5 Things Every Aussie Employer Needs to Know, According to Annual Jobs Report 2025

A surge of young entrants, a retreat of older workers, and one in three people holding multiple jobs, today’s Australian workforce is driven less by ambition than by the search for security, a new report reveals.

The future of work in Australia isn’t dictated by boardrooms or federal budgets; it’s shaped by the small and medium-sized businesses that employ two-thirds of the country’s workforce and generate half of the nation’s GDP.

SMEs are the backbone of our economy and the Employment Hero Annual Jobs Report 2025 is an X-ray into its complex anatomy. Drawing from real payroll data across 350,000 SMEs and insights from 2.5 million employees, the data reveals a workforce that’s more resilient, cautious, and resourceful than ever.

Younger workers are entering in record numbers, older employees are pulling back, and a third of the workforce is juggling multiple jobs. Security, not ambition, is shaping decision-making. The traditional career path, get a degree, find a job, climb the ladder, cash out, is over. So, what does this new world look like for employers?

Here are five key takeaways for Australian businesses from the report.

1. The multi-job market is the new normal 

Employment is holding steady, up 5.8 per cent year-on-year, but the drivers of that growth are changing. The days of a job for life are gone, but so too, it seems, is the era of one job per person. The data is clear: one in three workers globally is now juggling more than one role to make ends meet. In Australia, that figure is 34 percent. This is not just a side hustle for a little extra cash; for many, it’s a financial necessity driven by the rising cost of living.

Liam, a 32-year-old instructional designer in Sydney, also spends evenings tutoring high-school students and developing training guides for music classes. “There’s just no way we can afford the life we want in Sydney without extra income” he says. “Flexibility helps me switch from my day job to my side work but it also means long hours and constant prioritising.”

The only clear play here for employers is to acknowledge this reality. The report shows that for employers, providing growth, flexibility, and purpose will be as vital as pay in keeping people committed.

2. Security trumps ambition 

In a world where economic stability is a luxury, workers are prioritising security. Almost 60 per cent of workers globally value job security over ambition. In Australia, this sentiment is even stronger, with 57 per cent of workers prioritising security over ambition. This caution is most pronounced in Gen Z, where 65 per cent of 18-24-year-olds are prioritising job security due to the cost of living crisis.

This is a stark shift. Forget the high-risk, high-reward mantra. Today’s workforce isn’t looking to jump into the next big thing; they’re “job-hugging,” a term coined by organisational consultancy Korn Ferry. Confidence in the labour market is fragile, nearly half of workers in Australia, New Zealand, the UK and Canada don’t believe they could secure a new role within three months if they lost their current one.

For employers, this is an incredible opportunity. Focus on providing stability and a clear path for growth within your organisation. Your value proposition should be built on reliability, not just flashy perks. If you can show your employees a dependable future, you’ll be a top choice.

3. Queensland is the land of opportunity 

The talent map of Australia is officially being redrawn. While New South Wales and Victoria have traditionally been the economic powerhouses, career opportunities are shifting north and west. Queensland is leading the charge in employment expansion, with year-on-year growth between 5 per cent and 8 per cent since October 2024.

The migration of talent and subsequent demand in industries like housing and construction, coupled with significant public and private investment, have positioned Queensland as a new growth engine.

For employers, this might mean broadening hiring horizons. The talent you’re looking for might not be in the CBD of Sydney or Melbourne anymore. Consider remote or hybrid roles that tap into these emerging hubs, or better yet, open a new office. The future of the Australian workforce is decentralising, and so should your strategy

4. Employees want less pressure 

The hustle harder chokehold on our society is finally loosening. Workers, especially the younger cohort, are pushing back against the traditional career ladder that demands more responsibility and higher stakes. More than half of all workers surveyed (56 per cent) want a job “without too much pressure and responsibility” and in Australia, that figure is over 60 per cent. This isn’t a sign of laziness but a direct response to a world where understaffing, stress and burnout are rampant.

Your job as an employer is to create an environment where people can thrive, not just survive. This isn’t about coddling; it’s about smart design. Can you offer flexible hours? Can you redefine success to be about impact, not just hours worked? The data says that no salary or promotion is worth the long-term cost on health and wellbeing. 

Employers who get this right will win the war for talent, and while SMEs can’t always compete on salary with larger corporations they usually have key advantages they can leverage when it comes to work-life balance. 

5. Upskilling is the new retention strategy

With the perceived threat of AI, 71 per cent of surveyed workers feel confident in adapting to new technologies. However, this confidence wasn’t universal, with older workers (aged 55+) and part-time staff feeling less assured.

This creates a massive opportunity for businesses. The same report found that nearly two-thirds of workers who are satisfied with their professional development feel more settled in their jobs, which serves SMEs in the long run, even if the cost can pinch. Kylie, a Speech Pathologist from the Central Coast said in the Employment Hero Annual Jobs Report, “We take pride in supporting professional development. With tighter margins, courses feel like a gamble, when we know it’s a win for the business in the long term.”

Instead of seeing training as an expense, savvy leaders are seeing it as a retention tool and a strategic investment. By providing clear and accessible pathways for learning, you’re not just building a better team but building loyalty, one skill at a time.

In Australia, SMEs have access to support for workforce training. The Group Training Reimbursement Program helps reduce the cost of employing apprentices through Group Training Organisations, easing the financial load of building skills in-house. The Australian Skills Guarantee directs government funding from major projects into training the next generation of workers, ensuring long-term capability.