What Are NILFs: Gen Z's Exit And Boomers' Return To The Labor Force

Forbes

22-04-2025

What Are NILFs: Gen Z's Exit And Boomers' Return To The Labor Force
The term "NILF," or Not in Labor Force, has long been used by economists to describe people who are neither working nor actively looking for work. Bill Maher recently reignited attention to the term when he questioned whether Gen Z would be willing to take on new manufacturing jobs if more became available. He pointed out that over 10 percent of American men in their prime working years now fall into this category of lacking a desire to work, compared to just two percent in 1960. His comments reflect a broader concern echoed in Monster's 2024 State of the Graduate Report, which found that many Gen Z graduates feel overqualified for entry-level jobs and are holding out for roles that align with their values and expectations. Together, Maher's remarks and the data highlight a growing tension between the jobs being offered and the jobs new workers are actually willing to accept. Meanwhile, on the other end of the age spectrum, many Boomers still want to work but are often turned away, not because of lack of ability or interest, but due to persistent age discrimination that limits their opportunities.
Why Gen Z Graduates Are Hesitating Before Joining The Labor Force
The 2024 Monster State of the Graduate Report gives a real glimpse into the mindset of new grads. The majority feel optimistic about landing a job after graduation, but a surprising number feel overqualified for the jobs being offered. Is it entitlement, or is it a mismatch between what they've been taught to expect and what most early jobs actually involve?
This generation is entering the job market with high expectations, often emphasizing competitive pay, meaningful work, and rapid growth opportunities. While those goals are understandable, it raises the question of whether they are overlooking the realities most new employees face when starting out. According to Monster, there was a 12 percent increase from 2024 to 2025 in students who said the traditional 9-to-5 feels outdated. But if every structure is considered outdated before it's experienced, is that a sign of progress, or a disconnect from how careers are actually built? Opting out of tradition may sound bold, but it's worth asking what might be lost along the way.
How Mental Health Influences Gen Z's Relationship With The Labor Force
Another key stat that stands out in Monster's report is that 91 percent of Gen Z grads say they want to be able to talk about mental health at work. They want to work where psychological safety is built into the culture, not just listed as a benefit. And they're willing to walk away from jobs that don't reflect that. They are evaluating employers as critically as employers have historically evaluated them. Many of the CHROs I interviewed for a podcast several years ago noted that even then, potential hires were coming in with high expectations. Those CHROs seemed to think that this was just the way of the modern workplace, and didn't complain about it.
Why The Traditional Labor Force Model Isn't Working For Gen Z
The traditional workplace structure isn't just being questioned by Gen Z; it's being left behind. In-office expectations are falling out of favor. Strict 9-to-5s feel arbitrary. Companies that insist on outdated models are watching talent walk away. And sometimes they're watching it happen before they even get to the interview stage.
If anyone got ghosted in the past, it was the applicants. Now it happens the other way around, with candidates walking away from employers. It's because Gen Z doesn't want to waste time on organizations that don't meet their criteria. Salary transparency, growth potential, and flexibility are not just perks to this generation. They're minimum requirements.
The Complexity About Gen Z In Today's Labor Force
When people like Maher express frustration about the NILF trend, there's often an assumption that the labor force is shrinking simply because people don't want to work. But that view may oversimplify a more complex reality. While some are opting out altogether, others are making different choices like returning to school, pursuing gig work, starting businesses, or stepping away for mental health or caregiving needs. Whether these alternatives count as "work" in the traditional sense is up for debate, but they represent real activity outside the usual employment model.
That complexity is especially visible among Gen Z. A recent statistic Maher cited revealed that 57 percent of Gen Z aspire to become social media influencers. The appeal of having flexible hours, creative control, and the chance to monetize personal interests is easy to see. But very few actually earn enough to make a full-time living from it. Most struggle to generate consistent income, and the odds of long-term success are low. That raises a larger question: is the widespread ambition to become an influencer a sign of innovation, or of disconnection from economic reality? The answer may be both.
How Realistic Is It For Gen Z To Say No To Being In The Labor Force
But is it realistic for young people to just say no to work? In previous generations, the idea of opting out of work without a backup plan wasn't on the table. Boomers and Gen X didn't expect their parents to support them into adulthood, and many took whatever job they could get simply to stay afloat. The pressure to contribute financially wasn't optional. While it's commendable that Gen Z wants purpose-driven careers and healthier boundaries, the reality is that bills still need to be paid. Flexibility sounds ideal, but without a steady income, independence and freedom can be hard to sustain. At some point, every generation has to balance idealism with practicality, and the challenge now is figuring out where that line should be drawn.
That tension between idealism and workplace reality often shows up in how employees respond to discussions about performance and productivity. When I write about how leaders can improve productivity to avoid quiet quitting, the strongest pushback often comes from employees. Some feel overworked and underpaid, and argue that any push for greater output is just another way to help executives profit while employees fall further behind. There is a deep undercurrent of resentment in parts of the workforce, and it's not entirely unfounded. Many workers feel burned by promises of loyalty or advancement that never came. But when that frustration turns into a refusal to participate at all, it's hard to see how anyone benefits. The labor force works best when both sides, leadership and employees, see value in contributing. If either side stops trying, the whole system suffers.
Why Older Generations Are Reconsidering Their Place In The Labor Force
While much of the spotlight is on Gen Z, older generations are also navigating challenges in the labor force. Millennials and Gen X report rising age discrimination, especially in industries that prioritize younger talent. Gen X in particular often finds itself stuck between Boomers who are delaying retirement and younger workers taking priority in hiring. With labor shortages in sectors like manufacturing, reskilling workers over 50 could be a practical solution. Although not yet a widespread trend, some older workers may be ready to step in where younger ones hesitate, especially in roles that value experience and dependability.
Why Opting Out Of The Labor Force Doesn't Mean Opting Out Of Ambition
Every generation redefines what work means. Gen Z isn't rejecting work entirely. They're rejecting systems that feel outdated in a world where nearly everything else has changed. At the same time, older generations with valuable experience are being overlooked. Gen X and Millennials often face age-related barriers that have little to do with ability. If employers are struggling to fill roles, maybe the issue isn't just with Gen Z. Maybe the jobs themselves aren't keeping up. Instead of trying to force a return to what used to work in the labor force, it may be time to think more broadly about how to engage talent across all age groups. The goal shouldn't be to pressure any generation into fitting a model that no longer works for today's realities. It should be to understand what makes people want to work, and build from there.