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Storehouse wakes up to Gen-X employees

By Fran Marshall -- Furniture Today, February 9, 2003

When Caroline Hipple, president of specialty furniture retail chain Storehouse, realized that about 40% of her company's employees are members of Generation X, she knew that management might need to make some changes.

Research has shown that this group, currently ages 25 to 40, has very different needs when it comes to satisfaction and productivity in the workplace.

When Storehouse polled its Gen-X employees, 67% said their top priority was to work in a creative, learning environment and to receive feedback from managers.

The second concern was compensation. According to Anita Pugh, director of store communication and development, Generation Xers expect to be rewarded for their technical skills, which sets them apart from Baby Boomers, who came into technology later in their careers.

Another issue was relationships, with 35% saying their co-workers were one of the best features of their jobs.

"Relationships may be a key to retention, but not to attracting employees," said Hipple.

In addition, the Gen-X employees spoke more about opportunities than about responsibilities. There were more suggestions about what the company could do than what the employee should do.

Life outside work also was a concern, with 7% listing the irregular hours demanded by retail as what they least liked. Hipple said that was a top factor in employees leaving.

Trust and earned respect also are important. Generation Xers seem to say, "You have to earn the right to manage me. It does not come with your title," said Hipple. Employees want to be able to trust their managers, but trust comes hard for this generation.

To meet the needs of Generation X employees, Storehouse spent six months revising its management structure, including offering training in management, customer service, selling and team building. Every employee has daily and weekly goals that are not solely money-oriented. Each week, managers meet one-on-one with employees to discuss goals and provide feedback. Managers, in turn, are taught how to communicate honestly.

Hipple said the stronger training programs and the efforts to make employees excited about coming to work are translating into more sales and a better bottom line.

"At the end of the day, all we're trying to do for our employees is build confidence," she said.

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