-rated by organisations.

Figure 16: Gen Y – are HR strategies needed to manage different generations in the workplace?

Not surprisingly, 73 per cent of this sample group also say that HR does not promote the issue, suggesting that HR needs management permission to do so, which is not forthcoming. Fewer than one in five of this sample group (17 per cent) see HR promoting the issue while 11 per cent are unsure whether it’s promoted or not in their organisation (see Figure 17)

Figure 17: Gen Y – does the HR team promote awareness of inter-generational differences in the organisation?

Similarly, nearly two out of three generation Y respondents (65 per cent) say their organisation has no specific HR strategies in operation to manage different generations in the workplace while fewer than one in five (19 per cent) have a strategy (see Figure 18).

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Figure 18: Gen Y – does your organisation have any specific HR strategies in place to better manage different generations in the workplace?

Table 2 shows that, of the small number of generation Y respondents who noticed relevant strategies in place, most mentioned were retention, attraction and recruitment, work/life balance and succession planning.

Table 2: Gen Y – which areas do the strategies address?

(30 Responses)

Option Count Percent

Health and safety 7 23.3

Paid and unpaid leave 11 36.7

Attraction and recruitment 24 80.0

Retention 23 76.7

Succession planning 22 73.3

Learning and development 17 56.7

Performance management 12 40.0

Remuneration and rewards 16 53.3

Technology 4 13.3

Work/life balance 20 66.7

Other areas (please specify) 1 3.3

Total: 157 100.0

SpEcIFIc FINDINGS – GENERAtIoN XOf the 428 respondents in the generation X age group, 379 (89 per cent) work in HR roles and 333 (80 per cent) are female.

Which generation do you identify with?In answering a question about which generation these respondents most identify with, the great majority (83 per cent) identify clearly with generation X, and very few with the other generations.

There are instances of sober-minded, pragmatic and hard-done-by feelings among many of the comments from this sample when offering reasons why they identify the way they do.

“Because this generation missed out on the benefits the baby boomers got and that generation Y is inheriting.”

“prepared to work hard and work together as a team.”

“I am not as interested or as savvy with new technologies as the Y generation. I am also quite loyal with employers.”

“Hard working; know what it is to have to find a job in a recession; haven’t had the same ‘red carpet ride’ that baby boomers & Ys have had.”

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“I want to get somewhere but I don’t think that the world owes me a living.”“I am pre generation It savvy!”

“I believe in working your way up – not running the company tomorrow.”

“I work for a promotion rather than expect it straight away.”

“prosperous and not used to going without. Ambitious but not expecting instant gratification (take for granted that getting ahead requires time and effort and willing to devote that). tech-savvy but remember what it was like in the days before everyone had a computer.”

“Multiple careers; multiple employers.”

Which generation do you prefer to work with?Less than half of the generation X respondents (41 per cent) express no preference about the age group with whom they work. However, 40 per cent prefer working with their own generation, 12 per cent with baby boomers and 7 per cent with generation Y.

Reasons offered include the following:“people of similar age who have enough maturity to get things done yet are not too old to be tied to old ways of thinking.”

“Boomers are crazy and enterprising; Xs are optimistic and innovative; Ys are selfish and progressive. I didn’t know Zs had been born yet.”

“Diversity is good.”

“Because gen Xs realise the way to get further career wise is to work hard and adapt.”

“I feel more equal with fellow generation Xs and better able to contribute without feeling that I don’t have the experience of others.”

“It’s a generalisation, but gen Ys that I have worked with seem to approach things from a ‘what’s in it for me’ position.”

“prefer baby boomers and some gen X. Stable and dependable but also flexible. Gen Y often not committed to the workplace.”

“No real preference.”

“At least I know baby boomers will die soon and promotional opportunities that have been blocked for decades will become available. only problem is those annoying gen Ys won’t ever appreciate how hard it was waiting for the baby boomers to get out of their way!”

“possibly baby boomers or generation X; they don’t expect things to ‘come to them’ (less spoilt than generation Yers).”

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“Gen Y colleagues – find their fresh approach and ‘can do’ attitude helpful. Although my experience may be limited in this area ... baby boomers tend to have a more solid approach to process and decision making but can be somewhat control freaks sometimes and want to build their own empire. “

“It’s not the generation but the person I focus on.”

Figure 19: Gen X – which generation do you prefer to work with?

Which generation do you prefer to work for?The answers to this question fall into three distinct groups. A little more than a third (36 per cent) of generation X respondents prefer to report to other generation Xs and another third express no preference (34 per cent) while 25 per cent prefer to report to baby boomers (see Figure 20).

Reasons offered include the following:“they’re my generation and we’re on the same wavelength.”

“think this depends on the manager and not the generation they are part of. I have had managers from various generations but it is personal attributes that make me want to work for them.”

“they (gen Xs) recognise your abilities without preconceived notions of years of experience needed to contribute value to decision making. they don’t passjudgment on your age, as many baby boomers will.”

“No age preference. Main thing is that the people I work for are comfortable with their ability and do not feel threatened by people who have ideas and want to take initiative and greater responsibility.”

“ I think gen X are able to bring a balance of understanding to management of the workplace. Generally they represent a management technique that embraces technology and technological solutions to workplace issues better than previous generations. Gen X has also witnessed firsthand the significant shift in workplace management from ‘command and control’ of a significant number of permanent staff, to remote management of contractor teams. this positions them best to be able to manage a workplace that straddles 4 generations with the ‘wisdom’ of the past and enough vision to see where it might go.”

“More about personality, work ethic etc than generation.”“Experience beats enthusiasm and qualification every time. Gen Yers think they know it all and don’t value the mentoring role of baby boomers. this arrogance makes them

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foolish. Baby boomers may be jaded and occasionally lazy... but they do hold many lessons on life’s challenges.”

“I get along with everyone.”

Figure 20: Gen X – which generation do you prefer to work for?

Which generation do you prefer to manage?More than one in three (35 per cent) of generation X respondents express a preference for managing their own generation, 15 per cent prefer generation Y and only 6 per cent prefer to manage baby boomers. Less than half of the generation X sample (42 per cent) express no preference in whom they manage (see Figure 21).

Reasons offered include the following:“currently manage a team of Gen Y and although can be challenging, they generally are enthusiastic and keen to learn.”

“people are people – age is just one of the facets that make up a person.”

“A combination of them all. I see the value in what each person brings to the table. I think you need a combination of generations to work well together and create an environment that thrives on experiences from all generations.”

“Always wanting to grow and develop and find the next fantastic step to take in their career. Gen Y will really test your skills as a team leader.”

“Boomers and X – I understand them better.”

“Gen X will challenge if they can see an alternative, but will do it in a more constructive way ... whereas Gen Y can sometimes just not do things if they don’t agree and don’t care about the consequences .... baby boomers tend not to like too much change.”

“Greater stickability and less focused on their own work/life balance requirements.”

“I don’t have a preference, as I believe a good mix allows a team to be more flexible and better able to cover all the bases – provided it’s well managed.”

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Figure 21: Gen X – which generation would you prefer to manage?

Are there inter-generational conflicts that impact on performance?On the question of whether the generation X sample think inter-generational conflict affects performance, considerably more than half (57 per cent) answer ‘yes’, 34 per cent ‘no’ and 9 per cent are not sure (see Figure 22).

Generation X are considerably more certain than the other generations of the answer to this question, with a low ‘not sure’ response and the highest proportion of ‘yes’ answers.

Figure 22: Gen X – do you think there are inter-generational conflicts in your organisation which impact on performance?

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Inter-generational issues and managementGeneration X are more certain of the view than their generation Y counterparts that management does not discuss generational differences in the workplace, with 48 per cent of the sample taking that view, and only 14 per cent being unsure. More than one in three (37 per cent) believe management discusses the issue (see Figure 23).

Figure 23: Gen X – are inter-generational conflicts discussed at management level within your organisation?

Inter-generational issues and HRNearly three out of four generation X respondents (72 per cent) believe that HR or the organisation should have strategies in place to manage inter-generational difference in the workplace, with 15 per cent believing they are not needed and 12 per cent not sure (see Figure 24). These figures are similar to the generation Y view on this question, and further support the view that the issue is under-rated by organisations.

Figure 24: Gen X – are HR strategies needed to manage different generations in the workplace?

According to the generation X sample, 67 per cent say that HR does not promote the issue, again supporting the view that HR will not act on the issue without management permission. Nearly a third of this sample group (31 per cent) have observed HR promoting the issue while only 2 per cent are unsure (see Figure 25).

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Figure 25: Gen X – does the HR team promote awareness of inter-generational differences in the organisation?

Consistent with the above, more than three out of four generation X respondents (76 per cent) say their organisation has no specific HR strategies in operation to manage inter-generational difference in the workplace while fewer than one in five (16 per cent) have observed a strategy in operation (see Figure 26).

Figure 26: Gen X – does your organisation have any specific HR strategies in place to better manage different generations in the workplace?

Table 3 shows that, of the 69 generation X respondents who have noticed relevant strategies in place, most mentioned were work/life balance (49 respondents), retention (47), attraction and recruitment (43), and learning and development (40). Only 29 mentioned succession planning.

Table 3: Gen X – which areas do the strategies address?

(69 Responses)

Option Count Percent

Health and safety 15 21.7

Paid and unpaid leave 32 46.4

Attraction and recruitment 43 62.3

Retention 47 68.1

Succession planning 29 42.0

Learning and development 40 58.0

Performance management 27 39.1

Remuneration and rewards 24 34.8

Technology 7 10.1

Work/life balance 49 71.0

Other areas (please specify) 3 4.3

Total: 316 100.0

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SpEcIFIc FINDINGS – BABY BooMERSOf the 458 respondents in the baby boomer age group, 370 (81 per cent) work in HR roles and 270 (61 per cent) are female.

The proportion of male respondents is markedly higher among baby boomers (39 per cent) than in the

generation X (20 per cent) and generation Y (14 per cent) sample groups.

Which generation do you identify with?In answering a question about which generation the baby boomer respondents most identify with, more than one in five (21 per cent) admit identifying with generation X. However, two out of three (66 per cent) identify with their own generation, and 10 per cent identify with no particular generational group.

Reasons offered include the following “Work ethic, music, friends.”

“While I have 5 siblings and was born in 1964, I identify more with the technical advancement boom and tech-friendly period of the gen Xers.”

“Spend most time with people from this age group.”

“It is my generation but I do not conform to all the stereotyping.”

“I exhibit the stereotypical traits.”

“My generation is characterised by its high birth capability that will lead to meeting the requirements of the workplace as well as social life.”

“they are all buzz words.”

“I identify with all generations. I have to work with each and have three gen Y children.”

“that is the category that all the experts tell me I belong to due to my year of birth.”

“to the extent that I identify with any generation, because I experienced the sixties … and all that it entailed. My own career history, though, is more akin to the stereotypical X generation, with short tenures and major career leaps across both geography and professional scope.”

Which generation do you prefer to work with?Well over half of the baby boomer respondents (57 per cent) express no preference about the age group with whom they work, and only 13 per cent express a preference for working with other baby boomers. A little more than one in five (21 per cent) prefer working with generation X and 7 per cent with generation Y.

The response to this question from the baby boomers is very different from the generation X sample, 40 per cent of whom prefer working with their own generation, and is closer to generation Y, 18 per cent of whom prefer to work with their own age group. At 57 per cent, it is also the largest proportion of the sample groups expressing no preference.

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Reasons offered include the following:“All bring strengths and weaknesses. the person is the real criterion.”

“Anyone who is a good team player regardless of age.”

“Each generation has something to offer and you have to be open to sharing both your ideas and theirs.”

“Either gen X or gen Y really. I find that a lot of people in my age group tend to be way to judgemental for my liking.”

“Have no preference, but find gen X and BBs to be similar (probably an age thing).”

“I find it’s more about the individual than an age issue. Most of our staff are gen Y and they are very enthusiastic and committed – great people to work with.”

“I like to work with gen X. Many share the same values and work ethic.”

“I welcome the differences.”

“I like a mixture of ideas and to keep in touch with what’s going on in the world – for all age groups.”

Figure 27: Baby boomers – which generation do you prefer to work with?

Which generation do you prefer to work for?While only around one in ten baby boomers (13 per cent) prefer to work with other baby boomers, more than one in three (37 per cent) prefer to report to baby boomers, the starkest contrast among the sample groups. And while only a few more than one in ten (13 per cent) prefer to work for generation X bosses, one in five (21 per cent) are happier working with gen Xers. The ‘no preference’ score to this question of who they report to is considerably lower at 47 per cent than the 57 per cent ‘no preference’ score on the matter of who they prefer to work with.

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Reasons offered include the following:“If someone has the necessary skills and abilities to warrant being in a senior role to me then age is insignificant.”

“BBs are less threatened by an individual’s ideas than a lot of gen Xers I have worked for.”

“BBs are more likely to understand and appreciate that I can still add value to the business, despite my age. Less likely to keep asking ‘When are you retiring?’ ”

“I like to know my boss is on the same page.”

“No preference. I am happy to work with people from any generation as long as they know what they are doing.”

“I think generation Yers are a bit inexperienced yet to work for. Generation X are now the go. they are hard working, up to date, well qualified and a good balance between BBs and gen Y.”

“I prefer (but it depends) my boss to be a bit older than me.”

“I have limited experience of being managed by other than baby boomers. My only gen X manager lacked experience and sensitivity, possibly an individual rather than a generational thing, but it’s the only experience I have.”

“It’s not the age of the person but the leadership qualities and the genuine product knowledge that matters.”

“Not sure, but baby boomers expect 12+ hour days rather then working smart – I agree more with the gen X and Y philosophies.”

Figure 28: Baby boomers – which generation do you prefer to work for?

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Which generation do you prefer to manage?Considerably more then half the baby boomer sample (58 per cent) again express no preference on this question, while more than one in five (22 per cent) prefer to manage generation X, and one in 10 (12 per cent) generation Y (see Figure 29).

Reasons offered include the following:

“these guys are the most adaptable – and they’re technically savvy so you can learn from them too.”

“Not sure I understand Y and Z well enough. Xers and baby boomers are more predictable.”

“I have managed all groups and am happy with any.”

“Usually gen X is open to mentoring without arrogance.”

“people are people. You can have sociopaths at any age. As long as I am aware of their traits I can mange them.”

“I was 22 when first put in charge of a number of people who had been with the company most of their working lives; it was difficult but I learned from the experience … mutual respect goes a long way in the workforce”.

“It is beneficial to any business to have a broad range of generations in the workforce and I feel comfortable managing all generations.”

Figure 29: Baby boomers – which generation would you prefer to manage?

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Are there inter-generational conflicts that impact on performance?

Nearly half of the baby boomer sample (47 per cent) answered ‘no’ to this question, though 41 per cent also answered ‘yes’, a roughly even divide (see Figure 30).

Figure 30: Baby boomers – do you think there are inter-generational conflicts in your organisation which impact on performance?

Inter-generational issues and managementHalf (50 per cent) of the baby boomer sample thought management does not discuss generational differences in the workplace, while more than one in three (36 per cent) believe the issue is discussed (see Figure 31).

Figure 31: Baby boomers – are inter-generational conflicts discussed at management level within your organisation?

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Inter-generational issues and HRMore than two out of three baby boomer respondents (68 per cent) believe that HR or the organisation should have strategies in place to manage inter-generational difference in the workplace, with 19 per cent believing that’s not needed and 12 per cent not sure (see Figure 32). Though not quite as strong as the generation X or Y views on this question, these figures support the view that the issue is under-rated by organisations.

Figure 32: Baby boomers – are HR strategies needed to manage different generations in the workplace?

According to the baby boomer sample, 67 per cent say that HR does not promote the issue, again supporting the view that HR needs management permission which is not forthcoming. A little more than a quarter of this sample group (28 per cent) see HR promoting the issue while only 5 per cent are unsure (see Figure 33).

Figure 33: Baby boomers – does the HR team promote awareness of inter-generational differences in the organisation?

Consistent with the above, nearly three out of four baby boomer respondents (73 per cent) say their organisation has no specific HR strategies in operation to manage inter-generational difference in the workplace while fewer than one in five (18 per cent) are seen to have a strategy in place (see Figure 34).

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Figure 34: Baby boomers – does your organisation have any specific HR strategies in place to better manage different generations in the workplace?

Table 4 shows that of the 83 baby boomer respondents who noticed relevant strategies in place, most mentioned were attraction and recruitment (60 respondents), retention (58), work/life balance (55) and learning and development (49). Only 36 mentioned succession planning.

Table 4: Baby boomers – which areas do the strategies address?

(83 Responses)

Option Count Percent

Health and safety 25 30.1

Paid and unpaid leave 47 56.6

Attraction and recruitment 60 72.3

Retention 58 69.9

Succession planning 36 43.4

Learning and development 49 59.0

Performance management 33 39.8

Remuneration and rewards 23 27.7

Technology 14 16.9

Work/life balance 55 66.3

Other areas (please specify) 7 8.4

Total: 407 100.0

coNcLUSIoNRESpoNDENt VIEWpoINtS: MAIN SIMILARItIESthe ‘no preference’ optionThe most marked similarity among respondents to this HRPulse survey was the reluctance from all generational groups to express preferences based on age. The ‘no preference’ option to questions about generational preference scored around the 50 per cent mark.

While that usually meant the other half of respondents had strong preferences and seemed happy to express them, the findings of this survey suggest a widespread reluctance among each generational group to be drawn into stereotypes about their own or other age groups.

Consequently, among a large part of the sample there was a readiness to look at people on the basis of other things they brought to the workplace, such as knowledge, skills, insights, team work and different personality traits.

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Need for inter-generational workplace strategiesDespite the relatively large number of respondents who express no workplace preferences based on age, there is a strong call from the whole sample, and within each age group, for strategies to be initiated within organisations to manage inter-generational issues. The whole sample figure of 70 per cent on this question is reflected in the strong calls from both generation X (72 per cent) and Y (73 per cent), as well as 68 per cent of baby boomers and is consistent with the finding that nearly half (49%) of respondents believe that inter-generational conflict impacts on performance.

Respondent observations were equally consistent on the question of whether HR promoted inter-generational strategies or whether the organisation had any strategies on age difference in place. Consistently strong proportions of around 70 per cent of respondents answered that HR did not promote any strategies in the area.

With approximately half the respondents in most cases believing that management do not discuss the issue, there is some justification for the argument that management needs to take the lead. On the other hand, rather than wait for permission, HR may well be considered by many respondents to have a responsibility to exercise its influence and take the lead in advocating the merits of the case to management.

There was general unanimity from the small number of respondents who observed strategies in their organisations about the relevant strategies in place. The main ones mentioned were attraction and recruitment, retention, work/life balance and learning and development, with less agreement on paid and unpaid leave, and succession planning.

RESpoNDENt VIEWpoINtS: MAIN DIFFERENcES

DemographicsA notable difference in the gender breakdown of the survey demographic of respondents was that nearly three quarters (72 per cent) were female. A total of 82 per cent described themselves as working in HR (67 per cent), senior management (9 per cent) or general management (6 per cent).

Workplace age preferencesOne area of some difference appears in the comparative responses to the two questions “Which generation do you prefer to work with?” and “Which generation do you prefer to work for?”

Fewer respondents in total express a preference for who they work with (51 per cent) compared to who they report to (59 per cent).

For example, while only 11 per cent of the generation Y sample prefer working with baby boomers, 23 per cent of that sample prefer to report to baby boomers. Similarly, while only 12 per cent of generation X prefer working with baby boomers, 25 per cent want to report to them. In each case, more than double the numbers of these two sample groups were happy to report to a generation that they were not necessarily comfortable about working alongside as workplace peers.

While the baby boomers are the least choosy about the generation they work with – 57 per cent expressing no preference on the question and only 13 per cent preferring to work with other baby boomers – when it comes to the question of the generation they prefer to report to, only 47 per cent express no preference and 37 percent prefer reporting to other baby boomers.

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Identification with generational stereotypesOne of the questions sought responses on the generation with which respondents most closely identify, given what they understand about generational definitions.

While a majority in each group identify with their age group, there are differences in the extent of that identification, with 83 per cent of generation X and 77 per cent of generation Y identifying with their nominal group, but only 66 per cent of baby boomers doing so.

Perhaps unsurprisingly, 22 per cent of the generation X and 21 per cent of the baby boomer samples identify more with generation X than their own nominal generation. Comments suggest that is particularly the case around the cusp of the age boundaries.

ActIoN poINtS1. take a lead in influencing management to put issues to do with generational difference on the

business agenda.

2. Develop a business case to persuade management of the relevance of issues related to generational differences (could include data on succession planning, skill audits, baby boomer retirements, cost of gen Y turnover).

3. Influence management to create opportunities for the generations to communicate informally in the workplace.

cASE StUDIESThe following case studies are set out for the information of organisations that are looking for examples of ways to manage generational issues.

Recognising workplace age differences – St George BankSt. George has instituted a policy that enables the approval of grandparental leave and elder care leave for employees in the baby boomer generation who have grandchildren and/or ailing parents.

The bank also recognises employees who are new parents. They receive a letter and a $200 savings account on the arrival of a new child. This initiative recognises gen X and Y employees of the bank and assists in creating a climate that contributes to employee attraction and retention.

While these policies are worthwhile building blocks, St. George sees good leadership as the key to getting the best out of employees of all ages.

St. George Bank won AHRI’s 2007 Innovation Award for initiatives in phased retirement.

Engaging generation Y – McDonald’sFast food giant McDonald’s developed an e-People platform for the express purpose of appealing to its strong generation Y workforce. Called ‘me-time’, it is an end-to-end online solution enabling candidates to apply, be assessed, be selected and be inducted into an employee orientation program before they commence their first shift.

McDonald’s saw the solution as having the double benefits of reducing the time, money and resources needed to recruit and communicate with crew and to spend more time focusing on customer and restaurant operation.

The ‘me-time’ solution is part of McDonald’s employee branding program called ‘Your Hours, Your Money, Your Way’ that also targets those wishing to re-enter the workforce and are seeking flexible part-time to accommodate family commitments.

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Recruiting innovation - Socobell oEMSocobell is a small-to-medium enterprise that supplies plastic components to the Australian automotive industry.

The company operates 24 hours a day, seven days a week and has managed to maintain the calibre of its skilled and committed workforce by paying attention to employee engagement and, where necessary, recruiting the best candidates regardless of age.

The HR manager is in her 30s but has often recruited from the post-45 age group because she is looking for people who have the background to do the job and the attitude to fit in well. “If it happens that people in their 40s, 50s or 60s fit that bill, they are the ones we employ”.

Socobell also works at keeping all the high-performing employees it has, and for that reason works on convincing a number of older workers who would otherwise have left to stay on, including two key people in their late 60s and the 77-year-old chairman.

The company won an Australian Government 2005 Mature Age Employer Champion Award for practices in recruitment and retention without doing anything more than it would normally do to attract and retain talented workers, and that included showing no bias on the matter of age.

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Australian Human Resources Institute LimitedABN 44 120 687 149 Level 10, 601 Bourke Street Melbourne Victoria 3000 T (+613) 9918 9200 F (+613) 9918 9201www.ahri.com.au