As the federal government reduces its workforce and private sector companies cut budgets and headcount, retaining Gen Z talent has emerged as a critical strategy for future-proofing your organization. Gen Z organizational loyalty, which stands out from other generations, offers a timely opportunity for employers to secure the talent necessary to thrive in a competitive marketplace.
New research from Eagle Hill’s Employee Retention Index reveals that Gen Z has the potential to be the most loyal cohort in today’s workforce. In the first quarter of 2025, Gen Z workers achieved a record-breaking retention score of 112, outpacing Baby Boomers (102.6), Gen X (100.8), and Millennials (99.9). This marks the highest retention score recorded since the index began tracking employee loyalty in 2023.
Employers that capitalize on this loyalty surge could gain access to a workforce that is tech-savvy, adaptable, brimming with fresh ideas, and eager to grow our careers. We’re also the generation most eager to embrace in-person work, a quality that is pivotal in fostering collaboration and driving innovation. Gen Z’s digital prowess and fresh perspectives are high-value in today’s innovation-driven economy, uniquely positioning Gen Z to power organizations into the future.
Organizations that prioritize in-person connection and tailored development opportunities will be best positioned to harness Gen Z’s loyalty and propel their workforces into the next era of success. By providing tools for career growth, employers will be more likely to retain Gen Z talent and reap the business benefits of my generation’s creativity and tech savviness.
1. View hybrid work as a Gen Z retention tool, not an afterthought
Like many of my Gen Z peers, I took my first post-graduate job at the height of the pandemic. I pictured collaborative office brainstorms and after-work happy hours, but instead, I found myself working alone at my home desk.
On one particularly disheartening video call, I pitched an idea to a screen of muted faces. When I heard nothing in response, I figured the idea hadn’t landed. In reality, the call had frozen, but by the time we were back online, the momentum had passed, and focus had shifted to the next agenda item.
Trying to build a career remotely felt like trying to pitch an important idea with a bad signal. Just as I was about to hit my professional stride, the connection cut out, and I was left wondering if there was any path upwards.
While we’re viewed as the digital generation that thrives behind a screen, the data tells a more nuanced story. Gen Z is actually more amenable to office work than older generations. Eagle Hill’s 2024 Workplace Flexibility Survey reveals that 56% of Gen Z employees prefer working in an office over being exclusively remote, compared to 51% of Millennials, and 55% of Gen Xers.
In-person connection leads to growth opportunities that are vital in a young person’s career. Eagle Hill research shows that 57% of Gen Z workers believe in-person employees are more likely to succeed in their roles compared to those who work remotely. We’re anxious to build the skills and professional networks that pave the way for increased responsibility, but that requires forging relationships with coworkers and clients, and working collaboratively to hone skills and gain visibility.
Organizations that want to retain Gen Z talent must be intentional about creating in-person pathways for us to accomplish these important milestones. Instead of removing connection from the workplace, employers would be wise to invest in in-person tools that spur professional growth and make us want to stay put.
2. Provide structure for growth
Providing office space is just one piece of the puzzle. It’s up to employers to structure in-person schedules in a way that can yield the growth opportunities that keep Gen Z invested in our work.
For instance, encouraging employees to pack in-person days with high-value brainstorms, meetings, and feedback sessions can foster the professional development that excites my generation.
Eagle Hill’s Workplace Flexibility Survey highlights the activities Gen Z feels are best suited for in-person work:
- Kicking off new projects (69%)
- Giving/receiving feedback (65%)
- Meetings (63%)
- Brainstorming (50%)
While we don’t expect to grab coffee with the CEO, providing some access to leadership, whether through office hours, leadership roundtables, or rotating project teams, can offer exposure to executive thinking and help younger employees feel connected to our organizations.
3. Invest in network-building, not just individual growth
There is no doubt that planned developmental time is vital to Gen Z retention strategies, but quality time like team lunches, post-work trivia sessions, and coffee runs are equally important to younger employees.
In “Rituals Roadmap,” workplace strategist Erica Keswin says that team rituals can build stronger team connections. A weekly team lunch, for instance, can foster camaraderie and trust through informal conversation.
Strong workplace relationships have the ability to help us communicate clearly and solve problems on difficult projects, help us navigate office dynamics, and give us a reason to stick around when another job offer hits. Data shows that positive social connections at work improve worker wellbeing, protecting against the harmful effects of workplace stress.
Workplace relationships may seem nonessential when it comes to job satisfaction, but in reality, strong social ties help form the trust and loyalty that make an organization feel like home.
Bottom line
Many of us Gen Z’ers spent the first few years of our careers feeling siloed from opportunity in our digital bubbles. We were cut off from mentorship, professional networks, and organic connection. Now, the tide is turning. We’re more optimistic about our workplaces than ever before.
Employers have a once-in-a-generation opportunity to capitalize on that optimism and secure the loyalty of a tech-savvy, creative, and driven generation. Retaining Gen Z is about future-proofing your organization with the innovative ideas, adaptability, and dedication we bring to the table.
By fostering meaningful in-person connections, structuring growth opportunities, and investing in strong professional networks, companies can help Gen Z unleash our growth potential where we are. When workplaces prioritize our development and success, we’ll repay that investment with loyalty, energy, and innovation to propel the organization forward.
