Deputy’s ‘Big Shift Report’ reveals how the ‘nocturnal economy’, generational changes and the evolution of ‘micro-shifts’ are shaping the future of hourly work.
The report analyses 79.6 million shifts and 548.1 million hours of 704,600 shift workers across hospitality, retail, healthcare, and services.
Nocturnal economy
According to Deputy, Australia’s nocturnal economy is booming, with spending opportunities after dark growing in major capital cities across the country.
In 2024, nighttime spending across Australia’s capital cities grew to become a $20.9 billion industry. In fact, Australian cities outperformed major global competitors, like New York and Los Angeles, when it came to the growth of the nighttime economy.
By region, Brisbane emerged as Australia’s top city for nighttime shift work, with spending reaching $6.2 billion and growing 10% in 2024. This surpassed both Melbourne ($5.1 billion) and Sydney ($3.5 billion), making it the fastest-growing city for after-dark economic activity.
“Brisbane’s growth was likely aided by acute housing pressures in the NSW and Victoria capitals, as well as cheaper public transport fares allowing for additional disposable income,” says Deputy.
Meanwhile, Sydney’s nighttime economy continues to evolve, with larger numbers of shift work and spending opportunities arising in the suburbs. The share of evening spending increased in Sydney, from 12% of total shift work hours in 2022 to 16% in 2024.
The shift workforce
Generational shifts have seen Gen Z surpass Millennials as the largest demographic of shift workers for the first time since reporting began in 2021.
Gen Z now make up over half of all shift work hours (47%), compared with 33% of Millennials and 16% of Gen X.
Compared to previous generations, Gen Z are less willing to tolerate limited career progression or low pay, switching jobs at a higher rate.
Nearly 35% of Gen Z shift workers are actively looking for new roles, with more than three-quarters (78%) saying their paycheck is their biggest motivator, as over a fifth are unable to cover living expenses.
When it comes to gender, women make up the majority of Australia’s shift workforce but face greater financial insecurity and are more likely to work multiple jobs compared to men. Women are also 5% more likely to struggle with living expenses and 9% more likely to experience unpredictable work schedules.
However, instead of switching jobs, 58% of women are turning to poly-employment (working multiple jobs simultaneously) to make ends meet.
Gig workers adopt ‘micro-shifts’
Gig work – short, freelance or contract-based work – is evolving, according to Deputy.
Now, gig workers are moving to an employment model focusing on micro-shifts – more personalised and flexible work periods tailored to balance both employee and workplace needs.
“Micro-shifts are the bridge between gig work and shift work, offering protections and stability of traditional employment while maintaining the flexibility workers demand,” says Deputy.
“Businesses that recognise this untapped workforce – caregivers, retirees, students – need stability and flexibility will gain a competitive edge in the market.”
Australian productivity levels plummet
In the last three years, Deputy says the productivity of Australia’s workforce has declined, with the 20-year average annual productivity growth rate sitting at just 0.9%, down from 1.2% in 2021-22.
“A key driver of this trend is Australia’s growing reliance on service industries (including shift work), which typically have lower productivity per worker than sectors like mining, manufacturing, and other capital-intensive industries,” it says.
“As we enter the age of AI, the government recognises the potential of emerging technologies and digital platforms to unlock new productivity gains, especially for skill and labour gaps, and slow service sector productivity growth.”
In line with this, 68% of shift workers believe automation and AI will positively impact their jobs in the next five years, and a further 78% of them want their employers to invest more in digital tools to help them do their jobs better, such as productivity.
“Businesses can tackle productivity challenges by restructuring ways of working with smarter job matching and lower hiring costs, AI-powered scheduling and greater micro-shift work opportunities,” says Deputy.
