The Effect of Employee Welfare on Company Productivity: A Study on Gen-Z in Indonesia

Abstract

Gen-Z brings new perspectives and skills that can benefit Indonesia's economic development. They can improve efficiency and productivity in various industries including technology and services with digital skills and work expectations that differ from previous generations, making them an important segment in the labor market. Identifying the key wellbeing components that influence the productivity of Gen-Z employees and understanding their contribution to economic development are the main objectives of this study. The research used mixed methods, combining quantitative and qualitative surveys with Gen-Z employees and HR managers across industries. The data collected was analyzed to uncover correlations between various aspects of well-being, such as flexibility in working hours, coaching, workplace design, or mental health support with productivity outcomes. Preliminary findings show that Gen-Z employees prioritize a flexible work environment and professional development opportunities that affect their productivity. In addition, mental health support was also shown to increase their loyalty and motivation. The study concludes with recommendations for companies to improve tailored well-being programs, such as providing continuous learning opportunities, mentorship programs, and professional development initiatives to retain Gen-Z talent and top performers. In addition, utilizing technological advances and establishing consistent and transparent communication also helps in improving work-life balance for Gen-Z employees. Thus, companies can increase productivity and maximize profits that contribute positively to economic development in Indonesia.