The document discusses California's aging state workforce and the need to recruit and retain new generations of employees. It notes that within 5 years, 35% of the current workforce will be eligible to leave. Younger generations have different needs and preferences that must be taken into account. The state's current HR system has problems and a new competency-based system called HR Modernization is being implemented between 2009-2014 to address these issues through improved classification, compensation, recruitment, selection, training and workforce planning. Departments must be prepared for the new generations by embracing technology, flexibility, training and feedback to attract and keep younger workers.