Exploring Diversity: Age and Generational Differences

When we talk about diversity, ageism or generational gaps isn’t usually the first identity factor that comes to mind. Yet when thinking about an organization’s culture, such as the tech industry, most of us have an idea of a bunch of 20-somethings in cargo shorts and hoodies. The banking and finance industry skews older—at least in our stereotypical ideas about bankers.

I have mentioned before that companies should not hire for culture fit but for culture add. When it comes to the ages of employees, a range of ages and generations is more likely to provide diverse perspectives and enhance the performance and ingenuity of their team. However, bankers should understand the generational differences and expectations that their employees bring to the work place in order to build inclusive teams for all ages and should understand the expectations of their customers of all ages.

Here’s a general break down and some characteristics:

• Greatest Generation (1900-1925) – Known most for surviving the Great Depression and mobilizing during World War II, this generation also experienced the 1950s economic boom and parented most of the Baby Boomers; regarded as fiscally responsible
• Silent Generation (1926-1945) – Heavily influenced by Depression-era and rationing hardships during their childhoods, the “traditionalists” tend to be admired for their work ethic and appreciation of simplicity
• Baby Boomers (1946-1964) – Baby Boomers were born during a period of unprecedented economic growth and are often maligned for adopting a more laidback parenting style for their
• Millennial kids than the previous generations’ more authoritative techniques; Boomers are undergoing a wealth transfer
• Gen X (1965-1980) – Xers are the smallest generation in number and are the current “sandwich” generation, in many cases caring for both children still at home and aging parents
• Xennials (1980-1984) – Sometimes classified as Gen X, sometimes classified with Millennials, Xennials are distinct in that they had an analog childhood but a digital adulthood
• Millennials (1985-1996) – Today, Millennials are well into adulthood, have less wealth than their Boomer parents did at the same age, and are comfortable in the digital age, having never known anything else
• Gen Z (1997-2015) – The range for Gen Z, sometimes called iGen, may shift over time as other social and technological shifts become more clear in hindsight; the oldest Gen Zers have graduated from college and entered the work force

One of the main barriers to inclusion is ageism. While we may tend to think of ageism as solely directed at older adults and the elderly, the derision frequently aimed at middle and younger generations in the media is also ageism. For example, an older employee or customer may actually understand and use technology with a high level of skill while a younger employee or customer may be a hard worker who is loyal to their employer and not ready to change jobs on the spur of the moment. Perhaps some older workers need additional training or development on new technologies while older customers may require patience and more assistance from bank employees to navigate digital banking. Younger workers tend to value professional development and feeling that their work is beneficial to society in some way while younger customers may demand technological solutions that reduce the pain points of banking, such as being able to qualify for a loan in a few clicks rather than a laborious paper drill.

Here are some tips to help bankers create an environment that includes all generations:

• Flexibility – Every generation appreciates flexibility in the face of competing demands from their personal lives
• Hiring – Consider merit, experience, and potential
• Professional development – Provide opportunities to build and enhance skills for all levels of employees
• Inter-generational mentoring – Employees of all ages have much to learn from each other
• Insights – Employees from different generations have insight into similar customers’ needs

Bankers should keep in mind that every employee wants to feel valued for their contributions and the perspectives they bring to the team.