Why Young Workers Are Rejecting Corporate Culture

In a TikTok video with over 9,000 sympathetic comments, self-proclaimed “anti-career coach” Danielle Roberts declares that “”corporate America wants you to fail.” She relays stories from her clients about unreasonable expectations around employee evaluations.

For many young Americans already questioning traditional career paths, Roberts seems to confirm their suspicion that working harder yields few rewards. As real wages stagnate and jobs grow more unstable, is it any wonder that scores of young workers have popularized the “quiet quitting” movement?

Young Workers Are Rejecting Corporate Culture

Many young workers in the United States have become disillusioned with traditional employment and corporate culture. This disillusionment stems from a lack of financial incentives, job instability, and stagnant wages that have failed to keep up with inflation.

The federal minimum wage has remained unchanged at $7.25 per hour since 2009. Adjusted for inflation, today’s minimum wage has 30% less purchasing power than in 1980. At the same time, productivity has far outpaced wage growth.

Evidence That Corporations Want Employees to Fail

For many young Americans, corporations do not represent stable employment. Layoffs frequently occur in industries like technology and media. Recent college graduates also struggle to find jobs in their fields of study. Some disillusioned employees have even posted videos of themselves being laid off.

Without job stability or financial incentives, employees become apathetic. Although they continue working to earn a living, they put in minimal effort beyond what is required. This “quiet quitting” movement shows that if companies do not invest in employees, employees will not invest in companies.

No Financial Incentives for Hard Work

The lack of financial incentives has led the younger generation to question the value of diligent work. According to an analysis by the Economic Policy Institute, while productivity grew 64.7% between 1979 and 2022, compensation for typical workers increased only 14.8%. This growing gap demonstrates that increased productivity does not necessarily translate to higher pay or financial rewards.

The federal minimum wage has remained largely unchanged for decades and has failed to keep up with inflation. In 1980, the minimum hourly wage was $3.10. Adjusting for inflation, today’s minimum wage would need to be $12.22 to have the same purchasing power. However, the current federal minimum wage is only $7.25.

Minimum Wage Hasn’t Kept Up With Inflation

With wages failing to keep up with the cost of living, young Americans may feel that extra effort at work is futile. The minimum wage has not increased at the same rate as inflation, creating a pay gap that makes even necessities difficult to afford for some. For younger workers struggling in entry-level jobs, the lack of meaningful pay increases can sap motivation and fuel apathy toward their employers.

The more than 9,000 comments on Roberts’ video indicate that many young people relate to her message. As one comment with over 28,000 likes states, “People forget boomers got pensions; they had an incentive to stay, and the pay was equitable. It’s no longer that way.” For younger generations facing economic difficulties and lack of opportunity, enthusiasm for traditional careers seems likely to wane.

Corporations Can’t Provide Job Security

Layoffs have become commonplace across many industries as companies restructure to cut costs. Employees live under the constant threat of downsizing and job loss. Recent college graduates struggle to find work in their field of study, often taking jobs for which they are overqualified to make ends meet.

The lack of stability and the looming possibility of unemployment have significantly impacted workers’ relationships with their employers. Employees no longer feel they can rely on corporations to provide steady work or advance their careers. As a result, many have become apathetic, unwilling to go above and beyond in their roles or take on additional responsibilities without proper incentives and rewards.

Constant Layoffs in Tech and Media

The tech and media industries have undergone massive changes in recent years, with constant restructuring and layoffs becoming the norm. Many companies have had to adapt quickly to changes in technology, business models, and consumer habits. Unfortunately, this has often meant reducing workforces to cut costs. For young workers, the instability and lack of job security this creates is incredibly discouraging.

According to recent analyses, there have been over 65,000 job cuts announced in the tech sector since 2020, with many major companies like Microsoft, Intel, Salesforce, and BuzzFeed enacting sizable layoffs. For recent college graduates and young professionals working to establish their careers, these ongoing job cuts create anxiety and uncertainty about their professional futures.

No Stability, No Security Leading To a Sense of All Round Apathy

For younger workers, the lack of stability and security this creates has led to a sense of apathy about their careers and jobs. If companies are unable or unwilling to offer assurances of steady work or clear paths for career growth, employees may feel less motivated to go above and beyond in their roles or stay loyal to any particular organization.

While job-hopping between companies used to be frowned upon, for many young professionals today, it has become a necessity in order to advance their careers when individual companies are unwilling or unable to help them do so internally.

Desire for Flexibility and Work-Life Balance

Millennials and Gen Z value flexibility and work-life balance over traditional corporate employment. According to surveys, many young professionals are prioritizing factors like mental health benefits over higher salaries in their job searches.

The trend of “quiet quitting,” or doing the bare minimum at work, has become prevalent, with studies showing nearly 60% of employees engaging in this behavior. For young professionals like Berghoff, traditional corporate roles can feel “soul-crushing,” negatively impacting their health and well-being.

The Need for Change

Young Americans see corporations as unstable and unreliable, with frequent layoffs, especially in industries like tech and media. Some have even recorded and shared online their reactions to being laid off. With wage stagnation and lack of opportunity, apathy and disengagement have resulted.

To improve retention and engagement, companies must provide the flexibility, stability, and work-life balance that millennials and Gen Z desire. With their values and priorities differing from previous generations, these young professionals are poised to reshape the workplace.

Time To Re-Examine Corporate America

As corporate America struggles to engage young talent, perhaps it is time for companies to re-examine their approach. Rather than blaming younger workers for lacking motivation, leaders should reflect inward. Are we investing enough resources to develop our people?

Do we offer clear advancement opportunities tied to performance? Are we being transparent about compensation structures so employees understand what drives pay increases? The data shows today’s workers will change jobs more frequently than past generations.