By Andrew Lewis, CEO, Allara Global

Forget everything you thought you knew about career progression. For the generations now dominating the hospitality workforce, a job is no longer just a job. It’s a stepping stone in a complex web of learning, meaning, and personal reinvention. As Gen Z and millennials are poised to make up two-thirds of the global labour force, their expectations are forcing a seismic shift in how the hospitality industry attracts, trains, and retains its talent.

For venue groups, hotel brands, and operators, this is a critical moment. The choice is simple: evolve your learning and development strategy, or prepare for a future of disengagement, high turnover, and losing your best people to competitors who understand the new landscape. The latest research provides a clear roadmap for what this new generation of frontline staff and future leaders expects. The question is, are you ready to deliver?

1. Learning is non-negotiable

For today’s emerging workforce, professional development is not a perk; it’s a core expectation. The Deloitte 2025 Gen Z and Millennial Survey* reveals a staggering commitment to self-improvement: 70% of Gen Zs and 59% of millennials are actively upskilling every single week. A remarkable 67% of Gen Zs are even dedicating their own time to acquiring new skills.

But it’s not the technical skills you might expect that top their list. They are prioritising soft skills—communication, leadership, empathy, and time management—above even AI and technology. In an industry where the quality of guest experience and team dynamics are paramount, this is a golden opportunity.

To harness this, organisations must move beyond mere compliance training. Your learning and development programmes should be a clear driver of career progression, offering bite-sized, mobile-friendly content on emotional intelligence, conflict resolution, and customer communication that fits seamlessly into the fast-paced, shift-based reality of hospitality work.

2. Managers as mentors

The traditional role of the manager as a taskmaster is obsolete. An overwhelming 89% of millennials and 88% of Gen Zs view on-the-job learning as essential to their growth, yet many feel their managers are too bogged down with administrative duties to offer genuine coaching. The data supports this, showing that the average manager spends a mere 13% of their time developing their team.

In hospitality, where many managers have risen through the ranks and are constantly juggling operational demands, the need for structured leadership support has never been more urgent. Equipping managers with micro-training on effective coaching, delivering constructive feedback, and fostering motivation is crucial. Building a culture of mentorship and peer-to-peer learning will transform your workplace from a hierarchy of tasks to a community of growth.

3. The weight of well-being

The personal struggles of your team have a direct impact on your business. Deloitte’s* findings paint a sobering picture: just over half of Gen Zs and millennials rate their mental health as good, and more than 50% are living from one paycheque to the next. Financial stress reigns as the number one factor impacting their well-being, which in turn affects retention and performance.

In an industry infamous for long hours and high emotional labour, these concerns cannot be ignored. The solution lies in demonstrating a tangible link between training and advancement. By creating visible career pathways, you show employees how upskilling directly leads to better roles and improved financial security. Integrating modules on financial literacy and stress management into your training programme signals a genuine commitment to their overall well-being, making it a strategic priority, not just an afterthought.

4. The power of purpose

A sense of purpose is a powerful motivator. An incredible 92% of millennials and 89% of Gen Zs consider it crucial to their job satisfaction, with 44% having left a role they deemed meaningless. Your team isn’t just serving food or checking in guests; they are creating welcoming environments and memorable experiences. They want to feel they are contributing to something bigger than themselves.

Effective training must therefore go beyond the ‘how’ and deeply connect with the ‘why’. Weave stories of customer impact, sustainability initiatives, and community engagement into your learning content. Empower your team to bring their personal values to their work and give your leaders the tools to foster an environment where purpose can thrive.

5. The rise of real-world learning

The appeal of traditional higher education is waning. Approximately one in three Gen Zs and millennials are opting against university, questioning the return on investment of a conventional degree. They are instead turning to vocational training and practical experience that can accelerate their careers.

This shift presents a significant opportunity for the hospitality sector to become a primary source of industry-ready, role-specific education. By offering recognised, modular learning pathways, you can provide a credible and valuable alternative to a traditional degree. Partnering with specialised training providers can deliver engaging, scalable, and real-world learning that builds both confidence and competence. Celebrate the success stories of vocational achievement within your organisation and make continuous learning a point of pride.

A final thought

Gen Z and millennials are not “difficult”; they are different. They seek growth, but not on a linear ladder. They desire security, but not at the expense of their well-being. They crave meaning, but find it in purpose, not just a job title. For hospitality leaders, the time for questioning is over. The only question that remains is: “Are we doing enough to meet them where they are?”

By investing in training that resonates with the values and ambitions of today’s workforce, you are not just future-proofing your business—you are building the next generation of leaders who will elevate the art of hospitality itself.

Allara Global is Food and Beverage Media’s Official Training Partner.

References

*Deloitte. “The Deloitte Global 2025 Gen Z and Millennial Survey.” Deloitte, 2025, www.deloitte.com/global/en/issues/work/genz-millennial-survey.html.

For more exclusive content from Australian Hotelier, subscribe to our weekly newsletters here.

You can also join Australia’s largest network of pub professionals on LinkedIn, Facebook and Instagram.

Leave a comment

Your email address will not be published. Required fields are marked *