Gen Z’s future has a question mark beside it
Rising cost-of-living, rising interest rates, climate change... people are going through some struggles right now. It’s like suddenly, we’re on the cusp of a full-blown recession… only 3 years after the COVID one (whether we are already in one is a whole other debate). Millennials are said to be one of the hardest hit generations in the last couple of recessions, resulting in weak financial growth for them. A recent survey also revealed that 40% of millennials have at least one monthly bill paid with the help of their parents. The implications are scary given current trends, but what does this mean for the next generation following right behind, Generation Z? Is the future for these young adults more uncertain than the last?
Gen Z finds itself in an interesting position. While millennials work well with technology today, most would have entered adulthood around the dawn of the Internet. Gen Z grew up as internet natives, and have easily adapted to modern social media and other new technologies as it is today. They are undoubtedly much more productive with the help of modern technology. On the other hand, the economy isn’t really in their favour. A year after the onset of the pandemic seemed like it wouldn’t be too bad. Most young adults actually had some cash, thanks to some stimulus programs, and remote work was still an option for many. You might have started hearing that we had recovered, and that things would finally begin to look up. Then there were supply chain issues. Housing costs went up. Inflation began to rise a little, but we didn’t need to worry as this was because people had “too much cash”, apparently. In addition, as if that wasn’t enough, the war on Ukraine became the cherry on the top.
Inequalities are more stark now than they ever were. Inflation is yet to come back to its normal 2% annual rate. Interest rates have begun to rise too, but the wages continue to lag behind. 2023 has been one of the busiest years for strikes in the US. Canada has seen major strikes this year as well, from the largest federal workers strike to a B.C. port workers strike (which had a major effect on goods coming into the country).
Then there’s the Internet. Like I said, Gen Z are naturals with technology, and they especially adapt to the new changes that come with it. Social media provided more opportunities for them to grow, like online businesses. Content that was interesting and attractive turned ordinary youth into celebrities. I would say cryptocurrencies opened a whole new industry, but that’s really volatile and still underdeveloped, so I won’t count that. Now, there’s a whole new disruption overshadowing all of this: AI. Our new favourite companion- ChatGPT. If you’ve been bombarded by the countless articles and stories like me, then you might’ve seen the success people are getting. People boosting their productivity by 10x! New enhancements to platforms that are phenomenal! Forget advice, there’s now video generation from scratch! My main takeaway from all these different uses is: if you really understand the tool and wisely apply it to your tasks, you can push your boundaries like never before.
So Gen Z can get creative and realize their full financial potential. They just need access to the right resources. If I’m mentioning the positives of AI, I should also mention how there’s a huge downside in lost jobs, or that it might even become an existential threat if unchecked. Speaking of existential threats, glaring in our faces is the threat of climate change. Undeniably, it’s here and bringing extreme weather events that threaten lives. Youth, like me, are very much worried. An international study on anxiety over climate change found that over 50% of respondents aged 16–25 felt negative emotions because of it (anxiety, anger, helplessness). It really puts one’s entire future in question.
The generation finds itself in a tight spot. I don’t think all hope is lost, however. You’ll find very resilient people in this group who are real changemakers out there. Inclusivity and diversity are core values that define this generation. My only concern is that, given the problems we face and their high severity, we don’t get enough support from other generations. These issues require us to come together, young and old. I may not be able to predict what the future holds for us (even if I ask ChatGPT), but I do know that our combined experiences can create the solutions we need.
