The Recruitment and Retention

Of Generation Y

by
Catherine M. Huybers
A Research Paper
Submitted in Partial Fulfillment of the
Requirements for the
Master of Science Degree
III

Training and Development

Approved: 4 Semester Credits

Katherine Lui, Ph.D.

The Graduate School

University of Wisconsin-Stout
May, 2011

The Graduate School

University of Wisconsin-Stout
Menomonie, WI

Author:

Huybers, Catherine M.

Title:

The Recruitment and Retention of Generation Y

Graduate Degree/ Major: Masters of Science, Training and Development

Research Adviser:

Katherine Lui, Ph.D.

MonthfYear:

May, 2011

Number of Pages:

86

Style Manual Used: American Psychological Association, 6 th edition

Abstract
Recruitment and retention of employees has been a concern for employers for many
decades. However, employee recruitment and retention has taken on a new face as employers
realize the methods used to attract and retain previous generations are not as effective today with
the younger generation. The purpose of this study is to detelmine how employer attraction and
retention practices have changed, or need to change, as Generation Y enters the workforce. This
study will identify and outline the demographic characteristics of the four generations in the
workplace, the Traditionalists, the Baby Boomers, Generation X and Generation Y. It will
outline what each generation needs or wants from the workplace concentrating on Generation Y.
Finally it will address the strategies employers are incorporating to attract and retain Generation

Y. The methodology used in this study is an online survey that was emailed to 556 Human
Resources Managers using the UW Stout Qualtrics survey tool. The goal was to gain an

understanding of the motivations of the different generations and the current recruitment and
retention strategies companies are using to attract and retain Generation Y.

The Graduate School

University of Wisconsin Stout
Menomonie, WI
Acknowledgments
Without the encouragement, guidance and support of Dr. Bill McConkey, this entire
master-level project would not be possible. I thank you.
I would like to thank my advisor, Dr. Kat Lui, for your continued support, guidance,
motivation, and always positive feedback. It has been a pleasure working with you on this
project.
I would like to thank my friends and family for allowing me to lean on you when I
needed to and for respecting my "no call" policy while I was working on my research and
coursework. Your patience, understanding, and respect were greatly appreciated.
Olivia, you made me smile every time I looked at your colorful pictures that you drew
and hung in my office to motivate me to stay focused on my goal. Steve, I know this was hard
for you to sacrifice our time together to allow me the solitude to read and write my paper when
there were so many fun and exciting things we could have been doing.
For my son, Eric, I would like to extend a very special thank you for your patience and
understanding when I could not attend some of your sporting events and was late picking you up
from school and other activities because of my class and research schedule. You were always so
good about letting me use the computer to work on my papers. You never complained. Your
sense of humor through this project gave me so much joy and has kept me grounded. Your
positive outlook has kept me focused on my goal. I am forever grateful. You are my shining
star and guiding light. I love you.

Table of Contents

Page
Abstract ......................................................................................................... 2
List of Tables ................................................................................................................................... 8
Chapter I: Introduction .................................................................................................................... 9
Statement of the Problem ..................................................................................................... 9
Purpose of the Study .......................................................................................................... 10
Research Objectives ........................................................................................................... 10
Significance of the Study ................................................................................................... 11
Limitations of the Study ..................................................................................................... 11
Definition of Terms ............................................................................................................ 12
Chapter II: Literature Review .............................................................................. 13
Introduction .......................................................................................... 13
Background and Characteristics .................................................................. 13
Traditionalist. ............................................................................... 13
Baby Boomers .............................................................................. 14
Generation X ................................................................................ 15
Generation Y ................................................................................ 16
Dynamics of a Multigenerational Workplace .................................................... 18
What Traditionalists Want ..................................................................... .l8
What Baby Boomers Want. ............................................................... 19
What Generation X Wants ................................................................. 20
What Generation Y Wants ................................................................. 22

Recruiting and Retaining Older Generations ................................................... 24

Recruiting Generation Y ........................................................................... 26
Retaining Generation Y ............................................................................ 29
Chapter III: Methodology .............................................................................................................. 34
Introduction ........................................................................................................................ 34
Purpose of the Study .......................................................................................................... 35
Research Objectives ........................................................................................................... 35
Subject Selection ................................................................................................................ 35
Instrumentation .................................................................................................................. 36
Survey Administration .............................................................................. 37
Data Analysis ........................................................................................ 37
Limitations ........................................................................................... 38
Chapter IV: Results ........................................................................................................................ 39
Motivations of Older Generations ............................................................... .40
Motivations of Generation Y ..................................................................... .42
Standard Advertising Methods ................................................................... .44
Online Advertising Methods ..................................................................... .45
Recruitment Strategies to Attract Generation Y .................................................. 46
Retention Strategies to Retain Generation Y ...................................................... 50
Demographics of Company Size .................................................................. 52
Respondents Profile ................................................................................. 53
Chapter V: Discussion ................................................................................................................... 54
Restatement of the Problem ........................................................................ 54

Research Objectives ................................................................................ 55

Limitations .......................................................................................... 55
Summary of Methodology ......................................................................... 56
Discussion on Significant Findings ............................................................... 56
Objective 3 ..................................................................................57
Objective 4 .................................................................................. 60
Conclusions .......................................................................................... 66
Recommendations .............................................................................................................. 68
Recommendations for Future Study .............................................................. 69
References ...................................................................................................................................... 70
Appendix A: Survey .................................................................................................................... 73
Appendix B: Cover Letter ............................................................................................................. 78
Appendix C: Follow-up Letter ...................................................................................................... 80
Appendix E: Table of Statistics ............................................................................ 82

List of Tables

Table

Page

Table 1: Motivations of Older Generations in the Workplace ....................................... .41

Table 2: Motivations of Generation Y in the Workplace ............................................. .43
Table 3: Standard Methods of Advertising .............................................................. 45
Table 4: Online Methods of Advertising ................................................................. 46
Table 5: Recruitment Strategies to Attract Generation Y .............................................. .48
Table 6: Retention Strategies to Retain Generation Y .................................................. 51
Table 7: Company Size ...................................................................................... 53
Table 8: Age Range of Respondents ....................................................................... 53

Chapter I Introduction
Introduction
As the Baby Boomers retire and the young Millennials, also known as Generation Y,
enter the workforce, this massive demographic shift is causing big problems for even the most
successful companies. These Millennials are highly sought-after for their technological savvy,
energetic work ethic, and young, hip attitude that can help companies connect with young
consumers (Sujansky & Ferri-Reed, 2009). Though highly sought after, these young workers are
hard to recruit. Despite the efforts of employers and the good qualities of this younger
generation, companies are finding that Generation Y does not always share the same traditional
values of the previous generations. The high turnover rate among this generation, who must be
recruited, trained and then replaced, is costing companies billions of dollars every year (Sujansky
& Ferri-Reed, 2009).

Why has this new generation of young professionals turned into such a hot commodity?
It is primarily because of the mass exodus expected of Baby Boomers from the workplace in the

next 10 - 20 years. From the office of Employment Projections, the average large company in
the U.S. will lose 30-40% of its workforce due to retirement over the next 5-10 years (Orrell,
2007). As a result, recruiting Generation Y has become big business.
Statement of the Problem
As employers continue to seek out new employees to replace those who have left the
workplace, Generation Y is starting to enter the workforce in record numbers. There are an
estimated 80 million kids and young adults in this new generation (Orrell, 2007). Companies are
spending millions of dollars updating their recruiting efforts, corporate cultures, and
management styles to accommodate this unique generation (Orrell, 2007). It is estimated that

10

this generation will create new definitions for work environments, success, leadership,
communication, management, entrepreneurship, corporate culture, and professional relationships
(Orrell,2007). As this group of young future workers enter the workforce, bringing their unique
style and new refreshing perspective, organizations are forced to adapt or risk losing billions of
dollars to unwanted turnover and lost productivity (Sujansky & Ferri-Reed, 2009). Companies
must first understand this younger generation, learn their background and characteristics as well
as understand their work style and what motivates them. Those companies that lack a process to
attract, hire, and retain this dynamic new generation, will risk losing billions of dollars if radical
changes are not made (Sujansky & Ferri-Reed, 2009).
Purpose of the Study
The purpose of this study is to determine whether Human Resource (HR)
Managers recognize the workplace motivations of the different generations and if or to what
extent companies are changing their recruiting and retention practices to attract and retain
Generation Y into the workplace.
Research objectives
1. To identify the demographic characteristics of Traditionalists (born between 1922 and 1943),
Baby Boomers (born between 1944 and 1964), and Generation X (born between 1965 and
1979) and what they want in the workplace.
2. To identify the demographic characteristics of Generation Y (born between 1980 and 2000)
who are the primary focus ofthis study.
3. To identity the motivations of the older generations (those born before 1980) and the
motivations of Generation Y (those born between 1980 and 2000) in the workplace.

11

4. To identifY what recruiting and retention efforts employers are currently using to attract and
retain Generation Y.
5. To identifY what type of recruiting and retention efforts employers should be using to
successfully recruit and retain Generation Y to their company.
Significance of the Study
This research will identifY the types of recruitment and retention efforts used by
companies today to attract and retain Generation Y into the workplace. Human Resource
Managers and Recruiters will benefit from this study as it will give them a tool to understand
what Generation Y looks for in an employer and what motivates them to stay with that employer.
This research will also help companies revise their hiring practices and adjust their benefit
packages in an attempt to attract the best of Generation Y as well as retain them, reducing costly
turnover rates.
Limitations of the Study

The total completed surveys are a small number of the population. Therefore, the results of
the study might not apply to all companies in Northeast Wisconsin.

The results might be biased depending on the background of the respondents.

The majority of the respondents work at companies with 100 or fewer employees. What may
apply to smaller companies may not apply to larger companies and vice versa.

The survey did not identify the responses based on the respondent's age, gender and
background.

12

Definition of Terms
Traditionalists. Also referred to as the Silent Generation, people born between 1922 and
1943, this is a conservative group that was greatly influenced by World War II and the Great
Depression (Zemke, Raines, & Filipczak, 2000).
Baby Boomers. People born between 1946 and 1964, depending on your source, they
were born during or after World War II and raised in the era of extreme optimism, opportunity,
and progress (Zemke et aI., 2000).
Generation X. Also referred to as Gen X, people born between 1964 and 1980, they
were born after the blush of the Baby Boom and came of age deep in the shadow of the Boomers
(Zemke et aI., 2000).
Generation Y. Also referred to as the Millennials or Gen Y, these titles will be used
interchangeably throughout this project. These are people born between 1980 and 2000
otherwise known as Echo Boomers, Nexters, and the Internet Generation. This generation is
nearly as large a cohort, or larger, than the Baby Boomers, depending on one's source. They are
well educated, skilled with technology, and very self-confident. They are the children of the
Baby Boomers and early Generation Xers (Zemke et aI., 2000).
Cohort. A group of people sharing a particular statistical or demographic characteristic,
born in the same general time span who shares key life experiences.

13

Chapter II Literature Review

Introduction
This chapter includes a review of literature of the characteristics of Generation Y or
Millennials, their background, work style, and motivations. It also looks at the traits that pose
the greatest challenges for employers, what Generation Y expects from their employers, best
practices for recruiting Gen Y talent and strategies for retaining this talent.
Also included in this chapter is a look back at previous generations, the characteristics
that make them unique as well as a comparison between workplace practices of previous
generations and the youngest cohort, Generation Y.
Finally, there is information about what each generation wants from an employer
concluding with what employers should offer to recruit and retain the youngest generation
entering the workplace, Generation Y.

Background and Characteristics

Traditionalists
Traditionalists, otherwise known as the Silent Generation, were born between the turn of
the last century and the end of World War II (1900-1945). This generation is about seventy-five
million strong growing up with such defining events as World War II, the Great Depression, the
Korean War, and the G1 Bill. Traditionalists have had plenty of opportunities to learn to do
without as they were sandwiched between two world wars and the Great Depression (Lancaster
& Stillman, 2002).

According to Zemke et al. (2000), some of the values that exemplify this generation are
dedication and sacrifice, hard work, conformity, law and order, respect for authority, delayed
rewards, duty before pleasure, adherence to rules, and honor. The one word, however, that best

14

describes this generation is: loyalty. Traditionalists learned at an early age that by putting aside
the needs and wants of the individual and working together toward common goals, they could
accomplish amazing things (Lancaster & Stillman, 2002). Their accomplishments are
staggering. This group, with their vision and hard work, created the United States as we know it
today, a country with its modern democracy is bold, powerful, prosperous, and vital. However,
it has its inherent challenges and paradoxes (Zemke et aI., 2000).
Traditionalists are also responsible for the "great American value system." For example,
when people say we need a return to "family values," they are referring to the morality of
Traditionalists. When managers say young people do not have any work ethic, they mean the
work ethic of Traditionalists (Zemke et aI., 2000). This is a generation of hardy scouts that had
gumption and could accomplish any worthy goal according to Zemke et al. (2000).
Baby Boomers

Baby Boomers were originally the largest cohort ever born in the country and number
about eighty million (Lancaster & Stillman, 2002). They changed every market they entered
from the super market to the job market to the stock market according to Lancaster & Stillman
(2002). This generational cohort spans the years 1946 through 1964 according to Zemke et al.
(2000).
The children of the 1940s and 1950s grew up in optimistic times. It was a time of
expansion in the United States; the greatest economic expansion this country has ever
experienced. As a result, this generation tends to be optimistic. Boomers also think of
themselves as stars of the show since they lived in a nuclear family with dad working and mom
staying home; the kids were in the spotlight. Boomers also learned about teamwork. There were
so many of them, they had to collaborate and cooperate while sharing texts and desks. They are

15

also a generation that pursued their own personal gratification, often at a price to themselves and
others. They have also searched their souls or have been compelled to pursue spirituality, the
inner world, and the meaning of life. Lastly, Boomers have always thought of themselves as
being cool. As children, by their mere presence, they were trendsetters. Today they still see
themselves as being cool (Zemke et aI., 2000).

Generation X
Although Generation X consists of fewer people than the generation before it, the impact
that many of its cohort has on society cannot be discounted. This generation came of age during
the boom of technology. According to Zemke et al. (2000), they are going to be a critical part of
the workforce and if employers ignore this group or write them off as cynical slackers unwilling
to make a real contribution to the workforce; they will be setting themselves up for failure in the
new millennium.
Looking back, Gen Xers were the first Latch-key children. In other words, the first kids
to be left home alone while both parents went off to work. They were forced to fend for
themselves. As a result, they created a survival mentality about themselves. According to
Zemke et al. (2000), this generation came of age in an era of fallen heroes, a stmggling economy,
and soaring divorce rates. While their parents were focusing on themselves, this cohort was
forced to live a parent-free childhood and had to figure things out for themselves. Because of
that, Gen Xers have become very self-reliant and independent.
With the feelings of abandonment that shaped their psyches from being left alone so
often, they have a strong sense of family creating mini surrogate-type families from close
friends, classmates and co-workers. To the kids, the parents looked like workaholics, spending
evenings and weekends at the office, bringing projects home, and expending all of their energy

16

and attention on work issues (Zemke et aI., 2000). Generation X is witness to the high price their
parents paid for being so dedicated to their work. This was seen in all the health and stress
problems these parents faced as well as higher divorce rates and drug and alcohol abuse (Zemke
et aI., 2000). As a result, Generation X is more committed to having balance in their lives. They
are not inclined to be the workaholics like their Baby Boomer parents. They will spend the time
working late on a project if necessary, but do not intend to give up their weekends as they
strongly feel they have a life outside of work (Zemke et aI., 2000).
Because this generation grew up in the advent of the computer age, their technological
acuity and growing business savvy are already putting a disproportionate number of them on an
even hierarchical and authority plane with members of earlier generations. In spite of the fact
that the work ethic and commitment of this generation was questioned, many companies are
putting Gen Xer's in management positions managing the Boomers who only a few years ago
were questioning them on their work ethic and commitment (Zemke et aI., 2000).
Generation Y
Generation Y, like the generations that preceded them, have other names or titles
associated with them. They are known as Eco Boomers because many of them are children of
the Baby Boomers. They are sometimes referred to as the Net Generation because of the
influence of the rapid evolution of digital technology. Finally, many refer to them as the
Millennial generation, which signifies the developmental years of this COhOli span the tum of the
century (Erickson, 2008).
This generation reaches between 70 to 90 million in numbers. They are born roughly
between 1980 and 2000. The size alone of this generation implies that this is a very influential
cohort.

17

This is the first generation of boys to be raised to respect girls as equals. This is the first
generation of girls raised to believe they are equals (Orrell, 2007). In the United States, this
generation is the most cross-cultural, cross-creed, and cross-color generation in history
(Erickson, 2008). They are a diverse generation with an open mind and acceptance for
differences in race, gender, ethnicity, and sexual orientation (Gravett & Throckmorton, 2007).
Gen Yers are independent, techno-savvy, entrepreneurial hard workers who thrive on
flexibility (Martin & Tulgan, 2001). This is a generation that has had access to cell phones,
personal pagers, and computers since they were in diapers (Lancaster & Stillman, 2002).
Through the use of the Internet, Generation Y has visited virtually every comer of the globe.
According to Lancaster & Stillman (2002), a recent poll indicated that Generation Y
named "personal safety" as their number one workplace issue. This should be no surprise as this
generation has had its share of exposure to violent outbreaks such as the Columbine shooting,
readily available illegal drugs, the proliferation of gangs, and terrorism.
Generation Y is optimistic and confident thanks to the idealistic Boomer parenting style.
They have loyalty and faith in institutions thanks to their influence from the Traditionalists. Gen
Xers have given them enough skepticism to be cautious. If there is one word to describe them, it
would be "realistic" (Lancaster & Stillman, 2002).
Although this generation grew up in dual-income households, divorces, and daycare,
much like their older cohort, Generation X, the Millennials experienced very different parenting
styles. Timeouts replaced spankings as a method of discipline. Parents protected their children
from the woes the world was throwing at them (Gravett & Throckmorton, 2007).
According to Gravett & Throckmorton (2007), this generation has a very different
perspective on many things such as:

18

extreme awareness of the environment, worrying about our future, locally and globally, and
active engagement in recycling and reducing wastes or pollutants;

being a diverse generation with an open mind and acceptance for differences in race, gender,
ethnicity, sexual orientation;

an expressive generation as evidenced by some of their dress, body jewelry, and brightly
colored hair;

being very socially conscious and committed to any cause they value and demonstrating that
through volunteering;

and having solid moral standards, being much more against premarital and unprotected sex,
alcohol, and drugs than Baby Boomers or Gen Xers.

Dynamics of a Multigenerational Workplace

What Traditionalist's Want
Most Traditionalists are in retirement at this time. Few are active in the workforce, most
in part-time capacities. This generation currently focuses on discussion, inclusion, and process,
but not on decisive actions (Howe & Straus, 2007). This generation values a collective sense of
dedication, sacrifice, hard work, and respect for authority (Bartley, Ladd, & Morris, 2007). They
are also more conservative in their workplace actions. This conservative nature as well as a
grounded logical attitude causes many younger employees to view Traditionalists as harsh, gruff
and rigid in their professional relationships and in their decision-making processes within the
workplace (Bartley et aI., 2007).
Traditionalists will join an organization and plan to stay with it, through good times and
bad, until they are downsized or retire (Carey, 2001). You will not find this generation rocking
the boat, whether they agree with their boss or not. They will also not complain and are willing

19

to perform the same task or job duties for years. For the most part, they are thankful to be
employed (Carey, 2001).
As a result of their backgrounds, this generation respects authority (Carey, 2001).
According to Carey (2001), Traditionalists understand that hard work is part oflife and that it
brings rewards over time. Traditionalists value conformity and having their experience
respected. They like to work in an environment with a clearly defined hierarchy (Carey, 2001).
When motivating a Traditionalist, employers need to let them know that their experience
is valued. They should provide stability and security, address their desire to be self-sufficient
and be clear in all work and performance expectations according to Carey (2001).
Howe and Strauss (2007) also conclude that this generation benefits more than any other
generation has or will from ample late-in-life payouts such as benefit pensions, retiree health
care, and golden parachutes. They have entered retirement with a hip lifestyle and
unprecedented affluence (Howe & Straus, 2007).
What Baby Boomer's Want
As Boomers reach the retirement age, many will remain involved in the working world.
To Boomers the word "retirement" will acquire negative connotations of indolence and mindless
consumption. The new goal for "serious" elders will be not to retire but to replenish or reflect or
simply to keep working (Howe & Straus, 2007). In the workplace Boomers are viewed as likely
to focus on consensus building, are excellent mentors and more likely to remain loyal and
attached to an organization (Wong, Gardiner, Lang & Coulon, 2008). Boomers are also
considered more diligent on the job and value having a high degree of power within the
organization (Wong et aI., 2008).

20

This generation is driven by the mentality that the possibilities are endless. They are
eager to succeed, have a strong work ethic, great determination, and expect similar views from
the younger employees (Bartley et aI., 2007). Boomers are considered a competitive generation
and aim to do their best to prove themselves and their talents in the workplace. Although not
empirically tested, the sense of supremacy held by the Boomers coupled with their tendency to
belittle future generations may help to explain what fuels much of the conflict concerning
generational diversity.

In the workplace, Baby Boomers are interested in learning new skills, having an
opportunity for personal improvement and the opportunity to be creative (Cennamo & Gardner,
2008). Cennamo & Gardner (2008) also note that the focus of this generation on hard work and
achievement suggest that Boomers value status and extrinsic rewards for loyalty and
commitment. Because of this commitment to work, Baby Boomers have also been known for
their inability to balance work and family. In a supervisor, they like good working relationships.

In co-workers they prefer positive interactions.

The preferred communication modality favored by Baby Boomers is face-to-face
communication (Glass, 2007). This generation thinks nothing of getting up from their desk and
walking to the next office or cubicle to talk with or ask a colleague a question.
What Generation X Wants
Generation X tends to be uneasy with and insecure about corporate America which stems
from the uncertain economy of the latter part of the twentieth century (Bartley et aI., 2007). This
generation was left with feelings of inferiority and economic instability as they were raised
learning the last thing they could trust was the permanence of the workplace. In addition, they
were told they could never do as well as their parents. Bartley et ai. (2007) also state that the

21

economic downturn in the early 1980s coupled with bad employer-employee relations, set the
stage for Gen Xers' feelings of insecurity and ambivalence and a desire for a hands-off, selfreliant work environment. According to Hart (2006), this generation is unimpressed with
authority and prefers leadership based on competence. Although Generation X wants to be
mentored and does require frequent feedback, they also have an entrepreneurial spirit, thrive on
limited bureaucracy, and want the freedom to work independently. Also, after watching their
parents lose their jobs, they rejected company loyalty and focused on a commitment to their
work, their team, and their boss. With this generation focusing on their own careers, you may
find them preferring organizations that value skills development, productivity, and work-life
balance rather than status and tenure that we saw in the previous generation (Cennamo &
Gardner, 2008).
In the workplace, Gen X desires more flexibility with their schedules, unlike the previous
generations. It has been noted that Gen X works to live rather than lives to work (Bartley et al.,
2007). This cohort prefers guidance and inspiration from their managers only in the planning
stages of a project and prefers to be left alone between goal setting and completion of the project.
As a result of their desire to create their own success, Gen X prefers a manager who acts as a
teacher, mentor, or facilitator. Since Boomers tended to be controlling, diligent, and
overworked, the characteristics of Generation X in the workplace create a challenge for their
predecessors.
Generation X also feels that if they did not struggle for balance in their lives, all they
would do is work, especially with the advanced technologies in today's workplace (Glass, 2007).
This population believes that it does not matter how work gets done or where it gets done, as

22

long as it gets done. They are more concerned about the outcome and the process than the
avenue used to get there.
In the workplace, the prefelTed communication modality for Generation X is generally
email, instant messaging, or text messaging. This generation is more comfortable sending quick
emails or other digital messages than having a face-to face conversation or picking up the phone
which is the prefelTed mode of the Baby Boomers (Glass, 2007).
What Generation Y Wants
Undoubtedly, Generation Y is coming and will join the workforce in large numbers.
According to Sujansky & Ferri-Reed (2009), Generation Y will bring a new style and a new
perspective to the workforce, but unless organizations are willing to adapt, they risk losing
billions of dollars to unwanted turnover and lost productivity. This generation is well educated,
skilled in technology, and very self-confident. They bring with them to the workplace high
accomplishments and even higher expectations.
Because Generation Y has grown up with supportive, overprotective parents who took
pride in their kids, this generation has walked into the workplace with a high degree of selfconfidence (Hart, 2006). In addition, growing up with instant technology and taking it for
granted, Generation Y is used to instant communication and is accustomed to giving and getting
instant feedback according to Hart (2006). In the workplace, Gen Y prefers constant feedback
and detailed instructions. As a result, they are more at ease and are able to do the job right
(Glass, 2007). The readily available technology has molded them into team-oriented,
interpersonal, and gregarious new workers (Bartley et aI., 2007).
As Generation Y enters the workplace, according to Bartley et ai. (2007), they expect to
see some

SOli

of structure, they can multitask, they acknowledge authority, as well as want a

23

relationship with their boss. Generation Y wants to be challenged. They will move on quickly if
they become bored with their job for long periods of time. This generation is loyal to people, not
to their employers, unlike their parents, the Baby Boomers, who were workaholics and very loyal
to their employer.
Since employers are accustomed to Baby Boomers working 50, 60, even 70 hours a week
to get the job done, this younger generation with their different outlook on work-life balance,
will force employers to rethink their expectations when recruiting this generation. For Gen Y,
work-life balance may even mean more than salary (Sujansky & Feni.-Reed, 2009). According
to Dorsey (2010), Generation Y is looking for lifestyle, personality, and priorities. With salary
not on the top of their list, Generation Y is more interested in company culture and initial
interactions with potential direct supervisors. As a matter of fact, Dorsey lists ten top hot buttons
that instantly connect with Gen Y job seekers. Those top ten hot buttons for recruiting
Generation Yare:
1. having a fun work environment,
2. sharing the types of challenges they will face,
3. informing them of the opportunities and making them aware of the path to the top with the
company,
4. giving Gen Y the space and the trust to be creative at work,
5. showing or demonstrating the ethics of the leaders as well as listing the values and principles
of the company,
6. giving them a sense of ownership on the job,

24

7. giving them the details of all the ways the company supports a Gen Y friendly lifestyle such
as flexible scheduling, company sponsored dodge ball teams, free passes to cool events,
nearby live music venues, and other outdoor activities,
8. demonstrating how the company embraces all types of diversity,
9. highlighting how technology is a prui of the workplace and how employees are allowed to
test new technology,
10. and bringing the company mission to life, giving Gen Y a chance to be part of the difference,
and playa role in the joyous results.
The communication modality preference of Generation Y is very much the same as
Generation X. They prefer to use digital means to communicate rather than face-to-face (Glass,
2007). Generation Y is the first to be digital natives growing up with these technologies in
abundance. They are not afraid of new technologies and are often the first to try, buy, and spread
the word about cool new gadgets and technologies. This comes as a price, however. Digital
communication is not the best source of conducting business, especially with situations where
bad news is shared or where conflict is present. This dependence on digital technologies for
communication renders this generation inept when it comes to developing more personal
relationships with colleagues, managers, direct reports, and clients.
Generation Y has big expectations for their future. Once employers understand what this
generation wants or what they are looking for in a job, they can adapt their existing recruiting
approaches and messages to achieve immediate and measurable results.

Recruiting and Retaining Previous Generations

A culture that has been shaped by the values, standards, and policies of one generation is
not necessarily going to be compatible with the next generation that comes through the door

25

(Lancaster & Stillman, 2002). When there are generation gaps at work, when employees do not
feel like they fit in, they decide to leave. Lancaster & Stillman (2002) also state that companies
that understand and bridge generation gaps have a real competitive edge in the retention game.
Although every generation wants to earn more money, there are other factors that
encourage each generation to stay with an employer (Glass, 2007). Traditionalists, for example,
show a great deal of respect for authority (Carey, 2001). They are not opposed to working hard
and believe that it will reap great rewards over time. This generation values conformity and
appreciates having their experience respected. They also value having a clearly defined
hierarchy in the workplace. This speaks to their military backgrounds.
Baby Boomers want to see the bottom line in payroll (Glass, 2007). They do not have
time to watch the market on a daily basis, so let them see their profits in their paycheck. They
also want to be recognized by their colleagues and management for the years of experience they
have as well as for their daily efforts. Boomers also welcome the opportunity to mentor younger
coworkers.
This generation is driven by their work (Carey, 2001). Titles are important to them. The
more important and powerful-sounding the title, the more the title will excite a Boomer.
Boomers value learning, so to motivate them, organizations must promote lifelong learning, give
them public recognition, provide visible perks, and reward them, personally and publicly,
especially for the many long hours they give to their work.
Generation X, on the other hand, will pick a lower paying job if it gives them more
flexibility with work hours allowing them more time for greater work/life balance (Glass, 2007).
This generation also brings with them a strong need for self-improvement, desiring opportunities
to learn in the workplace.

26
For an organization to attract this generation, the job must be fun (Carey, 2001). It must
also contain leading edge technology, continued training and flexibility as well as hands-off
supervision. They will suffocate if they are micromanaged. Generation X is also motivated by
having the newest technology at their fingertips in their work environment.
Generation X is business savvy; they are adaptable and are comfortable with change
(Carey, 2007). If you want to be successful when managing a Gen Xer, treat them as an equal.
On the downside, Generation X can be easily bored and cynical when not managed properly.
They are neither impressed with nor intimidated by authority. As a result, they will not hesitate
to confront or publicly disagree with a manager who treats them as anything but a full partner.
Manage them with care.
Recruiting Generation Y
According to Lancaster & Stillman (2002), there is a talent war out there. As we have
been hearing, a large number of Boomers are in a position to retire over the next few years. Plus
Traditionalists have been able to afford to retire at a fairly young age. In line to replace them is
Generation X. However, Generation X maxes out at approximately half the size of the Baby
Boomer generation. At the same time, Generation Y is still a decade or so away from filling
those gaps in management. So regardless of what happens with the economy, there will be fewer
workers available to replace those retiring.
Unless something radically changes, according to Sujansky & Ferri-Reed (2009),
companies will continue to lose billions of dollars because they lack a process to attract, hire, and
retain this dynamic new generation. Gen Y has grown up with technology since day one. These
young adults live in a virtual world as well as a human world. So it is important for companies
to communicate with them through both (Orrell, 2007). Simply advertising open positions using

27

just the company website will not be enough for this generation. Recruiting needs to be driven
by a marketing strategy, and technology needs to be one of the tools in the employer's bag of
tricks. Some companies are spreading the word about themselves through the "blogosphere" and
social networks or trying to lure Gen Yers through Internet-driven games that draw potential
applicants into the company website according to Tulgan (2009). Tulgan also advises that to lure
interested Gen Yers to your internal employment site, your company website had better be a
good one, cutting edge not clunky. If you are not visible on the Internet and interesting and
cutting edge, you might as well not exist to this generation (Tulgan, 2009).
Gone are the days of receiving resumes via snail mail according to Gravett &
Throckmorton (2007). Generation Y is a techno savvy group that likes to apply immediately for
a job and wants a response immediately as well. Therefore it is important to have an online
application process. Unfortunately, Tulgan (2009) goes on to say that too many companies are
still offering the same long-term career opportunities with traditional, old-fashioned rewards
such as slow steps up the corporate ladder, six-month reviews, annual raises, and other standard
benefits. It is important for employers to create a recruiting message that will attract employees
who are looking for a self-building job. Gen Yers look for several things in a job. Tulgan
identifies eight of them and suggests to employers to incorporate them sooner rather than later as
this generation expects to have these things today rather than waiting for tomorrow.
The eight factors, according to Tulgan (2009) that Generation Y looks for in a job are:
1. Performance-based compensation. Generation Y feels very strongly about getting
compensated appropriately for their performance. Performance compensation is sometimes
more important than actual salary to this group of people.

28
2. Flexible schedules. Generation Y likes to have control over their schedule and if they are
putting in long hours, they want to know that they will be able to take some time off in
exchange for those long hours.
3. Flexible location. It is impOliant for these folks to have the flexibility to define their own
work space by such ways as arranging their furniture, computers, and art work.
4. Marketable skills. This generation is looking for a job where they can build themselves up
with the employer's resources. They are looking for formal and informal training
opportunities that build their skills and knowledge faster than they would become obsolete.
5. Access to decision makers. Not only does Generation Y not want to wait to be promoted, but
they also do not want to wait to build relationships with important leaders, managers, clients,
customers, vendors, or coworkers.
6. Personal credit for results achieved. Generation Y wants to be recognized for the work and
results of the work they did. They are not interested in making others look good. They are
interested in receiving the accolades they feel they deserve for the work they did.
7. A clear area of responsibility. This generation wants to know that they will have control over
something to prove that they can do it.
8. The chance for creative expression. Generation Y wants to know that what they do provides
value to the organization, but they also want to have the freedom to do some things their own
way.
Using these eight points in the recruiting process, employers may find they have a better
chance of attracting the Generation Y job seeker.
Generation Y also is attracted to ethics. Dorsey (2010) encourages employers to post and
validate its company's ethics, values, and mission online. Because Generation Y is so techno

29

savvy, Dorsey suggests posting videos or photos on the company website of employees putting
ethics into action.
Since using technology is so much a part of this generation, it is also recommended that
employers offer a virtual tour of the company or a virtual Day One. It has been noted that
Generation Y often decides on their first day at work if they will stay with a company long-term.
Using technology to show how the company endorses its mission, values its employees, and
demonstrates a day in the life of the employee, creates an attractive opportunity for the Gen Y
job seeker. An employer can separate itself from the rest of the companies by keeping its
technology up to date with the current trends and, as a result, attract more Generation Y
applicants to their company.
Retaining Generation Y
There is no doubt that Generation Y is coming. They are well educated, skilled in
technology, and very self-confident. They bring with them to the workplace high
accomplishments and even higher expectations (Sujansky & Ferri-Reed, 2009). This attitude
frustrates and irritates the older workers. There is no doubt, however, that organizations cannot
afford to waste time and money by not investing in the potential that Gen Y has to offer.
In addition, the Baby Boomers are leaving the workplace in increasing numbers. As
Boomers leave a workplace that was designed around them, organizations are finding that this
current workplace is at odds with the work expectations of Generation Y who are inline to
replace those retiring. This clash of culture in the workplace is creating puzzlement,
consternation, and havoc at companies that now find themselves faced with the need to adapt
their cultures to the work styles of Generation Y (Sujansky & Ferri-Reed, 2009).

30

Grab a hold of Generation Y the moment they accept ajob offer. As mentioned earlier,
mentoring is important for this generation. A well prepared employer will assign the new hire to
experienced employees from day one to work with and mentor the Gen Y employee. The
mentors are expected to take responsibility for orientation and initial training of the new hire.
They are also expected to stick with the new hire for the first six months of employment
according to Tulgan (2009). The mistake employers often make after investing so much time
and energy into a new hire, is immediately dropping them into a demoralizing non-supportive
workplace. Tulgan suggests that some employers break down the size of a task or project into
small sizes and train the new hires one tiny piece at a time until they have built a fairly big
repertoire. For ambitious new hires, this could happen within a few months and since
Generation Y does not want to wait years to do important work and to be taken seriously, this
style of training can serve both the employer and the employee very well.
Organizations who are accustomed to the work-life imbalance of the Baby Boomers are
in for a surprise when trying to retain Gen Y employees. This younger generation is more
interested in a work-life balance to the extent that they will leave their jobs if they feel there is an
imbalance. Work-life balance means more than salary for many (Sujansky & Ferri-Reed, 2009).
Companies that are creative with the work schedules of this generation will undoubtedly have an
advantage over those that are not. If your company can offer such scheduling options as
telecommuting, taking Fridays off after working four ten-hour shifts, or arriving early on Friday
to leave early on Fridays, then these options need to be heavily promoted to Generation Y
employees. Having a flexible work schedule allows Generation Y to meet their workplace
ambitions and meet their lifestyle priorities. It will also keep them happy and secure their
longevity at their place of employment (Dorsey, 2010).

31

According to Sujansky & Ferri-Reed (2009), companies that want to be the best in the
eyes of Generation Y, will need to communicate corporate vision. This generation is attracted to
companies that value a commitment to quality products, the environment, and customers.
Generation Y likes to feel that their work contributes to the greater good of society.
Companies will also need to emphasize respect for diversity. According to Orrell (2007),
this generation grew up with dual-income families, divorced parents, and daycare. With the use
of the Internet, they have been able to communicate and befriend people from all over the globe.
As a result, this is a very diverse generation with an open mind and acceptance for differences in
race, gender, ethnicity, and sexual orientation.
Generation Y wants to work for a company that involves itself in the community and one
that values volunteerism. In middle school and high school most of this generation was required
to provide some form of service to the community. These young people want to align
themselves with a company that makes them feel proud (Sujansky & Ferri-Reed, 2009).
A total compensation package is important to attracting a member of this generation
(Carey, 2001). Generation Y expects strong base pay packages, a management style that
promotes honesty and integrity, opportunities to work with diverse groups in team settings, and
continuous training. They want an organization that will keep them marketable.
Often times it has been said that this group needs immediate feedback. They are not
willing to wait for an annual review to find out how they are performing. This generation is
hungry for mentoring and coaching and responds very well to spontaneous feedback in real time
according to Sujansky & Ferri-Reed (2009). Gen Y wants to be the best. They are interested in
knowing how they are doing right away so they can make corrections and improve. They are not

32

interested in waiting several months to find out how they are performing (Sujansky & FerriReed, 2009).
In addition to providing immediate feedback, successful companies will engage this
generation if they create what Sujansky & Ferri-Reed (2009) call "career pathing" or "career
laddering." This is defined as a formal process that shows employees what their career
progression can look like. Generation Y is more likely to be loyal to a company if they are
allowed to be involved in developing their career path within that company, especially if it
relates to the visions of the company.
Many companies are trying to figure out how to develop loyalty with Generation Y. As
Dorsey (2010) states, Generation Y loyalty is based on an emotional connection to a company
and its leadership. It has little or nothing to do with their paycheck. According to Lipkin &
Perrymore (2009), this generation shows loyalty to people, not companies. Dorsey (2010) also
states that Generation Y wants to be valued by their employer. They want to be seen as
individuals first, employees second. Once Generation Y feels the appreciation by the employer,
the foundation is laid for them to create a safe emotional space where they can begin to trust the
employer with their loyalty.
Generation Y is unlike their predecessors. Although they are loyal, they are only loyal if
they are treated well (Dorsey, 2010). They are not likely to suffer in silence if they are not
treated well or are not appreciated and rewarded appropriately. Unlike the Baby Boomers before
them who were simply happy to have a job and receive a paycheck every two weeks, this
generation wants more. They want lots of feedback and praise. They want a culture that values
them and a company with a vision they can be proud to work for. Companies that are realizing

33

this are starting to think of innovative ways to create a new company-wide culture that appeals to
this generation as well as encourages them to stay.

34

Chapter III Methodology

Introduction
It is tlUe that Generation Y will continue the push that began with Gen Xers for cutting-

edge technology in the workplace. This generation will also continue to encourage their
employer for more paid time off to become active in community projects. They will request a
flexible work schedule allowing them opportunities to telecommute and to exchange overtime
for Friday afternoons off. Generation Y will expect to be respected and recognized as the unique
individuals they are. They will continue to look for new ways within the organization to develop
their professional skills (Gravett & Throckmorton, 2007). Their aim is to develop as many
marketable skills as possible, expecting companies to help them build their resumes (Alsop,
2008). Generation Y wants their dream job as early as possible. They become quickly
disillusioned as the realities of the workaday world sets in. This generation only feels a sense of
loyalty to the people they work with and are prepared to change career paths several times
throughout their lives (Alsop, 2008).
Understanding what Generation Y wants will help employers create better marketing
strategies when trying to attract and reclUit this population. Knowing the background and
characteristics of Generation Y will also help companies design programs to explore career path
advancement, reevaluate policies regarding work/life balance with flexibility while maintaining a
productive stlUcture. Employers will need to be prepared to explain how their company is a cool
place to work. So are companies making the changes necessary to successfully reclUit and retain
Generation Y employees?
Because of the changing demographics in new hires, the researcher thought it impOliant
for Human Resource (RR) Managers to understand what Generation Y wants and needs in the
workplace to ensure reclUiting effOlis are designed to meet those needs and to ensure retention.

35

The researcher studied how well employers are changing their recruiting and retention strategies
to meet the demands oftoday's youngest workforce - Generation Y.

Purpose of the Study

The purpose of this study is to detennine whether Human Resource Managers recognize
the workplace motivations of the different generations and if or to what extent companies are
changing their recruiting and retention practices to attract and retain Generation Y into the
workplace.

Research objectives
1. To identify the demographic characteristics of Traditionalists (born between 1922 and 1943),
Baby Boomers (born between 1944 and 1964), and Generation X (born between 1965 and
1979) and what they want in the workplace.
2. To identify the demographic characteristics of Generation Y (born between 1980 and 2000)
who are the primary focus of this study.
3. To identify the motivations of the older generations (those born before 1980) and the
motivations of Generation Y (those born between 1980 and 2000) in the workplace.
4. To identify what recruiting and retention efforts employers are currently using to attract and
retain Generation Y.
5. To identify what type of recruiting and retention efforts employers should be using to
successfully recruit and retain Generation Y to their company.

Subject Selection
The target population of this research is Human Resources (HR) Managers and hiring
managers whose primary focus is to recruit and retain employees, primarily Generation Y
employees. These were HR Managers in a select group of companies in Northeast Wisconsin.

36

The systematic sampling methodology was structured to obtain a representative sample of the
respondents.

Instrumentation
An online survey was set up, investigating the recruitment and retention practices of
select companies in Northeast Wisconsin. In order to obtain the largest sampling possible the
survey was emailed to 556 Human Resource Managers and hiring managers in select companies
in Northeast Wisconsin asking for their participation in the study. Each email contained a URL
to the online survey. FurthelIDore, participants were informed of the fact that this study sought
to collect data about the company's recruitment and retention practices of Generation Y. Each
recipient was requested to forward the email to other Human Resource Managers or hiring
managers whom they felt would be appropriate candidates to participate in this study.
As the primary data-gathering instrument for this study, the online survey questions were
based on the data the researcher discovered during the literature review. The information in the
literature review was used to meet the objectives ofthis study.
The survey (Appendix A) has five sections that include:

Section I: The motivations of older generations (those born before 1980) and the motivations
of Generation Y (those born between 1980 and 2000) in the workplace (4 points on a Likeli
Scale).

Section II: The advertising methods used by the company to advertise employment
opportunities (5 points on a Likert Scale).

Section III: The recruitment strategies the company uses to attract Generation Y (4 points on
a Likert Scale).

37

Section IV: The retention strategies the company uses to retain Generation Y (4 points on a
Likert Scale).

Section V: The demographics of the Human Resource Manager or hiring manager including
age and size of the company (checklist).

Survey Administration
The online survey (Appendix A) was emailed to 556 Human Resources Managers and
hiring managers in a select group of companies in Northeast Wisconsin using the UW Stout
Qualtrics system. It was also posted on eight LinkedIn groups. Included with the survey was a
cover letter (Appendix B), which briefly explains the importance of the survey and the value it
provides to companies in future attraction and retention efforts of Generation Y. The
respondents were also informed that the survey was voluntary and their responses were strictly
confidential. The survey was emailed on March 8, 2011. The respondents were asked to
complete the survey by March 25,2011. This resulted in nine undeliverable emails, 102 surveys
started and 92 surveys completed.
To increase the response, a reminder was emailed to the same group on March 23,2011,
including a follow up letter (Appendix C) and the survey, asking respondents to complete the
survey by March 30,2011. This resulted in 56 undeliverable emails, 127 total surveys were
started and 113 total surveys were completed. Although there were 113 completed surveys
reported, not all respondents answered every question.
Data analysis
The total sample comprised of 113 completed surveys. The survey software used was
Qualtrics, a survey software program licensed through UW Stout. Frequency counts, mean,
variance, and standard deviation were calculated as well as minimum and maximum values. The

38

results of those analyses were used to assess the recruitment and retention practices companies in
Northeast Wisconsin were using to attract and retain Generation Y, from the perspective of the
Human Resources Managers and hiring managers who completed the surveys.
Limitations

The limitations of this study might affect directly or indirectly the obtained results.
These limitations include:

The total completed surveys are a small number of the population. Therefore, the results of
the study might not apply to all companies in Northeast Wisconsin.

The results might be biased depending on the background of the respondents.

The majority of the respondents work at companies with 100 or fewer employees. What may
apply to smaller companies may not apply to larger companies and vice versa.

The survey did not identify the responses based on the respondent's age, gender and
background.

39

Chapter IV Results
This study focused on the Recruitment and Retention of Generation Y. A survey was
emailed to 556 Human Resources Managers and hiring managers in Northeast Wisconsin. The
survey was used to address the objectives of this study. In this chapter the objectives will be
addressed and compared with the results of the survey. The objectives of the survey include
identifying the following:

To identify the workplace motivations of older generations (those born before 1980).

To identify the workplace motivations of Generation Y (those born 1980 and 2000).

To identify the methods companies use to advertise employment opportunities.

To identify the recruitment strategies companies use to attract Generation Y.

To identify the retention strategies companies use to retain Generation Y.

As stated earlier, a total of 556 surveys were emailed to Human Resources Managers and

hiring managers using the UW Stout Qualtrics survey software. A total of 113 surveys (20%)
were completed and analyzed through that software program. From that survey the following
statistics were captured: the minimum and maximum value, the Mean, Variance and Standard
Deviation.
The results of the data were determined in the following order:

The Human Resource Manager's perspective of the motivations of older generations (those
born before 1980) in the workplace.

The Human Resource Manager's perspective of the motivations of Generation Y (those born
1980 and 2000) in the workplace.

The standard and Internet methods of advertising the respondent's company uses to advertise
employment opportunities.

40

The recruitment strategies the respondent's company uses to attract Generation Y.

The retention strategies the respondent's company uses to retain Generation Y.

The size of the respondent's company.

The age range of the respondent.

Motivations of Older Generations (those born before 1980) in the Workplace

The highest number of responses for this topic was 95, the lowest was 92. To assess the data,
a Likert Scale or five-point scale, ranging from not relevant to always relevant, was used. The
respondents were asked to identifY the older generation's value placed on 19 different
motivations in the workplace. The results of Question 1, in Section I of the survey (Appendix
A), are depicted in Table 1. The mean and standard deviation is tabulated in this chali.

41

Table 1

Motivations of Older Generations in the Workplace

#

Question

Benefits

Retirement
plan
Value integrity
and honesty
Salary

3
4

Challenging
work
Supporting
6
work/life
balance
Personal
7
recognition
Increasing
8
responsibility
9
Career
advancement
plan
10 Reward
11 Incentive
12 Receiving
feedback
13 Training
opportunities
14 Flexibility in
scheduling
15 Be challenged
quickly
16 Team building
17 Mentoring
program
18 Fun social
events
19 Social media

Not
Relevant
0

Somewhat
Relevant
3

Mostly
Relevant
23

Always
Relevant
67

Response

Mean

SD

93

3.69

0.53

26

61

94

3.57

0.63

1
1

6
17

26
31

61
46

94
95

3.56
3.28

0.66
0.79

27

41

27

95

3.00

0.76

28

38

28

94

3.00

0.78

23

43

26

95

2.97

0.80

25

42

26

95

2.97

0.79

2
3
2

25
29
33

45
37
39

23
23
20

95
92
94

2.94
2.87
2.82

0.77
0.83
0.79

37

40

16

95

2.74

0.76

37

35

18

94

2.71

0.82

45

34

14

93

2.67

0.73

3
5

44
51

36
26

12
13

95
95

2.60
2.49

0.75
0.80

10

62

15

94

2.20

0.73

22

48

18

94

2.09

0.83

30

56

95

1.82

0.71

42

Most respondents' opinions of the motivations of the older generation in the workplace
agree that they are interested in benefits (Mean score = 3.69), a retirement plan (Mean score =
3.57), value integrity and honesty (Mean score = 3.56), and salary (Mean score = 3.28). On the
other hand, most respondents' opinions of the motivations of the older generation agree that they
are least interested in having a social media presence (Mean score = 1.82), fun social events
(Mean score = 2.09), a mentoring program (Mean = 2.20), and team building (Mean = 2.49).
In this example (Table 1), the standard deviation for all 19 points is below 1.0, indicating
that there is not much variation in the answers in the population which was sampled. This means
that most respondents agreed with each other, therefore one can expect the mean of a sample to
be similar or the same as the mean of the entire population. In contrast, if the standard deviation
is large, most respondents disagree with each other, or have a large number of differing
responses.

Motivations of Generation Y (those born between 1980 and 2000) in the Workplace
The highest number of responses for this topic was 94, the lowest was 93. To assess the data,
a Likert Scale or five-point scale, ranging from not relevant to always relevant, was used. The
respondents were asked to identify the value Generation Y placed on 19 different motivations in
the workplace. The results of Question 2, in Section I of the survey (Appendix A), are depicted
in Table 2. The mean and standard deviation is tabulated in this chart.

43

Table 2

Motivations of Generation Yin the Workplace

#
1
2

3
4

6
7
8
9
10
11

12
13
14

15
16
17

18
19

Salary
Personal
recognition
Flexibility in
scheduling
Career
advancement
plan
Supporting
work/life
balance
Rewards
Training
opportunities
Social media
presence
Incentives
Challenging
work
Receiving
feedback
Fun social
events
Increasing
responsibility
Being
challenged
quickly
Team
building
Mentoring
program
Valuing
integrity and
honesty
Benefits
Retirement
n=94

Not
Relevant
0

Somewhat
Relevant
7

Mostly
Relevant
29

Always
Relevant
58

Response

Mean

SD

94

3.54

0.63

30

55

93

3.51

0.65

11

25

58

94

3.50

0.70

30

54

94

3.46

0.71

0
1

9
8

34
35

51
49

94
93

3.45
3.42

0.67
0.70

10

34

48

94

3.36

0.76

2
1

10

12

35
35

47
45

94
93

3.35
3.33

0.76
0.74

14

33

46

94

3.32

0.76

13

34

44

93

3.29

0.79

14

32

45

93

3.29

0.80

16

36

41

94

3.24

0.77

12

43

36

93

3.22

0.75

23

33

35

93

3.09

0.84

22

43

23

93

2.90

0.83

0
1

35
33

38
40

21
20

94
94

2.85
2.84

0.76
0.77

10

46

29

94

2.39

0.81

44

Most respondents' opinions of the motivations of Generation Y in the workplace agree

that they are interested in salary (Mean score = 3.54), personal recognition (Mean score

3.51),

flexible scheduling (Mean score = 3.50), career advancement plan (Mean score = 3.46) and
work/life balance (Mean = 3.45). On the other hand, most respondents' opinions of the
motivations of Generation Y agree that they are least interested in having a retirement plan
(Mean score = 2.39), benefits (Mean score = 2.84), value integrity and honesty (Mean = 2.85),
and a mentoring program (Mean = 2.90).
In this example, the standard deviation for all 19 points is below 1.0, indicating that there
is not much variation in the answers in the population which was sampled. This means that most
respondents agreed with each other, therefore one can expect the mean of a sample to be similar
or the same as the mean of the entire population. In contrast, if the standard deviation is large or
greater than 1.0, it can be determined that there is a large number of differing responses.

Standard Methods of Advertising for Employment

The highest number of responses for this topic was 94, the lowest was 93. To assess the data,
a Likert Scale or five-point scale, ranging from not relevant to always relevant, was used. The
respondents were asked to identify the standard methods of advertising their company uses to
advertise employment opportunities. The results of Question 3, in Section II of the survey
(Appendix A), are depicted in Table 3. The mean and standard deviation is tabulated in this
chmi.

45

Table 3

Standard Methods ofAdvertising

#

Question

1
2
3
4
5
6

Internet
Referral
Job Fair
Billboard
Radio

Least
Often
3
4
25
54
55
40

Often
5
29
33
9
13
25

Most
Often
13
21
17
4
5
13

Always
71
38
10
1
0
8

1
2
9
26
21
7

Responses

Mean

SD

93
94
94
94
94
93

3.67
3.05
2.41
2.32
2.14
2.11

0.74
0.99
1.26
1.75
1.63
1.26

Based on the Mean score of3.67, the most frequently used standard method of
advertising for employment opportunities the respondent's company uses is the Internet. The
second most frequently used method of advertising is by referral (Mean = 3.05). On the other
hand, most respondents indicated that newsprint (Mean = 2.11) was used the least as well as
radio (Mean = 2.14).
In this example, the standard deviation for responses to Internet and refenal indicated
there is not much variation in the answers in the population that was sampled. There was a great
deal of variation, or a large number of differing responses, with the respondent's answers for
their company's use of newsprint, billboard, radio, and job fairs as standard methods of
advertising for employment opportunities.

Online Methods of Advertising for Employment

The highest number of responses for this topic was 94, the lowest was 72. To assess the data,
a Likert Scale or five-point scale, ranging from not relevant to always relevant, was used. The
respondents were asked to identify the methods of online advertising their company uses to
advertise employment opportunities. The results of Question 3.1, in Section II of the survey

46

(Appendix A,) are depicted in Table 4. The mean and standard deviation is tabulated in this
chart.
Table 4

Online Methods ofAdvertising for Employment Opportunities

#

Question

1
2
3
4
5
6
7
8
9

Company website
Other
Careerbuilder.com
Craigslist
eBay
Monster. com
Linkedln
Blog/Twitter
Facebook
n=94

Least
Often
5
10
15
39
52
32
30
43
37

Somewhat
Often
7
7
11
11
1
17
20
12
18

Most
Often
12
11
26
8
1
12
14
4
9

Always

N/A

Response

Mean

SD

65
20
32
8
0
15
12
6
4

5
24
9
27
39
17
17
28
21

94
72
93
93
93
93
93
93
89

3.62
3.57
3.10
2.71
2.71
2.66
2.63
2.61
2.48

0.91
1.40
1.23
1.73
1.97
1.54
1.50
1.77
1.62

Based on the Mean score of 3 .62, the most frequently used online method of advertising
for employment opportunities the respondent's company uses is the company website. The
second most frequently used online method of advertising is Careerbuilder.com (Mean = 3.10).
On the other hand, most respondents indicated that the use of Facebook (Mean = 2.48) was used
the least as well as Blog/Twitter (Mean = 2.61).
In this example, the standard deviation for responses to company website indicates there
is not much variation in the answers in the population that was sampled. There was a great deal
of variation, or a large number of differing responses, with the respondent's answers for their
company's use of Careerbuilder.com, Monster.com, LinkedIn, Facebook, Craigslist, eBay, and
Blog/Twitter online methods of advertising for employment opportunities.

The Recruitment Strategies to Attract Generation Y

The highest number of responses for this topic was 80, the lowest was 46. To assess the data,
a Likert Scale or five-point scale, ranging from not relevant to always relevant, was used. The

47
respondents were asked to identify which of the 28 recruitment strategies their company uses in
its promotions or advertisements to attract Generation Y. The results of Question 4, in Section
III of the survey (Appendix A), are depicted in Table 5. The mean and standard deviation is
tabulated in this chart.

48

Table 5
Recruitment Strategies to Attract Generation Y
#

Questions

We advertise our
company core values
are honesty and
integrity
2
We advertise they will
be treated with respect
& their opinions matter
We advertise that we
3
support diversity
4
We promote that we
support & encourage
advancement
5
We offer a
collaborative work
culture
6
We promote that we
provide new
experiences & exciting
opportunities
We have a company
7
presence on MySpace
&/or Facebook
8
We promote that they
will be challenged
quickly
We promote that we
9
employ fun & friendly
people
10 We promote that we
will respect their
personal life
11 We offer rewards for
hard work or have
reward programs
12 We advertise that we
are charitable and
green
13 We will support
entrepreneurial spirit

Least
Often

Somewhat
Often

Most
Often

Always

Response

Mean

SD

11

13

47

76

3.34

0.96

20

39

75

3.21

0.99

24

38

78

3.19

0.97

12

39

25

81

3.04

0.84

18

33

23

82

2.87

0.94

10

21

26

22

79

2.76

1.00

15

15

25

64

2.69

1.22

12

25

20

22

79

2.66

1.05

12

24

19

22

77

2.66

1.06

13

19

27

18

77

2.65

1.05

14

27

14

24

79

2.61

1.10

23

12

17

24

76

2.55

1.23

11

29

23

14

77

2.52

0.95

49

14

We provide a very
structured path for
advancement
15 We offer a solid
mentoring program &
strong leadership
16 We offer a flexible
work environment
17 We offer fun social
events
18 We incorporate family
day
19 We have a presence on
YouTube
20 We use Podcast
Vidcast Blog Vlog
Twitter
21 We offer home office
allowance
22 We offer webinars for
Q&A
23 We hand out company
information on a flash
drive
24 We accept video
resumes
25 We use text message
campaigns
26 We have company
videogame andlor
online business task
simulation
27 We use CareerTV.com
n=82

18

26

17

16

77

2.40

1.07

17

28

23

13

81

2.40

1.00

23

24

20

13

80

2.29

1.06

26

24

62

1.82

0.86

31

16

60

1.78

0.98

33

55

1.75

1.06

30

15

56

1.73

0.94

40

56

1.43

0.76

40

52

1.38

0.82

38

50

1.32

0.65

38

46

1.28

0.69

41

49

1.22

0.55

43
44

2
4

2
1

0
0

47
49

1.13
1.12

0.45
0.39

With regards to the recruitment strategies the respondent's company uses in its
promotions or advertisements to attract Generation Y, the respondents agree that they most often
advertise that their company's core values are honesty and integrity (Mean score = 3.34), they
advertise that Gen Y will be treated with respect and their opinions matter (Mean = 3.21), they
advertise that they support diversity (Mean score = 3.19), and they promote that they support and
encourage advancement (Mean score = 3.04). On the other hand, most respondents' agree that

50

their company's least promoted strategies are the use of CareerTV.com (Mean score = 1.12), the
use of a company video game and/or online business/task simulation (Mean score = 1.13), the use
of text message campaigns (Mean score = 1.22), and the use of video resumes (Mean score =
1.28).
The line items above with standard deviations greater than 1.0 means the standard error
of the mean is large indicating that there is considerable variation in the respondent population
that was sampled or that they disagreed with each other. As a result, one can expect a
proportionally large number of differing responses in the target population for these same items.

The Retention Strategies to Retain Generation Y

The highest number of responses for this topic was 81, the lowest was 53. To assess the data,
a Likert Scale or five-point scale, ranging from not relevant to always relevant, was used. The
respondents were asked to identify which of the 18 retention strategies their company uses in its
efforts to retain Generation Y. The results of Question 5, in Section IV of the survey (Appendix
A) are depicted in Table 6. The mean and standard deviation is tabulated in this chart.

51

Table 6

Retention Strategies to Retain Generation Y

#

Question

Least
Often

Somewhat
Often

Most
Often

Always

Response

Mean

SD

14

30

34

82

3.15

0.88

12

34

30

81

3.10

0.87

15

13

15

37

80

2.93

1.18

19

22

31

81

2.93

1.03

25

25

20

79

2.71

0.98

7
10

25
26

31
32

14
13

77
81

2.68
2.59

0.88
0.91

10

26

28

13

77

2.57

0.92

17

22

22

19

80

2.54

1.08

13
18

28
21

17
22

17
17

75
78

2.51
2.49

1.03
1.08

13

29

27

11

80

2.45

0.93

20

18

21

16

75

2.44

1.11

18
23

25
26

14
18

17
10

74
77

2.41
2.19

1.10
1.01

32
29
41

12
20
3

10
16
4

9
4
5

63
69
53

1.94
1.93
1.49

1.12
0.94
0.99

Provide feedback &

recognition
Security & safety from
2
employer
Have an established
3
on-boarding process
the first day
4
Encourage them to
recruit their friends
5
Have work
environment for idea
sharing
Challenging career
6
development
opportunities sooner
rather than later
7
Mentoring
Provide supporting
8
role on a project
Offer a fun & family
9
like work environment
10 Have an established
training & reverse
training program
11 Career coaching
12 Flexible work
environment
13 Strong Internet
presence
14 State of the art
technologies in the
workplace
15 Job shadowing
16 Opportunity to
telecommute for
certain positions
17 Job rotation
serVices
18
n=82

52

With regards to the retention strategies the respondent's company uses to retain
Generation Y, the respondents agree that they most often use the following strategies to retain
Generation Y: they provide feedback and recognition (Mean score = 3.15), they offer security
and safety (Mean score = 3.10), they have an established on-boarding process the first day (Mean
score 2.93), and these companies encourage Generation Y to recruit their friends (Mean = score
2.93). On the other hand, most respondents' agree that the retention strategies their company
uses the least are offering concierge services (Mean = 1.49), job rotation (Mean = 1.93), and the
opportunity to telecommute for certain positions (Mean = 1.94).
The line items above with standard deviations greater than 1.0 means the standard en-or
of the mean is large indicating that there is considerable variation in the respondent population
that was sampled or that they disagreed with each other. As a result, one can expect a
proportionally large number of differing responses in the target population.
Demographics of Company Size
The size of the company's surveyed ranged from less than 100 employees to over 5000.
As indicated in Table 7, the majority of the companies that responded had a population ofless
than 100 employees (29%). Coming in a close second at 28%, were companies with a size of
101 - 500 employees. The fewest responses (14%) came from a company size that has greater
than 5000 employees.

53

Table 7

Company Size
#

Size

Response

<100

25

29%

101-500

24

28%

501 - 1000

10%

1001 - 5000

16

19%

>5000

12

14%

86

100%

Total
n=86

Respondents Profile
The total of respondents who answered the question on age was 86. Table 8 outlines the
demographics ofthe age ranges of the respondents. The majority of the respondents were within
the 47 - 67 year age range (40%).
Table 8

Age Range of Respondents

#

Age

Response

31 years old & younger

20

23%

32 - 46 years old

31

36%

47 - 67 years old

34

40%

68 years & older

1%

86

100%

Total
n=86

54

Chapter V Discussion
This chapter includes the major findings and the conclusions of this study.
Recommendations to the Human Resource Managers with suggested strategies to recruit and
retain Generation Yare made. In addition, the researcher also suggests recommendations for
future study.

Restatement of the Problem

As employers continue to seek out new employees to replace those who have left the
workplace, Generation Y is starting to enter the workforce in record numbers. There are an
estimated 80 million kids and young adults in this new generation (Orrell, 2007). Companies are
spending millions of dollars updating their recruiting efforts, corporate cultures, and
management styles to accommodate this unique generation (Orrell, 2007). It is estimated that
this generation will create new definitions for work environments, success, leadership,
communication, management, entrepreneurship, corporate culture, and professional relationships
(Orrell, 2007). Generation Y will bring a new style and a new perspective to the workforce, but
unless organizations are willing to adapt, they risk losing billions of dollars to unwanted turnover
and lost productivity (Sujansky & Ferri-Reed, 2009). Companies must first understand this
younger generation, learn their background and characteristics as well as understand their work
style and what motivates them. Companies need to make radical changes or risk losing billions
of dollars because they lack a process to attract, hire, and retain this dynamic new generation
(Sujansky & Ferri-Reed, 2009).

55

Research objectives

1. To identify the demographic characteristics of Traditionalists (born between 1922 and 1943),
Baby Boomers (born between 1944 and 1964), and Generation X (born between 1965 and
1979) and what they want in the workplace.
2. To identify the demographic characteristics of Generation Y (born between 1980 and 2000)
who are the primary focus of this study.
3. To identify the motivations of the older generations (those born before 1980) and the
motivations of Generation Y (those born between 1980 and 2000) in the workplace.
4. To identify what recruiting and retention efforts employers are currently using to attract and
retain Generation Y.
5. To identify what type of recruiting and retention efforts employers should be using to
successfully recruit and retain Generation Y to their company.
Limitations

The limitations of this study might affect directly or indirectly the obtained results. These
limitations include:

The total completed surveys are a small number of the population. Therefore, the results of
the study might not apply to all companies in Northeast Wisconsin.

The results might be biased depending on the background of the respondents.

The majority of the respondents work at companies with 100 or fewer employees. What may
apply to smaller companies may not apply to larger companies and vice versa.

The survey did not identify the responses based on the respondent's age, gender and
background.

56

Summary of Methodology
An online survey was used as the primary data collection instrument for this study. The
survey (Appendix A) was used to address research objective three above: To identifY the
motivations of the older generations (those born before 1980) and to identify the motivations of
Generation Y (those born between 1980 and 2000) in the workplace, and research objective four:
To identifY what recruiting and retention efforts employers are currently using to attract and
retain Generation Y. The subjects were Human Resource Managers and hiring managers fi'om
select companies in Northeast Wisconsin. A literature review was done to attain information to
support objectives one, two, and five.
The purpose of the survey was to gain an understanding of the recruitment and retention
practices of employers in Northeast Wisconsin. The survey was emailed to 556 Human
Resources Managers and hiring managers. The total number of respondents was 113 (20%).
Discussion of Significant Findings
From the survey we learned that 23 % of the respondents were 31 years of age or younger,
36% ofthe respondents were 32 to 46 years old, 40% of the respondents were 47 to 67 years old
and 1% was 68 years or older. The majority of the respondents were in the 47 to 67 year old age
range. The survey did not identifY the responses based on the age of the respondents.
Another demographic considered in the survey was the size of the company the
respondents worked: 29% of the companies had 100 or few employees, 28% of the respondents
worked for companies with 101 to 500 employees, 19 % of the respondents worked for
companies with 1001 to 5000 employees, 14% of the respondents came from companies with
over 5000 employees and 10% of the respondents worked for companies with employees 501 to

57

1000. From this survey, the majority of the respondents came from companies with fewer than
100 employees.

Objective 3: To identify the motivations of the older generations (those born before
1980) and to identify the motivations of Generation Y (those born between 1980 and 2000)
in the workplace.
The survey asked the Human Resource Managers what their perspective was of the
motivations of both the older generation, that group born before 1980 and the motivations of
Generation Y, those born between 1980 and 2000, in the workplace. Understanding what
motivates the older generations and comparing those motivations with what motivates the
younger generation, might help employers recognize what their recruitment and retention efforts
should be focused on as older employees retire and leave the workplace.
According to the results of the survey (Appendix A) and question one, ranking the
importance of 19 different motivations, it was not surprising to learn that the older generations
were interested in benefits, a retirement plan, integrity and honesty, salary, and challenging work
as their top 5 most important motivations in the workplace. Sixth place for the older generation
was supporting a work/life balance. This last fact is somewhat surprising because, according to
Zemke et aI., (2000), the word "workaholic" was coined to describe the work ethic of the Baby
Boomers. Since the 1970s, the average time spent at work has increased one full month (Zemke
et aI., 2000). As the results indicate, it appears as though even the workaholic Baby Boomers
recognize the need to pull out of the "rat race." However, keeping in mind that this group as
defined in the study as the older generations, those born before 1980, also includes Generation X.
This generation, according to Zemke et ai. (2000), has a need for flexibility in the workplace and
is very clear of the word "balance" in their lives. Also, according to Hart (2006), time balance is

58

key for this group as recreation is important to them. Combining the two generations, as was
done in this study, resulted in placing work/life balance in the top six motivations of this group.
See Table 1 Chapter 4 for list of motivations ranked according to mean score.
On the other hand, the top five responses Human Resource Managers indicated that were
the motivators of Generation Y, based off of the same 19 different motivations, were salary,
personal recognition, flexibility in scheduling, career advancement plans, and a work/life
balance. As learned from the literature review, it is not surprising that the younger generation is
interested in these things.
Salary: The formative years of this generation occurred during a period of economic
prosperity, hence the value placed on salary as a possible means to maintain the lifestyle they
grew up in (Chen & Choi, 2008). It is surprising, however, to find that salary is ranked so high
on the list according to the perspective of the Human Resource Managers. According to Dorsey
(2010), Generation Y values money as a motivator, however, this generation will move into ajob
with lower pay if it is positioned correctly with other benefits as talent development
opportunities, work/life balance, and outlines for career path development.
So why do managers still think salary is important? As noted in the article, "Love' em or
Lose' em" (2007), employees often bring up the subject of compensation when they complain.
Also when workers come to their bosses they usually want a raise. When these concerns are
frequent enough, managers get the impression that money is what matters the most. Carey
(2001) suggests that this generation is motivated by money because of the lifestyle they are
accustomed to since mom and dad forked out money to cater to their expensive designer desires.
Howe & Straus (2007) suggest that salary is important to Generation Y because of the larger

59

student loans they have. They are also faced with skyrocketed housing costs while most salaries
in entry-level occupations remain the same.
Personal Recognition: In today's competitive work environment, verbal recognition is not
enough. According to Martin & Tulgan (2001), managers must also customize rewards and
incentives to keep their best talent engaged and on board. With companies offering great
incentive packages, employers should consider recognition beyond words rather than just letting
people know they have done a good job. In addition, according to Lancaster & Stillman (2010),
one size rewards do not fit all. This generation is all about customization. Whether it is a
tangible reward or a new responsibility, make sure Gen Y knows why and how this reward was
chosen just for them. Generation Y is used to getting instant feedback. As noted in the literature
review in Chapter II, Generation Y prefers constant feedback and is more at ease and is able to
do the job right when given detailed instructions (Glass, 2007).
Flexibility in scheduling: This generation concurs that where and when they work should
not matter as long as the work gets done (Tapia, 2008). Some of these young professionals have
seen their parents work from home. What they may not know is that it might have taken their
parents 20 to 30 years to get to that point in their career, perhaps because the technology did not
allow it until now. Well the technology is here and these professionals want to use it. They want
flexibility in how and where they work. According to Orrell (2007), employers are going to have
to trust that their new 20-something employees will get their work done, even if they are not
sitting in their designated cubicles every day from 9 to 5.
Career advancement plans: Providing a career plan for Generation Y gives them one
more reason to stay with your company long term. This is an important point since research
shows that many Generation Y employees believe that they should not spend more than one to

60

two years in entry-level positions (Orrell, 2007). A great majority of Gen Y workers plan to stay
just one to five years at a job. With these statistics, it appears to be important for employers to
consider communicating and emphasizing a career advancement plan.
A career plan or map, according to Dorsey (2010), should sta11 with the current position
and end with the outcome position for the employee, including achievements or outcomes and
specific skills required for each position until the dream job is reached. For Generation Y
employees, knowing the steps in their career path motivates them to work harder, because they
can see the progress they are making every day.
Work/life balance: It is not surprising that work/life balance came up in the top five
preferences for Generation Y. Although they are willing to work hard, this generation is not
willing to work the 60 + hours per week that their parents worked. This generation values the
good life like their parents do, but they are not willing to sacrifice time with family and friends to
achieve it (Orrell, 2007).

Objective 4: To identify what recruiting and retention efforts employers are

currently using to attract and retain Generation Y.
Section II Advertising for employment opportunities included two parts. The first part
addressed six standard advertising methods (Table 3, Chapter IV) such as the Internet, newsprint,
billboard, radio, job fairs, and referrals. The second part of Section II addressed nine different
online methods (Table 4, Chapter IV) of advertising for employment opportunities such as:
Careerbuilder.com, Monster.com, LinkedIn, Facebook, Craigslist, eBay, company website, and
Blog/Twitter. The top three standard advertising methods used according the Human Resources
Managers were Internet, referrals, and job fairs. Newsprint, billboard, and radio scored lowest
indicating that these methods are not used often by the companies surveyed. The standard

61

deviation for the Internet and referral options, .74 and .99 respectively, shows that the data are
tightly clustered, indicating that there was much agreement between the respondents with their
scoring. On the other hand, the standard deviation for newsprint, billboard, radio, and job fairs,
1.26, 1.75, 1.63, 1.26 respectively, tells us that the scoring is widely scattered and the
respondents were not in as much agreement.
The second part of Section II on Advertising included online options. The areas that had
the highest scores were company website and Careerbuilder.com. The "Other" option received a
higher number as well, but the respondents did not have an opportunity to identify what those
other means of advertising were. The lowest scores were assigned to the following options:
Monster.com, LinkedIn, Craigslist, BIog/Twitter, Facebook and eBay in order of frequency used.
The standard deviation of 0.91 for company website indicates that there was much agreement
between the respondents in answering this question. The standard deviation for the other eight
options was higher or greater than 1.0 indicating that the respondents varied greatly in their
answers.
From the survey results, it appears as though most companies are using the following
advertising methods to promote employment opportunities: the Internet, referrals, job fairs, the
company website, and Careerbuilder.com. In all the research about Generation Y, we have
learned that this generation was raised with the birth of the Internet and knows that any company
can be found on the World Wide Web. It might be safe to say, that if a company is not using
technology its chances to attract Generation Y employees will be difficult.
As the literature indicates, this generation has grown up with technology since day one.
As a result, to attract Generation Y, according to Orrell (2007), companies need to expand their
thinking outside of the old style of attracting talent and start embracing technology. Experts

62

agree that attending job fairs is still important as well as having in-person gatherings, but this
younger generation of professionals, who have grown up in a virtual world and a human world
needs to be communicated through both. No longer can one find success by placing an ad in the
Sunday newspaper and expect quality candidates to call. Even posting a generic ad on
Monster.com will only lead to generic applicants (Dorsey, 2010). Instead, the experts tell us that
companies need to be "Y-Sized" to attract the quality Gen Y applicants they can rely on.
Section III Recruitment addressed the recruitment strategies that companies use in its
promotions or advertisements to attract Generation Y. The Human Resource Managers and
hiring managers were given 27 different recruitment strategies (Table 5, Chapter IV) to rank on a
four-point Likert Scale with one occurring least often and four occurring always. The top
strategies the HR Managers reported occur the most often are listed as follows in order of
frequency determined by the Mean score:
1. We advertise that our company core values are honesty and integrity (Mean = 3.34).

2. We advertise that they will be treated with respect and their opinions matter (Mean

3.21).

3. We advertise that we support diversity (Mean = 3.19).

4. We promote that we support and encourage advancement (Mean = 3.04).
5. We offer a collaborative work culture (Mean = 2.87).
6. We promote that we provide new experiences and exciting opportunities (Mean = 2.76).
7. We have a company presence on MySpace andlor Facebook (Mean = 2.69).
8. We promote that they will be challenged quickly (Mean = 2.66).
9. We promote that we employ fun and friendly people (Mean = 2.66).
10. We promote that we will respect their personal life (Mean = 2.65).

63

The results agree with the findings that Generation Y will join an organization and stay with
it if there is a management style that promotes honesty and integrity and has continuous training
and 0ppOliunities to work with a diverse group in a team setting (Carey, 2001). According to
Young (2008), Generation Y is looking for creative, innovative, and meaningful work aligned
with their interests. They are also attracted to companies that promote a strong sense of mission,
positive corporate culture, and a feeling of corporate social responsibility. This generation is
also looking for meaningful work where they can have an effect; however, they are also known
to gravitate towards jobs that offer a more balanced work/life schedule.
The higher rankings indicate that companies are promoting core values of honesty and
integrity, that employees are treated with respect and their opinions matter, that companies
support diversity and encourage advancement as well as offer a collaborative work culture.
According to the literature review, these qualities are some of the many that Generation Y looks
for in an employer.
The following ten items were least often used according to the HR Managers from the
companies surveyed:
1. We use CareerTV.com (Mean = 1.12).
2. We have a company videogame and/or online business/task simulation (Mean = 1.13).
3. We use text message campaigns (Mean = 1.22).
4. We accept video resumes (Mean = 1.28).
5. We hand out company information on a flash drive (Mean = 1.32).
6. We offer webinars for Q & A (Mean = 1.38).
7. We offer home office allowance (Mean = 1.43).
8. We use PodcastlVidcastIBloglVlogiTwitter (Mean = 1.73).

64

9. We have a presence on YouTube (Mean = 1.75).

10. We incorporate family day (Mean = 1.78).
The data collected on the topic of recruitment, demonstrates that the least used recruiting
methods are those involving technology. Research tells us that in order to attract the best and
brightest Gen Y professionals, employers must look to unique and innovative ways. Simply
adding a career section to your current company website is not enough according to Orrell
(2007). OlTell (2007) also suggests that companies create a task force of Generation Y
professionals that have already been hired, to brainstorm ideas to create the brand-specific video
games to post on the company website or on CareerTV.com for job candidates to view. Setting
up a Q&A webinar allows candidates to view and participate from all over the world. This
allows them to talk to managers and employees their own age to learn about the company culture
and the region the company is located.
In addition to high tech recruiting strategies, companies should also consider a few low
tech strategies such as incorporating family day or offering a home office allowance and adding
fun social events. Again, this research demonstrates that those strategies do not playa large role
in the companies surveyed. The literature review from Chapter II tells us that the parents of
Generation Y still playa major role in their lives. When it comes to job selection, parents ofthis
generation often playa big role in the decision process (Orrell, 2007). So much so, that some
employers are inviting prospects as well as their parents to dinner or lunch in an effort to recruit
that candidate. Family days allow parents as well as the candidate to tour the company and talk
to the managers.
As was learned in Chapter II, Generation Y is interested in flexible scheduling that could
potentially include a home office allowance. Many of these candidates have seen their parents

65

work from home and want the same thing (Orrell, 2007). It may not be feasible for every
company to allow its candidates to work virtually, but companies should be prepared to consider
it even on a part-time basis.
Section IV Retention addressed the retention strategies that companies use to retain
Generation Y. The Human Resource Managers and hiring managers were given 18 different
retention strategies (Table 6, Chapter IV) to rank on a four-point Likert Scale with one occurring
least often and four occurring always. The top five strategies the HR Managers reported occur
the most often are listed below in order of frequency detelmined by the Mean score:
1. We provide feedback and recognition (Mean = 3.15),
2. We provide security and safety from employer (Mean = 3.10),
3. We have an established on-boarding process the first day (Mean = 2.93),
4. We encourage them to recruit their friends (Mean = 2.93),
5. We have a work environment for idea sharing (Mean 2.71).
According to the Mean scores, the HR Managers indicate that the above five practices are
occurring somewhat often to most often in the companies surveyed. The findings concur with
these results. As Conrad (2009) states, younger employees have been raised in an era of ondemand technology and the instant feedback it provides. These people seek the same type of
ongoing performance feedback at their jobs. Managers would do well to keep these expectations
in mind as they continue to manage Generation Y employees.
As stated in Chapter II, Lancaster & Stillman (2002) recognized that this generation feels a
need for safety and security, primarily as a result of all the violence they have been exposed to in
their young lifetime. It is not surprising that Generation Y would feel the need for safety from
their employers.

66
From the survey results, HR Managers indicated that their companies most often encourage
their employees to recruit their friends. Since Gen Y trusts their peers more than anyone else,
according to Dorsey (2010), this activity will reap great rewards for a company. Companies can
go so far as making Generation Y employees peer-to-peer recruiters. As was mentioned earlier,
these young professionals have close friendships and enjoy being with their friends. It is
beneficial for companies to capitalize on this by encouraging them to recruit their friends.
Since Generation Yare sometimes compared to pack animals and that they enjoy working in
groups it would be beneficial for employers to encourage this type of behavior by creating areas
where small tables and chairs or couches are arranged to encourage people to gather and discuss
projects (Orrell, 2007). This leads right into the concept of idea sharing. As the Mean score
indicates, HR Managers scored this as happening somewhat often in their companies. As
employers continue to create an environment conducive to idea sharing, these employers are
increasing their Gen Y retention rates.
Conclusion

Each day we read the headlines about more and more Baby Boomers retiring at an
increasing rate and about companies concerned about their succession plans, wondering if they
will have the workforce to fill vacant spots. As employers continue their search for good talent,
more and more Generation Y youth are entering the workforce and moving up the corporate
ladder. With an estimated 80 million people in this cohort, companies that recognize this
incredible opportunity and tap into it early will have the competitive advantage. This research
could provide the framework for employers to recognize how they can Y-size their organizations
by incorporating the key strategies outlined in this study or where they are falling short of

67
implementing the critical components necessary to attract and retain this large generation of
future workers.
For many employers, the goal of attracting, hiring, and retaining Generation Y is going to
take a complete rethinking of how the organization maximizes its human resources. This
rethinking quite often has to come from senior management. These are the people who will need
to be onboard and establish clear policies for attracting, selecting, develop, evaluating, and
promoting Generation Y. Without senior leadership, it will be difficult to enforce a culture shift.
Another important pminership is between senior management and Human Resources.
This partnership can work together to consider workplace policies that incorporate a lot of
flexibility while maintaining a productive structure.
As employers continue to look to Generation Y as the workforce of the future, it will be
increasingly important for these employers to understand and appreciate the qualities and values
of this cohort. As learned in this research, this generation is technologically savvy; they are
career-minded in the fact that they want their work to mean something and have importance to
them personally as well as to their company. Plus they will bring confidence to the workplace
and the belief that they can do it all. This generation will challenge the workplace like no other.
Current people practices were designed during and for a different era. This generation will bring
new ideas and values into the workplace. They are motivated and willing to learn, perhaps at a
faster rate than one is accustomed to, but they are motivated. So understanding them and being
sensitive to their needs will be the key factor in recruiting and retaining them. If you want them
to care about your company, show them that you care about them.

68
Recommendations

The findings of this study resulted in future recommendations for Human Resource
Managers or hiring managers. They are as follows:
1. There is much written and talked about the multi generations working together in the
workplace. It would be beneficial for HR Managers to understand the different
characteristics of each of the generations, their background, the economic influences of their
time, their work style, etc.
2. For one to understand the influences and interests of another generation it is also important to
understand one's own generation and how one reacts to other generations.
3. It is important for HR Managers to research and learn about Generation Y to better
understand their needs and preferred working style. This understanding could minimize the
disparity experienced in the workplace.
4. It is of value for HR Managers to understand the different workplace motivations of each of
the different generations in the workplace, especially Generation Y. With this understanding,
HR Managers can direct and lead change within the organization to move towards creating a
culture that will attract and retain the best and brightest Generation Y workers.
5. The findings list multiple strategies to attract and retain Generation Y. It would be beneficial
for HR Managers to work with other senior leaders to develop and implement some of the
strategies in the study to attract Generation Y and to retain them even if it means stepping
outside their comfort zone.

69

Recommendations for Future Study

Due to the limitations of this study, the researcher strongly recommends future research.
The recommendations for future research are as follows:
1. More detailed research is recommended with a more specific population. For example, a
study could be conducted with companies less than 100 employees or a study with companies
less than 1000 employers. On the other hand another study could be conducted with
companies with greater than 5000 employees. Different studies could be done with different
populations and results could be compared.
2. Another study could be done using the same content but comparing the results of each
respondent based on age, gender, or education level.
3. Another study on the recruitment and retention of Generation Y could be conducted that is
more industry specific and a comparison made between the industries.

70

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73

Appendix A
Survey

74
Appendix A: Survey
THE RECRUITMENT AND RETENTION OF GENERATION Y
The purpose of this survey is to identify the current practices of employer recruitment and retention of Generation Y
(born 1980 and 2000) in the workplace. Those surveyed are a select group of employers from Northeast Wisconsin.
Your participation in this study is entirely voluntary and all information is confidential.
This research has been approved by the UW-Stout IRB as required by the Code of Federal Regulations Title 45 Part
46.
SECTION I - MOTIVATIONS - Older Generations
Q I. Please rate the workplace motivations of the Older Generations (those born before 1980).

On a scale of 1-4 with 1 being not relevant and 4 being always relevant to this generation, please rate the following:
Motivations
Salary
Incentive
Reward
Personal recognition
Training opportunities
Challenging work
Team building
Retirement plan
Benefits
Mentoring program
Flexibility in scheduling
Receiving feedback
Increasing responsibility
Fund social events
Social media presence
Value integrity and honesty
Be challenged quickly
SuppOlting work/life
balance
Career advancement plan

l=Not
Relevant

2=Somewhat
Relevant

3=Mostly
Relevant

4=Always
Relevant

75

MOTIVATIONS - Generation Y
Q2. Please rate the workplace motivations of Generation Y (those born between 1980 and 2000).
On a scale of 1-4 with 1 being not relevant and 4 being always relevant to this generation, please rate the following:
l=Not Relevant

Motivations

2=Somewhat
Relevant

3=Mostly Relevant

4=Always Relevant

Salary
Incentive
Reward
Personal recognition
Training opportunities
Challenging work
Team building
Retirement plan
Benefits
Mentoring program
Flexibility in scheduling
Receiving feedback
Increasing responsibility
Fund social events
Social media presence
Value integrity and honesty
Be challenged quickly
Supporting work/life balance
Career advancement plan

SECTION II ADVERTISING
Q3. Please rate the following methods used by your company to advertise employment opportunities.
On a scale of 1-4 with 1 being used least often and 4 being used very often, please rate the following:
Method
Internet
Newsprint
Billboard
Radio
Job Fair
Referral

l=Least Often

2=Somewhat Often

3=Most Often

4=Always

76

ADVERTISING continued
Q3.1 Please rate the following Internet sites your company uses for posting employment opportunities.
On a scale of 1-4 with 1 being used least often and 4 being used always, please rate the following:
Method
Careerbuilder.com
Monster.com
Linkedln
Facebook
Craigslist
eBay
Company Website
Blog/Twitter
Others

1=Least Often

2=Somewhat Often

3-Most Often

4=Always

SECTION II - RECRUITMENT
Q4.a Attracting generation Y (those born between 1980 and 2000) is all about positioning and presenting your
company as a place that gets what Gen Y is all about.
Please rate the foIIowing recruitment strategies that your company uses in your promotions or adveliisements to
attract Generation Y.
On a scale of 1-4 with 1 being used least often and 4 being used always, please rate the following:
Recruitment Strategy
We promote that they will be challenged
quickly
We provide a very structured path for
advancement
We offer a flexible work environment
We offer reward for hard work or have reward
programs
We offer a solid mentoring program and
strong leadership
We will support entrepreneurial spirit
We offer a collaborative work culture
We promote that we support and encourage
advancement
We advertise that we are charitable and green
We promote that we employ fun and friendly
people
We promote that we will respect their personal
life
We promote that we provide new experiences
and exciting opportunities

l=Least
Often

2=Somewhat
Often

3=Most
Often

4=Always

77
SECTION IV - RETENTION
Q5.a Employee retention is important for employers. How does your company work to retain Generation Y, the
youngest generation of workers born between 1980 and 2000?
Please rate the following retention strategies that your company uses to retain Generation Y.
On a scale of 1-4 with 1 being used least often and 4 being used always, please rate the following:
Retention Strategy

l=Least
Often

Career coaching
Mentoring
Job shadowing
Provide supporting role on a project
Job rotation
Have an established training and reverse training
program
Provide feedback and recognition
Offer a fun and family-like work environment
Security and safety from employer
Flexible work environment
Challenging career developing opportunities
sooner rather than later
Strong Internet presence; website, Facebook, blog,
twitter, LinkedIn
OppOltunity to telecommute for certain positions
Concierge services
State-of-the-mt technologies in the workplace
Have an established on-boarding process the first
day
Have a work environment for idea sharing
Encouraging them to recruit their friends
SECTION V - DEMOGRAPHICS
Q6. Next, please answer a few demographics questions.
How many total employees are in the company you represent?

o
o
o
o
o

< 100
101 500
501 -1000
1001 - 5000
>5000

Q7. What is your age?

o
o
o
o

31 years old and younger

32 - 46 years old
47 - 67 years old
68 years and older

2=Somewhat
Often

3=Most
Often

4=Always

78

Appendix B
Cover Letter

79

Appendix B: Cover Letter

March, 2011
Dear Human Resources,
I am a graduate student in the Training and Development program at UW Stout finishing my
final research project titled, The Recruitment and Retention of Generation Y. I am passionate
about this topic and excited about how Generation Y will help us change the way we think about
recruiting and retaining this young group of future workers.
To finish my project, I am asking for your help. As a human resource manager or hiring
manager, your opinion about the recruitment and retention of Generation Y (born 1980-2000) in
the workplace is very important. This research will identify the strategies companies in
Northeast Wisconsin are using to get and keep Generation Y in the workplace. The results of
this project can be used as a guide to assist companies in their attraction and retention effOlis
now and in the future.
Click on the link below to take the survey. There are just seven questions and should only take
10 minutes or less to complete. Please complete the survey by Friday March 25, 2011.
Your Anonymous Survey Link:
httpS:!!llwstout.qualtric"soll1/SEj'iSID~cSV

c/\ WAI JqIYuNC2tvK

Completing the survey is voluntary and your responses are strictly confidential. Completion of
the survey is considered implied consent.
If you have any questions about this research, please call me at (920) 312-1517. To receive a
summary report, please email meatchuybers@new.rr.com.
Please feel free to forward this survey link to other HR professionals. Thank you in advance for
your help with this research project.
Sincerely,
Cathy Huybers

80

Appendix C
Follow-up Letter

81

Appendix C: Follow-up Letter

March, 2011

Dear Human Resources and/or Hiring Manager,

A few weeks ago, I emailed you seeking your opinion on a survey about the Recruitment
and Retention of Generation Y. This survey requested your opinion about your company's
recruiting and retention strategies for Generation Y (born 1980-2000).
I know that your time is very valuable, so if you have completed the survey, I thank you.
If you have not completed the survey, I ask that you invest just a few minutes of your time and
complete the survey. Your response is very important to me and to my research project. Please
respond by March 30, 2011.
If you have questions about this research or if you would like to receive a summary
report, please email meatchuybers@new.rr.com.
Thank you for your time and for volunteering to be a part of this exciting research
project.
Warmest regards,
Cathy Huybers

82

Appendix D
Table of Statistics

83
Appendix D: Table of Statistics
Motivations for Older Generations (those born before 1980)
Motivation
Salary
Incentive
Reward
Personalloecognition
Training opportunities
Challenging work
Team building
Retirement plan
Benefits
Mentoring program
Flexibility in scheduling
Receive feedback
Increasing
responsibility
Fun social events
Social media presence
Value integrity and
honesty
Are challenged quickly
Support work/life
balance
Career advancement

Min
Value
1
1
1
1
1
2
1
2
2
1
2
1
1

1
2

Max
Value
4
4
4
4
4
4
4
4
4
4
4
4
4

Mean

Variance

3.28
2.82
2.87
2.97
2.71
3.00
2.49
3.57
3.69
2.20
2.67
2.74
2.97

0.63
0.62
0.69
0.65
0.68
0.57
0.64
0.40
0.28
0.53
0.53
0.58
0.63

Standard
Deviation
0.79
0.79
0.83
0.80
0.82
0.76
0.80
0.63
0.53
0.73
0.73
0.76
0.79

Total

4
4
4

2.09
1.82
3.56

0.68
0.51
0.44

0.83
0.71
0.66

94
95
94

4
4

2.60
3.00

0.56
0.60

0.75
0.78

95
94

2.94

0.59

0.77

95

__ l!(!sp()nses
95
94
92
95
94
95
95
94
93
94
93
95
95

84

Motivations of Generation Y (those born between 1980 and 2000)

Motivation
Salary
Incentives
Rewards
Personal recognition
Training
opportunities
Challenging work
Team building
Retirement plan
Benefits
Mentoring program
Flexibility in
scheduling
Receive feedback
Increasing
responsibility
Fun social events
Social media
presence
Value integrity &
honesty
Are challenged
quickly
work/life
advancement

Min
Value
2
1
1
2

Max
Value
4
4
4
4
4

Mean

Variance

3.54
3.33
3.42
3.51
3.36

1
1
1
1
1
2

4
4
4
4
4
4

Total

0.40
0.55
0.49
0.43
0.58

Standard
Deviation
0.63
0.74
0.70
0.65
0.76

3.32
3.09
2.39
2.84
2.90
3.50

0.59
0.71
0.65
0.59
0.70
0.49

0.76
0.84
0.81
0.77
0.83
0.70

94
93
94
94
93
94

4
4

3.29
3.24

0.62
0.60

0.79
0.77

93
94

4
4

3.29
3.35

0.64
0.57

0.80
0.76

93
94

2.85

0.58

0.76

94

3.22

0.56

0.75

93

3.45

0.44

0.67

94

3.46

0.51

0.71

94

ResJl~nses

94
93
93
93
94

85
Recruitment of Generation Y
Strategy
We hand out company information
on a flash drive
We offer webinars for Q&A
We have a presence on YouTube
We use PodcastlVidcast/ Blog/ Vlog/
Twitter
We have a company presence on
MySpace and/or Facebook
We use text message campaigns
We use CareerTV .com
We have a company videogame
and/or online business task
simulation
We accept video resumes
We offer fun social events
We incorporate family day
We offer home office allowance
We advertise that our company core
values are honesty and integrity
We advertise that they will be
treated with respect and their
opinions matter
We promote that they will be
challenged quickly
We provide a very structured path
for advancement
We offer a flexible work
environment
We offer reward for hard work or
have reward programs
We offer a solid mentoring program
and strong leadership
We will support entrepreneurial
spirit
We offer a collaborative work
culture
We promote that we support and
encourage advancement
We advertise that we support
diversity
We advertise that we are charitable
and green
We promote that we employ fun and
friendly people
We promote that we will respect
their personal life
We promote that we provide new
experiences and exciting

Min
Value
1

Max
Value
4

Mean

Variance

Total

0.43

Standard
Deviation
0.65

1.32

4
4
4

1.38
1.75
1.73

0.67
1.12
0.89

0.82
1.06
0.94

52
55
56

2.69

1.49

1.22

64

3
3
3

1.22
1.12
1.13

0.30
0.15
0.20

0.55
0.39
0.45

49
49
47

4
4
4
4
4

1.28
1.82
1.78
1.43
3.34

0.47
0.74
0.95
0.58
0.92

0.69
0.86
0.98
0.76
0.96

46
62
60
56
76

3.21

0.98

0.99

75

2.66

l.l0

1.05

79

2.40

l.l4

1.07

77

2.29

l.l2

1.06

80

2.61

1.22

l.l0

79

2.40

0.99

1.00

81

2.52

0.91

0.95

77

2.87

0.88

0.94

82

3.04

0.71

0.84

81

3.19

0.94

0.97

78

2.55

1.50

1.23

76

2.66

1.12

1.06

77

2.65

1.05

1.02

77

2.76

1.01

1.00

79

R~~ponses

50

86

Retention of Generation Y
Strategy
-

Career coaching
Mentoring
Job shadowing
Provide supporting role on a
project
Job rotation
Have an established training
and reverse training program
Provide feedback and
recognition
Offer a fun and family-like
work environment
Security and safety from
employer
Flexible work environment
Challenging career developing
opportunities sooner rather
than later
Strong Internet presence,
website, Facebook, blog,
twitter, LinkedIn
Opportunity to telecommute
for certain positions
Concierge services
State of the art technologies in
the workplace
Have an established onboarding process the first day
Have a work environment for
idea sharing
Encourage them to recruit
their friends

Min
Value
1
1
1
1

Max
Value
4
4
4
4

Mean

Variance

2.49
2.59
2.19
2.57

1.16
0.82
1.03
0.85

Standard
Deviation
1.08
0.91
1.01
0.92

Total

4
4

1.93
2.51

0.89
1.06

0.94
1.03

69
75

3.15

0.77

0.88

82

2.54

1.16

1.08

80

3.10

0.77

0.87

81

4
4

2.45
2.68

0.86
0.77

0.93
0.88

80
77

2.44

1.22

1.11

75

1.94

1.25

1.12

63

4
4

1.49
2.41

0.99
1.20

0.99
1.10

53
74

2.93

1.39

1.18

80

2.71

0.95

0.98

79

2.93

1.07

1.03

81

R~~~n~ses

78
81
77
77