Explained: What Is Micro-Retirement And Why Is Gen Z Embracing It?

A new workplace trend is gaining traction among Gen Z workers. Instead of waiting until their 60s to enjoy retirement, many young professionals are taking extended breaks throughout their careers — a concept now popularly known as 'micro-retirement'.

Unlike sabbaticals, which are often company-sanctioned, micro-retirement is a self-imposed break that allows people to step away from work to travel, pursue passions, or just recharge.

Unlike traditional retirement, which comes at the end of one’s career, micro-retirement involves taking extended breaks throughout one’s working life. The trend, which has gained momentum on platforms like TikTok, shows Gen Z — the group made up of those between the ages of 13 and 28 — prioritising work-life balance.

While micro-retirement may sound similar to a sabbatical, there are differences. Traditional sabbaticals are usually granted by employers, often with job security upon return.

Micro-retirement, on the other hand, is self-imposed, meaning there’s no guaranteed salary or job waiting at the end of the break. Instead, it’s seen as a lifestyle choice that prioritises well-being over a career trajectory.

Gen Z’s approach to work differs from earlier generations. Ashley Fell, a workplace trends expert, told Newsweek, “Gen Z has grown up in an era of rapid change, economic uncertainty, and a heightened awareness of mental health and work-life balance. Many entered the workforce during or after the pandemic, which reshaped attitudes towards traditional career paths.”

Social media has reportedly played a role in popularising micro-retirement. TikTok creator Annabel Denisenko, who is currently taking a six-month career break, shared her perspective with Newsweek, saying that post-Covid, she noticed a big change in how her peers and she herself view their jobs and earning an income. “I am always prioritising new experiences and learning, whether that be progressing in my job or travelling,” she said.

Fell added that Gen Z is “heavily shaped by social media,” which has amplified conversations around alternative career paths.

Instead of dismissing micro-retirement as a passing trend, companies may need to consider integrating similar workplace benefits to retain talent. Gen Z and millennials together make up a significant portion of the workforce, and both generations have shown a willingness to job-hop in search of better conditions, according to a Bloomberg report.

Offering structured career breaks could help companies improve retention and reduce burnout.