A new generation of workers, referred to as GenNext, is reshaping the future of work, career, and retirement. A study conducted by Edward Jones in collaboration with NEXT360 Partners and MarketCast focused on the attitudes of individuals aged 18 to 34. This group of nearly 76 million people does not adhere to the traditional concept of climbing the corporate ladder but rather sees work and career as a dynamic journey with frequent pivots between professions.
Unlike older generations, GenNext does not prioritize employer loyalty or a linear career trajectory. They value adaptability, exploration, and the ability to wear multiple hats in various fields. The experiences of GenNext during events such as the Great Recession and the pandemic have influenced their views on work and employers. Tenuous economic conditions and the rise of AI and other technologies have also played a role in shaping their attitudes towards traditional career paths.
GenNext prioritizes flexibility, autonomy, and meaningful work over traditional markers of success such as title, position, or salary. They are more willing to take risks and pursue non-traditional career paths, such as job hopping, freelancing, or entrepreneurship. While these attitudes reflect a dynamic approach to work, they also present challenges in achieving financial security today and in retirement tomorrow.
The unpredictable nature of a pogo stick career underscores the challenges and uncertainties of financial security in retirement for GenNext. Their preference for non-traditional career paths may lead to missed opportunities for building retirement wealth, such as missing vesting periods for pensions or other benefits. Gig or contract work, while lucrative in the short term, may not enable participation in retirement savings programs, leading to gaps in work, income, and retirement planning uncertainty.
While traditional employment offers stability, weaving together multiple side hustles can make it challenging to ensure a financially secure retirement. GenNext will need to make an effort to plan, save, and seek advice on how best to navigate the uncertainties of retirement planning. Despite the challenges, GenNext remains optimistic about their ability to take control of their lives and careers, emphasizing the importance of ensuring financial security in the future.
