Small Business Optimism Rises Amid Gen Z Workplace Challenges, Survey Finds

The March edition of the Freedom Economy Index (FEI) survey, a collaborative effort between PublicSquare and RedBalloon, indicates a resurgence of economic optimism among small business owners. Conducted from March 15-19 with a sample size of 80,000, the survey highlights a cautious yet noticeable shift in sentiment, with recession fears diminishing. However, this optimism does not translate into immediate plans for significant business expansion, as employers remain wary of the economy's unpredictable direction.

Michael Seifert, CEO of PublicSquare, remarked on the findings, noting the palpable sense of an economic turning point among small business owners. Despite this, the reluctance to make substantial growth investments underscores a prevailing uncertainty about future economic conditions.

A striking aspect of the survey is the critical assessment of Generation Z's workplace performance. An overwhelming 68% of respondents labeled Gen Z as the 'least reliable' employees, with 71% identifying them as the most prone to workplace mental health issues. Furthermore, a mere 4% of small business owners feel that Gen Z aligns with their workplace culture, while 62% associate this generation with fostering division and toxicity at work.

Andrew Crapuchettes, CEO of RedBalloon.work, emphasized the challenges of the 2024 labor market, pointing to the mass retirement of baby boomers and the urgent need for new talent. However, the survey suggests that Gen Z's difficulties in meeting workplace expectations could exacerbate the existing labor market challenges.

The survey also sheds light on the broader issue of reliability in the labor market, with 70% of employers citing it as their primary hiring concern. This has led 60% of small business owners to prefer operating understaffed, opting for fewer employees working longer hours over a larger workforce that introduces more problems. The full findings of the Freedom Economy Index survey are available for further review.