Side Hustles, Extra Shifts, or a New Job – Inflation Forcing Workers to Raise Their Incomes

Rhea-AI Summary

According to a recent Qualtrics study, 77% of UK workers find it increasingly difficult to cover living expenses, impacting their financial stability. Nearly half (47%) are contemplating second jobs, with 35% actively seeking higher-paying positions. The study reveals a notable shift as 23% of workers have moved or plan to move to more affordable cities. Rising inflation, surpassing 10%, and the return of work-related costs, such as commuting and childcare, exacerbate these financial challenges, prompting employees to seek additional income opportunities.

Positive

• 47% of workers are considering second jobs or extra shifts to increase income.
• 23% of workers have moved or are planning to move to lower-cost areas.

Negative

• 77% of workers feel that living expenses have increased compared to last year.
• 82% of working parents report that their income isn't keeping up with rising costs.

Almost half of working Brits say they have considered a second job, and nearly a quarter have moved, or are planning to move, to a more affordable city to manage expenses

LONDON--(BUSINESS WIRE)-- Workers are looking for new jobs, asking for extra shifts, or taking on side hustles to make ends meet as everyday expenses eat up a bigger chunk of their pay cheques. A new Qualtrics (Nasdaq: XM) study finds that 77% of workers say it’s harder to pay for their living expenses than it was a year ago.

In the UK, inflation recently rose above 10% for the second time this year amid soaring food prices. Compounding the impact of prices going up, many of the work-related expenses that were relieved by remote work, such as commute costs and full-time childcare, are returning as an increasing number of people head back to the office.

Rising costs are changing the employment landscape, and workers are taking steps to improve their financial standing by trimming their expenses, increasing their income, or both. Almost one in four (23%) working adults have cut their expenses by moving to an area with a lower cost of living, or are planning to do so.

In efforts to increase their take-home pay, 77% of employees see the opportunity to work overtime or extra shifts. Outside of their current job, 35% have looked for jobs with higher salaries, and 34% of workers have looked for a second job. An additional 15% of people plan to look for a second job, meaning nearly half of working Brits have considered holding multiple jobs to pay for their living expenses.

“It’s no surprise that financial concerns are top of mind for the vast majority of employees,” said Sarah Marrs, Qualtrics Director, EX Product Science. “It’s therefore critical for business leaders to make sure they understand the role they can play in helping to alleviate some of these concerns. This will demonstrate they are mindful of their people’s well-being, building loyalty amidst continuing retention challenges.”

The quit rate is still above pre-pandemic rates as job seekers accelerate their search, trying to find a new role while openings are still available. But while the Great Resignation was largely marked by employees looking for companies whose values aligned with their own and trying to ease their mental health challenges brought on by work, today’s job seekers place the most value on compensation.

Working Parents Are Especially Strained

Parents are feeling the pressure even more - 82% of working parents say their pay isn’t keeping up with costs as well as it was a year ago. Nearly half say they have looked for a new (44%) or second (44%) job. Parents are also nearly twice as likely to have moved to cheaper cities as employees without children.

	Working parents	Employees with no children
Have looked for a new, higher-paying job	44%	30%
Have looked for a second job	44%	28%
Have moved to a cheaper city	15%	9%

Methodology

This study was fielded in August-September 2022. Respondents were selected from a randomised panel and considered eligible if they live in the United Kingdom, are at least 18 years of age and working full-time. The total number of respondents was more than 1,000.

About Qualtrics

Qualtrics, the leader and creator of the experience management category, is changing the way organisations manage and improve the four core experiences of business—customer, employee, product and brand. Over 16,750 organisations around the world use Qualtrics to listen, understand and take action on experience data (X-data™)—the beliefs, emotions and intentions that tell you why things are happening, and what to do about it. The Qualtrics XM Platform™ is a system of action that helps businesses attract customers who stay longer and buy more, engage employees who build a positive culture, develop breakthrough products people love and build a brand people are passionate about. To learn more, please visit qualtrics.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221107005988/en/

Amandeep Turna, Harvard PR

amandeep.turna@harvard.co.uk

Source: Qualtrics

FAQ

What percentage of UK workers are struggling to pay for living expenses?

77% of UK workers say it's harder to pay for living expenses than it was a year ago.

How many workers are considering taking on second jobs in the UK?

Almost half (47%) of UK workers have considered holding multiple jobs to meet their financial needs.

What is the impact of inflation on UK workers according to the Qualtrics study?

Inflation in the UK has recently risen above 10%, prompting financial strain on workers.

How many working parents are looking for new jobs due to financial strain?

44% of working parents have looked for a new job due to financial pressures.