The reasons why one in four young Australian workers are considering switching careers

One in four Australian workers under the age of 30 have considered switching careers within the past three months, according to a recently released study by RMIT Online.

Approximately 1,000 Australian workers in positions classified as junior, mid-level, senior and owners or CEOs between the ages of 19 to 67 were interviewed in July 2023 for the survey, which was produced by RMIT Online in partnership with the market research company Honeycomb.

The study’s findings reveal that the pursuit of higher salaries was the top-ranked reason for young Australian workers who were contemplating a career change, with half of workers under the age of 30 confirming that a larger salary was at the forefront of their motivations career-wise.

More than 30% of survey respondents also cited career development opportunities and more flexible working hours as reasons for young workers thinking about switching careers.

RMIT Online workforce solutions director Kade Brown told SmartCompany that Australian professionals under 30 — who are relatively early in their professional careers – are reconsidering their career paths in very high numbers. 

“This generation makes up a significant chunk of the workforce,” he says. 

“They have been shaping their careers through the pandemic and a cost of living crisis, and they crave the ability to test different opportunities, feel supported on their career journeys, and have access to the flexibility they need to fit work around their outside lives.

Rapidly diminishing barriers

“Achieving a career pivot has historically been challenging and has required significant investment of time and money into reskilling through a return to study. 

“In the white-collar context that has usually meant going back to university to complete another degree which takes years and costs tens of thousands of dollars.”

However, Brown says the barriers to switching careers are rapidly diminishing.

“High-quality, bite-sized learning solutions that are targeted at specific skills and designed for job-readiness are now emerging and are increasingly chosen by re-skillers as the solution of choice to support a career change,” he says. 

“The idea of choosing a career and sticking with it your entire working life is a thing of the past and our youngest workers are preparing themselves for multiple careers. 

“Past stigmas associated with switching careers have evaporated. 

“Our youngest workers know they can carve out a career journey for themselves that is personalised and dynamic, and they can enable this with periodic upskilling and re-skilling at the time that suits them. 

“Once you know where you are looking to pivot to, you need to identify the necessary qualifications and skills required to navigate the step change.

Cost pressures fuelling need for change

“Our research tells us the biggest driver of intent to change careers is the prospect of a higher salary, which comes as no surprise. We all know that inflation and interest rate pressures are leading workers to revisit opportunities to boost their income.”

External training and upskilling remain a priority for young Australian workers when it comes to their careers, with three in 10 concerned that they do not have the skills needed to perform to the best of their abilities in their current roles.

In addition to this, 56% of younger respondents revealed they plan to ask their employer for external training or upskilling in the coming months.

RMIT Online CEO Nic Cola said as the workforce continues to evolve, it’s clear gen Z and younger millennials are redefining their priorities and as such, their career paths. 

“They are in pursuit of new opportunities — and they are not afraid to change jobs to do so,” he says. 

“This generation makes up a significant chunk of the workforce, so it’s crucial we empower them to bridge the skills gap and chase their professional ambitions. Doing so would contribute to a more resilient and dynamic workforce of the future.”

The RMIT survey also found that not feeling valued enough was reported as the top reason that 60% of survey respondents were feeling dissatisfied with their current job.

Fifty-five percent of respondents also cited not having an adequate salary for their role or level of responsibility and not having clarity about career progression as the reasons they weren’t feeling fully satisfied at their current job.

Around 26% of younger respondents under the age of 30 years have also started a side hustle in the past three months according to the survey, and 53% plan on starting one in the next three months.