Young workers are facing significant financial strain, according to new research from Boostworks, a leading provider of employee reward, recognition, and benefits solutions. The study, which surveyed over one thousand 18–28-year-olds, found that nearly half (44%) of Generation Z employees say financial worries distract them at work, with 19% admitting that they constantly worry and struggle to concentrate. Additionally, 11% reported having missed work altogether due to financial stress.
The data highlights a concerning trend of financial fragility among the UK’s youngest employees. Less than half (45%) of Gen Z workers feel fairly compensated amid the rising cost of living, and just one in three (32%) have £1,000 or more in emergency savings. More than half (55%) are considering a side hustle or second job, with 19% already working on one.
With these challenges in mind, Gen Z employees are turning to their employers for support. Nearly 60% of respondents said they already rely on workplace vouchers or rewards to assist with day-to-day costs, and two thirds (74%) would welcome access to employer-provided financial education and planning. When asked what types of support would help them feel more financially secure, over half (55%) said they preferred shopping discounts, cashback, or reward points redeemable for vouchers or products. Additionally, 35% said they would welcome employer contributions to savings or investment accounts, and 50% still place high value on performance-based bonuses.
The research also suggests that many Gen Z workers feel pressured to attend the office without adequate incentives. A quarter (25%) feel compelled to come in ‘unnecessarily’, while 34% believe they are not adequately rewarded for doing so. Additionally, nearly a third (28%) reported that they had been offered new perks or benefits to support their return to the office, however 12% said they weren’t appealing. When asked what would encourage them to come into the office more often, the most popular responses were free food and bonuses (47%), followed by additional holidays (45%), flexible office hours (37%), and commuting allowances (35%).
Jo Werker, CEO at Boostworks, commented on the research, saying, “This research paints a stark picture of the financial pressures facing Gen Z as they enter the world of work, but it also gives employers a roadmap. Yes, this generation is facing real economic strain, but they are also clear about what would help: practical financial support, flexibility, and fair recognition.”
With an estimated 400,000 GCSE and 300,000 A-level students expected to transition into work or training this summer, employers have a real opportunity to engage the next intake by providing tangible support that makes a genuine difference to their economic stability.
The research was conducted amongst 1,200 employed people aged 18-28, with 501 surveyed by Censuswide between 02.06.2025 – 05.06.2025, and the remaining 699 surveyed by Boostworks between 09.06/2025 – 13.06.25. Boostworks is a prominent provider of employee reward, recognition, benefits delivery, and wellbeing solutions in the UK. Their clients include well-known companies such as Costa, easyJet, BMW Mini Rolls-Royce, and RAC, among others.
In light of the research findings, Boostworks encourages employers to take proactive steps to support their younger employees, with a focus on practical financial support and flexible work arrangements. By providing meaningful support, employers can help alleviate the financial strain faced by Gen Z workers and foster a positive and productive workplace culture.
Note regarding calculations:
• 12.6 million people make up the Gen Z 13-28 years in the UK with a UK population of 67m million people in total. Sources – https://www.ons.gov.uk/peoplepopulationandcommunity/populationandmigration/populationestimates
https://www.ons.gov.uk/visualisations/customcharts/demography/index.html
• To estimate how many GCSE and A‑Level students enter the workforce this summer, we can draw from recent exam data:
GCSE: In 2024 there were approximately 6.19 million GCSE exam entries, which typically translates to around 650,000–700,000 students aged 16 sitting 8–10 GCSEs each gov.uk+15gov.uk+15explore-education-statistics.service.gov.uk+15thetimes.co.uk.
A‑Levels: In the same year there were 341,000 A‑Level exam entries—representing students aged 18 finishing full A‑Levels. Since each student usually completes multiple GCSEs or A‑Levels, estimating:
Around 400,000 UK students for GCSEs (age 16) https://www.gov.uk/government/statistics/entries-and-late-entries-for-gcse-as-and-a-level-2023-to-2024-academic-year
Derick is an experienced reporter having held multiple senior roles for large publishers across Europe. Specialist subjects include small business and financial emerging markets.