06/06/2023

The emerging risks faced by young workers in Australia's evolving workforce demand immediate attention.

The dangers of income insecurity, limited career prospects, reduced workplace protections, and the alarming rates of workplace injuries require collective efforts from policymakers, employers, and society.

Australia's workforce is undergoing a profound transformation, and as employment dynamics evolve, young workers aged 25 and under find themselves at the forefront of this change.

The surge in casualization has taken hold in Australia's workforce, particularly affecting the younger demographic. Even pre-pandemic, in 2019, just over half (54.3%) of all young people were employed in casual or “gig” based jobs and had no access to sick leave, paid leave or other entitlements[i]. This compares to only 18.2% of workers over 24 being without these entitlements.

Additionally, Australian young people make up just 14% of the workforce, yet they made up for 55% of job losses during the 2021 lockdowns[i]. The inherent instability of this employment creates significant hurdles, including lack of relevant training, work-related stress and income variability[i].

Australia is unique among developed countries as it has a separate governing category for casual employment, providing no stable or assured hours of work, entitlement to paid leave, and protections against layoffs[i]. Additionally, Australia also has one of the highest rates of non-standard work among all OECD countries[ii]. It comes as no surprise that, due to their diminished workplace protections and lack of crucial benefits such as paid sick leave, holiday pay, and redundancy entitlements, young workers face exploitation and struggle to maintain a healthy work-life balance.

The ramifications for these diminished workplace protections and benefits have been exposed in the recent South Australian Population Health Survey (SAPHS), managed by Wellbeing SA, reporting that “those in casual employment were most likely to report psychological distress” (p.4)[iii]. Additionally, it was revealed that “younger respondents were more likely to report psychological distress than older respondents” (p. 4)[iii]. Furthermore, in the case of risk factors, casual workers were more likely to be a current smoker and regular fast food consumer than those in permeant employment, whilst full-time and casual employees were more likely to report risky alcohol consumption, compared to part-time employees[iii].

Workplace injuries pose a significant risk to young workers. Statistics from ReturnToWork SA show that between 2014 to 2017, 8,129 young workers were injured at work and received income or medical support[iv] .The main mechanisms of injury amongst this age group are muscular stress while handling objects (24%), falls on the same level (15%) and being hit by moving or falling objects (9%)[v]. These workplace injuries can have enduring physical and psychological effects on young workers, potentially impairing their future employment opportunities and overall well-being[iv].

Moreover, casual employment often prioritizes short-term needs over long-term growth, denying young workers access to vital training and career development opportunities. Consequently, their career prospects suffer, leaving them ill-equipped to adapt to the rapidly changing job landscape[i].

The emerging risks faced by young workers in Australia's evolving workforce demand immediate attention. The dangers of income insecurity, limited career prospects, reduced workplace protections, and the alarming rates of workplace injuries require collective efforts from policymakers, employers, and society. By acknowledging these issues and actively pursuing change, we can foster inclusive and fair work environments, affording young workers the opportunities and safeguards they deserve.

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References

[i] Littleton, E., & Campbell, R. (2022). Youth unemployment and the pandemic. The Australia Institute. https://australiainstitute.org.au/wp-content/uploads/2022/04/P1143-Youth-unemployment-and-pandemic-Australia-Web.pdf

[ii] OECD. (2015). In It Together: Why Less Inequality Benefits All | en | OECD. www.oecd.org. https://www.oecd.org/social/in-it-together-why-less-inequality-benefits-all-9789264235120-en.htm

[iii] Wellbeing SA. (2023). Psychological Distress and other risk factors by Employment Status: SAPHS January – December 2022. Wellbeing SA.

[iv] ReturnToWorkSA. (2019, February 27). Young workers. www.rtwsa.com. https://www.rtwsa.com/insurance/injury-prevention/young-workers

[v] WorkSafe ACT. (2021, November 16). Data snapshot - Young workers (2021). www.worksafe.act.gov.au; WorkSafe ACT. https://www.worksafe.act.gov.au/about-worksafe-act/data-snapshots