More than half of Gen Z and millennial workers are considering taking on a second job to manage the cost of living.
A survey with 5,609 UK employees conducted by benefits provider Boostworks in June found that 57 percent of Gen Z and 71 percent of millennials are exploring side hustles to cover the basics.
The data highlights the growing financial pressure on younger employees, however, survey data showed that financial pressure is the biggest motivator for all generations (Gen X 69 percent, baby boomers 59 percent) to take up a side hustle.
Boostworks said that the results suggest the cost-of-living crisis is reshaping how the younger workforce engages with work, rest, and their primary employers.
Almost a fifth (19 percent) of Gen Z and more than one in ten (11 percent) millennials already have a second job, with the survey showing that many more are considering it and the impact it will have on their time, energy, and wellbeing. Nearly half of millennials (49 percent) and 44 percent of Gen Z said that financial stress was directly affecting their ability to concentrate at work.
The provider encouraged employers to rethink the assumption that side hustles are just a sign of ambition or creativity as this shift may also reflect deeper financial pressures. It also said that it has never been more critical for employers to provide meaningful support. While every generation places a high value on performance-related bonuses, other priorities differ across the age ranges. The survey findings highlight a clear appetite for practical, non-salary-based financial benefits – particularly among younger generations.
Among Gen Z, 74 percent wanted access to financial education and planning tools, which indicates a clear desire for employer-led guidance, the provider said. For millennials and Gen X employees, shopping discounts, cashback and reward points to spend on items were important, as they juggle rising living costs and family responsibilities. Baby boomers continued to value traditional benefits, with 40 percent respectively focused on performance-based bonuses. The provider said that this highlights that even later-career employees are looking for tangible financial recognition.
The findings reinforce the importance of personalised benefits strategies that recognise and provide for the different stages of life. The provider said that what might feel like a marginal perk to one employee may represent a crucial financial lifeline to another. It said that employers needed to tune in to these needs to build a resilient, engaged and productive workforce.
Jo Werker, CEO at Boostworks, said: “The vast majority of young workers are taking on second jobs because they simply can’t make ends meet. It’s draining – mentally, physically and financially. When people are stretched this thin, it’s hard to stay focused or engaged. Employers may want to consider whether their current packages are keeping pace with what employees are really facing day to day.
“The findings highlight a workforce under real pressure and suggest a potential gap between existing support and the realities of rising living costs. Proactively addressing this could help businesses safeguard long-term engagement, wellbeing and retention.”
Werker said that if more employees are turning to second incomes, it could be a sign that existing pay and benefits aren’t fully meeting their needs. “This is a chance for employers to evolve their strategies to better support people in their primary roles, helping them stay focused, motivated and well.”
While financial pressure isn’t limited to younger workers, Werker stressed that they are likely to feel it most intensely. This is one reason this age group may be responding by overextending themselves. As a strategy this isn’t sustainable, she said.
“We recognise that side hustles can offer fulfilment and entrepreneurial opportunity, particularly for Gen Z, but it’s important to understand why so many are turning to them out of financial necessity,” Werker said. “By opening up conversations around fairness, support and wellbeing, employers have a real opportunity to strengthen loyalty and help their teams stay focused, energised and engaged.”
