At this point, saying the workplace is changing isn't exactly groundbreaking news. Technology is evolving rapidly and often dominates the conversation. However, an equally significant transformation is unfolding in the composition of the workforce and the future of work.

By 2030, Gen Z and millennials are projected to make up nearly three-quarters of the global workforce. Alongside their growing presence comes a shift in expectations, values, and priorities. Deloitte's 14th annual Gen Z and Millennial Survey, based on responses from over 23,000 participants across 44 countries, makes this shift crystal clear.

One of the most revealing changes is that only 6% of Gen Z reported that their primary career goal was reaching a senior leadership position. That's not from a lack of ambition, as growth still matters. Instead, it's a reallocation of what success means, as promotion isn't the only metric of success. As it pertains to the future of work with these groups, here are three strategic priorities for leaders looking to attract, retain, and inspire Gen Z and millennial talent.

1. Redesign And Double Down On Your Workplace Environment

As more companies bring employees back into the office, leaders must reconsider not only the quality of their physical space but also the emotional and cultural environment that surrounds it. Although employees who feel supported in their mental health report greater satisfaction and happiness at work, only 52% of Gen Z and 58% of millennials rate their mental well-being as good or very good.

Perhaps shockingly, 40% of Gen Z and 34% of millennials report feeling stressed or anxious most of the time. At first glance, this might suggest these generations want to be coddled. However, the opposite is true: one of the most effective ways to improve well-being isn't to overemphasize comfort. It's to facilitate meaningful growth.

Mentorship and skill-building are among the top priorities. According to the Deloitte survey, 86% of Gen Z and 84% of millennials believe mentorship is critical, while 89% emphasize the importance of on-the-job learning. When employees feel they're growing, both personally and professionally, it strengthens both their performance and retention.

2. Steer The AI Ship And Reduce Uncertainty

AI is quickly becoming embedded in every corner of work. While it unlocks efficiency and innovation, it also fuels uncertainty. A millennial respondent captured this well: "My biggest concern about the impact of GenAI on society and the workforce is job displacement."

Despite widespread adoption, as 57% of Gen Z and 56% of millennials already use GenAI regularly at work, a sense of uneasiness remains. Sixty-three percent worry AI will eliminate jobs altogether. Sixty-six percent say they want roles that are "safe from AI disruption."

However, the reality is that every role, top to bottom, will likely be reshaped by AI in some form. In fact, 74% of Gen Z and 77% of millennials believe AI will significantly change how they work within the following year. While AI is powerful, it can't replicate everything. Soft skills, such as empathy, communication, and leadership, remain crucial, and this sentiment is shared by 86% of respondents, who believe they're essential to their future success.

CEOs can effectively integrate AI, but it doesn't have to come at the expense of human development. Balancing AI adoption with investment in emotional intelligence, communication, and adaptability is key. Leaders should also be transparent about how AI will impact specific roles and provide resources, such as upskilling programs, that cover both technical and soft skills.

3. Treat Purpose Like A Business Strategy

Salary still matters, as people need to cover necessities such as food, shelter, and family expenses, among other daily essentials. However, purpose is fast becoming an equally powerful driver for talent retention and recruitment.

More than four in ten Gen Z (41%) and millennial (46%) employees say their primary job is core to their identity, second only to their families and friends. And 89% of Gen Z and 92% of millennials say purpose is key to job satisfaction and well-being. The "trifecta" of modern career happiness: money, meaning, and well-being isn't just a personal ideal. It's a recruitment and retention lever.

Nearly one-third of Gen Z and 17% of millennials plan to leave their current employer within the next two years, often due to a lack of alignment with their values. Forty-four percent of Gen Z and 45% of millennials have left their roles because they felt they lacked a sense of purpose. And over 40% have turned down offers due to a mismatch in values.

CEOs and other senior leaders can start to mitigate this issue by embedding purpose into how work is assigned, evaluated, and communicated. When employees can see how their day-to-day tasks contribute to something larger, loyalty deepens, and well-being improves.

The Future of Work For Millennials And Gen Z

The future of work isn't just about technology. It's about the people shaping it. Millennials and Gen Z value alignment over authority, growth over hierarchy, and impact over image. For CEOs and other leaders, the challenge is clear, but so is the opportunity. Those who evolve will build organizations that not only keep up with change but also lead it.