Gen Z Labeled “Toxic” And “Unreliable” By Small Businesses, But Is It True?

A recent Freedom Economy Index report conducted by PublicSquare and RedBalloon is adding fuel to fires over generational divides in the workplace.  

According to the report, most small-business owners label Gen Z employees as toxic and unreliable — with 62% saying that Gen Z is the most likely group to cause division and toxicity in the workplace. Moreover, 68% of employers said they find Gen Zers the “least reliable,” while 71% associate them with heightened workplace mental health concerns. 

However, there are concerns over the accuracy of these results. These perceptions from older generations could stem from individual negative experiences or company-specific issues rather than reflecting the entire generation’s traits. According to a report published by Benziga, Gen Z workers tend to seek employment that values mental health, inclusivity, and balance — which older generations may misinterpret as entitlement or laziness.  

Notably, less than 4% of the respondents said Gen Z is the generation that “most aligns with their workplace culture.”  

The survey’s findings risk further entrenching negative stereotypes and contributing to intergenerational divides in the workforce. The findings suggest the growing importance of embracing diverse perspectives to establish more inclusive and effective work environments for all age demographics — considering both employer experiences and Gen Z worker expectations. 

As the workforce increasingly becomes age-diverse, it is important for leaders to establish supportive and understanding work environments. By addressing these challenges head-on and promoting open communication between four generations of workers, businesses can build upon the unique strengths of each and build a more cohesive and productive team this year.