Why? Why do I have to follow the dress code? Why do I have to learn that? Why should I work hard?

These are the questions that characterize Generation Y...or WHY. Although this generation has been referred to as Millennials or Generation Next, the Why — Y — has stuck because of their personalities and preferences.

Why do you need to understand them? Because they are becoming one of the largest populations in the workforce, nearly as big as the Baby Boomers. With around 60 million of them born after 1977, they are a growing block of employees that will ultimately have a very large influence on the way you manage people and conduct business.

Generation Y have been shaped by many factors. They have grown up in an age of prosperity. Unlike the Generation Xers, they have not come of age in a difficult time and they have not generally experienced “bad times.” Things have been optimistic economically and therefore 65 percent of them expect to attend college and 8 in 10 believe they will be better off financially than their parents. They are also used to spending money. According to the Gartner Group, American teenagers are directly responsible for $125 billion in sales.

Since they grew up with microwaves, computers, VCRs, and the internet, Generation Y is very casual about technology because it is a way of life. They don’t need a lot of computer training, but if you give it, plan on making it innovative and challenging because it’s possible they know more than the instructor!

Generation Y has a different attitude about employment: there is no such thing as long-term employment. Therefore, the one thing we value most in employees is simply not a priority with this generation. Keeping them means giving them what they want:

A fun work environment

Opportunities for advancement

Money

A variety of projects

Opportunities to learn new things

Flexibility

A collaborative work environment

Advancement

Community involvement

Participation in the decision making process

This generation has very high expectations for the work environment, including pay. They have a free-agent mindset and can switch teams if the offer to go into another league is attractive. According to experts, they seem to have a sense of entitlement.

Here’s the good news: they will ease some of the traditional challenges you face with your workforce. They are much more likely to be team players and diversity challenges simply aren’t an issue with this generation. They also align well with the Baby Boomers. They appreciate their contributions and therefore Boomers make great mentors for this generation.

Generation Y employees have a great deal to offer your work environment. Members of Generation Y are:

• Adaptable: able to multi-task

• Innovative

• Efficient

• More educated than any other generation

• Global in their thinking

On the other hand, they do offer some challenges such as being impatient, outspoken, skeptical, and, at times, disrespectful. A speaker at the Employment Management Association Annual Conference said that, in dealing with members of Generation Y, employers need to “know the why and be prepared to provide accurate answers” as well as “show the why...being able to defend your rationale.”

Studies also indicate that this generation is the least healthy generation due to their lack of physical activity. Not to say that this is a generation of couch potatoes, but having wellness programs within your organization will certainly assist in countering the effects of long term SEGA and Nintendo use.

Recruiting Generation Y will require some creativity. According to Claire Raines, author of Generations at Work, recruiters will need to “understand the psyche of each generation to help them relate successfully.” Therefore, recruiting efforts should indicate your work environment is fun, provides lots of different opportunities, and encourages collaborative efforts. This generation responds to brand typing as well.

So, what business owners need to do to make way for this exploding workforce is to get ready to meet their needs and offer them opportunities. Opportunities for growth, innovation, participation, and challenges so that they can help your business grow through the millennium successfully.

Libby Anderson is a human resource consultant and trainer. She can be reached via e-mail at edahrsvcs@aol.com.