Gen Z Avoids Leadership to Protect Wellbeing

An increasing number of Gen Z professionals are choosing to focus on expertise over leadership as a path to career satisfaction, which is starting to challenge traditional leadership structures. Research shows they are 1.7 times more likely than older generations to turn down management roles due to concerns about mental health and a desire for work that feels more meaningful.

In today's workplaces, many younger employees are avoiding the traditional climb up the corporate ladder. They are driven less by the pursuit of high-ranking positions and more by the desire for personal growth, independence and balance. Although many entered the workforce with conventional goals, more Gen Z workers are now prioritising skill development and specialist knowledge instead of aiming for top-level roles. This group, defined as those under 28, is quickly changing how success is measured.

A recent survey of 2000 white-collar professionals, including 800 Gen Z respondents, revealed that nearly 70% believe middle management roles are too stressful with limited rewards. Over 70% said they would rather grow in their field of expertise than become people managers. These findings support broader reports showing that this generation is stepping away from traditional leadership positions in pursuit of personal wellbeing and alignment with their values.

This shift, often described as “conscious unbossing,” is creating uncertainty among employers about how leadership will evolve. As Gen Z is expected to make up 30% of the global workforce by 2030, businesses are being encouraged to rethink how they define growth and leadership. Companies are urged to offer career paths that allow for both specialisation and a sense of purpose.

Employers and current leaders are being called on to reshape leadership development in ways that reflect what Gen Z values most. These include independence, meaningful work and flexible ways to progress. Without these changes, organisations risk losing the very talent they need to stay competitive in the future.

Source: Australian Financial Review, Business Insider, Eagle Hill Consulting

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