Luxury hospitality is an under-studied niche in the process of its role as the demographic foundation of the hospitality industry as generation Z (born around 1997-2012) is rapidly joining the industry as their elder peers retire. Yet luxury properties rely on discretionary emotional labour, personalisation and super deferential service scripts, and are required to hire and keep a cadre of people who value flexibility, autonomy, purpose, psychological safety and swift career development. This paper provides a critical review done thematically of research work on employment within the hospitality sector for Generation Z, with a particular focus on the luxury sector. The literature review points to six dimensions of the shifting work environment that are intertwined: flexibility and work–life balance, career development and mentorship, technology and human–technology relationship, purpose, sustainability, and ESG, well-being, and psychological safety, and compensation, recognition and a distinctive “prestige paradox.” We believe that each dimension creates a unique strain when the general expectation of Gen Z is juxtaposed with the operating logic of luxury service. We bring together these lessons in an integrative framework, connecting macro drivers with employment outcomes, while taking into account the tensions specific to the luxury industry, and map existing evidence on a maturity-by-specificity map. The paper ends with an organized future research agenda with prioritized research questions and methodological recommendations. The review offers a re-framing of the literature that has been predominantly approached as monolithic, and offers direction for the luxury industry that wants to ensure that its service delivery meets the expectations of the new generation of employees.