All stakeholders need to understand the impacts of these trends and how to position themselves to maximise opportunities. Entitled “Demographic Shifts: The World in 2030”, the report analyses the seismic shifts in workforces worldwide as 693 million Baby Boomers reach retirement age and 1.3 billion members of Gen Z enter the labour force over the next 10 years.
The report looks at the different approaches to work and lifestyle taken by Baby Boomers, Millennials and Gen Z around the world, and the impact on the world’s cities over the next decade as one generation exits the workforce and another enters.
Dr. Dominic Brown, report author and Head of Insight & Analysis, Asia Pacific at Cushman & Wakefield, explains:
“These demographic trends will drive the pace of growth in cities around the world. Cities will need to establish themselves as ‘places’ to attract the highest quality workers and in turn create the greatest real estate opportunities for occupiers and investors alike.”
In London, flexible working is now commonplace, and the number of people who work from home or a different location, outside the traditional office, is increasing. People who live outside the City often work from home to avoid a lengthy commute and achieve a better work / life balance, but increasingly they are also seeking to reduce their carbon footprint. This means the volume of office space employers need to provide is falling. However, and this will be particularly true for Gen Z as they enter the workforce, that space needs to be geared towards social interactions and face-to-face meetings with colleagues to be attractive.
Nicola Gillen, Head of Total Workforce EMEA, at Cushman & Wakefield, said:
“Four and increasingly five generations in the workplace is a key driver for our clients, resulting in a need for greater flexibility and variety across real estate portfolios.
“The days of coming into the office to be told what to do and have your work monitored are dead. Corporate occupiers see the benefit of a diverse workforce, with both more experienced and Gen Z workers learning from one another. This is driving a need for higher quality meeting spaces to help facilitate mentoring and training. It is important to acknowledge that as the world of work changes it impacts everyone, from the new entrants into the workplace to experienced professionals. In the UK we will also see an increased number of returners with people retiring later.
“On the investor side, clients need to understand the factors that will drive the demand for various property types, such as the number of new workers and/or recent retirees in the market.”
Cushman’s analysis continues on Monday.