Why Millennials and Gen Z Are Rejecting the C-Suite (And What It Means for Your Succession Planning)

The next generation of workers, the people who should be filling tomorrow’s C-suites, are walking away from executive roles.

Every day at Stanton Chase, our consultants see this pattern. A marketing director turns down a VP promotion because it would require 70-hour weeks. A finance manager leaves a director track position for a startup, taking a pay cut for more meaningful work. These situations occur across every industry and continent. 

The implications go beyond individual career choices. With Gen Z and millennials set to comprise 74% of the global workforce by 2030, their rejection of traditional leadership paths creates a leadership pipeline crisis. Organizations that built their succession planning around hierarchical advancement are discovering that their most promising candidates are walking away from corner offices, rejecting promotions, and redefining success entirely. 

Deloitte’s latest research shows that only 6% of Gen Z workers say their primary career goal is reaching a leadership position. They’re actively rejecting the traditional climb to the C-suite. 

This rejection has context. Stanford research finds that Gen Z prefers collaborative or rotating leadership models over traditional hierarchical structures. Our consultants regularly advise clients who are puzzled when their high-potential programs fail to retain top talent. The consequences are already visible: Gallup’s latest data shows engagement among younger millennials and Gen Z has fallen five percentage points, with only 35% now engaged at work. Meanwhile, McKinsey research warns that 90% of organizations will face meaningful skills gaps in coming years, partly because the talent they’re counting on doesn’t want the roles they’re offering. 

The Trifecta That Changed Everything

When we sit down with candidates in our executive search practice, we consistently hear the same priorities. The issue has nothing to do with lack of ambition. Millennials and Gen Z have redefined what success looks like. Where previous generations saw corner offices as the ultimate prize, Gen Z and millennials are pursuing what Deloitte terms the “trifecta“: meaningful work, financial security, and genuine well-being. 

As one millennial in Deloitte’s study put it: “The trifecta is flexibility, pay, and interest in work. And it’s very hard to get all three.” 

Our consultants see this play out in real-time during negotiations. Traditional leadership roles, with their demands for long hours, constant availability, and hierarchical climbing, directly conflict with this trifecta. The modern workplace itself adds to this conflict. PwC’s Global Workforce Survey found that 44% of workers don’t understand why workplace changes need to happen, and over half feel there’s too much change happening at once. For generations seeking stability and meaning, the chaos of executive roles becomes even less appealing. 

When we encounter such cases in our executive search practice, we work with clients to reimagine role structures. We’ve helped organizations create C-suite positions with built-in flexibility, clear boundaries, and explicit support for well-being. These modified roles attract exceptional candidates who would have otherwise declined traditional executive positions. 

This goes beyond a temporary trend. The data suggests something more permanent: a complete reimagining of what leadership should look like, how leaders should be developed, and what motivates talented individuals to take on executive responsibilities. 

If your organization struggles to fill leadership roles or sees high-potential employees decline promotions, you need to rethink your approach. Reach out to your nearest Stanton Chase office to discuss how we can help you modify your leadership structures for the next generation of executives. 

This is part one of a three-part series exploring how Millennials and Gen Z are transforming executive leadership. Read part two here on management failures driving talent away. Read part three here on building new leadership models. 

About the Author

Valeria Cox is a Managing Partner at Stanton Chase Santiago and serves as the Regional Leader for the Diversity, Equity, Inclusion, and Belonging practice group in the LATAM region. She is also a marketing executive with over 20 years of experience in various industries, consistently delivering value in strategic planning, marketing research, consumer behavior, CX, and loyalty planning.