In recent years, it has become increasingly difficult for employers to attract young professionals and retain them in the long term. This also applies to talented young people from the web design and IT sector. The agency sector in particular is complaining about a lack of motivated and qualified applicants. Today, I'll show you what Generation Y has to do with this development and how you can improve your chances of success in the "war for talent", even as a small employer.

In many industries, the search for suitable employees has become increasingly difficult in recent years. Agencies in particular have problems positioning themselves as attractive employers for qualified young applicants.

Today, however, it is not just the big-name companies that are cherry-picking the best talent with big salary promises and prestige. More and more start-ups are attracting qualified young talent with innovative employee concepts and a convincing vision. You can find out why this works so well in this article.  

"War for talent" - high demand, low supply

The competition for the best web design, development and IT talent can be explained on the one hand by the fact that the demand for websites, customized programs, apps and the like has increased significantly in recent years.

Employers who do not offer attractive conditions for these hotly contested specialists will sooner or later be left out in the cold.

The shortage of skilled workers has another major driver: demographic change. According to a study by the German Institute for Economic Research (DIW), there will be a shortage of almost ten million workers in Germany by 2040 at worst.

Why you should take Generation Y seriously

Due to the shortage of skilled workers, qualified applicants in many industries can afford to be choosy when deciding where to work. To attract the best talent, you need to know exactly what your future employees need.

If you want to motivate your (potential) employees and retain them in the long term, as an employer you need to understand what is really important to them.

The generation that will dominate the labor market in the coming years is Generation Y - also known as "millennials". Depending on the definition, this includes those born between 1981 and around 2000.

Like all generations, millennials are also attributed special characteristics. These are usually generalized characteristics based, for example, on reports from teachers and employers, scientific studies or simply a general impression.

Generation Why - volatile and demanding

Generation Y is described as technology-savvy, flexible in terms of location, egotistical, spoiled, fickle and self-confident, among other things. In the work context, their desire for constant feedback is also often mentioned.

Millennials are also known as Generation Why because of their characteristic of always wanting to question everything.

In articles and studies from an employer's perspective, it is often said that millennials have excessively high expectations of their workplace compared to their predecessors, Generation X.

However, ignoring the supposedly unjustified demands of Generation Y is not a sensible strategy. If you want to continue to attract the best young talent in the future, you need to address the needs of millennials.

What do millennials expect?

In July 2017 (as part of my master's thesis on employer branding), around 140 students and young professionals from Generation Y rated several employer services according to their importance.

The survey revealed that the following things are most important to young Generation Y employees:

• A committed and collegial team
• Fair remuneration
• Openness to new ideas and feedback
• Challenging and varied work tasks
• Opportunities for a permanent position (e.g. after a trainee program)
• Attractive training and development opportunities
• Transparency, trust and respect as company values
• An appreciative and transparent corporate culture
• Flexible working hours and home office

For example, sustainability, well-known customers and partners, awards such as "Top Employer" or additional material benefits such as company cars and cell phones were rated as less important.

Many larger studies come to a similar conclusion: the working atmosphere and team spirit are the most important things for Generation Y. In addition, work tasks should be interesting and meaningful, the work-life balance should be right, there should be opportunities for further training and the workplace should be secure.

Score points with corporate culture and clear values

What can you as an employer learn from these results? Generation Y cannot be convinced with empty phrases and entrenched corporate structures.

If you want to attract qualified millennials, you need an appealing corporate culture and values that they can identify with. Many start-ups have already understood this.

A study on cultural fit in the IT sector confirms the importance of culture. The results show, for example, that 95 percent of those surveyed are prepared to change jobs because of an unsuitable corporate culture. 70 percent have even changed jobs for this reason.

Authentic values as a differentiating feature

If you haven't yet defined your company values, you're probably asking yourself "What does my company actually stand for?". Thinking about this is the first step in the right direction.
To find mission statements that are reflected in your company history, that are authentic and that your employees can identify with, I recommend the book "Der Sinn des Unternehmens - Wofür arbeiten wir eigentlich?" by Dominic Veken (unfortunately only available in German).

You can then use the right questions during the interview to check whether potential employees really fit in with your corporate culture.

Let's say one of your values is "unquenchable thirst for knowledge". If you ask your applicants in an interview whether they have a thirst for knowledge, they will probably answer in the affirmative. However, if you ask them when their last training course was and which book they read last, you will get much closer to a real "fit".

Raidboxes builds on transparency and team spirit

At Raidboxes, we have six main values which, together with our Code of Conduct, determine our actions as a company and how the entire team works together. The two most important guiding principles are freedom and performance orientation.

Freedom

We are freedom-loving and self-reliant: with concepts such as holacracy, flexible working hours and working from home, everyone has the freedom - but also the responsibility - to make the right decisions in their own area.

Performance orientation

We are hungry for performance and love productivity because we always want to be number one. To be even more productive, we work according to the SCRUM principle, for example. This allows us to launch new features even faster.

Transparency

At Raidboxes, sales figures, financial plans and salaries are visible to all team members at all times. We always communicate openly and honestly, even in difficult situations.

The company Buffer goes one step further in this respect: salaries and how they are calculated are not only transparent for employees, but for the entire public.

Simplicity

Our goal is to make everything even easier for our customers: as few clicks as possible, as self-explanatory as possible, as quickly as possible. Our Raidboxes dashboard is also designed according to this principle.

Unconventional

We are keen to experiment and are creative, because only by breaking conventions and trying out new things can we hold our own against the Goliaths of the hosting world. One example of this is our FREE DEV program for agencies and web designers.

Friendliness

Whether in the team or with customers: Should emotions boil over, we remain friendly and understanding. We resolve conflicts within the team directly and personally in order to resolve tensions immediately.

By communicating these values transparently and reviewing them in the job interview, we increase the chance that applicants will fit in with us and stay with the company in the long term.

The right cultural "fit" between Raidboxes and new employees is even more important to us than an unbroken CV or a top university degree.

Sustainability

Acting with the environment in mind is a necessity in today's world - and is reflected in our corporate culture. As a climate-positive hoster, we live these values in many aspects. One major measure we have taken is the Eden Reforestation Project - a tree is planted for every new website hosted by Raidboxes.

Conclusion: Corporate values create a win-win situation

If mutual expectations arise during the job interview that cannot be realized in reality, high employee turnover is inevitable. The right "fit" between employer and employee can therefore only be achieved if both parties know their needs and communicate them openly.

As an employer, you should be aware that a transparent corporate culture is increasingly becoming a differentiating factor and can help you score points in the "war for talent".

Basically, if you not only communicate your values, but also actively act on them, you will attract exactly the right employees for your company.

What is your experience with the search for young talent? Have you ever had problems finding suitable specialists? I look forward to your comments!