Retaining Generation Z in the Public Sector: How Value Propositions and Job Satisfaction Shape Workforce Stability

Abstract: Public service organizations face unprecedented challenges in retaining Generation Z employees, a cohort whose workplace expectations differ markedly from previous generations. This article examines how Employee Value Propositions (EVPs) influence retention outcomes in public-sector contexts, with particular attention to job satisfaction as a psychological mechanism linking organizational offerings to commitment. Drawing on social exchange theory and organizational commitment frameworks, the analysis reveals that Generation Z public servants prioritize meaningful work, developmental opportunities, and values alignment over traditional employment incentives. Evidence from multiple sectors demonstrates that while formal constraints limit public organizations' flexibility in compensation and promotion, strategic investments in recognition systems, purpose-driven roles, and supportive leadership cultures can significantly enhance retention. The findings underscore that workforce stability in government agencies depends less on replicating private-sector practices than on authentically communicating public service missions and creating psychologically fulfilling work environments responsive to younger employees' evolving expectations.

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