Third of Gen Z considering launch of own business
Having grown frustrated by the employers who are not meeting their needs in the workplace, one-third of young people are now considering going into business for themselves. Despite geopolitical uncertainty, an ongoing pandemic, and continued supply chain chaos, confidence in the UK’s economic prospects is also rising among British residents under 34 years of age.
The latter stages of the pandemic have marked a sea change in employment relations. Many workers have realised they can do their jobs just as effectively from home – with better work-life balance and more freedom than previously allowed in their office-based roles. At the same time, with the public health emergency far from finished, a rising number of workers have evaluated their current roles: whether it is something they enjoy, or something that pays well enough for them to consider it worthwhile braving the risks of heading to the office at present.
These factors have led to what has become known as the great resignation. However, while the demands of staff acting as part of this trend are pretty clear – a rate of pay that more fairly reflects their contribution to a company’s profits, a working schedule that allows them to live a life beyond work, and freedom from the tyranny of micromanaging bosses – many employers still seem mystified by the situation. Looking to continue with recruitment in the style they were used to pre-pandemic, listings continue to place an emphasis on whether the break room has a pool table, while obtusely refusing to define what their ‘competitive’ salary actually is, companies remain bemused as to why they can’t attract new talent.
As employers steadfastly refuse to adapt to the needs of the market, a growing number of young workers are growing tired of waiting for change. Taking matters into their own hands, a third of Gen Z are now considering the launch of their own companies instead.
Commissioned by SME network Mushroombiz, a Yonder poll of over 4,000 British adults shows that 32% of 18-24 year-olds in the UK plan to set up a business in the future. This is a big increase from last year’s figures, when only 23% of Gen Zs said the same thing. Of course, not all of those individuals plan to start immediately – 11% said they would start a business this year. But Millennial workers aged from 25 to 34 – 27% of whom planned to start a company at some point – were more likely to set up a business in 2022, with 12% stating they would set up shop in the coming months.
Ed Surman, Managing Director of Mushroombiz, said, “Young people are taking inspiration from the growing economy and are using it to drive their passion for new projects and exciting new businesses. While the pandemic has proved challenging, young people remain undeterred, having both the drive to launch their own business and the confidence in their own skills to make it a success.”
Around 22% of respondents also indicated they were optimistic about the UK’s economic prospects over the next 12 months. This is compared to only 17% the year before. While Covid-19 may have rocked the global economy, it has not deterred young people from wanting to pursue new ventures – and they are also determined to put their efforts toward tackling issues relating to environmental, social and governance issues that they feel established firms are dragging their feet on.
Surman added, “From my experience Gen Zs and Millennials are more committed than any other age group to solve the world’s problems with their own business. It’s crucial they are given the guidance and support to do so. As the nation looks to bounce back from the pandemic, we should be inspiring these young entrepreneurs to make their ideas a reality.”
