Employment Hero, the global authority on employment, has released its inaugural Annual Jobs Report, which looks at 12 months of aggregated and anonymised real-time data from over 350,000 businesses and 2.5 million verified employees globally. Alongside a YouGov survey of 3,635 workers, the report reveals the workforce is undergoing significant transformation, shaped by generational shifts, cost-of-living pressures and new expectations around work.
Key Annual Jobs Report findings:
- Poly-Employment becomes the norm with 1 in 3 Aussies now holding multiple jobs, rising to more than half (56%) of 18-24 year olds.
- Gen Z powers the workforce, entering at record numbers with jobs among 18-24 year olds climbing 16.6%.
- Stability is the goal as Aussies place job security over progress opportunities, with 57% saying stability matters more than progression (jumping to 68% among younger workers).
- Queensland leads the way as the nation’s job engine, recording consistent 5.8-8% YoY increases in jobs growth.
- Skills become currency as AI concerns rise, with a quarter (24%) of Aussies believing that AI is already reducing job opportunities, with the concern highest among younger workers (34%).
Australia’s labour market remains resilient, with jobs up 5.8% year-on-year in July and wages rising 4.6%. Monthly growth has held between 5–7% over the past year, underscoring stability in the face of rising costs.
Australia’s top independent economist, Saul Eslake said, “The latest results from Employment Hero’s database of SMB employers are consistent with overall employment growth stabilising at about 1.5% per annum. That represents a significant slowing from the 2.75% pace recorded during 2023 and 2024, but it is in line with the RBA’s forecast that employment will grow by 1.4% per annum over the next two-and-a-half years.
Poly-Employment: Multiple jobs become the norm
One in three Australians now holds more than one job. This trend cuts across employment types, with full-time and part-time workers equally likely to juggle roles, a trend that rises to 56% among 18–24 year olds, compared to only 20% of those aged 55+. These younger Australians are also putting in longer hours, averaging 23 per week, up 6% on last year. Despite wage growth, cost-of-living pressures are seeing Australians spread themselves thinner than ever, with many leveraging tools like Earned Wage Access (EWA) to withdraw part of their earned pay ahead of payday. Despite their higher earnings, Millennials dominate EWA usage across generations, accessing their pay ‘on demand’ almost 200,000 times in the last year alone.
Employment Hero Co-Founder and CEO, Ben Thompson, said when it comes to the state of the Australian labour market, it’s no longer business as usual: “One in three Australians (34%) now works more than one job; this is big news. The causes will be multipronged; it’s a signal people are making big personal trade-offs to cope with the cost of living. Also, a result of the trend towards casualisation of the workforce we’ve seen over the past twelve months, with average hours worked slowing as employers adapt to the rising cost of operations.
Playing it safe: Stability is the goal
Australians are placing job security above all else. A majority (57%) say job stability matters more than career progression, rising to 68% among young workers. When asked about their most preferred job, only 1% of respondents showed an appetite to work for a startup, reflecting widespread risk-aversion amid global economic uncertainty.
Gen Z: From classroom to career in a shifting economy
Gen Z is entering employment in record numbers, particularly within SMBs. More young Aussies are juggling work and study, with jobs in the 18-24 year olds cohort surging 16.6% year on year. Participation among Australians aged 55+ has declined by around 2%.
“The continued rapid growth in employment of people aged under 25 may owe something to the recent pick-up in employment in the retail, hospitality and tourism sector, which typically employ relatively large numbers of younger workers, and to the rapid increase in the number of people in this age group since the re-opening of Australia’s international borders at the end of the Covid-19 pandemic,” says independent economist, Saul Eslake.
“SMBs are continuing to employ increasing numbers of younger workers, although growth in the employment of older workers has continued to slow. Indeed, employment of people aged 55 and over has been declining slightly since the beginning of last year. This may partly reflect much slower growth in the 45-65 year-old age groups than in younger age groups (or among over 65s). But it may also indicate that ‘ageism’ constitutes a barrier to the employment of older Australians.” he concluded.
The geography of opportunity
Queensland has cemented its position as the nation’s jobs growth engine, recording year-on-year increases of 5.8–8% over the past 12 months. Western Australia has rebounded after a late-2024 dip, while the metro commerce hubs of NSW and Victoria, have slowed considerably. Wage disparities are clear, with the ACT ($46.20 median hourly) and NSW ($45.10) leading the nation, compared to Tasmania’s $39.90.
Skills are a new currency as AI concerns persist
Despite research showing that AI has the ability to enhance the workforce, our nation’s most digitally literate young workers remained concerned, with a quarter believing that AI has already reduced job availability (34%). While 71% of Australians feel confident adapting to new technologies, confidence is far higher among younger workers and those in larger businesses. Training is also proving decisive for retention: 2 in 3 employees satisfied with upskilling report feeling settled in their roles, compared to less than 1 in 10 (9%) of those without training opportunities.
“It’s crucial for SMB leaders to have access to the right tools and training to stay competitive,” said Ben Thompson. “The pace of change is accelerating and that’s an opportunity for small businesses to get ahead,” said Ben Thompson, Co-Founder and CEO of Employment Hero. “With the right tools, they can move faster and compete more effectively with larger businesses. We’re embedding AI at EH so our customers have access to cutting edge tech and a suite of tools typically reserved for corporates. The rate of change and accessibility of tech can become their competitive advantage.”