Understanding what motivates each of the four distinct generations in today’s workforce can help companies more effectively recruit, manage and retain strong teams, according to Robert Half’s new report, “Examining the Multigenerational Workforce,” which provides insights on five trends companies should note.

Here are the trends from the report:

Money matters most for most workers. A competitive salary with regular merit increases has the biggest impact on job satisfaction and retention for millennials, Gen Xers and baby boomers. However, Gen Z is more influenced by factors other than compensation. Additionally, Gen X workers (32%) are most likely to feel underpaid. Robert Half suggests companies research and benchmark salaries regularly.

Gen Z wants the best of both worlds. One-third of Gen Z professionals prefer to choose when and where to work and desire more in-person interactions than employees of other generations. Furthermore, around six in 10 are concerned about missing out on project opportunities and promotions when working remotely. Consider implementing a flexible work policy that allows for both remote options and purposeful in-office time for training and team-building activities, the report advises.

AI is weighing on workers’ minds. Despite being digitally savvy, 78% of Gen Z professionals are concerned about AI impacting their job, compared to millennials (48%), Gen Xers (40%) and baby boomers (27%). However, all generations exhibit a preference for reskilling within their current company rather than seeking a different position if the job is at risk. Provide opportunities for employees at all levels to learn new skills, stay up to date with technology and explore different career paths within your company.

Contract work is attractive to younger professionals. 50% of Gen Z professionals are looking for a new job this year are interested in full-time contract work as it offers the opportunity to take several assignments and work at multiple companies, building skills and connections. Consider hiring contract professionals who have specialized skills and fresh ideas that can help your business stay nimble.

Deal breakers are similar across generations. Top reasons for all generations to withdraw from considering job opportunities include lack of salary transparency, unclear or unreasonable job responsibilities and poor communication with a hiring manager. Therefore, it is important to be upfront about salaries and job responsibilities with candidates.

“Building and managing teams is complicated, especially as workforce demographics and priorities shift,” said Paul McDonald, senior executive director of Robert Half. “Ultimately, all professionals want to feel supported and valued. Understanding what makes different generations tick and striving to create a work environment that addresses their various needs can go a long way toward improving engagement, productivity and retention.”

The report is based on surveys of more than 1,000 North American workers 18 and older conducted in November 2022 and in January and April 2023.