Career Minimalism and AI: How Gen Z is Reshaping the Workforce

Gen Z is redefining work for the rest of us. Their career design includes a core job, a side hustle, and strict boundaries to maintain work-life balance. Because of the side hustles and need for work-life balance, Gen Zers no longer work the same way at their core jobs as other generations. 

This shift has been branded “Career Minimalism” by GlassDoor in a recently released report. The survey shows that 68% of Gen Z respondents are not pursuing management for the sake of it, but only for an increased paycheck or better title. They are not willing to put in what they view as unrecognized work and hours for the promise of becoming managers. 

Part of this is in response to an uncertain labor market for white-collar workers due to the economy and inundation of AI. This shift isn’t just happening for Gen Z, but they are only beginning their careers, which means they must design a career path that keeps them stable through a potential loss of their full-time white-collar job, embracing AI, and working side hustles. Gen Z appears to be brave enough to also enforce a strict work/life balance, especially when it comes to flexibility in schedules and work locations. 

Daniel Zhao, chief economist for GlassDoor, cautioned that while it doesn’t really work to generalize across cohorts, Gen Z doesn’t feel like the current job market is working for them. This leads them to chart their own course away from the traditional career path.

Gen Z Side Hustles

57% of Gen Z workers have a side hustle, and 48% of millennials do. Probably by design, some of these side hustles are for jobs considered to be somewhat AI-proof, such as therapists and nurse practitioners. Others are not, but the FlexJobs survey respondents are not limited strictly to Gen Z. It includes side hustles like translators or graphic designers, in which other demographic cohorts are engaged. These diverse side gigs reflect broader trends in the workforce, where individuals seek additional income and pursue passions outside their primary careers.

How AI Impacts Career Choice

As seen in the more popular side hustle professions, most are a fallback option if AI replaces core white-collar jobs. This isn’t unwarranted panic. According to a recent report by Indeed, AI will radically transform one out of four jobs posted on their platform. The jobs in question are specifically white-collar jobs. Gen Z sees this coming and is preparing by fully embracing AI at their current jobs while planning for an alternative career that doesn’t involve AI disruption.

Generational Differences in Adapting to AI Disruption

Older millennials, Gen X, and late Baby Boomers are typically in upper management, and most are trying to ride out their white-collar jobs until retirement. Younger millennials track closer to Gen Z in redefining their career paths, with 48% having side hustles. 

Part of the upcoming white-collar disruption comes from management jobs that will be eliminated by AI or economic necessity. Coupled with the “job hugging” trend, which has all demographics clinging to jobs they may have otherwise left, there aren’t many prospects for anyone looking for a traditional upper management desk job. This is where side hustles come into play - if someone is declared redundant, the side hustle can become a full-time career.

Gen Z Prioritizes Flexibility and Hybrid Work

While having a good work/life balance with a traditional full-time job is tough, it’s even tougher if you have a side hustle. 31% of Gen Z workers in the GlassDoor survey expected to have flexible hours; 71% of them, according to Gallup, want to work a hybrid schedule. They are actually the least likely to prefer fully remote work, which may be because they want to keep their “core jobs” longer. Other factors like social connection, mentorship, or access to resources may contribute to this preference, too. 

Their generally higher emotional intelligence may also be tipping off Gen Zers to the fact that the more in-person interaction you have with co-workers, the closer the bonds and the better the work. Upper management is often derided for using “collaboration” as a buzzword when they issue RTO mandates, but they’re not wrong. Despite the interest in flexibility, Gen Z values in-person connection. 

Gen Z is prepping for the future of their careers by building significant experience in a side hustle and learning how to use the very technology that may eventually cost them their jobs. Companies must adapt to them rather than vice versa and keep pace with technological and economic change. This could mean offering flexible hours or a hybrid schedule and not penalizing people for needing to step away to work on their side job. While these suggestions may seem unthinkable for older workers, it’s our most likely future. It’s better to tack into the wind to avoid capsizing, and that’s precisely what Gen Z is doing.

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