Cross-generational businesses undeniably face unique challenges, but they can also unlock a wealth of opportunities. In South Africa, where employees contend with a double demographic squeeze, workplace culture is no longer a soft issue—it’s a strategic imperative. At one end stands Generation Z – digital-native graduates who expect growth, flexibility and diversity from day one. On the other end, older employees are facing a very different reality: insights from Sanlam’s Age of Confidence analysis of over 300 000 fund members suggest many may need to work significantly beyond the traditional retirement age of 65 to afford a dignified retirement.
This tension between youthful ambition and extended working years plays out clearly in the findings of the 2025 Sanlam Benchmark Report, released on 19 June 2025. The research reflects the lived realities of millions of South Africans across multiple generations. While 42% of individuals surveyed believe they are on track to retire with enough savings, six in 10 retirement funds say their members won’t have enough to maintain their current standard of living. Only four in 10 believe the current retirement age of 65 is still sufficient for long-term financial security.
Can a single employee-value proposition (EVP) really speak to employees across such vastly different generations?
The answer lies in culture. Recent Gallup findings reveal a direct correlation between engaged, enabled employees and superior business results. The global analytics and advisory company’s findings indicate that business units that score in the top quartile of their organisation in employee engagement nearly double their odds of success compared to bottom-quartile units. This translates into improvements like an 81% reduction in absenteeism, an 18% increase in productivity, and a 23% increase in profitability.
South African organisations can create a culture of inclusion, growth and well-being for employees across every life stage:
What Gen Z wants from work
Deloitte’s 2024 Gen Z and Millennial Survey, which captured the voices of 22 800 respondents across 44 countries, shows a generation that is financially stretched, yet optimistic, and deeply values purpose-driven employers.
Investment in future skills: Nearly 60 % anticipate needing to reskill because of generative AI, yet only about half feel their employers are preparing them adequately.
Mental-health normalisation: 40% report feeling stressed most of the time, with nearly 3 in 10 being worried that their managers would discriminate against them if they were to raise concerns about mental health.
Genuine flexibility and fair pay: Cost-of-living pressures top their concerns, yet they still prize hybrid work, flexible hours and transparent pay structures.
Interconnected network-style careers: They want continuous learning; side-step moves and inclusive leadership pathways that keep them employable in a fast-moving world.
Additionally, according to the 2025 Sanlam Benchmark Report findings, those aged 31 to 40 are the most likely group to cite rising living costs as a barrier to long-term planning, so many only start saving for the long term in their 40s.
Employers prioritising these workplace needs earn deeper engagement and brand advocacy from this generation.
What our Baby Boomer employee needs
Given the trend of employees potentially working longer to ensure financial security, employers must assume many team members will navigate later-career realities inside the business. Their EVP priorities pivot to:
Lifecycle contribution options: Implementing automatically escalating contribution rates that align with annual salary increases represents a powerful tool for improving retirement outcomes. When contribution increases coincide with salary adjustments, employees are less likely to feel the impact on their take-home pay. This approach addresses one of the crucial challenges in retirement saving – many members never revise their contribution rates over their entire savings career. By automating these increases, members can boost their savings without facing difficult decisions about reducing their current standard of living.
Enhanced employer matching programmes: Expanding and optimising employer matching contributions can significantly accelerate retirement savings accumulation. When employers increase their matching thresholds or introduce more generous matching ratios, employees are incentivised to save more while effectively receiving additional compensation through retirement contributions. This approach aligns the interests of employers and employees while leveraging tax advantages available through retirement savings vehicles.
Access to financial advice, planning tools, and financial education: According to the data revealed in the 2025 Sanlam Benchmark Report, 64% of those surveyed said that regular financial education is very important, yet only 11% were provided access to a financial adviser through their employer fund when they withdrew from the fund, and nearly 50% rely on Google for financial advice. That’s why making professional financial advice more readily available to all employees, coupled with a solid foundation of financial education, can help employees optimise their investment choices, adjust contributions appropriately, and maintain a long-term perspective on their retirement planning. This includes using digital planning tools to help employees understand their retirement trajectories and make informed decisions.
Employers face complex challenges in managing this ageing workforce while balancing transformation objectives. Sanlam Corporate’s member data highlights the importance of retaining these experienced older workers while creating opportunities for younger employees, especially in a country with high youth unemployment and one of the world’s highest youth populations.
Design principles for a truly multigenerational EVP
South African organisations can consider the following principles when designing multigenerational EVP:
Flexibility first: Replace rigid policies with flexibility that supports parents of toddlers and grandparents delaying retirement.
Learning as currency: Make upskilling the common denominator. From Gen Z coding bootcamps to post-retirement financial-planning seminars, learning fosters a sense of belonging.
Well-being 360: Integrate mental, physical and financial health. Sanlam, for instance, embeds an Employee Assistance Programme alongside financial wellness coaching. This ensures that both the new graduate paying off student loans and the mid-career manager supporting elderly parents, have access to relevant resources.
Data-led listening: Employee pulse surveys segmented by generation uncover pain points early, allowing leaders and Human Capital teams to action plan in real-time.
The strategic dividend of cross-generational EVP
Balancing EVP for fresh graduates and employees nearing retirement is not a zero-sum game. Organisations that treat culture as a living currency can translate engagement into profit and future-proof South Africa’s competitiveness in a talent-scarce world.
When employees know they can thrive in an organisation, whether they’re 21 or 55, they stay, grow and pay that confidence forward. That is the ultimate measure of a future-fit business.