Gen Z Workers Hit the Hardest Strikes After New Jobs Tax
Sir, the brand‑new jobs tax hasn’t exactly made the sky the colour of a happy birthday cake for our youngest employees. In fact, a fresh wave of real‑time data from over a hundred and five thousand workers at small and medium businesses across the UK tells a different story.
Why Gen Z is Turning Their Jaws to the Wall
- Job loss is rising. Employment for Gen Z shrank 1.9 % in April alone.
- Wages are also slipping. Those same folks saw their pay drop 0.2 % month‑over‑month.
- But even the opposite was true for other generations: their pay actually ticked up a hair.
How the Numbers Break Down
Gen Z wakes up to a reality that’s strikingly one‑tenth of their older peers. They’re earning comparatively less, and when those earnings drop, the gap widens. The gender split is real too: young men felt a 0.2 % drop, while young women dropped a 0.1 %.
The badest hit comes from casual and part‑time bulls. In April, -1.8 % for those gigs, and over the last quarter the slump even hit -4.5 %—a brutal blow for anyone looking to make ends meet.
When you dig into the numbers, Gen Z part‑time workers’re pulling in roughly £12 an hour, while their full‑time compatriots average £14.10. Those who hustle in hospitality and retail—think pubs, cafés, and shop shelves—held a median hourly rate that dropped 2.5 % last month.
What Employers Are Saying
Kevin Fitzgerald, the UK Managing Director of Employment Hero, keeps people’s heads turning. He said,
“Gen Z workers are carrying the weight of the Government’s National Insurance hike. We see a clear pattern that younger workers, especially those in part‑time and casual roles in hospitality and retail, are facing both shrinking jobs and tighter wages.”
He added,
“Businesses that run on thin margins—like cafés and small shops—are getting nudged to cut staff or pay. Even a slight increase in employment cost can force tough personnel decisions.”
It’s a Double‑Edged Sword
Feeling the drag of the tax isn’t the only thing on Gen Z’s mind. They’re already earning a fraction of what their Gen X and Y counterparts pull, so this is a double‑blow that could kidnap future prospects. It’s not just a numbers story—there are eyes, mouths, whole life‑expectations involved.
What’s the Fix?
- We need hearty support: policies that protect, not punish, the youngest.
- Employment Hero’s EH Jobs app continues to be a lifeline, matching young talent with hospitality and retail gigs.
- Let’s give Gen Z the tools to predict and plan rather than the walls to break.
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