Almost Half Of Gen Z Workers Reject Job Offers, And It's Not About The Pay - Here's Why

A new survey has found that Gen Z workers are increasingly turning down job offers and even leaving their current roles if a company's practices clash with their personal values. Ethical considerations are now a major factor for this generation when evaluating potential employers.

Research by Co-operatives UK, the representative body for the UK's 7,000 independent co-operative businesses, reveals that over 40% of workers aged 18 to 27 have rejected a job offer or chosen not to apply for a position because they deemed the prospective employer 'unethical.'

The Growing Importance of Ethical Values

For nearly two-thirds of Gen Z workers, a company's values – including environmental responsibility, transparency, and social impact – are as important as the salary offered. Additionally, 42% have considered leaving their current roles due to concerns about their employer's lack of a defined social purpose.

This trend signals a significant shift among younger workers who prioritise meaningful work and ethical alignment over traditional incentives like pay and benefits.

A significant majority – nine out of ten respondents – expressed feelings of being 'a cog in a wheel of a faceless organisation.' Rose Marley, CEO of Co-operatives UK, emphasised that the survey findings demonstrate the strong environmental values of Gen Z workers (under-27s), highlighting their prioritisation of ecological concerns over financial compensation.

'Gen Z wants to reshape the future of work, demanding that businesses prioritise people, planet and purpose over pure profit,' she added. 'Younger people want their work to be meaningful and impactful. They aspire for a better world – and clearly want to do something about it.'

What Gen Z Values

'Our research shows that the whole ethos of a co-operative business resonates deeply with this generation's vision for a fairer, more sustainable world.' Gen Z prioritises work-life balance, competitive pay, ethical employer practices, and a positive community impact when choosing a company to work for.

Based on responses from 1,000 individuals, the survey results highlight a growing concern among employers: the increasing difficulty in finding and retaining workers with the right mix of skills, experience, and motivation to drive productivity and growth.

This follows a significant decline in hiring activity that coincided with the release of Rachel Reeves's tax-raising budget in late October, which severely undermined business confidence. According to the Recruitment and Employment Confederation (REC), the surge in hiring after the pandemic appears to be over.

RAC data reveals 1.4 million job vacancies in December, marking a return to pre-COVID levels. This signals the end of a recruitment activity surge following the lifting of lockdowns.

Gen Z's Influence On The Future Of Work

Surveys conducted by the Bank of England reveal a concerning trend: over half of businesses anticipate reducing their workforce due to the upcoming £25 billion increase in National Insurance (NI) contributions levied on employers.

Industry groups have expressed concerns that the impact of the National Insurance (NI) increase will be particularly severe for sectors like retail and hospitality, which rely heavily on young workers. On top of the rise in National Insurance (NI), the minimum wage is also scheduled to rise again in April.

Recent official data reveals that approximately 13% of 18 to 24-year-olds are currently unemployed, marking the highest level in nearly a decade, excluding the period during the pandemic. This figure represents individuals actively seeking employment but who have not yet secured a job.

The economic inactivity rate among young workers, defined as those who are neither employed nor actively seeking employment, has reached a concerning level (almost 33% or 1.9 million).