Paying the price: over 4 in 10 Australians surveyed feel underpaid at work

17 June, 2024

  • New findings from ADP’s flagship People at Work 2024 report reveal more than four in ten (42%) Australian respondents feel they are underpaid in their current job
  • Close to half the respondents (47%) are working six or more hours of unpaid time each week
  • 21% of workers surveyed would consider doing unpaid hours to help secure their job

MELBOURNE, AUSTRALIA, 17 JUNE 2024The latest research from leading HR and Payroll solutions provider ADP reveals the state of pay for Australian workers, as the country experiences a widespread cost of living crisis. 

Alarmingly, over four in ten Australian respondents (42%) feel underpaid in their current job, with close to half of all respondents (47%) reporting working close to six hours or more of unpaid work each week. 

For respondents who have not received a pay rise in the last 12 months, eight in ten say they would be happy with other forms of compensation, including:

  • One-off bonus (e.g. Holiday/merit bonus): 32%
  • One-off payment to help with cost of living: 31%
  • Additional days of annual leave/paid time off: 30%
  • Grocery/shopping vouchers: 30%
  • Shorter work weeks: 25%

Kylie Baullo, Managing Director ANZ at ADP, comments: “Right now, businesses are under more pressure than ever to balance workers' expectations with their own challenges around rising costs.”

“We know many employers are already actively working to offer employees more incentives and ensure their workers are appropriately compensated for their time. For employers who aren’t currently in a financial position to offer a pay rise this time around, it’s reassuring to see that workers are open to additional benefits such as increased flexibility, like additional leave time, and bonuses.”

According to the findings, male workers surveyed say they’re more likely to work six hours or more of unpaid work each week (51%), compared to less than half of female workers (44%). However, more female workers feel underpaid in their current role (46%) than male workers (37%).

Interestingly, the report also reveals that nearly one in four (21%) workers would consider doing unpaid hours to help secure their job.

"The rising cost of living, plus ongoing societal conversations around the gender pay gap continues to be on the minds of many employers who are actively trying to get it right," says Baullo.

“No one should be paid differently if they’re doing the same job to the same standard, on the basis of gender alone. That’s why while some workers are open to taking on unpaid workload to secure or maintain a job, employers must continue ensuring that their employees’ time and contributions, regardless of gender or background, are valued appropriately.”

“Fair recognition and fair pay go hand in hand with job satisfaction, so it is key that businesses prioritise workers’ expectations to increase team morale, adds Baullo.

ENDS

About the research
For more insights, please read the ‘People at Work 2024: A Global Workforce View’ report.

About the research
People at Work 2024: A Global Workforce View explores employees’ attitudes towards the current world of work and what they expect and hope for from the workplace of the future.

ADP Research Institute® surveyed 34,612 workers in 18 countries around the world between 22 October – 24 November 2023, with at least 500 per market specifically in the gig economy. This included:

  • 15,383 in Europe (France, Germany, Italy, the Netherlands, Poland, Spain, Switzerland and the United Kingdom)
  • 9,567 in Asia Pacific (Australia, China, India, Japan and Singapore)
  • 5,860 in Latin America (Argentina, Brazil and Chile)
  • 3,802 in North America (Canada and the United States)

Within the worker sample gig workers and traditional workers were identified. Gig workers were identified as those who work on a contingent, temporary, or seasonal basis, or as a freelancer, independent contractor, consultant, gig worker, or use an online platform to source work. Traditional employees were identified as those who are not working in the gig economy and instead have a permanent full or part-time position.

The survey was conducted online in the local language. Overall results are weighted to represent the size of the working population for each country.

About ADP (Nasdaq: ADP)

Designing better ways to work through cutting-edge products, premium services and exceptional experiences that enable people to reach their full potential. HR, Talent, Time Management, Benefits and Payroll. Informed by data and designed for people. Learn more at ADP.com.

ADP, the ADP logo, and Always Designing for People are trademarks of ADP, Inc.

Media Contact:

Ying Wang (APAC PR & Brand Voice Manager): ying.wang@adp.com
Icon Agency: adp@iconagency.com.au