Welcome to the How People Work podcast
All episodes
Episode 3: There’s a new type of employee and here’s what you’re missing
There is a fundamental difference in how the generations of the workforce see and experience the world because of the role technology has played in their lives. These generations can be split into two groups: native analogs and native digitals.
Native analogs: Silent, Boomers, Gen X, and even some older Millennials remember a time before the Internet. They view technology one of two ways: a helpful, occasional resource or as a distraction from everyday life. Native digitals: Millennials and Gen Z, on the other hand, grew up surrounded by new technological advances at a rapid rate. They integrated technology into everyday life.
This fundamental difference of perspective is why we often see executives and employees talking past each other.
Listen on Spotify | Apple | YouTube
Key ideas and highlights
Transformation of Communication with Workplace Generations:
- When someone tells us we have to do something (i.e. going back into the office), it’s human nature to not want to do that thing. To employees, it’s not about their personal preference, they just want the flexibility to choose.
- The sustained happiness from experiencing something is far more than the instant hit of dopamine we get from something tangible. Things get lost; experiences create memories that will last a lifetime.
- Money can’t buy love…or happiness. Receiving something meaningful, even if it’s small, is better than receiving something impersonal, like cash (or gift cards).
- How many of us are actually putting our undergrad degrees to use? It used to be that you had to go to a university to even have a chance at getting a “real” job. Native digitals understand the value of on-site training or internships/apprenticeships in the field they love instead of spending thousands in tuition.
“Thinking about trying to lead a company ourselves, I think we just need to be flexible. We need to be really open-minded. We just need to not think about things like pedigree in the same way. We need to not think about where people work and how they work in the same way. And we need to understand that people need different things. And the only way to provide such a diverse group of people and opportunity to be successful in the way that they need to be successful is to be incredibly flexible.”
Word of the day
Cacophony
Timestamps
- 0:00 Intro
- 4:20 Native analogs vs native digitals, explained
- 5:20 Fundamental difference in how generations see the world
- 6:50 Could the online world be “real life”?
- 10:20 What was the world like for native analogs?
- 13:50 Maybe filming the moment IS the new living in the moment
- 15:30 How much of the world has changed for native digitals?
- 17:50 62% of employees already report to a Millennial boss
- 22:02 How has communication changed for these two groups?
- 25:24 Experiences are greater than things
- 28:20 Experiences provide more sustained happiness than things
- 28:59 Seinfeld and cash gifts
- 31:05 Some benefits programs do more harm than good
- 38:22 How to think about benefits equity for a remote team
- 39:25 Why flexibility matters now more than ever
Transcript
Jordan Peace (00:00):
All right. Welcome back to How People Work. This is one of your hosts, Jordan Peace. Jason Murray is joining me as usual. And Jason, tell us what we’re talking about today. Excited to record this episode with you.
Jason Murray (00:12):
So we’re on the third episode now, and the first one, we talked a little bit about our origin story, and we’ll come back to pieces of that and future episodes, I’m sure. But in the second episode, we got a little bit into some of the generational differences going on in the workforce. We did a little bit of a high level overview of some of those things, but today I want to dig in a little bit more into that topic. Cause I think there’s some things that are really interesting and some ideas that are maybe a little bit more unique that people haven’t heard about necessarily, and ways to think about framing this problem, if you will, a little bit differently in the workplace here. So I mean, think it’s safe to say that work has changed pretty dramatically over the last hundred years for sure. But in the last 20 to 30 years, especially. And so today, I want us to talk about some of those shifts that have taken place, give some framing and background on that shift, discuss some of the ways that companies and leaders can be thinking about how they can adapt to these changes as well. So hopefully some practical takeaways for the folks listening.
Jordan Peace (01:17): Absolutely.
Jason Murray (01:18):
So you all may remember that we talked about the five generations that are in the workforce today. And one of the things that’s really taken place is as we’ve shifted to this marketplace economy that we have today as opposed to an agrarian and then industrial economies that we’ve lived through over the last kind of thousand, and then last a hundred years we all kind of got pushed together working in the same places versus working on farms or working on skilled trades or working in factories and so forth when industrialization was taking place. And so then we progressed through the service economy in the middle of the last century. And that’s a lot of what our kind of industry is based on today. And now we’re living through this technological innovation of really the last 20 years. And I think it’s unlike anything that we’ve really seen before. And so one of the concepts that I want to put forward today we can’t claim full credit for this because it’s an idea that Christopher Lockhead and the folks at Category Pirates first started talking about this idea, but I think it really resonates and has a lot of practical implications for today. So I’m going to set this up a little bit and then we can jump in. Cause I think there’ll be some fun things for us to kick around here.
Jordan Peace (02:46):
We can claim credit for it if no one’s heard it yet. I think that’s okay. I think that’s a podcast norm we can have.
Jason Murray (02:52): Fair enough.
Jason Murray (02:55):
So what I want us to do momentarily as maybe suspend our thinking about traditional generational differences, and let’s just divide humans up into really just two groups. So dangerous, yes. But we like things simple. Let’s do it. We like things simple at range. So one is people who grew up in a world where technology was at best a supplement and at worst, a distraction to their in real life experiences, as we might call them. And we’re going to call these people native analogs. So these are your typically Boomers, Gen Xers and your old soul millennials, which you can put us into that category.
Jordan Peace (03:41):
I think we firmly fit in there.
Jason Murray (03:43):
And the other group is made up of those who grew up in a world where technology was really the central part of their life experience. They don’t remember a world where devices and kind of the digital world wasn’t a core part of it. And so these immersive digital experiences are really supplemented by their in real life experience, if you want to call it that. And so in some ways, you might say real life is the distraction for those individuals. And we’re going to call these people Native digitals. Native digitals. And so these are generally most of your millennials except for the old soul millennials and your Gen Zers especially. And so these two groups of humans really have fundamentally different ways of seeing and experiencing the world. So that dividing line is about age 35. And if you’re older than that, you’re really the last of a dying breed of humans that is soon to be replaced by this new kind of human. And that’s just what it’s going to be. It just is what it is. That is what it is.
Jordan Peace (04:44):
That’s not a comforting thought. Well, I agree with it.
Jason Murray (04:47):
I was actually excited to tee this up for you because I think there’s a movie reference here that is applicable and bringing some of this into perspective. And so you’re the one that actually told me about this movie first, so maybe you could tell us a little bit more about it. But Ready Player One is actually, I think, a useful metaphor to some of these topics. So if you want to give the audience maybe a quick overview of that.
Jordan Peace (05:12):
Well, I remember watching that movie on a plane, actually, which is where I watch most of my movies these days because it’s five kids at home. There’s not a lot of time to do that. But when you’re traveling, you get to watch movies as opposed to doing emails like a responsible person. But this movie set place in the not so distant future, I recall, and initially the movie starts out where everything’s very animated, kind of cartoonish. And so you’re like, oh, it’s an animated film. And it turns out that after the first 20 minutes, you realize that what you’ve been watching or people playing a video game, it’s vr and there’s just really kind of engrossed in this game. And over the course of time you realize that it’s not just a small group of people playing this game, but it’s every person on earth plays one single game and they play it all day long. And that is their life. Their life is the game. They work in the game, they play in the game, they fight in the game, they earn credits, and they go discover treasures…
Jason Murray (06:13):
To school.
Jordan Peace (06:14):
And they go to school and they do all of these things. And then they log off to feed their physical bodies and sleep and they get back and they play the game. And as a gamer, well used to be, again, before life got so busy and so forth, I, I’ve always loved video games and the concept was really intriguing to me. But what was so stark was this idea, you kind of referenced it earlier that what I would call real life was the kind of sideshow, it was the distraction from the game. Well, let me eat real quick. And they, you’d see some characters occasionally just shoveling down food to log back in because they’re missing some opportunity of some kind taking this break. And it ended up being really kind of a fascinating movie. I don’t want to spoil the whole thing for anybody who hadn’t seen it, but in the end, you sort of see that there’s a little bit more balance returned to this scenario where people realize actually maybe playing this game all of the time is maybe we’re missing out on some things in life. Maybe we’re missing out on some other kinds of human interaction that might be healthy and the world kind of changes and shifts towards the end of the movie. But it’s really good.
Jason Murray (07:27):
Yeah. Yeah. And I think it’s just a helpful metaphor to you, just this paradigm of a digital world being sort of the primary world that these individuals operate in. And it’s probably not overstating it to say that for digital natives and Gen Zs in particular, that they grew up in a world where those experiences were so kind of part and parcel of their everyday life. And so, I mean, think it would be funny to talk about some examples, maybe some things that we remember from our own life that are particular to what native analogs might experience. And so I’m curious for you, what are some moments or things that, for you feel very particularly analog in your experience?
Jordan Peace (08:11):
One of the things that’s really interesting about raising children at this period of time is I remember talking to my parents or even my grandparents about their experience of life and thinking, oh wow, that’s pretty different than my experience. But now when I compare to my childhood experience and my kids’ childhood experience, it’s as if we are 10 generations apart. They look at me, I’ve got three heads, and they’re just like, so when you wanted to know something, you had to find it in a book. Just brains all over the bedroom. I mean that is unbelievably foreign, for one that you’d have to find it in a book for two that you wouldn’t know the answer to something is mind blowing whenever I’m like, oh, I can’t remember the name of that movie, or that actor or that whatever. They’re just like, look it up. Yeah. I’m like, oh, act. And sometimes I’ll actually resist. I’m like, actually, no, I want to see if I can remember. I don’t want the answer immediately because I’m the digital analog or the whatever it’s called, native analog. Sorry. And I resist it. It’s too easy. But some of the things we talk about with them, like, not having cell phones. Well, if you’re in a car on a long drive, how would mama would you call you? Or how would grandma call? Yeah. Or how whatever. We wouldn’t talk.
Jason Murray (09:38):
Just call when you get there.
Jordan Peace (09:39):
Yeah. If we had to, we’d stop somewhere. And inside of buildings, there would be phones, like a gas station. I mean, if you were desperate, you’d knock on someone’s door and you’d ask them to use their phone and you’d go into a stranger’s home to use a Yeah, actually people would.
Jason Murray (09:55):
And the phone was attached to the wall.
Jordan Peace (09:57):
It was attached to the wall, and it had a cord and all this stuff. And then they’re just mind blown, mind blown by this stuff. Yeah. I didn’t feel nearly as, it wasn’t so outrageous when my parents described their childhood to me, there was some differences, certainly, but now it’s just insane. In one generation.
Jason Murray (10:18):
There’s funny ways it’s changed even the way relationships take place. I remember in high school, for example, weren’t, cell phones weren’t commonplace. And so if you had to crush on somebody, you really had to work to track ‘em down. You couldn’t text ‘em or call ‘em.
Jordan Peace (10:35):
Had to stalk ‘em in the hallway, had to figure out their class schedule to know which hall they I going to walked out and bump into him accidentally.
Jason Murray (10:45):
Morgan, who’s my wife, the audience wouldn’t know that our first date she initiated but she had to work really hard to find me because it was over a winter break. And there’d been a big snow storm, and I was out shoveling driveways. I was out hustling, making that money, making that money
Jordan Peace (11:02): Started early.
Jason Murray (11:03):
Of course, she’s calls the house to see if I’m there and my mom tells her, I’m out playing in the snow.
Right. Playing. Thanks mom. Thanks mom. Appreciate that. Appreciate it. Yeah.
Jordan Peace (11:12): Yeah. Well said. Yeah
Jason Murray (11:15):
No, yeah. Well, and I think what you bring up about the experience with your kids, and I resonate with that a lot too, having kids as well, is that these phones, screens, technology, they’ve really become the primary mode of interacting with the world from the very beginning. I mean, for our young, they know how to work the screens, like, oh yeah, intuitively.
Jordan Peace (11:40):
And my seven year old, he has a messenger kids account, and he texts me, I mean, I don’t know, considered a text, but a direct message or whatever. And he texts grandma and my dad and different people, his uncle, and they’re like, oh yeah, I was texting with Uncle Jason, the other different Jason the other day. And I’m just like, you what? <laugh> Right. It’s wild. But they know so much at such a young age that they teach me things about my phone. And I’m not old. Like I, I’ve been using a smartphone since smartphone started to exist.
Jason Murray (12:18):
They just sit around and play with them and figure that stuff out.
Jordan Peace (12:21):
They got it down. Yeah, it’s wild.
Jason Murray (12:22):
So Christopher Lockhead, when he talks about this concept, tells a story about going to a beach with some friends, and they took their kids with them and they went to this beach to watch the sunset. And it was really this perfect microcosm of how different that analog and digital experience was because he sat on the beach with his friends and they just talked and they watched the sunset and they remarked on how beautiful it was. And they just enjoyed the experience being together physically. And when he looked over at their kids, his kids were sitting on the beach with their phones up recording the sunset and Instagramming it and TikTok it to their friends. And the first reaction usually for native analogs is Put the phone down.
Jordan Peace (13:08): What’s wrong with you?
Jason Murray (13:09):
Stop. Stop. Enjoy the experience. But what it misses is
Jordan Peace (13:13):
Be here, be present. That’s the message that we just, it wells up in us.
Jason Murray (13:17):
Our, and to them, they actually don’t understand that, right? Because to them, they’re actually
connecting with a real experience, sharing with friends.
Jordan Peace (13:25): With their friends
Jason Murray (13:26):
Digitally. Right. And actually, I think it was really funny, a recent example is when LeBron James broke the scoring record, there’ve been some pictures where people comment on the backdrop of all the fans in the crowd with their phones up recording it, hundreds of phones. And 20 years ago, a similar shot of Michael Jordan where people were just watching the game. And I think it’s such a fascinating dichotomy of what’s taken place there. And it’s not that those fans aren’t engaged in the experience happening.
Jordan Peace (13:54): It’s super engaging.
Jason Murray (13:54):
It’s just a different way in which they’re experiencing what’s taking place in the real world. So really funny story to you that I saw recently when I was scrolling through Instagram, trying to go to sleep one night there was a mom who was running late, getting home from work, and she was trying to get ahold of her teenage daughter. And she was trying to text her. She was trying to call her, couldn’t get a hold of her. And she realized, I know what she’s doing. She’s playing Roblox. So mom logs into Roblox, which for those who don’t know, it’s the whole kind of digital world that you can go into. And it’s sort of open-ended and whatnot. And she finds her daughter immediately in the game. And you can message people in the game and tells her daughter, Hey, I need you to actually get dinner out of the freezer so when I get home, it can be prepared and be ready quickly. And so I just thought this was a funny way in which even communications take place differently for this new generation.
Jordan Peace (14:52):
Yeah, absolutely. I feel like in this we kind of in the middle with millennials or our old soul millennials like us, it actually goes down to the mode of communication. So mm-hmm. Our friend and Chris is even a little bit older of a old soul millennial. That’s true. Even though he’s five days older than me, and I can’t get him on text, I can’t get him calling. I’ve got to email him. I, I’ll text him 12 times, “Hey, what are you doing tonight?” And I don’t get him. So I email him, what are you doing tonight? And I get something in 30 seconds. He’s just a little bit more of that old soul.
Jason Murray (15:28):
Does he have a landline still?
Jordan Peace (15:30):
He probably should. And a newspaper subscription. But it’s interesting, the progression, and it’s
happened so fast. Well, incredibly fast.
Jason Murray (15:41):
Incredibly fast. So over the last 20 years, and this was shocking to me, the first iPhone came out in, I think it was 2007
Jordan Peace (15:51): Sounds right?
Jason Murray (15:52):
So I mean, literally the iPhone has only existed for what, 16, 16 years now? Barely. Gosh. And so can you believe how much this little device has transformed the way in which we go about our daily lives? Right. It’s incredible.
Jordan Peace (16:08):
We’re still calling it a phone, ironically, even though it’s a computer in our pocket. That’s true. With a phone app on it. That’s good point. It really makes no sense. But the digital analog, the native analogs are still winning the vernacular there. That’s true. I
Jason Murray (16:21):
Thinks it’s an opportunity, new category. So needless to say, this transformation is well underway. It’s happening rapidly. I mean, some of the statistics showed that in the next five to seven years, gen Z and millennials are going to be two thirds of the workforce.
Jordan Peace (16:41):
A third, five to seven, five to seven
Jason Murray (16:43): Years. It’s about a third.
Jordan Peace (16:44): Now that is soon.
Jason Murray (16:45):
So in the next five to seven years, I mean, it’s going to be a really dramatic transformation that takes place. And interesting stat, you already have a 62% chance today of reporting to millennial boss. So already some of these dynamics are at play. But what I want us to do now is take a few topics that I think are relevant to our audience, relevant to anyone who’s in HR or anyone who just leads people for that matter to really help think about how this framing can maybe give us a different lens on these issues. So the first one I want to take is the notion of return to work or maybe flexibility and work. And so I guess maybe you could give the audience a little bit of a quick overview. Just like, Hey, what’s the conversation around that kind of stuff out there
Jordan Peace (17:36):
In the world right now? Sure. I mean before we started how people work, I was interviewing a whole lot of people on the previous podcast and a lot of CEOs and also a lot of people leaders and just folks that were either making the decision as to are we going to return to an office? Are we going to be virtual? Are we going to be hybrid? Are we going to be optional, whatever? And I mean, it’s pretty clear, I could pretty much assume based on the age of the person that I began to interview, what the answer was going to be or the age of their ceo, right? With some exceptions. But on the whole, it was pretty clear that those that were the native analog guys were putting it, which I think is, I really like that the native analog, native digital, because it simplifies.
(18:28):
We’re talking five generations and you’re like head spinning, trying to keep up with the nuance of all five of these generations. But I think it probably is close enough to just say, Hey, let’s talk about two groups. Right? So I think that’s useful framing. So I found a smattering of everything really. It was a cacophony of answers, if you will, from we’re going to go back to work, and if you don’t like it, deal with it. We’re virtual forever. Then there was the tech company said, we’re virtual forever. Oh, six months later, nevermind. We’re going back to work <laugh>, right? Because somebody panicked and we’re paying too
much for this dag one office. You’re going to use it.
Jason Murray (19:11): Going to make use of it.
Jordan Peace (19:12):
You’re going to make use of it, whatever. But the conversation’s been all over
Jason Murray (19:15):
This. That’s such an analog thing to say too, which is funny. Cause I can picture my parents even in my
head that are like, I paid for this. You better make good use of it. Yes,
Jordan Peace (19:24):
I can remember that conversation on many topics and now I’m the one saying stuff like that,
Jason Murray (19:29): Right? Analog.
Jordan Peace (19:30):
But the conversation’s been all over the place, but it’s so clear where it’s going to finish. And what you just said about the five to seven years before millennials and Gen Zs are two thirds of the workforce. Do people really think people are going to come into an office in five to seven years? I mean, even now you’re losing people by just saying, Hey, we’re returning to work. If I can find a similar job, similar pay even, maybe a little bit less pay, and you’re not demanding that of me. Yeah. Bye. Yeah. It’s just not going to work.
Jason Murray (20:03):
So let me ask you something. Yeah. Cause this will tie in. If I were to tell you that I had a face-to-face
meeting with somebody, how would you assume that meeting took place
Jordan Peace (20:13):
At a coffee shop or in an office of some kind?
Jason Murray (20:17): Typical native analog?
Jordan Peace (20:19):
Is that the wrong answer?
Jason Murray (20:21):
No, no, no, no. So it’s actually a really interesting thing that even puts focus on the fact that when we say the same words,
Jordan Peace (20:32):
The same phrase
Jason Murray (20:33):
We don’t actually mean the same thing. So true in listening to some podcasts and talking to some Gen Zers, when they talk about having a face-to-face meeting, they just assume mean, I had a zoom meeting where I saw, or I had a FaceTime with the person where we were face-to-face in saw their face in no way implied that it was an in-person physical meeting. And so even that in and of itself kind of shines a light on this whole return to work paradigm.
Jordan Peace (21:04):
I remember there’s this nuance I picked up on right after I shouldn’t say after covid, but after the scariest of the time throughout and so forth, and before anybody was coming back together in person at all, I remember when I would finally meet people and I would think of it as meeting them, and I would say, it’s nice to finally meet you. And I remember getting a weird look enough times that I was like, oh, I need to adjust this phrase, great to meet you in person. Right? And I started adding that on so that, because I just felt old. Saying, saying, oh, nice to finally meet you. And they’re been on 12 meetings, dude. Yes. But yeah, I’ve felt my age or my category in that nuanced way.
Jason Murray (21:54):
Yeah. Well, so just to kind of bring it back to the topic here, this whole notion of return to work in an office and flexibility it, it’s so much less about preference because I think that’s the assumption that people leading companies make is it’s just a matter of preference. And people can get over preferences just
Jordan Peace (22:14): Suck it up.
Jason Murray (22:14):
It’s really not. It’s actually just a matter of they have a fundamentally different way of seeing and experiencing the world such that they can’t comprehend why work has to be done in an office when a face-to-face meeting just as easily takes place over Zoom or FaceTime as it does in the physical presence of other people in a building and so forth.
Jordan Peace (22:40):
We’ve talked before about this whole idea of the workplace needs to catch up to the marketplace. In other words, work needs to catch up to life, right? And so similarly, if you’re a native digital, your life looks like having Zoom calls FaceTimes
Jason Murray (22:58): With family, friends!
Jordan Peace (22:59):
Sending friends TikToks back and forth, and you’re like, whatever the case may be, whatever app you’re using, but you’re actually going to see your people more on a screen than you are in person anyway. Even if they’re not spread all out of the country, even if they’re three houses away, that’s how you’re going to interact more. Yeah. Anyway, so this idea that, but at work, I can’t do that. I have to go to some arbitrary place in order to be physically together for sense, for some purposes. I don’t understand how is my work enhanced? How’s my relationship enhanced? How are we a better company for that? I don’t, yeah. No, I mean, I’m not speaking for myself. I actually do value it to a degree. That’s hard to describe, but I totally can empathize with this idea that just I don’t get it.
Jason Murray (23:53):
Well, and the funny thing is, native digitals do value it. (23:57):
And so they do appreciate the physical presence and proximity of other people and having that kind of community. But when it’s put into this context of you must be physically somewhere, it’s forced to do work. It just doesn’t compute, it doesn’t make sense. Right? So another topic I think is an interesting one that this, I feel like probably maybe goes beyond just native digitals, but it’s certainly become more apparent as a result of this transformation taking place. And the experiences are more important than stuff. And so I know you have some thoughts on this topic, thank in particular. So would love to hear even just how you think about that concept.
Jordan Peace (24:40):
Yeah. I mean, gosh, that’s a big topic. How it relates to work and how it relates to life. I mean, I, I’d say if I had to summarize it as quickly as I possibly could, I’d say that our generation and I’d say Gen Zs probably as well, typically being raised by Gen Xers, who I call baby Baby Boomers, they experience parents who, if they were able to accumulate wealth, typically this big stereotype here. But that’s what we’re doing. Typically, they use that wealth to accumulate things, whether that was the bigger house or the bigger car,
Jason Murray (25:22): They’re providing a better life.
Jordan Peace (25:23): And
Jason Murray (25:23):
That’s which equated to…
Jordan Peace (25:24):
They’re providing a better life. That is the way in which they felt like that provision was taking place, or they were winning. They were, were getting ahead in life. And I think that our generation and generation behind us saw that as kind of empty of just like, yeah, you got a great big house, but you didn’t see the world. Yeah, you got this great sports car, but you don’t take it anywhere or whatever. And again, stereotyping, but there tends to be a very strong theme amongst millennials and Gen Zs. They’re just like, yeah, I mean, stuff’s cool. I’m not against stuff, but more so I want to make memories and I want to record those memories and I want to watch ‘em back later. I want to share ‘em with my friends, and I want to see as many countries as I can. And it’s just a totally different mentality around the purpose of money and also kind of the purpose of time. I think our generation, we were defined by this idea of the fear of missing out. I think the generation behind us is more so fear of missing a better opportunity. So there’s always this watchfulness for what is something great that I could be a part of or go do or experience. And I don’t see that watchfulness at all in the generations that came before.
Jason Murray (26:53):
Well, and I think that’s something that this native digitals have right here. So I mean, the statistics say 74% of Americans value experiences over physical products. So that’s as of today, high number broadly. But I think it’s also interesting because psychologists, through research and studies that they’ve done, have actually demonstrated scientifically that when human beings make purchasing decisions, that purchasing decisions of experiences literally provide more sustained happiness for people than things. And so just, I think it’s a very positive shift generationally, that is something that is desired in that way. And I, I think that has implications as it comes to companies and leaders of companies. Because one of the phrases, if I hear it one more time, I think I’m going to fall out of my seat, is how is this better than cash?
Jordan Peace (27:55): Oh,
Jason Murray (27:56): <laugh>, right?
Jordan Peace (27:57): Yeah.
Jason Murray (27:57): Yeah. A great. Or
Jordan Peace (27:59):
Maybe get out of your seat. Pick up your chair and break it over your legs. That’s
Jason Murray (28:02):
Right. Yeah, I probably would. Or break it over somebody else’s back maybe go WWE style. There’s a funny Seinfeld clip, which maybe we’ll post that along with the podcast notes that highlights it, I think really beautifully. But I mean even more than just experiences over stuff. Did you know that virtual Gucci bags were a thing?
Jordan Peace (28:27): Virtual?
Jason Murray (28:28): Yes.
Jordan Peace (28:29): Purses. Yeah, virtual purses.
Jason Murray (28:31):
More of those are sold than actual Gucci bags kicked out.
Jordan Peace (28:35): For
Jason Murray (28:35): What? That’s crazy.
Jordan Peace (28:37): What do you do with it?
Jason Murray (28:37):
It’s just part, it’s kind of like your avatar, right? So that’s why I asked you about Ready Player One.
How much should they, cause I have no idea. I, we’d have to look at it
Jordan Peace (28:47):
If we continue this discussion. I must sound ancient because that didn’t compute at
Jason Murray (28:52):
All. Right? But as we’re saying, all of this has implications in very directly, I think for the employee experience. Oh, because
Jordan Peace (29:00): Goodness.
Jason Murray (29:02):
What does pay look like? I mean, sufficient pay certainly matters, but we’ve heard for years now that employees, especially younger employees, value certain things more than additional pay. And so that brings us to what kinds of things matter most to people? What benefits matter most to people? How do you think about rewards and recognition? I not just crummy gift cards to buy stuff, but meaningful experiences I think is much more going to lend itself to what this generation desires. It’s upcoming.
Jordan Peace (29:35):
Yeah. I mean, I’ll never forget, our friend at Capital One is a pretty high level employee in her, I don’t know, it was 20, 25 year anniversary or something. And her choice was like, you can have this kitchen appliance or just knockoff Rolex. And she was so offended by this. I mean, it had such a negative impact. It would’ve been verbatim. I remember her saying it would’ve been far better to give me nothing than to give me options of just stuff that isn’t that meaningful. It is. It’s not personalized to me at all. It’s just something why even bother? So I love that stat around 74% of it preferring experiences, because that’s not pointing to necessarily one generation or two generations. I mean that, that’s pretty widespread. So I think it has a huge impact. And I think that we mistake the idea of, well, I have a program. I rolled something out. And that in and of itself is always good. I think there’s so many times we do more harm than good by just rolling out something to check a box. That is a big mistake. And I think with five generations, or even with two sort of native groups, if you want to look at it that way, you got to have a lot of intention to help me put a lot of thought into how you approach compensation benefits, where people work, when they work, what their schedules look like, et cetera. You can’t just sort of throw things at the wall and see what sticks.
Jason Murray (31:12):
So the last topic I want to hit on, and then we can maybe wrap up with a few ideas around what can companies be doing with this framing here is around work experience. And so this is the notion of how native digitals think about the necessity of certain kinds of training in relation to their work experience. So for example, college degrees. So we were talking about this just before the podcast here, but that 51% of Gen Z doesn’t care about getting a college degree, that they’re more interested in skills based education training on the job. Think a good analogy is they see work more climbing on a jungle gym than climbing a rope or a ladder, for example. So I mean, it’d be interesting just to comment on that for a moment because it’s such a different change even from what we experienced not that long ago.
Jordan Peace (32:07):
Yeah. I, geez. I think by the time I was even in middle school, there was conversations beginning about not, are you going to go to college? Where do you want to go to? What are you going to study in college? There was an assumption that unless we were in a situation where we simply could not afford college, which really, there’s tons of programs out there to help with that. But even still, that was the only way. It wasn’t going to happen if our family was in dire need and you need to go out and work now, or we just didn’t have the resources or something. That was the only possible way that I was not going to go to college. And that wasn’t my family, that was everybody I knew. It was just like, that’s what you did next. Because if you did not do that, the assumption was your opportunities are severely limited. Right. Which didn’t actually turn out to be true press. I appreciate my college education. I appreciate even more of the time I spent there, but I could have done literally everything I’ve done from the age of 22 to now without that degree. Same. It did nothing to help me get here. Not what I learned in class. Maybe what I learned about doing my own laundry. You know, what I learned about cleaning my house or the life skills. I could have learned that on a job living in an
Jason Murray (33:34):
Apartment. Well, native digitals are wise up to it because they’re saying, well, why is pay a hundred grand or more for this in order to get a degree that, as you said, has served you none in the things that you’ve done over the past decade or more.
Jordan Peace (33:51):
Yeah. I mean, I even think about, and not to always take things back to kids, but I got five of ‘em. I think about it all the time. I’m not even saving towards college for them. I’m just saving in accounts for each one. Just sort of generic advisory accounts that are taxable that could be used for anything. Cause I don’t know. I don’t know if I’m going to seed their business, start business, I’m going to, they’re going to go to trade school, or they’re going to come work for me or
Jason Murray (34:17):
Be able to buy a house. Even
Jordan Peace (34:18): A
Jason Murray (34:19):
House native digitals can’t do these days.
Jordan Peace (34:21):
Right? Yeah. I have no idea. And I just stopped assuming a little while ago that college was the route and has, it’s no comment on them as individuals and their capabilities or even their personalities.
Jason Murray (34:33):
Well, I think it’s a comment on the necessity of it to actually move forward in the world. So I mean that’s,
Jordan Peace (34:39):
Well, college colleges kind of priced themselves out too. I mean, that’s another piece puzzle there.
Jason Murray (34:43):
But I think companies aren’t adapting quickly to that reality. So yeah, I mean, the fact of the matter is you’re going to have more and more young employees coming in with no pedigree, let’s say, as it relates to college education
Jordan Peace (34:57): In that way.
Jason Murray (34:58):
But I think still highly valuable employees who are going to be looking to companies saying, Hey, how are you going to train me? How are you going to develop me? Are there apprenticeship? Are there ways that you can teach me on the job, the really practical skills that I need to actually be successful in the world versus the,
Jordan Peace (35:14):
Because ironically kind of old school,
Jason Murray (35:16): Yeah, it is
Jordan Peace (35:18):
Going back in time, but in a kind of fresh
Jason Murray (35:20):
But new way. Cause desire,
Jordan Peace (35:21):
The opportunities are different, right?
Jason Murray (35:23): Yeah, very much. Yeah.
Jordan Peace (35:25):
Well think about too, I mean, think about when we did financial planning. I remember we had clients that were 18 years old that were, had such Instagram followings that they were making far more money than you and I probably ever will at 18. It was just like, what? That was not a thing, right?
Jason Murray (35:43):
That was not a thing. Good generation. Well, even on the opposite end of that, there’s a guy that who also started working when he was 18, right out of school at the nuclear plant. So like a skilled trade. But by his mid twenties he was making $150,000. Right? I mean, so it there’s opportunity out there that doesn’t require that same kind of path that I think was instilled in us in that way. Yeah, absolutely. Well, let’s wrap up just talking a little bit about what can companies do, how do we take this framing, maybe apply it to some of the ways that we go about building companies, leading people, and so forth. And so I would love to hear from you some things that come to mind. I mean,
Jordan Peace (36:20):
What I hear, just listening to ourselves in this conversation and thinking about trying to lead a company ourselves. I think we just need to be flexible. We need to be really open-minded. We just need to not think about things like pedigree in the same way. We need to not think about where people work and how they work in the same way. And we need to understand that people need different things. And the only way to provide such a diverse group of people and opportunity to be successful in the way that they need to be successful is to be incredibly flexible. You can’t say, well, we are all going to return to this office all the time. We can’t. And I would argue you can’t also say we’re all going to be remote only. And there’s never an opportunity. There’s never an opportunity for you guys to get together and get around a whiteboard.
Jason Murray (37:13):
That’s what’s designed and solve
Jordan Peace (37:14):
Some problems. Exactly. Nobody, I would argue probably nobody or most people don’t want zero opportunity for that, right? They just want the flexibility. And that’s challenging. And to some degree, it could be expensive even. But I think about how we run our company. We think about, okay, well we don’t provide an office space for every single person, but we almost account for it as if we do. Right? What would it cost to provide a desk for every single person? And then how could we use those funds differently because we don’t provide a desk for every single person to serve people to serve the need of getting together occasionally for that team building and that figuring problem solving and doing some of those things together and breaking bread and whatever. And I think that’s the type of thinking that’s needed. It’s just like, okay, it’s whatever we’ve done in the past.
(38:10):
Let’s take the lessons that can apply and let’s use those and let’s let the other ones kind of fall by the wayside that just don’t apply anymore. And that kind of stubborn attitude of just like, I’ve been here, I’ve done that. I know how things work. Sorry, the world’s changing too fast. To think that what we learned 10 years ago is still relevant. Yeah, no. So I, I’d say above all, and in the interest of time, I’d just say be flexible. Be open-minded and understand that your employees are very, very different than one another. And potentially the group as a whole is very different than whoever you were leading 10 years ago or 20 years ago if you’ve been doing it that long. Yeah.
Jason Murray (38:51):
Yeah. I mean there’s say, you might even call it an arrogance of every preceding generation that totally assumes that, hey, just the way things are is the best way. Right? And there’s a resistance. And so what I’m hearing you say is being willing to move through this transformation that’s taking place, being flexible, being adaptable, and not just fighting it is
Jordan Peace (39:17):
A huge part of it. Yeah. I think you got to know what your absolutes are, and you got to know what kind of your relative truths are, right? There are some things that have carried through all generations and will carry through all generations things. Just like being humble and kind to your people and listening to them, right? Whether you’re listening over zoom or in person over coffee, kind of a universal absolute, right? But then there’s a whole lot of things that I think we as leaders, especially the older we are, we want to hold onto them and be like, no, no, no. This is how business is. And it’s no, that actually belongs in the category of things that you need to be open-minded and open-handed about. Yeah. And I think that’s the difference between great leadership and kind of average leadership going into the next 10, 15 years.
Jason Murray (40:02):
Well, I think that’s a great place to wrap up this conversation. And I hate to break it to you, but you failed to use the word of the day. I did not. From the last conversation.
Jordan Peace (40:12):
Cacophony. I said, you missed it
Jason Murray (40:15): I totally missed it.
Jordan Peace (40:17): That was smooth. I’m a smooth operator today.
Jason Murray (40:19): Yes you are. Yeah. I was
Jordan Peace (40:21): Talking about interviewing CEOs and getting a cacophony of answers.
Jason Murray (40:24): I was getting excited, which is kind of
Jordan Peace (40:25):
Not using it correctly, but it was close.
Jason Murray (40:28):
Yeah. My active listening was just, sorely lacking there
Jordan Peace (40:33):
You’re forgiven. What’s my word? Next week? Well, I
Jason Murray (40:35):
Got excited because I thought we could keep score and I get a point if you forget to use it and then you get a point when you do use it, you’re
Jordan Peace (40:40):
Going to get crushed If we did that. I am crushed. Don’t think
Jason Murray (40:43):
<laugh> probably true. Well, the word of the day for the next episode will be anachronism.
Jordan Peace (40:50):
Good. Gosh, these are not getting used here. <laugh>, I’ll be googling that in about five minutes.
Jason Murray (40:57):
So Well, thank you everyone for joining us on this episode, and we’ll see you next time.
Jordan Peace (41:02): Yep. Bye-Bye.
Episode 2: What most workplaces have totally backwards about Millennials and Gen Z
Employers and people leaders across industries are facing the same challenge at work.
How do you lead a diverse workforce well?
For the first time in history, there are five different generations in the workplace — Silent, Boomer, Gen X, Millennial, and Gen Z. And each generation has a fundamentally different experience of the world, leading to competing expectations of the employer.
How can leaders demonstrate care and respect for all of their employees when they experience the same work environment differently?
In this episode of How People Work, Jordan and Jason discuss how leaders can meet the competing needs of today’s employees without neglecting any one group. They’ll answer questions like:
- How do our employees want to be recognized?
- What incentives will motivate each generation?
- How do employees define wellbeing and why does that matter?
Now available on: YouTube | Apple Podcasts | Spotify
Key ideas and highlights
- Currently, Millennials and Gen Z make up 35% and 7% of the workforce
- By 2030, Millennials and Gen Z will make up over two-thirds of the workforce
- Rewards and recognition programs need to be tailored to the different expectations of each generation
- Showing appreciation to a Millennial in the same you would you show appreciation to a Boomer is likely to offend rather than inspire that employee
- The experience of the world is fundamentally different for each generation.
- Employers who aren’t aware of these differences will struggle to acquire and retain top talent.
“Companies are grossly unprepared to handle the generational shifts about to take place over the next 5 years. The experience of the world is fundamentally different for each generation.”
— Jason Murray
Word of the day
- Ameliorate — said @ 33:43 ✅
Timestamps
- 0:00 Intro
- 1:18 What are the five generations in the workforce?
- 3:06 What the workforce will look like by 2030
- 3:56 The radically different expectations each generation has for their employer
- 5:10 Why many recognition programs do more harm than good
- 7:16 What each generation has in common at work
- 17:18 How to lead all 5 generations well
- 22:50 What happens when you view work as the enemy
- 24:18 Why “work-life balance” is a ridiculous false dichotomy
- 26:30 What we stand to gain if we think of work as play
- 27:30 What work, camping, and sports have in common
- 29:05 What language trips up leaders and silences employees?
- 33:28 How leading out of fear vs. trust will inform your talent strategy
Transcript
Jason Murray 0:00
Well, welcome back to the how people work Podcast. I’m Jason Murray, I’m here with my co host and co founder of fringe Jordan Peace. Hey there. And on this podcast, we talk about the intersection of how humans work as individuals and how they apply themselves to work. And hopefully that helps us to be more insightful, compassionate, compelling leaders of people and company builders.
And so today, we’re continuing some of the themes that came out of our first episode, where we talked a little bit about our genesis story, around what is Fringe, how we got started, a little bit of our backstory, and even why we’re passionate about some of these topics. And so I think the the sort of overarching premise, if you will, that might be helpful for people to understand, that I think will be common, but we want to dig into this in a little bit more detail is just how are the various generations out there in the workforce, impacting the way that work is getting done impacting the way that generations are interacting with their employers? And what does that relationship look like? And I use that word relationship very intentionally here —so pop quiz, surprise, to start us off.
Jordan Peace 1:20
Thank you for that. Appreciate it.
Jason Murray 1:22
Can you name the generations that are in the workforce today?
Jordan Peace 1:26
I think so. We got the Baby Boomers. The Gen Xers. Which I refer to as the baby boomer carbon copies. Which is probably not fair. Then Gen Y or millennial? Yeah, two names for our generation. And then the Gen z’s. Okay, I miss somebody. That’s four of them.
Jason Murray 1:52
You got some stragglers in the Silent Generation. Bless their hearts if they’re still working.
Jordan Peace 2:01
Yeah, I didn’t. I never thought about that.
Jason Murray 2:05
But there are some that are still out there in the workforce.
Jordan Peace 2:10
I just saw a story today about a great grandmother got her master’s degree at 87 years old. I’m like, Yeah, that’s awesome.
Jason Murray 2:18
Apparently, they’re so silent. You forgot about apparently. So we got the generations here. That’s probably common knowledge to most of us, whoever that last one may be. It’s not common to me. One of the things I think would be really interesting, though, is to talk about, you know, especially in the workplace, is: How are we starting to experience some of the different expectations of these generations who are coming into the workforce? And in particular, what are the expectations of millennials and Gen Z?
Millennials already make up 35% of the workforce, and Gen Z currently stands at about 7% to 10%. What I think is actually staggering is by 2025, over 30% of the workforce is estimated to be Gen Z. And so we’re about to see a massive change in the number of employees represented in the workforce by Gen Z. And so what that means then is s of the workforce by 2030 is going to be millennials and Gen Z. And so I think it’s of especial importance to talk about what’s going on with those generations. So just as you’ve been in the business, and I’ve been working in this space, what are some of the things that you’ve noticed along the way around expectations of these different generations?
Jordan Peace 4:03
Yeah, I think one of the things that stood out to me the more we we not only observe but also research and even write about this and podcast about this an interview other folks about this, I remember I interviewed a cultural anthropologist, one time, it was a fascinating interview and learned a lot from that conversation. But what you find is that human beings across generations, much of what they want, at their core, is the same. The way they want that communicated or delivered or who they want that message from changes dramatically across generations, right.
And then sometimes there’s things that just completely pop up for a new generation. They have new needs, new desires that just mostly because of technology advances in the world that either that opportunity or that thing just wasn’t vailable in the past, but is as an example of something that is commonplace, right? Everybody wants to feel seen and heard, everybody wants to feel appreciated at work, right? That appreciation in, let’s say the workplace 30 years ago, probably would have come to the form of something transactional, when it comes to the form of a physical award, probably a plaque, something that was actually in and of itself expensive and heavy, right? A thing that said, This person is valuable, they achieved something, they bettered their peers, they’re the best of, of whatever they are. And then of course, through income, right through a through a bonus or promotion, which is still commonplace to this day.
If you were to give a plaque to a millennial, right, they would immediately drop it in the trash can, right on their way out the door, like how they would actually be offended. Like, how dare you think that all this work I put in to separate myself and to do something great, and to contribute to the company. And you thought I wanted a piece of metal with something engraved on it? I mean, the thought the thoughtfulness is still there, the idea of just trying to say, hey, we see you, you’ve done a great job. But the perspective has come in, that’s just a, it’s just the language that you’re speaking, the heart of the matter is, I want to feel appreciated, right? In both generations. So it’s just really interesting that like, sometimes the, you know, at the very core, it’s nothing’s really changed all that much. But if I say it in the wrong language, you actually offend more than you do good. Show what you want to show. Yeah, so just just as a highlight, but I think that’s a lot of what I’ve learned is, when you get into conversations with people in our parents’ generations, you ask them about their experience at work, their experience is very different. But if you dig into what they wanted to experience, what the words are that they wanted to hear from their boss, what they wish it would have been like, or the things that were great about their work with. A lot of that stuff turned out to be like, oh, yeah, I feel the same way. Yeah, yeah. No, like, I totally see that.
Jason Murray 7:14
Right, well, I think that’s a really important distinction there because I think it speaks to things that I think we believe to be true, which is that humans are, have intrinsic value to them. Humans have intrinsic needs that are, you know, true about just who we are as people, regardless of generation. And so there are things generationally in our experience of just world events, and things of that nature that have shaped who we are and how we go about and kind of operate in the world. But at the same time, yeah, like that desire for appreciation and, you know, respect and whatever the case may be. But I think it’s, it’s interesting. And it might be helpful, even if we just share some of our own experiences of our parents maybe and what were there maybe are some really notable differences is what their expectation of their employer was, because I would say, with my parents, in particular, while they may have desired to have those things, they never expected it from their employer. And so although they might have appreciated having, you know, more recognition in that fashion from managers and supervisors, I think, you know, for my parents, it was really like, I go to work to provide for my family. It’s very transactional, because they give me a paycheck. And I give them labor. And that’s all I’m asking for. Or that’s all I expect from them. And anything more than that is like, that’s great. It’s kind of icing on the cake. And I think what’s changed, at least in my own experience that I found was like, Well, I don’t want that. You know, and I think that’s what a lot of folks in our generation, you know, as millennials have seen, and part of what’s kind of creating that, you know, reaction that maybe we’re seeing in the workforce now,
Jordan Peace 9:08
I think it comes down to how people are raised. If you’re raised by folks that are coming out of, you know, the Depression era, the expecation is to just store away everything you have, be grateful for what little you do have if you have a job, hold on to that thing with all your mind, do whatever you’re asking. And then they raise the baby boomers, they raised this generation of people, and they tell them about how hard things where they tell them about how fortunate they are to have the oppo rtunities that they have. And I think it just creates a situation where the message is: Go to work. Keep your head down, keep your mouth shut, do what you’re told, right? And don’t have a lot of needs, right? I mean, that was the other thing. It’s like, just the emotional availability of parents then versus, like, what we experienced probably being raised and what our children are experienced being raised. Like, and again, speaking in generalities, but that’s what we’re doing in this point in this episode, right? We are just going to be much more emotionally available. And so what is the message that my parents were very emotionally available to me growing up, and so the message that taught me was, I’m allowed to have needs, I’m allowed to want things I’m allowed to be upset, I’m allowed to not feel like the relationship’s okay, and want to kind of restore that, whatever. But if you’re not growing up in a situation where that’s being promoted, you’re not gonna go to work and expect some person that’s not even your family, to sit down with you and go, “You seem to really having a really hard day, what can we do to help you?” You expect to hear, “Shut up and do your job”. Right. So it’s, it’s, it’s not so much only the workplace, the workplace is kind of an outpouring of I think, what happens in the home. And that, and that’s what’s been passed down to the, through the generations is that there’s just more emotional availability, more of a relational aspect, between parent and child that is more around feelings, right? And so therefore, when you go to work, and you have this relationships, it’s not meant to be parental, but you do hear people borrow that language, when they talk about the workplace, and they talk about, then they shouldn’t, but they talk about employees as kids, right, you hear that all the time. And and I think the reason why that language is being borrowed is because people drag that in to the workplace and it affects their expectations of who their employer is and who they’re going to be.
Jason Murray 12:02
Well, I think it’s really important that we not just gloss over the fact that there are these generations, and there are these differences, too, because I think the the time in history that we’re living in right now is one of the most unique that we’ve ever seen. So there’s never been a time in human history where there’s been literally five generations of human beings that may be working together in the same place. That’s never happened before. And then layer on top of that, the fact that we’re living literally in the fastest technological transformation that’s ever happened in human history over the last 20 years. So we’ve got both of these things going on at the same time. It’s really hard to overstate how impactful that is to what people expect from work, how they think work should happen, what companies are trying to do. And so, you know, this isn’t like, you know, hey, let’s just kind of like make this generation happy and move on. I think it’s actually we really have to fundamentally look at how are companies designed to enable people to work in a good way. And that’s something we talked about in the last episode is this notion that work is good. Like, we think it’s a good thing for people to have that. And so it means that we really have to rethink how companies are designed to enable people to work effectively.
Jordan Peace 13:27
Yeah, no, we really do. I mean, your point about technology, it actually just made me think about somebody sent me on YouTube was like the first TV commercial ever for Microsoft Excel. I don’t know if you’ve seen that. It’s hilarious that the TV commercial is showing this person that has built a spreadsheet, and they drag a group of cells over to the right, and the formula gets applied into the future. And they’re like in an elevator, and everyone is just like — brains out the back of their skull! Like, what just happened? It just makes me think like, that wasn’t that long ago, right. And if you had to build a spreadsheet, you were going to be working on that thing for weeks. Right, you know, like just on this one thing for this one meeting to give that one report if you weren’t doing it on paper if you weren’t doing it on paper, right. And before that it was done on paper. And now, the technology is at a place where I would expect someone to do that same work that took that person weeks, 30 years ago, to be able to get it done in a couple of hours, and then go do another 40 tasks today. Right? And the technology allows it right. But as our brain chemistry caught up to the fact that we can achieve that much in one day. And so it’s just interesting is we’re fighting against, not against but we’re fighting alongside technology’s changing generational expectations, what a workday should look like what you can accomplish and it worked. A Right, right. And I think if I would have started my career, which I didn’t, but if I would have started my career 30 years ago, and I’m still in that career now, I would feel like what, like, I’m expected to do so much in one day, and I’m willing, because I’m of the generation, I’m gonna do whatever you tell me to do. I’m gonna hustle, I’m going to work hard, right? And but I’m playing catch up all the time. Whereas I think sometimes, you know, if I could raise a criticism of our own generation, we’ve become so efficient at doing things that sometimes we can put in two or three hours of work, and we sit back and go, “I’ve accomplished kind of a lot today”. I’m probably good, right? Like, and you kind of see that reflected in this tension between like, you know, those of an older generation, just like, you guys don’t even work.
Now in the younger generations, like, actually, we’re achieving a whole lot, right? We’re just doing it more efficiently. And it’s, it’s probably blowing your mind a little bit, but like, how do we learn from each other in the right, you know, like, how do we not just go well, they’re old and wrong. And we’re young and right. Or if you’re sitting on the other, and we’re kind of sitting in the middle? You know, the two of us? Yeah, or go, “All those young lazy people, they don’t know how to put in an honest day’s work.” Right? And why don’t they do it? Like, neither one is correct, really. And I think, you know, what’s sad to me about the workplace is it seems like it’s gotten, it’s gotten to a place where there’s not a lot of knowledge sharing, and I would even use the word like wisdom sharing between the generations. You know, it just I think there’s not a lot of respect given to the knowledge and experience of those that have gone before. And there’s also not a lot of patience and understanding given to the younger generations of maybe you’re not actually just worthless and lazier.
I think you can’t ignore that tension in this conversation, because I think it’s one of the good reasons to talk about it, is to help open the conversation of every generation has something to offer. And the other side of the coin, of course, we’re going to get to is, if you’re an employer, you’ve got to think about how do I employ well, all five of these generations? And how do I treat them really well? How do I have proper expectations for them?
Jason Murray 17:31
That is just such a huge challenge. I think that understanding between generations is so important, because as we talked about that shift that’s happening over the next five years, I think companies are just grossly unprepared for what’s happening. And some of that I think, is, you know, let’s say the arrogance of maybe older millennials, like us that are kind of on the cusp of like Gen X. And then those older generations that are frankly, the ones that are running companies, for the most part, yeah, that call the shots.
Those are the ones that, you know, tend to — even when they’re trying to be empathetic — lack the full understanding of how different the experience of the world is for that new generation. And so, I was thinking it’d be fun to even think about, like, some of the examples because for one, for instance, like cellphones, you know, we’re like, we remember a time in our lives. I’m 38, then that was not commonplace. Like, I got a cell phone my first year in college, it was a flip phone, which I thought was pretty damn. The green backlit screen. You know, and you had to like press like 999 buttons to like, send one text message and so you just didn’t send text messages. It was too difficult. That was kind of the reality versus you know, when I look at what Gen Z is today, yeah, like my daughter is in Gen Z. So Gen Z is anyone who’s ages 10 to 25 right now. And so her familiarity with like, a cell phone texting, like how you interact with that technology is just so different from what I experienced.
Jordan Peace 19:37
Yeah, yeah, definitely. And I think, you know, if you’re employing people of these different generations, that’s where the serious challenge comes in. Because you have to have the wisdom to understand what are the common threads that span across, all generations, right? If you don’t find those, you drive yourself crazy, trying to contextualize every single thing you’re doing based on how old people are, what their experience has been, and so forth, right? You have to personalize to some extent. But if you spend 100% of your time trying to personalize messages, you’ll just go insane. Like, you’ve got to find ways to communicate, and you’ve got to find the heart of the matter. And so, you know, I think one of the things, you know, we talked about appreciation, you know, but I think another thing is just people want, people want to understand how what they do, it doesn’t matter if they’re 55 years old, or they’re 22 years old, they want to understand what how does what I do contribute to the greater cause of the company, right? That is not a new idea.
The new idea is that the causes, social and otherwise, that a company stands for, ought to be aligned with what I stand for, right? That is a very younger generation thing. I don’t think the older generations care about that whatsoever, because their identity is not associated with the company nearly as tightly and there all sorts of reasons for that. That’s another episode, I think, right around how we go about our society and navigate the world. But everybody wants to feel like their job matters. And I think that one of the challenges is that for the older generations that are not in the leadership role, right? That are in you know, that VP level, manager level, whatever it is, they can easily feel like the world’s kind of passing me by, I’m just sort of like hanging out waiting for retirement, I’m just trying to get to the finish line, I’m not really vital to this company anymore. And harkening back to this idea of wisdom transfer, there’s just stuff that you cannot learn in a book, you can’t even learn through your first four or 5, 10 years in your career that we need to be having more mentorship type of relationships between the older and younger generations, so that that stuff can get passed through so that we don’t grow businesses where you’re generalizing. Well, we don’t actually learn how to do satisfying work, we don’t learn how to hustle to the point of, “Wow, I worked really, really hard this week.” And like, and I have this clear accomplishment in front of me.
We were just talking to somebody before we started recording, who said he feels guilty when working too hard. Like what Boomer would have ever said, “I feel guilty working too hard”. Right? Like, that’s interesting. It and like, can you work too hard? Absolutely. Right. You absolutely can you can work yourself into the ground. But I think this belief has come to bear in our generation, and perhaps the younger generations that work is the enemy and I just need to work as little as possible so that I can go live. And it’s just missing the fact that the living that you plan to do will actually be far less satisfying. If you don’t strive and work really hard to feel like you actually earned the living and you actually like need the rest and you need the restoration that comes with the time off because you gave it all you had when you were working. That stuff just needs to get talked about between these generations.
Jason Murray 24:51
Well, and and it’s really fascinating. So Marcus Buckingham talks about this in his book “Nine Lies About Work”. And, you know, we talked about this concept too, but basically the false dichotomy of work life balance, because I think it’s just ridiculous because like you said, work-life balance sets up this, you know, you know, it puts work and life at odds with one another, like, yeah, work is negative, right? And we want to do as little of it as possible so that we can get around to our living, right, because life is where all the good stuff happens. And it’s actually not true about how humans are wired. Yeah, that some of the most fulfilling things that we can do are intimately integrally tied into the work that we do. And so, you know, psychologists talk about this concept of “flow”. You know, when you get into those states of like, I’m doing work that I love, you lose track of time, and it doesn’t even feel like work. I mean, you might feel like, Hey, I worked hard, but it wasn’t draining, or it wasn’t exhausting, it was actually highly energizing. And so finding ways to create more of that is actually going to be positive for everyone.
Jordan Peace 26:01
Yeah, I mean, it’s really funny that we believe that false dichotomy because if you think about how we play, they set up competitive games with rules that they can lose, right? And they have to exert themselves. And they have to think really hard. And even think about camping! People criticize camping, and I get why they do, but people put themselves out of the home that they have with running water and electricity, and intentionally make life a lot harder to go in the woods and set up a tent and sleep with wild animals. That’s work. But it’s satisfying, because you wake up in the morning, and you’re like, I just slept out in the wilderness. Like, I don’t need all this house and electricity and stuff. Like I’m tough. There’s something really cool about that. And so, like, why do we believe that work is bad when all we end up doing when we’re not working is setting up ways for us to work?
Jason Murray 27:02
Yeah. Maybe that’s it? Maybe that’s an interesting distinction is, you know, previous generations never expected work to feel like play, right? But sure, there’s maybe more of a desire that’s being expressed for that to be true. Because if you think about kids, like play is how you explore the world and play’s, how you engage with things that are new or fun, or it’s sort of how you learn. Yeah. And so like, why wouldn’t we want work to feel more like play, and then it becomes this thing that’s fully integrated into your life. Because the problem with that dichotomies, when you set it up is, you know, these two things that are at odds with one another. I mean, think about how much time you have to spend at work, like it’s unavoidable, unless you’ve got some giant trust fund.
Jordan Peace 27:48
But like, I mean, we had clients that were trust fund kids and how happy were those people? Yeah, mostly miserable?
Jason Murray 27:59
Because it tells you something. Yeah. about human nature. Yeah. Which is we need responsibility for something because the responsibility gives us purpose. And that purpose is what actually gives us satisfaction. So if we don’t have a purpose to strive for, which is, I think, the appeal of games, right? We set up these competitive games, because what are we doing, we’re aiming for a goal, collectively. And it’s a whole hell of a lot of fun when you’re aiming for a goal collectively. And so that’s more or less what we should be in business. Right. And so, I mean, it’d be really interesting to talk about, you know, we haven’t figured all this stuff out. That’s why we’re talking about it. But what are some of the things that we’ve been trying around here at Fringe that you feel like, you know, we’ve seen some success with?
Jordan Peace 28:46
Gosh, I mean, just in terms of kind of, like gamifying, the work experience?
Jason Murray 28:52
In the last episode, you talked a little bit about, you know, the the different experience people have expressed when they’ve come to work here. And so it’s not to, you know, self congratulate ourselves on what we’ve built here. I’ve actually found it quite surprising. Yeah, you know, how much people have emoted about that experience? Because, again, you know, you and I didn’t have a ton of, you know, corporate experience, or we didn’t work at startups, before buying companies or small companies, we kind of just did solopreneur things and started a small company that is the two of us. And so I don’t think we had expectations. So for me, it’s actually been more surprising, but it feels like there’s some things that we’re doing that seemed to be working.
Jordan Peace 29:35
Yeah, yeah. I mean, I think a lot of its cultural, right. I think a lot of it is is how you talk about people, right? I think it’s the words you use, right? So I think they’re one of the biggest problems like is when we play, right when we go we get on the team and we play a game. It’s all very egalitarian. And I’m not saying that that’s how the workplace should be. You absolutely need authority and you actually need leaders and so forth. However, you, you don’t have to talk down to people, right? You don’t have to call yourself, the person’s boss all the time, you could say we work together, you don’t have to say I’m this many levels up or down. Like it’s some of the language that I think is problematic. I don’t care what generation you’re in, that it’s just not the right way to approach somebody and say, Hey, we’re all human beings, we’re all here to work. We’re all here to achieve a goal. Like, let’s go get this done and immediately sets up a situation where, because I’m me, and you’re you, we’re going to do it my way, my opinion is just the one that just silences people, right? Because like that, you’re constantly reminding people that they’re not important as you are, which is, first of all, not true from a human level. But secondly, it just really stifles the creativity in the room. And I think prevents people from having that courage. Say, I got an idea. Like, it’s my first week, and I’m 22 years old, and I’m fresh out of school, and I have an idea. And my idea might be terrible, but it might be the thing that takes your company to the next level. Right? And you will not hear it. Unless you show that humility in that respect. Yeah. And so I think we’ve, I think we’ve just set up a place where, and again, I want to pat myself on the back or you or anybody else, but it’s there’s a humility and leadership that I think brings everybody’s voice to bear. I think the other thing that we’ve done is, I think we’ve allowed people to work in the way that they need to work based on their their situation, right? Like if they’re, they’re so low at home. And that’s, you know, they get distracted that you know, or they’re, they can’t focus, they need to come into the office, we have that available, they can do that they can be engaged that way. If they’re, like you and me with a bunch of kids at home, it’s like, we need to escape we got to get here. But occasionally, it’s like, I gotta just like lock myself in a room. And so I was like, All right, like having those options available. And being able to provide different, you know, means for people I think has been big. I think, again, that’s a generally generational experience as well, because you need different things when you’re 25, than you do when you’re 35 and 45. And 55. In your workplace, and then your environment and, and also the time, right? Like, I don’t mind any of our employees hearing that, like every what is it? Wednesday, I leave at three o’clock, I go home, I grab my daughter, I take her to gymnastics where they’re from 430 to six. A lot of times I’ll sit and watch or sometimes I’ll do a little work in the car, sometimes a mix of both, right? But then again, I’m here at 10 o’clock at night, right doing this because this is play, right? For me, this is fun, but it’s you know, it’s also accountants work, right? And so does that flexibility, too. You know, work when you want to work and play when you want to play, like there’s a trust that you give over. And not everybody can handle that trust, right. And that’s why you got to be first, really careful about who you hire. And also, like not try to hold on to people that you don’t think can actually mature quickly handle the trust. What if you can trust people with that time and give them that freedom? It’s just a beautiful thing, because they appreciate so they appreciate it so, so much, right? And it really elicits a whole lot of loyalty and respect and goodwill between the two parties. Yes. I mean, I could go on about a lot of things that we’ve done, I think ameliorates the traditional, you know, corporate model.
Jason Murray 33:46
Everyone catch that? I was just wondering if I was gonna have to tip you off there. Give you a little help on that one. Yeah, I think that the trust piece really resonates with me. Because, you know, in my mind, I like to think about, you know, is there is there a critical lever that makes a lot of other things work? Right. So there’s lots of tactics that you can implement to make things work in your company, you know, flexible work schedules, yada, yada, yada, the benefits that you provide all of these kinds of things that, you know, help communicate something, but it really starts I think, with that trust, it’s like the reciprocity that comes from, you know, organization leaders saying to their people, Hey, I trust you to you understand the job. And just, you work when you need, like, you don’t necessarily have the hours lto get it done.
Well I mean, as someone who’s an introvert, and I know you’re an extrovert, even like the experience of flexibility of workplaces. It’s like, there are some days where I’m just like, I’d prefer to work at home, even with the kids running around downstairs because like, I just need to focus I need that time like there. Do something about that. And like, I don’t think twice about it, because there is that flexibility that actually enables the work to happen in the way that it needs to happen. And so I think that’s a really powerful thing, if we can design that experience for all employees, and it has to be done with a lot of intention.
Jordan Peace 35:18
Well I think the quality of your employees is more important than ever. Because if you’re going to lead from a standpoint of trust, that’s a very different thing from leading out of fear. Because you can drive people that are not actually that great of an employee through fear to just do the job, right. And you probably could get further with less talented people, if you’re leading out of fear, not really an enjoyable way to lead not an enjoyable thing for the people working for you. But from an effectiveness standpoint, you probably could get more out of less so to speak. But if you’re going to lead out of trust, you need not only talented people, but mature people and self motivated people. And people that don’t need somebody cuz you can’t have somebody looking over their shoulder all the time, literally physically. So that it really changes I think, how you need to look at the talent pool.
Jason Murray 36:13
I think that’s a great question. In some respects a good place to wrap up on this idea. Are you driving people out of fear? Or are you leading out of trust? And I think there’s a lot of things that you could answer about your company based on, you know, the way that you would respond to that question.
Well, we have a long standing tradition on this show, now that we’re on the second episode here. Where I do pick a word, somewhat at random.
Jordan Peace 36:40
The word today was ameliorate if you didn’t listen to the first episode. That’s why Jason kind of freaked out when I said the word ameliorate earlier it was the secret word of the day.
Jason Murray 36:51
And it was well placed and well used. And accurate. Yes, I can attest to that fact. So I did come up with the word of today myself and didn’t use Google to find this one. So our word of today that will be woven into the conversation in the next episode is cacophony.
Jordan Peace 37:11
Wow. You’re upping the ante immediately from ameliorate to cacophony.
Jason Murray 37:18
I know how much you love words, and I do I do this and I’m a little bit but it’s gonna be fun. Yes,
Jordan Peace 37:22
let’s do it. Thanks, everybody, for listening episode two of how people work. We’re really enjoying this. I hope you’re really enjoying this, and we’ll see you on the next one. Bye bye bye.
Episode 1: Our radical take that work should be a good thing
Many of the concepts we have about work assume that it is a necessary evil. Work is bad and life is good, and therefore we should aim for minimal time spent working and maximal time at leisure. This is the assumption embedded in the “work-life balance” model.
In this first episode of How People Work, Fringe co-founders Jordan Peace and Jason Murray challenge this way of thinking.
They explore the history of how people have thought about work, what we stand to gain if we view it as inherently good, and how this mindset led them to start Fringe.
Key ideas and highlights
“Work should be a good thing. This notion of how we work as humans, but also how we apply ourselves to work, is something that ought to be investigated and talked about. And it’s relevant to what we’re doing here with Fringe because we’re trying to very much build a company in which people can feel that they do good work and that the work is good for them and good for their lives and their families.” — Jason Murray
- Before, people viewed work as a transactional relationship between employer and employee. In exchange for labor, employees received wages.
- Now, employees expect to find meaning, purpose, and belonging at work.
- This transition was fueled by the expansion of benefits that extend beyond the quid pro quo arrangement of the past — health insurance added in the 1940s, 401(k)s in the ‘70s, and more recent perks like remote work in the 2020s.
- The problem with the current benefits landscape is that almost all benefits are future-oriented. You reap their reward later on, especially when you’re sick, dead, or retired.
- The next development in the evolution: benefits that meet the everyday needs of employees, such as child care, mental health support, student loan repayment, or even food delivery.
- Employers that offer benefits that their employees can use in their daily life are best positioned to drive recruiting and retention efforts.
Now available on: Apple Podcasts | Spotify | YouTube
Learn more about how you can meet the everyday needs of your employees with Fringe
Timestamps
- 0:00 Intro
- 4:53 Our radical take that should be a good thing
- 5:54 Why relationships can make it or break it
- 7:24 Origin stories of Fringe
- 10:41 If people like you and your vision, they’ll write you a check
- 14:41 Why employees don’t feel care and appreciation
- 15:40 Benefit offerings are ridiculously outdated
- 18:00 These benefits might be a waste of money
- 19:06 Where the name “Fringe” came from
- 24:27 The tides of employee care are beginning to change.
- 26:07 Fish out of water — what are we doing here?!
- 34:55 Yes, there is a best way to care for employees
- 35:42 Explaining Fringe in 38 seconds
- 36:25 Experiences lead to more happiness, not things
- 37:18 Ameliorate. Wait…what?
Transcript
Jordan Peace (00:05):
How many hours and years of our lives do we spend on work? For nearly all of us, we spend 30 plus years and one third of our days in our vocation, more time perhaps than we spend at rest or at play. But this isn’t a problem. Why? Because work is good. Work needs to be integrated deeply into our lives and must be in line with our most important goals and values. And if it is, we have a far more complete and fulfilling life experience. Welcome to How People Work podcast, where we explore the intersection of how humans think and act and how they apply themselves to their work. When you understand both of these things, you’ll be equipped to be insightful, compassionate, and compelling leaders. This is how people work with your host, Jason Murray. I’m Jordan Peace. I’ll call myself a co-host special guest, whatever the situation calls for.
Jason Murray (01:01):
Everyday. Special guest.
Jordan Peace (01:02):
Yeah, everyday special guest. If you’ve listened to Bragworthy Culture and you’re wondering how the heck you got here and who this person is, once again, Jason Murray, Bragworthy Culture has been continued on and evolved into this new podcast, new format, new locale. I’m no longer in my studio, which is the bedroom closet in my home, but now in an actual beautiful space. Amazing with professional equipment and it’s a lot of fun. But this is our first episode of How People Work. And that expression, how people work, is purposefully obscure. It has two meanings. We are going to talk about how human beings work in terms of how human beings function and think, go about life, how they work, and then also how they work, how go about their labor, how they do work, get to the office, not get to the office, have coworkers, have bosses, do their career.
(02:00):
And so we’re going to talk about both things, kind of the psychological, sociological aspect of human beings; and then also just the culture around work and how that’s evolved over the course of time. How we see evolving in the future. This should be a lot of fun. And we will have guests occasionally, not every week like we did in the old format. But wanted to share today a little bit about Jason’s and my company, Fringe. We also have three other co-founders who, not to leave them out at all, but they’re not with us today on the podcast. So Jason’s going to guide us through the conversation a little bit more. But we’re going to be talking about Fringe, why we started it, and also why we started this podcast, which is very much related,
Jason Murray (02:47):
Very, very much related. So yeah, we’re glad that you’re joining us and excited to start some of these conversations. And so since we are in this first episode in transitioning from what we were doing before, I would love to talk a little bit about what you hope people will get out of this. Who is this for? What are these conversations going to do for people that might be listening?
Jordan Peace (03:10):
Yeah, I mean, honestly, I think for you and me, it’s all about authenticity. It’s all about having a place where we can say the real stuff about what it’s like to have a career in our case in tech, in this sort of venture backed zoo that we live in. But also just in any kind of career, what it’s like to have coworkers and to have a boss and to go through a recession and be fearful for your job, and not know how things are going at the top, and what your boss might be thinking, and what his or her boss might be thinking. And just have a real conversation about some of that stuff. I hope that our listenership turns out to be anybody from a CEO to somebody who’s aspiring to start their own company, or that just walked in the door to a new company in their first job out of college.
(03:59):
And it’s like, what is this subculture of work? I don’t understand what’s happening here. This is not everyday life. I’m confused. And just have a real honest conversation about what’s happening in the workplace, what’s coming down the track, or what we perceive to be coming down the track and why I think things are changing, why generations are shifting in the workplace, kind of the power dynamic through generations are shifting and therefore the workplace is just utterly changing which is kind of uncomfortable for several generations. Not fully comfortable for anyone yet as we’re settling into the new normal with remote work and other things. So just excited to get into that topic and just be able to share our perspective with the world.
Jason Murray (04:53):
Yeah, well, and I add to that, I hope people who are not just HR folks and people leaders, but leaders of people or just really anyone who’s in a position to influence those around them can find value in these things that we’re going to be talking about. And I think too, there’s something I’ve been thinking about that, I don’t know if I shared it with you explicitly, but just this idea that work should be a good thing. And so this whole notion of how we work as humans, but how we apply ourselves to work, I feel like is something that ought to be investigated and talked about. And I think that’s relevant to us and our story and what we’re doing here with Fringe, because we’re trying to very much build a company in which people can feel that they do good work and that the work is good for them and good for their lives and their family. And I think that’s not true in the experience of many people we’ve interacted with over the years as well.
Jordan Peace (05:54):
Yeah, I think that’s in a sad way, really aided us in recruiting some really fantastic people because they’ve had a really poor experience in work. And it almost never has to do with the work itself. It has to do with the relationships at work or the lack of relationships at work, or just not feeling seen, heard, or dignified as human beings. So talk a lot about that topic cause we’re both very passionate about putting people first and that people matter. And that even though somebody might come into your company and it doesn’t work out perfectly and they don’t fit the job, we thought that person, that human being should be given respect and dignity and honor whether they stay or go. So y’all are going to hear a lot about that as you listen to this podcast. We’re very passionate about that topic. But like we said, let’s not stray too far from the topic at hand today, which is Fringe which is actually really kind of different for me.
(06:59):
I went through all of Bragworthy Culture, I don’t know how many dozens of episodes, and didn’t even mention Fringe outside of the intro and the outro of being sponsored by Fringe because that podcast was about those that I was interviewing and bragging on their culture. And so I’m like, okay, I get to talk about my startup now. That’s cool. I’m very excited to do that. And so we want to tell the origin story a little bit here. So Jason and I go back quite a long time. I think we met somewhere in the range of 2013, I want to say might have been the year that we first met. Jason actually interviewed me for a job. That’s how we got to know each other initially and realized that we had quite a bit in common, both from a standpoint of just where we were at from a family standpoint and where we were at from our previous career going into that position, which was in financial planning.
(07:57):
And I didn’t think at the time that either one of us would be here, and certainly not both of us together running a venture-back startup in tech of all things. Of all things. And I think that’s one of the parts of the story actually, is just the story of not having the belief that we could do something like this and you know, read articles about people that start these companies. And it seems like every other one just was too brilliant to stay at Stanford or Harvard or whether they just, they’re so bored by their second semester that they just had to leave and go make a billion dollars overnight. And just that perspective I think just always held me back from not even trying this, but even starting a business at all and just putting myself out there at all. Cause I just thought, who am I? I’m just like some guy.
Jason Murray (08:55):
Well it’s funny thinking about that because the first kind of iteration that we had was actually something before Fringe. It was Greenhouse Money. And you probably remember it more clearly cause I’m a little slow on the uptake sometimes, but you had been pushing for some time for us to leave a larger organization that we had been at during finance and
Jordan Peace (09:17):
About a year, but nobody’s counting <laugh>, right?
Jason Murray (09:21):
Well, one day it finally hit me and we just thought, “Hey, why don’t we try and go do our own thing?” And so that was kind of the genesis of what ultimately became Greenhouse Money.
Jordan Peace (09:33):
Yeah, I mean that if we hadn’t done that, we would never would’ve done this because that took a measure of courage to just leave this pretty established practice or practices that we both had. We had a long client list, we were on the track, we were doing the things we were doing following. If anybody listening and knows anything about Northwestern Mutual, we’re following the Granum System, we’re doing our dials and smiling and dialing and all that stuff and just be on the track. And to step off that track, and to give up every last client and every last commission and every last, I don’t even remember what they’re called anymore, but the funds that keep coming in, the renewals. Renewals.
(10:17):
That was a big step. And what was cool, there was a couple things that were cool, not just taking that step, but the next thing that was really awesome was when we went out and started sharing that vision with some friends and family and said, “Hey, look, we don’t really have any startup capital. We want to go do this thing.” We just were not financially sound either one of us at that point in time. And that was not that many years ago. And so going to folks and saying,” Hey, we got a vision. Do you want to put up some capital in exchange for some equity in this thing that, yeah, I mean, we’ve got some experience in the industry, but we never started a company before.” We didn’t really know what we were doing. And to have people take a chance on us and invest some of their hard-earned money and say like, “No, I like your vision.
(11:03):
I trust you, I believe in you. Let’s do this thing.” It was like, whoa. That was a light bulb personally. And I think probably for both of us, that maybe what we were doing was going to be wildly successful or not, I don’t know. But it was a light bulb that I don’t have to necessarily be a person of great means to go into get started in something right now. It takes a good network. It takes knowing people, it takes casting a vision and so forth. And I think we’re privileged to know at least a handful of people that could help us in that way. But that spark was the only reason why when the idea of Fringe came about, it was like, okay, what’s stopping us? Right? There’s people out there with money and they will write a check to invest in your idea if they like it and they like you and you can go do whatever you want. And it’s just like, what is this world like? That was just so foreign at the time, and now it all feels very normal. And we’ve lived and been steeped in that for a number of years now.
Jason Murray (12:05):
So
Jordan Peace (12:05):
We got started with Fringe. The idea came out of our work in financial planning, obviously working with so many, I’d say Gen X and Gen Y mostly is who we were working with. Young individuals, young couples, trying Greenhouse Money, by the way, financial planning firm. We should have explained that, that may be apparent from the context. But we were helping them try to save money, figure out what they wanted to do in life, figure out how they wanted to invest, how they budget, how they would be responsible, yada, yada, yada. What was interesting was that we often talked about their career. It’s just a natural thing to talk about when you’re talking about money is how much I make and do, should I switch careers? Should be gunning for this promotion, I just got a raise. Oh, yay. Now we can save more over here and invest more over there.
(12:56):
So it was just a natural thing to talk about. And coming to the realization that I think a lot of people looked at their career as something that was just not very satisfying and not from the standpoint of the work. I mentioned this just a few minutes ago, not because the work wasn’t good or suited for them necessarily, but you just got this sense that there was this cynicism around, well, when they told you what they made, it was like, here’s what I make. I probably should have made more, but nobody appreciates me. It was like the undertone, right? And I don’t think that that means that we were just unlucky enough to find every person in America that was underpaid. I think it’s that feeling is not really so much coming from the money as coming from just not feeling appreciated or seen. Right? Yeah. And
Jason Murray (13:46):
Well, it’s transactional. It’s transactional. I mean, we talk about that a lot around Fringe. That exchange of wages for time is just something over all these years of human history that has just been like, I’m going to give you some of my effort in exchange for that money. And it’s exactly that. It’s a transaction. Yeah, it’s nothing more. But I think you and I believe in this is part of what we’re trying to bring to the surface and some of these conversations is that we as humans are more than that. And so it’s no wonder that that’s a dissatisfying experience for all of these people that we were talking to in the finance business that we’re
Jordan Peace (14:25):
Doing. Yeah, I agree wholeheartedly. So I think realization number one is people are dissatisfied with their work for the reasons that we just named. I, we believe sometimes maybe the work’s not suited, but I think mostly, I think we’re hitting the nail on the head there. The second realization is that people didn’t really fully grasp or understand the ways in which their employer was actually trying to show some love or some appreciation <affirmative>. Because the way employers have been trying to show love and appreciation, if you can give them credit for that over the last 80 years, is through primarily just a 401k and health insurance. So that was the other Bing. It was just like, wait. And we started doing the research. We were like, wait, health insurance as a benefit has been around since the forties, and the 401(k)s since the late seventies. What’s changed since then really in a big way, a big right categorical change, pretty much nothing ad hoc this and that and sort of trying to plug holes and put band-aids and lipstick on a pig, if you will.
(15:34):
That seems to be everything that’s been done since the eighties. And that was the perhaps even bigger realization for us is just like, oh wow, there’s a serious lack of innovation in the benefits world. And we’ve, we’ve gotten multiple generations since the eighties in terms of who’s kind of the primary force in the workforce. And then of course millennials now, and then we’re going to get chased out by the Gen Zs <laugh> at some point in the not so distant future. But just the thought process of, wow, there needs to be a change. And so I think the obvious struggle at that point, the obvious reason why we could have walked away from it, is because when you look at who administers benefits in, at least in America, it’s giants, just tightens giant companies that have been doing it for decades and decades. Super entrenched broker relationships all over the place. Everything’s just very locked, uptight, airtight. And we’re just kind of competing for a little bit of market share. And it’s like, yeah, we’re going to get in there and innovated David and Goliath type of story. And that was scary. Yeah. But I want
Jason Murray (16:57):
To you to take us though to, cause I think, at least for me, it was a really distinct moment when the idea for Fringe specifically came about. And so we had some clients in the office, the
Jordan Peace (17:13):
Client’s in the office one day, there’s a client in the office because we started a company and thankfully we were able to get some new clients, even though we walked away from all of our old clients. And her name was Lindsay, I remember, was sitting in the office and she asked a question, which is not the first person to asked this question about how her, I think it was health insurance, benefits worked, a disability or something that horribly boring, that even people in our own industry were just like, “do I really have to explain this?” And so after explaining this thing for 20 minutes and her eyes glazed over, I walked her to the door. I remember I came back next to you. I don’t even know if I sat. Cause I was just frustrated. And I was just like, “Why? First, why do we have to continue to explain this thing to people?
(17:59):
But secondly, and most importantly, why are companies offering exclusively things that people don’t understand?” And because you don’t understand them, they also don’t appreciate them. And if they don’t appreciate them, then they might be a waste of money, or at least an inefficient use of money to just go, yeah, here’s some insurance that you don’t get. Here’s a contract that you’re never going to read. Here’s a 401k that if you happen to live to be 65 years old, it’s going to benefit you someday. That’s great. Not that people shouldn’t save, it’s not that people shouldn’t insure themselves, but if the point of the benefits is to engender loyalty, and to show appreciation, and to try to have more than a transaction with your people, which that’s what the salary is. You do work, I pay you money. That’s the transaction. The benefits should be more than that.
(18:53):
And so it all just kind of materialized in that moment. And I was just like, you know what, man, this needs to be innovated and we should be the ones to do it. And I remember even that day, simply because we were kind of finance nerds and we know that industry, we even had the word ‘Fringe’ because fringe benefits if you know, have our background. It’s like, yeah, that’s cool. It’s what it is technically. Yeah, it’s kind of a cool startup‑y word, but it’s also literally what the idea was of taking this idea of fringe benefits that historically have really been more reserved for the executive and the jet would be a fringe benefit, right? Something like that. The company jet and taking that and democratizing that and say, well, what if we took fringe benefits and applied it to everyone and just said, no, you don’t have to be some unique person in the organization.
(19:50):
You don’t have to be at this level in the organization. You just have to be here on this team. And these are the benefits that teammates on this team get. And I don’t want to say welcome to the family because family and business is not always the best word, but that emotion of welcome to the family here are these things, right? I think what we felt at that time would be really impactful in the workforce. And that the next financial advisor that’s sitting down with their client that works for X, Y, Z company that has these sorts of benefits in place, they wouldn’t sit down with the same cynical attitude. They would sit down and say, this is what I make and this is what our company does. And I love working there and I have these cool benefits that really enhance my life in various ways, and it would be a different conversation. And that’s a lofty thing to go after to try to eradicate cynicism in all of the workforce. But the cynicism is coming from a relational breakdown. And I think if you can find ways to heal that and find ways to communicate well in this relationship between employer and employee, I think we actually can change the workforce and in a really significant way.
Jason Murray (21:07):
So we go from this moment where this client leaves the office and we have this conversation about what are fringe benefits, what could be done differently? What does this innovation look like? And so for a while it was just a sticky note on the wall. I mean we had the idea, but we also had this new business that we had just started. It was going really well, it was. And so we weren’t trying to go start something new, especially in an arena that we really had no experience in whatsoever. But it was one of those ideas that was just really sticky. It just kind of lodged in your mind. We started having conversations with some friends about it, and one thing led to another and shout out to Chris, one of our other co-founders, but he was the one that really put some effort behind this. Well,
Jordan Peace (21:55):
Poor Chris. I mean, Chris and I, Chris, you can look him up on LinkedIn. He won’t respond to you because he is not active enough. But Chris Luhrman, one of our co-founders, he has been a very, very good friend of mine since 2007. We were in, no, I’m sorry, 2004. We were in college together. He has heard at least a couple of hundred business ideas from me and pretty much told me that all of them were bad. And so that it really was like to have people that know you so well and your BS and know, like, what you bring to the table, and then you see their eyes light up when you share an idea. It’s like, yeah, that’s far more proof than some very cordial, very polite stranger that’s just like, oh yeah, that’s a great idea. So that it really was, I mean, credit to Chris really, genuinely and literally, because I don’t think without that approval and that sort of push and that, no man, this is the one, I don’t think we would’ve done it.
Jason Murray (23:02):
Yeah,
Jordan Peace (23:02):
Definitely not for all the reasons that you just named and others. Yeah. Yeah.
Jason Murray (23:06):
We were pretty busy. So I mean, he went off and did a ton of research. I mean, I remember sitting in the little closet office that we had with literally printed, because that’s what we did all the articles
Jordan Peace (23:18):
I’m still not sure why we printed, but we printed everything.
Jason Murray (23:21):
We’d highlight.
Jordan Peace (23:22):
I probably shouldn’t admit it. Yeah, I don’t know. We did.
Jason Murray (23:27):
And I mean, it was stuff from McKinsey and Deloitte and Gartner and all these places that do the research on employee trends. Forester and Forester. Yeah, that was a big one.
Jordan Peace (23:40):
That study was a big one.
Jason Murray (23:41):
And we just sat down and started reading, highlighting the things that stood out and the trends that really kind of caught our attention then that seemed to,
Jordan Peace (23:51):
I wish we had a picture of us, because I have a mental image of that little closet office, and we’re sitting in the middle of the floor in that little shabby carpet everywhere, and they’re just spread out in almost a complete circle around us, and we’re just crawling around highlighting things. Yeah,
Jordan Peace (24:07):
It was great. I kind of missed those days.
Jason Murray (24:09):
We were like children.
Jordan Peace (24:10):
We were, I mean, just discovering something new was a pure moment.
Jason Murray (24:16):
But I remember what was really exciting about it was, I mean, we’ve had plenty of ideas, you and I together that all lived on that sticky note where Fringe was. But it was very validating when we started looking at that trend research because it was talking about things like the personalization of benefits, the changing employee experience, the expectations that employees had, what the future of work was going to look like. And so all of a sudden, I think for us, it went from, hey, maybe this is just an interesting idea to, oh wow, there’s actually something here that maybe we could do something about.
Jordan Peace (24:53):
Yeah, yeah. Absolutely. And then also backed up by, of course, you start calling people, you start to find the articles online of some cool company that did some cool thing. And then when you’re in business creation mode, you don’t just read the article, you call the ceo, right? Hey, tell me about why you’re doing this and beg people to talk to you and give you information. And that was really cool. Cause we found companies that were essentially trying to create Fringe themselves just for their own employees and really kind of low resolution ways. But the heart of it was there. I want each of my individuals, individual employees to feel like individuals and to feel like they’re getting personalized kind of service and attention from the benefits that we’re offering. And it wasn’t traditional stuff. It was the same type of things that we were thinking about with services and experiences and subscriptions and things that people in our generation spend their money on. I mean, in really significant amounts of money on. And so that was all of that kind of together, I think November, December of 2018, it was like, let’s
Jason Murray (26:04):
Go. Yeah,
Jordan Peace (26:05):
Let’s do this thing.
Jason Murray (26:06):
So how did you feel starting Fringe, not having any background in HR?
Jordan Peace (26:13):
Oh my gosh much. I feel now, honestly I felt like a fish out of water. And I still often do. I mean, I think anybody that’s led a company or been a co-founder of a company, I hope if they have any humility at all, should admit to you that they feel an insane amount of imposter syndrome. And I think I felt and not to speak for you or say that you don’t feel this way, but I felt that even going to college in my family, given my history and background and so forth, even going to college was like, who do you think you are? Type of thing. Yeah. No one said that to me, but that was a feeling, right? And then to work in an office and to be a financial planner at Northwestern Mutual and put on three-piece, well, we never really wore three-piece, but put on suits, and it was just like, why aren’t you peacocking around? Those are the internal voices in my mind. And then, okay, you think you can actually go compete with the Princeton dropouts that are raising from Sequoia? What? Really? That’s all the internal dialogue that has faded some because we have done some of the things that my internal voice said I couldn’t do, right? So it’s like, well, screw you internal voice. We actually did that. Right? But there’s still just an insane amount of us,
(27:47):
Us. But I think that’s part of why I want to do this, right? I hope that there’s somebody listening that’s just like, oh yeah, they’re saying that. But they’re just humble bragging and they probably are just brilliant. I’m actually just not brilliant. I’m, like, smart, I have some ideas. But we just hustled and we believed and we had courage, and we tried and failed and tried and failed, and we’re still trying and failing all the time. But when you just don’t quit and you just don’t relent, and you just don’t let all the naysayers and all the circumstances tear you down, you can do it. Yeah, you actually can. Yeah. Because 99.9% of people are too scared. So it just leaves all this wide open space for anyone who will have the courage to do pretty much anything they want in life because others just won’t.
Jordan Peace (28:43):
So anyway, that was kind of a speech, but yeah, I feel like an imposter, but also determined at the same time.
Jason Murray (28:51):
Yeah. Yeah. That’s a good way. Yeah. Cause I would say the same too. Yeah. I mean, it’s kind of ridiculous to think, Hey, we’re not software guys. We’re not engineers. Nope. But we thought it would be a good idea to start a software company when we had no experience whatsoever in the HR people space, which again, very little experience. But I do think where you maybe undersell a little bit was a lot of both of our experiences professionally before had a lot to do with people. That’s true. And so I do think we did come into this experience, maybe not with anything technical around a software company or HR in particular, but I think with a lot of at least vision and passion for what a good work experience should look like. And I think some of what served us well is not having a lot of corporate experience. We have very little appreciation for the way things should be done, right. Because we just don’t know what they are. Yeah, exactly. And so a lot of what we’ve done is just been what seems to make sense with what we know and understand about people from our own experiences. Yeah,
Jordan Peace (30:04):
Exactly. I wrote this tongue-in-cheek document a few years ago, you probably remember, called the Corporate Detoxification Program. And we never put that out there in the world yet because that is me to do 60% of something and then stop. So that’s what kind of an entrepreneur is like, but it’s been so stark, the difference between people that are coming to Fringe as employees that are either coming out of school or they’re coming out of just something non-corporate, whether maybe they were a teacher or maybe they were in nonprofit, whatever. They come in and it’s like, this is amazing. I’ll love this, but it’s not foreign. This is great. People that come from corporate America are like, what is this place? I just go through some sort of interdimensional portal into another Land, what is happening? All that corporate BS professionalism just is not what they found. They found people that just actually care about them as human beings and are going to put expectations on ‘em and want ‘em to perform and succeed, but not in this buttoned up corporate machine kind of way. And I’m really proud of that. And you’re right. I mean, that is the experience we brought to the table. That is the, it’s the eq. There’s some IQ there. Sure, of course. We couldn’t do this without some IQ, but I think the EQ has been the reason for the success so far.
Jason Murray (31:42):
Yeah. Yeah. I like to think too, we just didn’t know any better. That’s true. A lot of times.
Jordan Peace (31:47):
Yeah, naivety is a powerful thing. It is.
Jason Murray (31:50):
Yeah. I mean, I think I’d do it all again, but there’s stuff where it’s like, man, if you had known how hard it was, you probably would’ve thought twice about some of the difficulties of building a company and two or three times.
Jason Murray (32:03):
For sure. Well, the last thing I want to talk about now is just a little bit more explicitly what Fringe does and the space that we’re in is HR, but we built a product and a platform that is very specifically designed to help around this concept of lifestyle benefits. And so would love to actually just hear you talk a little bit about what are lifestyle benefits? What is it that we’re trying to do here with Fringe?
Jordan Peace (32:32):
Yeah. I mean, I think we’ve covered a lot of what we’re not. We talked about traditional benefits. Things haven’t changed since the forties or eighties or however you’re counting that. And what we set out to do was a couple of things. One, we wanted to make benefits more personalized because even I’m one of my 37, even in my childhood growing up by the time I was a teenager, there’s Starbucks around, and it’s just the perfect analogy because 20 years prior to that, you walk into a coffee shop if there was such a thing, and it’s like “you want small or large or what,” I mean, these are the choices. And then now it’s like I give some 17 word description of the perfect drink with exactly the kind of milk I want and the temperature and how frothy it is, and syrups and sauces, and I don’t even know what I’m saying.
(33:27):
I’m just, that type of personalization is just native to our experience and certainly anybody younger than us. It’s just like, well, yeah, you don’t just get the same thing other people do. Obviously that’s the experience of the marketplace. And so when you go into the workplace and then you’re just going back in time and it’s just chocolate, vanilla, or strawberry, it’s like, where is my personalization? So that was one thing we set out to do is make sure that everybody could select for themselves the things that were most pertinent to their life, to their lifestyle, to their personality, to their family, if they have one.
(34:07):
And then I think the second thing we wanted to do is just to get away from traditional benefits where you have to be sick or disabled or dead or dismembered or 65 years old. That was a fun insurance to sell. It’s the best to benefit from your benefits. We just kind of asked the question, which seems obvious now that we’ve been asking it for four years. Where are the benefits that I can benefit from now in my everyday life and perpetuity where I don’t have to be sick, nothing has to be wrong. I also don’t have to wait 30 to 40 years to actually receive some of the benefits. And so those were the two driving forces, personalization and then meeting needs now. And then that led us down this path to services, right? Because services not only are, I think, the way to show perpetual value and perpetual appreciation to your people, but they’re also just how our generation and generations coming behind us spend their money, right? It’s not about how many cars you can get in the driveway or how many stories your house is or whatever. It’s about the trips and the cool subscriptions that you like and the ridiculously fancy coffee that nobody needs, but we all love it. It’s about the feeling of those feelings and those moments that you can generate through really thoughtful and unique services.
(35:43):
So that’s what we do. We provide that to the world. We issue this platform that has all of these options available to employees. Employers simply purchase that. They fund it on behalf of their people, typically monthly, sometimes in other fashions, and then their people can log in and just Jews. It’s curated and personalized, and we try to guide people towards the right things for them and so forth based on where they live and some other demographic things. And that’s fringe in a nutshell, at least as it exists
Jason Murray (36:21):
Today. Yeah. Yeah. I think one of the really cool things is the notion of services and why that’s so different or experiences more specifically. And some of the research that psychologists have done around how humans experience happiness when they make purchasing decisions, I think is really fascinating because the immediate satisfaction of a purchase, like Amazon, for example, feels good in the moment more so than an experience even. But the research has shown that the duration of the happiness over time is far superior. It’s definitive surrounding experiences. And so we’ve seen that with the younger generation, of course, who have looked at their parents and said, Hey, I don’t want to spend my money on stuff. I want to have experiences. And so they’re actually right. I think it’s fair to say that instinct, because the research is showing that as humans, we are wired for that more than we are for the things or the stuff. And so I think that’s something that’s really important to them.
Jordan Peace (37:23):
I think even when you’re receiving a gift, that’s true. Even if you don’t buy the thing yourself, I mean, we’re sitting here January 5th. I mean, we just had Christmas at home with my family. We celebrate Christmas, and if I ask my nine year old “what did you get for Christmas this year?” She could tell me. If I ask her what she got for Christmas last year, no idea. But she could tell me conversations that we had on a family vacation when she was five, because it was part of this experience that was meaningful to her that moved her right. In a way that just, it’s long lasting. So I think very much the same. And whether you’re purchasing the thing or whether you’re just receiving it as a gift, it’s those experiences and those things that are more perpetual in nature are just powerful.
Jason Murray (38:10):
Yeah. Well, that is a topic we’re going to spend a lot more time on in future episodes because I think we both have a lot to say about that. So we have a long standing tradition on this show, long standing, being that it’s our first episode
Jordan Peace (38:24):
Here, long standing since about 36 minutes here. That’s right.
Jason Murray (38:28):
Where I pick a somewhat random word that Jordan then has to work into the conversation at some point in the next episode. And so our word for today, oh no, I will admit. It’s just the New York Times Word of the Day. Okay. I didn’t actually come up with this myself, but I thought it was good. You’d appreciate it is “ameliorate.”
Jordan Peace (38:47):
Wow, ameliorate.
Jason Murray (38:49):
So, okay, everyone,
Jordan Peace (38:52):
First I’ll Google it and then I will work it into the next week’s conversation. <laugh>.
Jason Murray (38:58):
So look out for ameliorate folks.
Jordan Peace (39:00):
Wow. That’s going to be a
Jason Murray (39:01):
Lot of fun in the next episode.
Jordan Peace (39:02):
Awesome. Well, this has been the very first episode. Thank you so much for joining us on How People Work. Again, I’m Jordan Peace. This is Jason Murray. If you can see the video of me pointing towards him. If not, Jason is on the other side of the mic here. We are so grateful for you listening. Please reach out to us. Let us know topics and things that you would like us to discuss. If there’s any articles that you’re reading that you think we should read, let us know, and we’d be happy to work that into the episode. Kind of like the word ameliorate, we’ll be having guests in the near future as well. If you’ve been a listener and you would like to suggest a guest to us, that has actually gone really well for me in the past. I have suggested guests that just kind of fit and would enjoy this type of conversation. So do that as well. But otherwise, we’ll see you soon on How People Work.