Longer hours, less pay: Shift workers off all generations under pressure

Across all generations (Baby Boomers, Generation X, Millennials, and Generation Z), a drop in average hourly pay has been observed by a new report.

A new report by Deputy has revealed that the average hourly pay of shift workers of all generations has seemingly dropped during the month of July. For the report, the shifts and hours of 15.38 million hourly workers and scheduling activities of 6 million workplaces in Australia were analysed to retrieve the needed data.

From that data, there were notable increases in hours worked across a number of healthcare sectors. There was a 4.97 per cent rise in care facilities, a 9.98 per cent increase in childcare and community centres, a 15.18 per cent increase in dental practices, and a 14.75 per cent rise in hours worked by doctors and medical clinics.

This was mirrored in other industries, with the accommodation sector seeing a big 14.38 per cent rise in hours worked, while cafes and bars experienced slight increases of 1.58 per cent and 2.97 per cent, respectively, compared to the previous month.

It highlights the increased demand for workers in this sector, as, throughout the past month, people must’ve felt more inclined to venture out and attend social outings, showing a potential improvement in consumer confidence and social activities rebound.

Despite the data indicating that workers across all generations and all major shift work industries are working more hours (increased shift length), financially, it’s showing that they are, in fact, worse off, given the drop in average hourly pay. It’s yet another indicator of the ongoing struggle that workers across Australia are dealing with.

“The increase in average hours and shifts worked across all major industries suggests a positive shift in economic activity. However, the accompanying rise in employee turnover and the decline in predictable scheduling are concerning trends that underscore the ongoing volatility in the job market, where workers are being asked to do more with less stability,” said Emma Seymour, chief financial officer at Deputy.

More time at work for less pay will impact different generations and social groups in different ways. As Generation Z workers make the least per hour, drops in average pay will impact their ability to pay for necessities, including rent and groceries. This coincides with the cost-of-living crisis, which has proven to be a detriment to all generations, especially Gen Z.

For Millennial and Generation X workers who are parents, more time at work for less pay may impact their ability to afford and maintain adequate childcare support. They are also missing out on that quality family time, which has proven to directly tie in with the mental health and wellbeing of working parents.

“For Baby Boomers and Generation X, who often juggle work with family responsibilities, the decrease in average hourly pay alongside longer hours adds significant strain, especially when it comes to affording essential support like childcare,” said Seymour.

“Generation Z, at the start of their careers and earning the least, are struggling to cover basic expenses like rent and groceries as their pay decreases.

“This generational disparity highlights the critical need for businesses to offer more stability and predictability to their workforce. By ensuring workers have adequate notice of their schedules and a regular cadence of work, businesses can support employee wellbeing, enhance productivity, and improve retention in these challenging times.”