Bresman and Rao, 2017 suggests that there are differences in 'aspirations and values' across people from

different generations. Firms and leaders need to understand the different preferences among these
generational cohorts in order to make better decisions about leadership development, technology, training,
and culture-building. Tailoring the reward based on different generational preference enhance the
organisation to retain, develop and attract different employee belonging from different generation.

Research furthermore indicates that the differences in reward preferences are not necessarily related to the
different generations, but instead to life stage and age rather than the specific period or time of birth
(Rehm, 2006).

a one size fits all approach will no longer be possible as each generation brings
with it a new set of values and desires that are inherently different from
their predecessors and those who join the workplace after them (Meister
and Willyerd, 2010).

all generations put flexibility as a top opportunity (Bresman and Rao (2017).
Mercer’s 2019 Global Talent Trends Study states that job security is the
main reason all generations stay with their employer, and competitive
compensation is the main reason they leave (Bravery, 2019).

Bresman and Rao, (2017), Gen X women are more likely to enjoy the
challenging work involved in leadership, as well as getting to coach and
mentor others. Generation X Members tend to be pessimistic, self-reliant
and focus on work-life balance (PayScale. 2020). Generation X essentially
motivated with interesting/ varied work, working time off, and flexible
working hours (Bravery, 2019). Generation X is a desire for autonomy and
independence. leaders should look for ways to give them back some personal time.
That might mean an extra day off or options for a flexible schedule. Generation X also
loves rewards that improve their quality of life outside the office, like travel perks or a
meal delivery service (Blogger, 2020).

According to Bravery, (2019), Competitive compensation/pay is a key driver

for Baby Boomers while it is less important for Gen Y). Baby Boomers are
also more likely to cite meaningful work, and a convenient office location as
key reasons for joining a company. Further, job security, sense of
belongness, health benefits, and praise and recognition for the contribution
are some of other essential elements of motivating baby boomers. Many
boomers today are focused on retirement. They tend to be more tenured employees,
and their career mindset is one of loyalty, self-drive and exceptionally high work ethic
(PayScale. 2020). Boomers mainly sharing values of idealism, optimism, team
orientation and materialism. Baby Boomers value self-actualisation in the workplace
through jobs in which they can achieve self-fulfilment and status (Dwyer, 2009)
According to payScale, (2020), Generation Z is focused on learning with a
purpose. Members of Gen Z have a realistic, multicultural mindset in their
work, and they are tech natives. Generation Z is digitally-enabled and
socially-connected society. They are profiling both idealistic and
disenchanted, they are twice as likely to suffer from mental health issues,
such as depression and anxiety, as Gen Y (Bravery, 2019).
Generation Z is likely to appreciate rewards that drive progress towards important
social causes (think donations, time off to volunteer, etc.) (Blogger, 2020).

Gen Ys are eager to gain experience, any way they can. Gen Y greatly get
motivated by providing opportunities to learn new skills and technologies.
Gen Y take on a new project at work without extra pay or benefits, or to
exchange vacation days for experiences in other departments, to build an
experience portfolio. Gen Y ranked the “potential for long-term professional/
career development and advancement opportunities at workplace. Also
having fun working environment is another key driver of motivating generation
Y at workplace (Bravery, 2019). Millennials are focused on career
advancement, tend to be idealistic and value work/life integration and fairness
and flexibility in the workplace (PayScale, 2020). Experiential rewards might look
like concert tickets or travel perks (Blogger, 2020)

As per Morrell and Abston (2018) millennials hold slightly different attitudes
toward work when compared with previous generations. They more readily
change jobs and are generally less committed to their organizations.
recruitment and retention strategies targeting Millennials should examine how
ample time off and/or time away from work will be provided through job
design and benefits programs. Additionally, managers must consider the
potentially negative impact that irregular and excessive work hours may have.
Millennials may become dissatisfied if their work schedules interfere with life
outside of work, and long hours contribute to this job dissatisfaction.
Millennials may in fact “work to live” rather than “live to work.
Millennial employees may not respond as expected to financial incentives and
rewards. Twenge and Cambell (2010) show that the Millennials are significantly
more interested in extrinsic rewards than are Baby Boomers, although
Millennials are less interested than Generation X.
Despite emergent research on Millennials’ materialistic values, numerous
studies show that Millennials consider interesting and meaningful work with
opportunities for development and advancement, quality managers and
management, and time off or flexible work schedules to be more important
than compensation. Moreover, all employees desire performance feedback,
but Millennial employees may want more feedback in terms of quantity and
frequency from their managers.
Praise and recognition by managers and attention from leadership may be
more incentivizing than cash bonuses or an increase in base pay
research has shown that Millennials want more feedback about their value
and performance, and they want it more often
Praise from one’s manager and attention from leaders have been rated as
more effective incentives than financial incentives, including bonuses and
stock options. managers must work to find the right combinations of extrinsic
rewards, including total compensation, and intrinsic rewards, such as a quality
manager and advancement opportunities, to recruit, motivate and retain
Millennial employees. Improve Opportunities for Leisure and Increased Work–Life Balance
Through Jobs designing and/or Additional Time Off are some motivating tools of generation Y (Close
and Martins, 2015)

reference:-

1. Twenge, J. M., Campbell, S. M., Hoffman, B. J., & Lance, C. E. (2010). Generational differences in
work values: Leisure and extrinsic values increasing, social and intrinsic values decreasing. Journal of
Management, 36(5), 1117-1142.

2. Morrell, D.L. and Abston, K.A., 2018. Millennial motivation issues related
to compensation and benefits: Suggestions for improved
retention. Compensation & Benefits Review, 50(2), pp.107-113.

3. PayScale. 2020. Communicating Compensation: How Preferences Differ

Among Generations. [online] Available at:
https://www.payscale.com/compensation-today/2017/07/communicating
-compensation-communication-preferences-differ-among-generations
[Accessed 30 September 2020].

4. Bresman, H. and Rao, V. (2017). A Survey of 19 Countries Shows How

Generations X, Y, and Z Are — and Aren’t — Different. [online] Harvard
Business Review. Available at: https://hbr.org/2017/08/a-survey-of-19-
countries-shows-how-generations-x-y-and-z-are-and-arent-different.
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for-attracting-talent-in-a-workplace.html> [Accessed 8 January 2022].
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9. Meister, J. and Willyerd, K. (2010). The 2020 workplace. New

York: HarperCollins.
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