AI is redefining roles in the tech industry and forcing Gen Z workers to reassess career paths

Gen Z tech workers are reassessing their career paths and future plans – and key factors behind the shift lie in the rise of AI and a demand for more flexible working patterns.

That's according to a global survey by Randstad Digital, which found that two-thirds of Gen Z tech workers are excited about the role AI will play at work and are already using it in their roles. However, nearly half (43%) remain concerned about the impact of AI on their job security.

"Our research illustrates that tech jobs remain highly attractive to Gen Z – yet their expectations are shaping how companies now think about culture, flexibility, career growth, and even the use of AI," said Graig Paglieri, chief executive of Randstad Digital.

That said, the split isn't large between generations. Millennials working in the technology sector are slightly more likely to describe themselves as excited about AI at 77% versus 75% for Gen Z, and only a couple of points less likely to say they are concerned about their jobs at 41%.

Gen X is even less concerned, but still in the same range at 38%.

Gen X is even less concerned, but still in the same range at 38%.

Gen Z entered the workforce at a weird time

Gen Z spans people up to 28 years old at this point, and many have entered the workforce amidst the explosion of the generative AI ‘boom’ and a period of mass layoffs across the tech sector.

Research shows they’re experiencing acute difficulties at present, with a recent study from Stanford University suggesting that entry-level technology jobs have been among the hardest hit in the early stages of the AI boom.

Paglieri warned that means they're often left without early-career training or job progression — and that could be bad news for companies in the longer term as talent pipelines dry up.

"While it’s tempting to focus automation efforts on entry-level jobs, employers should design these roles as stepping stones to build stronger, more resilient organizations for the future," Paglieri said.

"Tech leaders should also focus on competitive compensation and clear career paths, while encouraging AI exploration and building a culture of innovation within their organization."

Get ready for churn

Notably, the Randstad report found loyalty to a single company was diminishing among Gen Z workers. Only 3% of respondents in this age group said they expect to last a decade at their current employer, versus 10% of millennials and 11% of Gen X staff.

Instead, a quarter of Gen Z workers said they planned to stay at their current company for three to five years, with three-in-ten saying they'd stay up to two years and 18% for less than a year.

Many younger workers said they have no fear of quitting. Half of Gen Z employees have quit a role after less than a year, pinning the blame on poor workplace culture (41%), low pay (36%), and a lack of career progression (19%).

To avoid churn and keep younger workers longer, Randstad said companies need to offer better pay, show a clear career path, and flexible working hours.

Blended income models

Given concerns about job security – and the continual failure of pay to keep up with cost of living – it's perhaps no surprise that a quarter of Gen Z workers are looking to add a so-called "side hustle" to their main full-time role, versus 23% who prefer to work just one job.

"These insights indicate a strong trend towards blended income models," Randstad said in a statement.

Gen Z workers also continue to favour flexible working hours, with 49% ranking it first, over 45% choosing pay as a priority and 41% saying location.

Make sure to follow ITPro on Google News to keep tabs on all our latest news, analysis, and reviews.

MORE FROM ITPRO

• Gen Z is tired of working from home
• Gen Z in the workplace: How the next generation is reshaping business
• Gen Z has a cyber hygiene problem