Workplace shift: Australians turn to career pacing as pay satisfaction declines
More Australian employees are prioritising flexible working arrangements over pay and job security, new research from global talent agency Randstad has revealed.
Amid rising cost of living pressures and uncertainty in the job market, more Australians are valuing stability and family life over a paycheque, a term otherwise known as ‘career pacing.’
The Randstad Employer Brand Research identifies this trend, also revealing a generational divide between what employees value most in the workplace.
More than 5,700 employees were surveyed across Australia, with 61 per cent reporting a good work life balance was the number one thing any organisation should ‘most definitely have.’ Competitive salary and benefits came a close second for 57 per cent of people, followed by 53 per cent of workers saying job security is important to them.
"More talent are prioritising wellbeing over pay, with work-life balance the undisputed number one driver for candidates,” said Randstad Australia Executive General Manager Angela Anasis.
“Interestingly, work-life balance looks different depending on how old you are, with the importance of a good work environment increasing with age,” she said.
According to the research, almost half of employees value a good work environment, followed by flexible work arrangements and reasonable workload.
Flexibility matters most for 46 per cent of Millennials and 48 per cent of Gen X workers, while 59 per cent of Baby Boomers say they value a reasonable workload and clear expectations.
“The data shows that despite rising cost of living pressures, Australian workers will prioritise their wellbeing over a paycheque. This is also known as ‘career pacing’ where they’re prepared to sacrifice ambition and salary to focus on getting that life balance right,” said Ms Anasis.
“Even though many people (36%) are taking on side hustles or looking for a second job, workers are still willing to draw a line between what they need financially and what they are prepared to sacrifice to get there,” she said.
The report reveals that employers are more likely to retain their staff if they find ways to assist employees who seek wellbeing and flexibility.
“When it comes to attracting new talent, salary is still a leading factor,” said Ms Anasis.
“But, in the current climate of economic volatility, where employers may not be able to offer widespread salary increases, those that credibly champion holistic wellbeing and balance are likely to have high retention, saving significant turnover costs,” she added.
The Employer Brand Research, also shows one in four workers plan to change jobs in the next 12 months, with work-life balance being a key reason to leave for 44 per cent of Gen X employees and 43 per cent of Baby Boomers.
A lack of career growth and an insufficient challenge is more of a reason for 34 per cent of Gen Z’s and 30 per cent of Millennials to change employers.
“For those workers looking to leave, it comes down to unmet expectations. Employers who are listening to what their employees want are going to give themselves the best chance of retaining their best talent,” said Ms Anasis.
