Some Unsolicited Career Advice for Gen Z Graduates

(Bloomberg Opinion) -- The job market has changed quite a bit since I graduated in 2011. Even before the pandemic, the business world was aflutter about the rise of the gig economy. Now side hustles and working remotely have become the norm. But what hasn’t changed is the stress and anxiety that comes with entering the workforce.

Gen Z grads might not be looking for advice from a side-parting, skinny-jeans-wearing 30-something. But I’ve weathered booms and busts of the labor market, job-hopped around multiple companies, and ultimately struck out on my own to build a successful career.

Here are the questions I wish I’d known to ask at the start.

Should I find a job or make my own?

One of the first things to consider when strategizing your career is whether to pursue the traditional employer route or try to be your own boss. A 2020 survey by Girls With Impact found that 53% of Gen Z expects to be running their own companies. There are, however, many advantages to traditional employment early in your career.

Working full time for an employer in the U.S. often comes with health insurance, an employer-matched 401(k), and perhaps even life and disability insurance. A regular paycheck may also make those student loan payments feel less daunting and help you and your parents sleep easier at night. As far as your career goes, working for a company can teach you managerial skills, how to effectively communicate with coworkers and clients, and how to identify and improve your own weak spots.

Those who were entrepreneurial in college may be keen to launch into being their own boss. But to start something entirely from scratch without at least some cash flow often requires a Herculean effort and deep-pocketed, generous parents. Having some income while testing your business ideas is a shrewd move. Just make sure your employer can’t claim ownership over your intellectual property if you build a business on the side. Keep any outside work off company computers.

What fields should I look at?

Industries in science, tech, engineering and math (STEM) as well as in health care come with competitive salaries and benefits. The college degrees with the highest return on investment include those in nursing, telecommunications and engineering, according to a study from ThirdWay. Meanwhile, career guide website Indeed.com champions pilots, engineers, marketing managers and financial managers as strong contenders for best ROI on a bachelor’s degree. STEM and health-care jobs also dominate the U.S. Bureau of Labor Statistics’ fastest-growing occupations, which includes information security analysts, data scientists, and home health and personal care aides.

But this shouldn’t be discouraging for non-STEM or health-care graduates.

Early on in your career, be open to broadening the scope of jobs you consider. One may not necessarily align with your major perfectly or be a role you originally thought about — but a paycheck is a paycheck, and it’s far easier to keep looking for a new job when you already have one.

You should also analyze the types of companies that are growing quickly and hiring. Tech firms, for example, still need communications and marketing people. I ended up at a fintech startup as my third job, with no tech background, but I handled content, not coding.

No matter your degree, it is important to brush up on your interview skills, especially since the class of 2022 is also competing against the classes of 2021 and 2020. 

How do I decide if the job offer is right?

When evaluating the merits of a job, your considerations and your parents’ may be quite different. Younger workers are more likely to jump around from job to job at least a few times, which means a pension plan could be less of a priority. (Studies by payroll provider ADP have shown that switching jobs is a far better way to increase salary than trying to negotiate your way up at one employer for your entire career.)

Still, you want to consider benefits on top of salary. What is the employer match on a 401(k) and when does it vest? In other words, when can you leave the job and take the money your employer contributed with you? Do you have access to purchase company stock or receive shares in company stock as compensation? How robust is the health insurance, and does it include vision and dental? Is there disability and/or life insurance coverage? How many paid vacation days do you receive (and how easily can you actually take them)?

Most companies allow you to work remotely now, but will it stay that way? What about working remotely in other states or overseas? You may not be thinking about kids yet, but what does the parental leave policy cover? All these benefits can tell you a lot about the overall corporate culture.

Those eyeing the life of an entrepreneur or freelancer must be aware of the trade-offs. Yes, it’s lovely to have autonomy and dictate your own schedule. It’s less so to pay self-employment taxes on top of regular income tax, or to figure out how to set aside money for retirement and navigate health insurance solo.

Should I prioritize a job I can stay in for a while?

Your elders might be advising you to think about the longevity of a job or career. Loyalty to a company is a relic of the past. And unfortunately, history is no predictor of how job markets will change. Entire industries were shuttered for months due to the pandemic.

Instead of thinking about the long-term potential of a single job, consider the level of stability you need and how to learn skills that will be broadly applicable. My first year out of college, I was hyping up audiences for “The Late Show with David Letterman,” working as a barista and babysitting. None of those were the launching pad for my career, but all three taught me lessons I still use. 

Can I negotiate a first job offer?

The answer is yes, especially if you have multiple offers. There is no rule of thumb about how much to ask for, but it’s reasonable to believe your employer has at least a few thousand dollars more that can be offered. So perhaps ask for between 3% to 5% above what’s put in front of you.

The way to do this? Thank them for the offer and state, “I would like a salary of $X.” Then be quiet! Silence is a powerful negotiation tactic. Should the employer say it isn't doable and stands firm at the original offer, but you still want the job, then you can thank them for considering and say you’d like to accept.

How do I make the most of my first job?

The early months at almost any role can be exciting. Seize this energy to learn as much as you can about your and others’ roles, your manager and organization, and the inner workings of office politics. Focus on asking questions and developing contacts who could become mentors or sponsors — i.e., someone who’d go to bat for you for things like promotions and raises.

As the initial excitement wanes, consider the career you hope to have, but stay open to unexpected opportunities. Maybe you change companies or dive into self-employment in the future. Perhaps you focus on rising up the ranks in your company, or on setting healthy boundaries and pushing back when appropriate.

None of these options are incorrect and all of them might unfold over the course of your career(s). Your trajectory needn’t be linear.

This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.

Erin Lowry is the author of “Broke Millennial,” “Broke Millennial Takes On Investing” and “Broke Millennial Talks Money: Stories, Scripts and Advice to Navigate Awkward Financial Conversations.”

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