As Generation Z (Gen Z) enters the workforce, understanding their employment preferences and career aspirations is essential to shaping the future job market. This blog explores the current employment landscape for Gen Z in Australia, with a focus on SaCSA’s sectors. By examining how young people perceive these industries and what influences their career choices, we can uncover opportunities to attract, engage and retain a skilled workforce for the years ahead.

Who is the Gen Z workforce

Generation Z refers to individuals born between 1995 and 2009. Many are currently finishing school, completing higher education, or entering the workforce.¹

Gen Z is often characterised by self-confidence, a strong sense of teamwork and a desire for purpose and happiness in the workplace.² They tend to value work-life balance and flexibility. Environmental sustainability, the rising cost of living and mental health are among their most pressing concerns.³

In Australia, there are currently over 5.4 million Gen Z individuals, making up around 20% of the national population.⁴ Within SaCSA’s sectors, they are particularly well represented in the Retail and Hospitality workforces (see TABLE 1).

TABLE 1: WORKFORCE SIZE UNDER 25 YEARS OLD, BY SACSA SECTORS

Sector	Percentage of workforce under 25 years old	Workforce size under 25 years old
Arts	9%	5,013
Retail	32%	29,166
Personal Services	17%	3,365
Tourism	9%	740
Hospitality	39%	19,417

Arts

The Arts sector is characterised by a relatively mature workforce, with a median age of 38 years, just four years below the national workforce median.⁵ Young artists are most visible in the performing arts and screen sectors, working in roles such as Dancers and Choreographers, Actors and Other Entertainers, Production Assistants, Cinema and Theatre Managers, Dance Teachers and Ticket Collectors or Ushers.⁶

Attracting and retaining young talent in the Arts remains a challenge, with a rising trend in shortages across a variety of occupations since 2021.⁷ Findings from a survey conducted by PAC Australia and the Advisory Board for the Arts, featuring responses from 500 professionals in the performing arts, reveal that Gen Z differs significantly from other generations in their workplace values. They place higher importance on diversity, equity and inclusion (DEI), flexible work arrangements and a supportive office environment, while placing less emphasis on artistic reputation and values-led culture.

Gen Z artists also report lower job satisfaction and are less likely to see a long-term career with their current organisation, as the sector continues to face stiff competition from other industries offering stronger pay, benefits and job security.⁸

The Creative Workforce Scoping Study highlights calls from industry bodies and stakeholders for increased investment in traineeships and on-the-job skills development for young people. It also points to the need for retraining opportunities for older generations to help rebuild workforce capacity and address critical skills shortages. ⁹

Projects underway

SaCSA’s Pilot Program: Supporting Completion of CUA30420 Certificate III In Live Production and Technical Services project is currently underway. In partnership with TAFE NSW, SaCSA will develop a targeted pilot program which will provide learners who hold a Statement of Attainment (SoA) with a clear, supported pathway to complete the remaining units of competency. 

Personal Services (Hairdressing, Barbering and Beauty Subsectors)

The Hairdressing, Barbering and Beauty subsectors within the Personal Services industry are notable for attracting a younger workforce. Nearly 70% of Hair or Beauty Salon Assistants are under the age of 25¹⁰, drawn to the sector’s dynamic nature and creative opportunities. This stands in contrast to the broader Personal Services sector, which has a median age of 37 which is older than these youth-dominated subsectors, but still slightly younger than the national workforce median of 42. ¹¹  

Gen Z is particularly attracted to the sector’s fast-paced environment, creative freedom and flexible work hours. The social aspects, such as opportunities to meet diverse people and travel overseas, also resonate with this generation.¹² Sustainability is another key consideration, especially in the Beauty sector, where Gen Z increasingly aligns with inclusive, ethical and socially responsible brands. ¹³

Self-employment is also highly appealing to Gen Z, offering greater flexibility and the potential for higher earnings. In 2023, 19% of students enrolled in the Certificate III in Hairdressing expressed an aspiration to start their own business.¹⁴ This trend reflects a younger workforce often entering the industry with limited experience, reinforcing the importance of embedding entrepreneurial and business management skills in training.

Despite these factors, the sector faces several challenges. It is often perceived as physically demanding and financially unrewarding. For example, Hairdressers earn an average of $31,000 per year, which is well below the national average of $58,300. Other contributing factors to high attrition rates include poor workplace culture and limited leadership capability. Many young workers leave the sector after an average tenure of just 18 months. ¹⁵

In a sector dominated by young professionals, structured training, hands-on experience and supportive work environments are critical to attracting and retaining the next generation of skilled workers.

Projects underway

SaCSA is currently undertaking the Review of Hairdressing and Barbering Qualifications project. These qualifications are commonly undertaken by young people, with over 60% of learners who enrolled in key qualifications¹⁶ being under 25 years old in 2023¹⁷. The qualification reform aims to strengthen the domestic training pipeline and support long-term career progression within the sector.   

Retail

The Retail sector employs more young people than most other industries, with a median age of 34, which is eight years below the national workforce median.¹⁸ Young people are highly represented in entry-level roles such as Sales Assistants and Pharmacy Sales Assistants, where nearly 50% of workers are under the age of 25.¹⁹ This is likely due to the sector’s accessibility: entry-level roles typically require no prior experience or qualifications and offer flexible working arrangements that suit students and those early in their careers.

A Youth Insight survey of over 1,000 Australians aged 15 to 24 found that while 26% of respondents were currently working in Retail and 33% were actively seeking retail jobs, only 2% considered Retail their “dream sector.”²⁰ This suggests that while many young people are currently engaged with the sector, few see it as a long-term career option.

When asked what attracts them to Retail companies, young people most commonly cited attributes such as being a well-established company (30%) and being popular among youth (26%). In contrast, factors related to career development, like competitive salary (6%) and career advancement opportunities (5%), were far less commonly associated with the sector. An exception is the pharmaceutical retail space, which stood out for offering educational value and a potential pathway into the Healthcare sector.²¹

Retention barriers include unstable wages and working conditions, short shifts and underutilisation of staff due to unpredictable sales and high levels of customer aggression. A 2023 SDA survey revealed that 87% of retail workers had experienced verbal abuse from customers.²² Young people, especially young women, are disproportionately affected, experiencing higher rates of customer aggression compared to the wider Retail workforce.²³ Given that Retail is often a first job, these negative experiences may have lasting effects on young people’s perceptions of the sector.

Promoting clear career pathways, for example into retail management, as well as measures to improve workplace safety and conditions, may shift public perceptions of Retail as a viable long-term career.

Projects Underway

SaCSA, in collaboration with the Australian Retail Council and Shop, Distributive and Allied Employees Association, is examining the prevalence and impact of customer aggression in the Retail sector. This work examines how different demographic groups, particularly young people, are affected and will inform recommendations for industry-wide improvements.

SaCSA is also undertaking a project to explore the causes of shortages in retail leadership. Retail Managers have a significantly higher representation of young people compared to managers in other sectors.²⁴ This project will unpack challenges facing Retail Managers and apply a demographic lens to explore how young people navigate leadership roles in Retail. 

Hospitality and Tourism

Hospitality

Hospitality is a key entry point into the workforce for young people, with a median age of the workforce of 28 years, which is significantly lower than the national median of 42 years. Occupations dominated by young people include Fast Food Cooks, Café Workers, Bar Attendants and Baristas. ²⁵

Research by Torrens University Australia shows that Gen Z tend to hold more positive than negative attitudes towards working in the sector. They are drawn to Hospitality as a “people industry” that is dynamic, fast-paced, exciting and fulfilling.²⁶ Other appealing factors include the chance to create memorable customer experiences, alignment with personal interests and employee perks such as staff discounts and complimentary meals. Hotel roles, in particular, are viewed as professional and prestigious, often offering formal training and structured career pathways. ²⁷

Despite the overall positive disposition, Gen Z workers also report challenges working in the sector. The most commonly cited issues include managing customer expectations, long or irregular working hours, workplace health and safety concerns, gender discrimination, language barriers and difficulty keeping up with industry trends.²⁸

Family and peer support plays an important role in Gen Z’s decision to join the Hospitality workforce.²⁹ Engaging family members early in the job-seeking process through initiatives such as career expos and open days can help build understanding and improve perceptions of the sector, ultimately supporting stronger youth recruitment.

Tourism

In contrast to other visitor economy sectors, Tourism is characterised by a more mature workforce, with a median age of 39, which is slightly younger than the national workforce median of 42.³⁰

Young people are often drawn to Tourism through personal experiences, such as fond childhood memories or peer influence, which contribute to a sense of excitement about working in the sector. However, several deterrents exist, including the repetitive nature of some roles, the stress of managing crowds and ensuring safety and limited opportunities for career progression and financial reward.³¹

Tourism Research Australia forecasts continued growth in the visitor economy of nearly 5% annually through to 2029.³² Roles such as Travel Consultants and Tour Guides remain in high demand. The sector also offers non-financial benefits such as travel opportunities and flexible working arrangements.³³

Given its predominantly mature workforce, the sector needs to engage younger workers early to help build a sustainable and skilled talent pipeline for the future.

Projects underway

SaCSA, in collaboration with Austrade, is currently exploring ways to strengthen industry-school connections and pilot a structured national approach to school and industry programs. This would help create meaningful student experiences that enable students to recognise long-term professional career pathways within the Hospitality and Tourism sectors.

Understanding Gen Z’s career values and aspirations is crucial to building a skilled workforce across our sectors. While many of our sectors offer entry-level roles, young people often view them as ‘first jobs’ rather than long-term careers.

Through ongoing projects and by applying a diversity lens to research, analysis and engagement, SaCSA aims to develop recommendations and initiatives that support the sector in improving its perception, as well as attraction and retention, particularly among young workers. These efforts are designed to boost workforce participation and build a more resilient pipeline of skilled talent for the future.

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References: 

1. Goh, E., & Lee, C. (2018). A workforce to be reckoned with: The emerging pivotal Generation Z hospitality workforce. International Journal of Hospitality Management, 73, 20-28. ↩︎
2. Ibid ↩︎
3. Deloitte, Global 2024 Gen Z and Millennial Survey – Country Profile: Australia (2024). https://www.deloitte.com/content/dam/assets-zone1/au/en/docs/about/2024/deloitte-au-about-gen-z-millennial-survey-australia-2024-130524.pdf. ↩︎
4. ABS, Population clock and pyramid (2025). https://www.abs.gov.au/statistics/people/population/population-clock-pyramid. ↩︎
5. ABS, ‘Occupation by Age,’ in 2021 Census of Population and Housing (2022). ↩︎
6. Ibid ↩︎
7. Jobs and Skills Australia, Occupation Shortage List.  ↩︎
8. Service and Creative Skills Australia, Creative Workforce Scoping Study Report (2025). https://sacsa-react.vercel.app/wp-content/uploads/2025/03/Creative-Workforce-Scoping-Study-%E2%80%93-Summary-Report-ForWeb.pdf. ↩︎
9. Ibid ↩︎
10. Ibid ↩︎
11. ABS, ‘Occupation by Age,’ in 2021 Census of Population and Housing (2022). ↩︎
12. Chisholm Institute, The pros and cons of having a career as a hairdresser or barber (2023). https://www.chisholm.edu.au/news-and-events/news/career/the-pros-and-cons-of-having-a-career-as-a-hairdresser-or-barber?. ↩︎
13. Shim, J., Woo, J., Yeo, H., Kang, S., Kwon, B., Jung Lee, E. & Gyoo Park, S. (2024). The clean beauty trend among millennial and generation Z consumers: Assessing the safety, ethicality, and sustainability attributes of cosmetic products. ↩︎
14. NCVER, Student Outcomes Survey custom data request (2023). ↩︎
15. Ibid
     ↩︎
16. They include Certificate II in Salon Assistant, Certificate III in Barbering, Certificate III in Hairdressing, Certificate IV in Hairdressing, and Diploma of Salon Management. ↩︎
17. NCVER, VOCSTATS Total VET Students and Courses (2024). ↩︎
18. ABS, ‘Occupation by Age,’ in 2021 Census of Population and Housing (2022). ↩︎
19. Ibid ↩︎
20. Youth Insight, Australia’s Top 100 Gen Z Employers (2024). https://youthinsight.com.au/australias-top-100-gen-z-employers-2024/. ↩︎
21. Ibid ↩︎
22. SDA, No One Deserves a Serve (2023). https://www.sda.au/campaigns/no-one-deserves-a-serve/. ↩︎
23. The University of Sydney (Australia’s National Research Organisation for Women’s Safety (ANROWS)), “Just Another Day in Retail”, Understanding and addressing workplace sexual harassment in the Australian retail industry (2024). ↩︎
24. Jobs and Skills Australia, Jobs and Skills Atlas: Retail Managers. https://www.jobsandskills.gov.au/jobs-and-skills-atlas/occupation?nav=sa4&tab=sa4-map&region=405&occupationMetric=employment&occupationFocus=1421. ↩︎
25. ABS, ‘Occupation by Age’, in 2021 Census of Population and Housing (2022). ↩︎
26. Goh, E., & Lee, C. A workforce to be reckoned with: The emerging pivotal Generation Z hospitality workforce. International Journal of Hospitality Management, 73, 20-28 (2018). ↩︎
27. Youth Insight, Australia’s Top 100 Gen Z Employers (2024). https://youthinsight.com.au/australias-top-100-gen-z-employers-2024/. ↩︎
28. Goh, E., & Lee, C. A workforce to be reckoned with: The emerging pivotal Generation Z hospitality workforce. International Journal of Hospitality Management, 73, 20-28 (2018). ↩︎
29. Ibid ↩︎
30. ABS, ‘Occupation by Age,’ in 2021 Census of Population and Housing (2022). ↩︎
31. Youth Insight, Australia’s Top 100 Gen Z Employers (2024). https://youthinsight.com.au/australias-top-100-gen-z-employers-2024/. ↩︎
32. Tourism Research Australia, International Visitor Survey & National Visitor Survey. ↩︎
33. SaCSA stakeholder insights ↩︎