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Why Gen Z may not be ready for the workplace, according to managers

Why Gen Z may not be ready for the workplace, according to managers
Business · 2026
Photo · Beatrice Romano for European Pulse
By Beatrice Romano Business & Markets Editor Sep 3, 2026 4 min read

The generational complaint that young people do not want to work may have more substance than many would like to admit. Recent research from the Chartered Management Institute (CMI) and Hult International Business School suggests that Gen Z may not be as prepared for the workplace as they believe—and managers are taking notice.

Glenn Fogel, CEO of Booking Holdings, said in 2024 that younger employees often need extra training and guidance on how modern workplaces are structured and what is expected of them. His comments echo a broader sentiment among industry leaders, including those at Whole Foods, who have pointed to a lack of readiness among recent graduates.

A CMI report released in July found that only 6% of managers consider young recruits workplace-ready, while 45% of Gen Zers believe they already possess the necessary skills. Ann Francke OBE, CEO of the CMI, said: “Too many young people are leaving education with ambition, talent and potential, only to discover they haven't been prepared for the realities of the workplace, and that the managers responsible for supporting them haven't been equipped either.” She added that tackling youth unemployment and building the next generation of leaders requires a collective effort from government, educators, and employers.

What skills are missing?

The Hult study, which surveyed 800 HR leaders, found that 37% would prefer a robot or AI to do a recent graduate's job, and 45% would rather hire a freelancer. Around 30% would leave a position unfilled than hire a graduate.

Resilience tops the list of missing skills, with 91% of managers saying this gap is affecting performance. Communication is also critical, cited by 98% of HR leaders, followed by curiosity and willingness to learn (93%), collaboration (92%), creativity (90%), and critical thinking (87%).

Only one in ten managers (12%) in the CMI study said young people in their companies are advancing as expected. When they do not progress or fail probation, the main reasons include lack of motivation, poor workplace behaviour, and time-keeping issues.

Tech skills are another concern: 97% of HR leaders said a strong foundation in AI, IT, and data analytics is important, but only 20% of recent graduates feel they have it.

Why Gen Z feels disillusioned

While these criticisms may be valid, Gen Z faces a fundamentally different work landscape than previous generations. Many have watched their parents endure decades in the same job, only to face burnout or stagnation. The post-pandemic shift to remote and hybrid work has also changed expectations, with many young workers refusing to accept unpaid overtime or “exposure” as compensation.

Financial pressures are acute. A People's Pension study found that 12% of young adults in the UK—around 2.2 million—have stopped saving for retirement entirely, believing they will have to work forever. Many also doubt they will ever afford a house or a wedding. Combined with tech layoffs, geopolitical tensions, and climate anxiety, it is little wonder that motivation suffers.

Are colleges to blame?

Universities also share responsibility. The Hult study found that 90% of HR leaders believe colleges should provide career coaches or mentors, but only 36% of students say they received this. Similarly, 91% of leaders valued global perspectives through diverse student bodies, yet only 39% of students experienced it.

Martin Boehm, EVP and global dean of Undergraduate Programs at Hult, said: “Traditional undergraduate curriculum has not kept pace with an evolving global workplace, and the chasm between what’s being taught and what employers need has become more apparent.” He urged schools to focus on building skills and mindsets for continuous learning.

As Europe grapples with youth unemployment and productivity challenges, the debate over workplace readiness is not just an academic exercise. It has real implications for economies from Berlin to Madrid. Some countries are experimenting with solutions, such as France's voluntary national service pilot, which aims to instil discipline and civic engagement in young people. Meanwhile, Spanish workers toil 231 days to cover taxes, highlighting the financial strain that shapes Gen Z's attitudes. And as Volkswagen workers slam 'disastrous' communication on plant closures, it is clear that even established industries are struggling to adapt to new expectations.

The gap between what Gen Z believes they offer and what employers perceive is not insurmountable, but it requires action from all sides. As Francke put it, “We need to stop treating workplace readiness as somebody else's problem.”

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