Differences in skills readiness and financial confidence are emerging across the global workforce as five generations work side by side, according to the latest chapter of ADP Research’s People at Work 2026 Report. The findings suggest that employers should invest in more tailored strategies to support the distinct needs of an age-diverse workforce.
Globally, younger workers are leading when it comes to skills readiness. Almost one-third (30%) of workers aged 27 to 39 say they have the skills needed to advance their careers in the next three years, the highest share across all age groups. Younger workers in Australia are the most confident in their skills, with 26% of those aged 27 to 39 having the same sentiment.
Financial security is another area of concern, with workers nearing retirement trailing younger workers. Globally, only 10% of those aged 55 to 64 strongly agree they feel good about their financial health. This is almost half the share of workers aged 18 to 26 and 27 to 39 (both at 19%). The pattern is reflected in Australia, where only 9% of workers aged 40 to 64 feel good about their financial health, down sharply from 17% among those aged 27 to 39, suggesting financial confidence declines as workers move into later career stages.
“As AI reshapes work at the task level, organisations need people-centric, yet data-driven human capital management strategies to address the diverse career needs of a multigenerational workforce”, said Dr. Nela Richardson, chief economist, ADP. “By paying employees accurately and on time, using payroll analytics to advance fairer compensation, and investing in tailored upskilling initiatives, employers can build greater trust and support for employees at every stage of their careers.”
An Opportunity for Age-Diverse Workplaces
The report finds that an age-diverse workforce can be an opportunity to strengthen business performance. While different generations experience work differently, they can bring complementary strengths that allow employers to build more resilient and productive teams.
Globally, older workers are the least likely to report frequent negative stress, with almost half (48%) of those aged 65 and above, and 32% of those aged 55 to 64, saying they experience negative stress less than once a month. Workers aged 55 and older are just as likely to find meaning in their work and feel engaged.
Kylie Bauilo, General Manager, ANZ and Japan said, “While a multigenerational workforce creates a wider variety of workplace expectations, that same diversity can bring different strengths to the table. Our data shows that younger workers often bring new ideas and future-ready skills, while older employees can offer experience and resilience.”“That is particularly relevant as Australia’s population continues to age, reshaping the composition of the workforce over the coming decades. The Government’s latest Intergenerational Report highlights the need for an adaptable, well-trained workforce, including supporting people to gain and retain skills throughout their working lives.”
“Employers should deliberately design work so that different generations can complement each other’s strengths. There is an opportunity to nurture mentorships across age groups and create learning opportunities for intergenerational knowledge sharing, which can strengthen collaboration, support skills development, and improve productivity.”
Generational Differences Shaping Australia’s Workforce Dynamics
In Australia, generational differences are also evident in career outlook and mobility.
Job mobility appears to be a greater concern for younger workers, with 13% of workers aged 18 to 26 saying it has become much harder to change jobs over the past 12 months, the highest share across all age groups.
Meanwhile, Australian workers aged 27 to 39 show the strongest confidence in their future career prospects, with 26% strongly agreeing that they have the skills needed to advance their careers in the next three years.
Another challenge is whether employers are providing meaningful career development support across all generations. Only 15% of workers in Australia strongly agree that their employer is investing in the skills needed to advance their careers, which points to a gap between employee expectations and workplace support.
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