South Africa is growing financial pressure is spreading rapidly in workplaceAbout half of the employees are taking over either lateral movement Or are considering additional income sources due to financial stress, according to new research from fintech company Wealthbit.
While recent studies have highlighted the country's entrepreneurial spirit, Wealthbit's 2025 Financial Stress Report paints a more worrying picture of why many South Africans are looking for additional sources of income.
According to the report, 48% of South African employees have either taken up a side job or are seriously considering doing so due to financial pressures rather than personal ambition or creative fulfilment.
These findings come against the backdrop of rising household debt and rising cost of living. data from South African Reserve Bank shows that more than 60% of household income is being used to repay debt, while 38% of consumers were unable to pay at least one bill in full during the first quarter of 2025.
Although side hustles are often celebrated as a sign of innovation and resilience, Alex Cook, chief executive of Wealthbit, said the underlying financial stress is creating significant challenges for both employees and employers.
“Wealthbit’s 2025 Financial Stress Report shows that four out of five South African workers across income levels worry about money regularly,” Cook said.
“That's most of our people, most of the time.”
Financial stress is often seen as a problem affecting low-income families, but the report shows the problem is widespread across all income groups. According to the findings, 29% of emerging high-income South Africans do not have emergency savings available to help them cope with unexpected financial shocks.
Cook said constant worries about bills, loan payments and household expenses consume mental energy that employees would otherwise spend on their work.
He said, “People who are worried about money are not fully present because the brain does not compartmentalize well when it is in financial danger, and this is evident in presenteeism, distraction, loss of motivation and looking for a job first.”
Its impact goes beyond personal well-being and has a direct impact on business performance. Wealthbit's research found that financially stressed workers are significantly more likely to seek alternative employment opportunities.
“Our data shows that financially stressed workers are twice as likely to look for another job, with 70% considering changing jobs to ease financial pressures,” Cook said.
“Replacing these employees is a large expense that most companies would like to avoid.”
High employee turnover remains one of the most costly challenges facing businesses, with recruiting, onboarding and training expenses adding up to a significant financial burden. The loss of experienced employees can also disrupt productivity, customer relationships, and institutional knowledge.
Cook believes employers There is an opportunity to solve the problem by helping workers improve their financial well-being.
In recent years, workplace wellness programs have traditionally focused on physical and mental health, but financial wellness is being recognized as an equally important factor in overall employee performance and retention.
According to Wealthbit, one of the biggest challenges is bridging the gap between access to financial information and employees' ability to apply that knowledge to their individual circumstances.
“Financial wellness programs can address the gap in employees' financial literacy, making it relevant to their situation and teaching them to better manage their money,” Cook said.
Helping employees achieve greater financial stability can yield measurable benefits for businesses through improved engagement, productivity and employee retention, he said.
“Financial stability has a measurable impact on their stress levels, ultimately resulting in more employee engagement,” Cook said.
The findings come as South Africans grapple with rising costs of living and economic uncertainty, prompting many families to seek additional sources of income to maintain their standards of living.
While the country's entrepreneurial culture remains a source of optimism, Wealthbit's research shows that for many workers, it's less about pursuing passion projects and more about dealing with financial stress.
As employers look for ways to improve workforce productivity and reduce turnover, addressing financial stress may prove to be one of the most effective and overlooked strategies available.
personal Finance