solving the cross-generational workforce puzzle · when millennials graduate college, millennials...

Midwest Claim ConferenceMidwest Claim Conference

May 15, 2008May 15, 2008

Lake Geneva, Wis.Lake Geneva, Wis.

Presented by:Presented by:Margaret Resce MilkintMargaret Resce MilkintManaging PartnerManaging Partner

Solving the CrossSolving the Cross--Generational Generational Workforce PuzzleWorkforce Puzzle

Continued industry job growth

+ Mass exodus of baby boomers

+ Less skilled industry workers

Shortage of talent

The SituationThe Situation

Industry Job Growth: 2004Industry Job Growth: 2004--1414

The insurance industry labor market is expected to grow at 10 percent.

Source: Bureau of Labor Statistics

14.0

20.0

8.6

10.9

6.0

14.6

18.3

17.1

14.1

9.5Total US Employment

Management/Business/Finance

Top Executives

HR/Training/Labor Relations

Claims

Underwriters

Actuaries

Agents

Customer Service Representatives

Accountants/Auditors

Mass Exodus of Baby BoomersMass Exodus of Baby Boomers

• The first boomers turned 60 in 2007.

• One-third of the nation’s population is included in the baby boomer generation.

• 43 percent of the labor force will be eligible for retirement within the next ten years.

• The result is a projected supply/demand gap of 10 million workers by 2010, 40 million workers by 2015.

0

10,000

20,000

30,000

40,000

50,000

60,000

Less Skilled Industry WorkersLess Skilled Industry Workers

CPCU Examinations Given

Source: American Institute for CPCU

1992 1997 2000 2003 2004

Less Skilled Industry WorkersLess Skilled Industry Workers

Estimated Claims Hiring Requirements (2016)


300,000310,000320,000330,000340,000350,000

2006

2016

28,000 new hires required


Did You Know?Did You Know?

• In 2004, the insurance industry employed 2.3 million workers.

• 60 percent of U.S. workers were considering launching a job search in January 2007.

• Boomers make up 40 percent of the workforce.

Sources: U.S. Dept. of Labor, Bureau of Labor Statistics Newsletter and Salary.com.

TodayToday’’s Workforces Workforce

Traditionalists – 5%

Millennials (Gen Y) – 10%GenXers – 40%

Baby Boomers – 45%

The Tide is ChangingThe Tide is Changing

When Millennials graduate college, Millennials and Boomers will make up a majority of the workforce.

“Boomers, know this: You are outnumbered. There are 78.5 million of you, according to Census Bureau figures, and 79.8 million members of Gen Y.”

~ Fortune, May 2007

LetLet’’s Generalize, not Stereotypes Generalize, not Stereotype

Bo

om

ers

Gen

YGeneralizations Stereotypes

Bookend ConceptBookend Concept

Mature Worker

New Graduate G

en

X

Bo

om

ers

Gen

Y

Tra

dit

ion

alist

s

Traditionalists Traditionalists (1900(1900--1945)1945)

Believe It or Not

“Between 10-15 percent of Traditionalists are working full-time and many others are working part-time.”

~ SIReview, May 2007

Traditionalists Traditionalists

CharacteristicsCharacteristics

• Strong work ethic

• Value work and job

• Loyal

• Patient

• Place duty before pleasure

• Reluctant to technology changes

• Rarely say “no”

Working WithWorking With

• Propose changes as evolutionary steps.

• Show them respect.

• Honor the chain of command.

• Value their experiences; tap into their knowledge bases.

• Communicate face-to-face.

• Take a more formal approach.

• Present ideas logically.

Hot ButtonsHot Buttons

• Flexibility

• Privacy

• Respect

• Traditional recognition (i.e., plaques, photos)

Baby Boomers Baby Boomers (1946(1946--1964)1964)

Redefining the Aging WorkforceAccording to a 2006 Merrill Lynch study, 76 percent of baby boomers expect to work in retirement. Creating an environment where the Mature Worker (55 and above) is welcomed, recruited and embraced in the talent landscape is mandatory.

Baby Boomers Baby Boomers


• Disciplined• Loyal• Workaholics• Extremely competitive• Find sense of self in the work that

they do

• Believe a job can be for life• Look for leadership• Sometimes resistant to change


• Liberalized benefits

• PTO/Flexibility

• Privacy

• Respect

• Public recognition (i.e., company newsletter)


• Be patient with their need to work through bureaucracy.

• Acknowledge that you have less experience (when appropriate).

• Be clear on objectives and desired results.

• Be their cheerleaders.• Give them your full attention.• Know the company’s history.

Redefining the Mature WorkerRedefining the Mature Worker

• Traditional hiring relationship• Non-traditional opportunities

– Subject Matter Experts– Consultants– Trainers– Mentors– Special Advisory Positions

GenXers GenXers (1964(1964--1976)1976)

Raising the Bar“Generation X takes employability seriously. But for this generation there isn't a career ladder. There's a career lattice. They can move laterally, stop and start, their career is more fluid.”

~ Diane Thielfoldt and Devon Scheef, “Generation X and the Millennials”

GenXers GenXers


• Desire high-quality end results• Value productivity• Work-to-live mindset• Comfortable with authority• Technically competent• Independent, resourceful• Entrepreneurial• Free agent mentality


• Work/life balance• Flexibility/telecommuting • Job sharing• Feedback• Challenge• Autonomy• Fun in the workplace• Informal recognition (i.e., paid days

off)• Effective leadership• Succession plans


• Do not micromanage.• Tell them what needs to be done, but

not how.• Allow them to multi-task.• Make work fun.• Be open and honest.• Use technology.• Delegate.• Be direct and to the point.• Talk casually.• Ask for their opinions.

Millennials (Gen Y) Millennials (Gen Y) (1977(1977--1995)1995)

Raising the Bar“Gen Yers are being wooed from every direction, so the old recruiting tactics won’t work. Companies that want to attract the stars in this highly competitive group have to get creative.”

~ Fortune, May 2007

Millennials (Gen Y)Millennials (Gen Y)


• Want to make an impact• Feel work is an expression• Multi-taskers• Goal-oriented• High employer expectations• Technology savvy• Collaborative• Energetic• Optimistic


• Team work• Corporate image/brand• Money • Training• Upward mobility/career path• Flexibility in hours and dress code• Technology• Community service• Fitness


• Create a collaborative environment.• Promote mentorships.• Commit to diversity.• Support them.• Assign multiple projects.• Give them rules/solid leadership.• Encourage new ideas.• Show respect.• Be flexible.• Make work fun.

Generational or Lifestyle?Generational or Lifestyle?

Lim

ited

fin

anci

al r

espo

nsib

ilities

Opt

ion

to li

ve a

t “h

ome”

Mar

riag

eHom

e pu

rcha

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Car

pur

chas

e

Chi

ldre

nChi

ldre

n in

col

lege

Empt

y ne

ster

sPl

anni

ng for

ret

irem

ent

Sem

i-re

tire

d

Life Timeline

Millennials (Gen Y)

GenXers

Baby Boomers

Traditionalists

Recruiting New GradsRecruiting New Grads

• Break the “insurance is not sexy”stereotype!

• Understand their mindsets.– They are 120 percent more likely than older

counterparts to look on the Internet for jobs.

– They are 67 percent more likely to leave their current employers within the next two years.

• Build buzz on campuses.– Partner with insurance-focused universities.– Participate in on-campus

recruiting/internship programs/career shadowing/scholarships programs.

Strive for DiversityStrive for Diversity

• Diversity of generations in the workplace offers a diversity of ideas and approaches.

• Fully understand the differences that exist between generations.

• Educate managers, supervisors and team members on how to bridge the gap between generations.

• Embrace generational differences to increase productivity and added value.

• Create policies, benefits, recruitment tactics and retention strategies to meet all of the generations’ motivations, desires and needs.

Brave New World Brave New World

solving the cross-generational workforce puzzle · when millennials graduate college, millennials...

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