Thursday, September 12, 2024
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Gen Z and millennials flock to places with these attributes—key to winning the war for talent

Last year, I became the first chief growth officer of a U.S. state, tasked with leading Michigan’s efforts to grow its population, economy, and reputation as an ideal place to live, work, and raise a family.

A state’s population trends are critical to a community’s “bottom line.” Healthy growth can provide numerous benefits throughout communities and to the broader economy. This includes expanding the labor force, the market for goods and services, and the pool of potential innovators and entrepreneurs, fostering new ideas and business ventures. Growth also strengthens the tax base to pay for schools, public amenities, and spaces that enhance quality of life.

War for talent

However, national trends mean that as birth rates decline, communities can’t depend on “natural growth,” and all states (and countries around the world) are more dependent than ever on population migration—individuals choosing their place to build a life. As the whole world enters the “war for talent,” these population trends aggravate workforce needs, especially as an aging population enters retirement. Because the most mobile people are those between the ages of 20 and 34, according to the U.S. Census Bureau, understanding why these individuals choose to move has never been more important. And the states that win will be the ones that listen to them and take action toward building a strong value proposition for young talent.

To tackle these population challenges, Gov. Gretchen Whitmer last year established the bipartisan Growing Michigan Together Council, which created the state’s blueprint for growth, a comprehensive strategy to retain and attract talent. The council investigated decades of trends related to outcomes that could affect growth, including school performance, overall economic health, and the quality of infrastructure. The council completed its assignment in December, and the state’s newly established Growth Office will build on their recommendations by engaging Michiganders in the effort, partnering with innovative programs across the state and launching pilots and programs to spark growth, as well as leading storytelling, research, and policy initiatives to implement a comprehensive growth strategy for Michigan.

These elements all come together to make Michigan’s approach to retaining and attracting talent the most ambitious effort in the nation. 

What Gen Z and millennials want

So, what have we learned? We surveyed more than 6,000 18- to 34-year-olds in 15 cities across the U.S. that are popular among young talent, including Atlanta, Austin, and New York City. This national polling data tells us what causes young people to relocate to a new area. Among the top factors for relocation were:

  1. Diverse and safe communities
  2. Future-focused communities making investments in the fight against climate change
  3. Access to reproductive health care
  4. Amenity-rich and walkable communities, including those with robust transit

Younger generations want to live in places that empower them to confront society’s most vexing issues, like climate change, head-on. For example, 52% of respondents said they wish their community did more to combat climate change, underscoring that climate action and other progressive policies can drive population and economic growth.

Investments in climate mitigation and resiliency are also key factors for young people when determining where to relocate. For example, 58% of the young people surveyed said their community’s climate resiliency was “very important.” Deloitte reiterates this sentiment, as evidenced in its 2024 Gen Z Millennial Survey, which found that 42% of millennials and 46% of Gen Z have already changed or plan to change jobs due to environmental impact concerns.

Climate plan

Across generations, our data indicates positive sentiment toward investment in sustainable, clean energy solutions, with a majority of people agreeing that major purchases on sustainable projects pay off in the long run. Opinions do tend to vary between different generations of consumers, however. Gen Z and millennials are extremely bullish, and much more likely to believe this statement (78% and 81% respectively) compared to baby boomers (56%). 

While the conversation around climate and relocation often centers on the devastating impact of natural disasters, and the appeal of climate havens like Michigan, our state is not just a place of refuge—we are leading the country in climate innovation, and our position is no accident. Guiding our way toward a sustainable future is the MI Healthy Climate Plan, one of the most robust such plans in the nation that’s proactive, innovative, and focused on equity. We’re making sure that if you want to do purpose-driven climate work, you should come to Michigan. We’re ranked No. 1 for energy-sector job growth, EV industry investment, hydrogen investment, and clean energy projects backed by the Inflation Reduction Act. Michigan is truly at the front lines of leading the fight against the climate crisis. 

Health decisions

Beyond offering purpose-driven work, the vast majority of young adults want their home state to protect reproductive health rights. A CNBC survey from May 2024 found that 62% of 18- to 34-year-olds in the U.S. would “probably not” or “definitely not” live in a state that banned abortion. Numerous studies have found that lack of access to abortion care has widespread health consequences across demographics. A majority of medical students are saying that abortion laws are driving them away from pursuing careers as doctors in states where those procedures are banned. That’s why acts like the Reproductive Health Act (RHA) passed in Michigan are so crucial to population growth. This act, passed in November 2023, guarantees that people are free to make their own medical decisions without politicians interfering.

Additionally, Michigan has made significant strides to ensure LGBTQ+ protections. Last year, Gov. Whitmer expanded anti-discrimination laws that protect sexual orientation and gender identity under the Elliott-Larsen Civil Rights Act. Our state is one that welcomes all, includes all, and protects all. 

Quality of life

Finally, more than ever, people are moving to places with inspiring natural amenities: forests, lakes, beaches, trails, and wildlife. Americans who live in closer proximity to community parks, libraries, restaurants, and theaters are more content with their neighborhood, more trusting of others, and generally less lonely. Survey respondents across our state consistently identified the critical importance of transit and housing access in their relocation decisions. Community and quality of place matter. So supporting small businesses and building up communities with the resources that people associate with a higher quality of life is another priority that must not go forgotten.  

I grew up in Michigan, captivated by its unique natural beauty, our people, the inspiring history of our cities, and our impact on the world. The connection was so intense that when I moved away after college graduation, I consistently bragged about my home state. I even got Michigan’s outline tattooed on my wrist. 

Attracting talent—and new residents

Returning to my home state four years ago has only deepened my appreciation. I spent the first six months of my role as chief growth officer crisscrossing Michigan, hosting 82 public events, and listening to more than 11,000 voices of Michiganders who participated in these events, took a survey, or sent in ideas. My love for this state now extends beyond its landscapes and history; it includes the dreams and aspirations of both long-term and future Michiganders. I am excited about the future home that we are building together.

Young people are seeking communities that are investing in the future—places that protect essential rights, provide access to opportunities, and foster environments where everyone can thrive. In an era where ad campaigns often pitch shallow promises, our approach is different. We’ve put forward a bold policy agenda, innovative program, and an offering of not only our vibrant cityscapes and lower cost of living, but also great opportunities, great places, and welcoming communities for all Michiganders—current and future. 

As areas around the world compete for more young professionals, we’re placing our bet on communities that offer purpose-driven work, protect human rights, and provide residents with a safe, diverse, and rewarding environment. And Michigan is leading the way.   

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The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.

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