How Australian Employees Really Feel About Work, Wellbeing and AI

What is the ELMO Employee Sentiment Index Report 2026

The ELMO Software Employee Sentiment Index (ESI) is Australia’s biannual pulse check on workforce sentiment, tracking how employees feel about job security, financial wellbeing and AI in the workplace. It includes analysis across AI adoption, employee wellbeing, job security, financial sentiment, recognition, and workforce mobility, with trend data from H1 2024 to H1 2026. This research was commissioned by ELMO Software and conducted by YouGov in accordance with ISO 20252:2019 standards. 

The AI readiness gap

AI adoption is accelerating but clarity, confidence, and skills support aren’t keeping pace. That gap is the workforce challenge of 2026, and HR leaders are best placed to close it.

Top insights at a glance

AI is now part of everyday work

72% of employees use AI at work. One in seven would turn to AI before asking a manager or colleague.

AI pressure is rising faster than guidance 

72% agree that if AI helps them work faster, more is expected of them, yet only 57% say it’s clear when AI should and shouldn’t be used at work.

Half the workforce is uncomfortable with AI 

49% of employees have felt uncomfortable about how AI tools are being used at work, suggesting questions about appropriate use are still unresolved.

The skills gap is the standout risk 

Only 19% believe their employer is doing very well at keeping skills relevant for AI-driven change. Just 29% are very confident their skills will matter in two years.

Burnout is climbing 

Burnout has risen to 44% (up from 39%). Presenteeism is up, with 41% arriving to work feeling unwell. 

Financial pressure remains 

40% of employees say their income doesn’t meet their needs, including 12% who say they are nowhere near meeting their financial needs.

How HR leaders can use the report:

• Benchmark your organisation against real Australian workforce data.
• Understand where AI anxiety is creating engagement and retention risk.
• Build the case for reskilling investment and AI governance.
• Identify the wellbeing and financial signals your workforce is sending right now.

Read the H1 2026 Employee Sentiment Index Report

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