Generational DIVERSITY instead of skills SHORTAGE

The public debate on the precarious situation in the labor market is dominated by skills shortages and demographic change. In addition to the current two million open positions, the Institute for Employment Research (IAB) warns that due to demographic change, a further seven million jobs are at risk of being lost by 2035. As the Baby Boomers gradually retire, there is an urgent need for young, dynamic workers, specifically from Generation Z. However, this generation often demands too much, prioritizing work-life balance over hard work, and frequently rejecting leadership roles and responsibilities. There is a repeated mention of a severe shortage of personnel. It is important not to forget the 2.5 million women who switched to part-time work during the pandemic due to caregiving responsibilities. According to the IG Metall union, if each of them works just one hour more, we could gain 70 thousand new workers. From the skills shortage, we are sliding directly into another problem: the shortage of leadership. The younger generation is less inclined to take on leadership roles, especially in terms of expertise. This is also evident from the results of current studies. There is a lack of willing leaders who are willing to go the extra mile to achieve goals. So, who will lead, implement decisions, and ensure accountability in the future? In addition, there is a generational conflict looming. The Gen Z has high expectations, the Baby Boomers are on the verge of retirement, and the Generation X, the "middle-aged," are often overlooked by many companies. However, the Gen X represents the largest population group with 16.53 million people in Germany. The second-largest age group is Generation Y with around 15.88 million people. Following them are the Baby Boomers with 12.53 million, and the Gen Z is the smallest with 11.57 million people (Source: Statista). Shouldn't we finally see age as an opportunity and hire and develop older workers? Ideally, we can all learn from each other. However, when people with different values, needs, and backgrounds clash, misunderstandings and conflicts often arise. The Boomers and Generation X are digital immigrants who have undergone a reality check in companies and often define their self-worth through performance. They face Generation Y and Z, who, as digital natives, have developed top skills but still have room for growth in soft skills. "I don't want a boss, I want a coach," recently said a Gen Z employee. Personal development is often a top priority. Members of this cohort frequently reject pure performance orientation and instead demand more flexibility. The older generations also generally want flexibility. If we leave these generations unguided, positions are likely to harden, and misunderstandings will prevail. The fact is: there are too few skilled workers for too many open positions. It requires movement from all sides: moving away from "I" towards "we". Only then can the "House of Generations" consisting of Gen Z, Y, X, and the Boomers function and the full potential of all employees be utilized. Furthermore, more and more people are unhappy in their jobs and considering quitting. According to McKinsey, nearly 30% of employees are so dissatisfied with their jobs that they plan to resign within the next three to six months. Reasons include insufficient pay, poor leadership, and lack of prospects. An ongoing Forsa survey found that 59% of respondents cited good leadership behavior as the reason for changing employers. It is well known that people join a company because of the organization but often leave because of the leader. Culture is not what is written on paper but what is truly lived. What framework conditions do successful and sustainable companies need? How do we lead all generations, especially the younger ones, so that everyone is motivated to make a difference? The answer lies in creating emotional experiences, which in the business context means Emotional Leadership. This is how New Work succeeds. In the end, it's all about taking action! And we all need to do our part.