New research from Boostworks, the employee reward and benefits specialist, has found that nearly half of Generation Z employees are distracted at work due to financial stress, with many calling for more meaningful support from their employers as they enter the workforce in large numbers this summer.
The nationally representative survey of over 1,000 UK workers aged 18 to 28 revealed that 44% of Gen Z respondents say financial worries impact their ability to concentrate at work, while 19% admit they worry “constantly” and struggle to focus on the job. Alarmingly, 11% reported missing work altogether because of financial pressures.
The findings come as an estimated 700,000 young people — including approximately 400,000 GCSE students and 300,000 A-level students — are set to enter the UK workforce in the coming months, putting a spotlight on the challenges facing the youngest generation of employees.
According to the research, fewer than half (45%) of Gen Z employees feel fairly compensated for their work, and only one in three (32%) have at least £1,000 in emergency savings. More than half (55%) are considering taking on a second job or “side hustle,” with nearly one in five (19%) already doing so.
Amid these pressures, Generation Z is clear about the type of employer support they value most. Nearly 60% already rely on workplace vouchers or rewards to offset everyday costs, and 74% would welcome access to employer-provided financial education and planning. More than half (55%) say they would prefer shopping discounts, cashback, or reward points redeemable for products or vouchers, while 35% would welcome employer contributions to savings or investment accounts. Performance-based bonuses remain popular, with 50% of respondents placing high value on this form of recognition.
The research also highlighted concerns around office attendance and incentives. A quarter (25%) of Gen Z employees said they feel pressured to attend the office unnecessarily, and 34% do not feel adequately rewarded for doing so. While 28% reported being offered new perks or benefits to encourage office attendance, 12% said these were not appealing. When asked what would motivate them to come into the office more often, the most popular responses were free food and bonuses (47%), additional holidays (45%), flexible office hours (37%), and commuting allowances (35%).
Jo Werker, CEO at Boostworks, commented: “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 findings highlight growing pressure on employers to rethink the way they support young staff as the next generation enters the workforce in a challenging economic environment.
