Collage showing workers in different jobs, including a call center team, a remote worker on a laptop at home, a delivery driver, and a photographer

Side hustles aren’t something workers do when they’re desperate. That’s the conventional wisdom, and new data from ZipRecruiter says it’s wrong.

More than a third of U.S. workers, 35%, currently have a side hustle or hold multiple jobs, according to ZipRecruiter’s January 2026 survey of 1,500 employed workers. The number alone is notable. The breakdown behind it is what makes it worth paying attention to.

Workers earning over $150,000 a year are the most likely group to have supplemental income, at 44.8%. That outpaces workers earning under $25,000 (30.6%) and those earning $25,000 to $50,000 (30.8%). For high earners, this isn’t about covering rent. It’s about staying on an upward trajectory, building wealth, accelerating career momentum, and refusing to leave opportunity on the table.

Side hustles are also reshaping how job seekers negotiate. Workers with a second income stream are significantly more likely to reject a job offer (49% vs. 32.2%) and nearly twice as likely to say they’d walk away from a current job without another one lined up (46.9% vs. 23.6%). A financial cushion changes how people make decisions. They’re also more likely to have at least one month of savings on hand (81% vs. 69.5%).

The entry-level angle is equally telling. Nearly 6 in 10 first-time job seekers (59.2%) have a side hustle, more than double the rate of workers with prior experience (28.4%). When traditional entry-level doors aren’t opening, workers find another way in. The side hustle has become the unofficial on-ramp to the labor market for a generation that can’t get traction the conventional way.

For employers, this data raises a real question. If your highest earners are moonlighting, a paycheck alone isn’t enough to earn their full engagement. Understanding what drives your people beyond compensation is the starting point. Supporting employees in meaningful ways and building genuine empowerment in the workplace matters more than most employers want to admit.

ADP Research: Worker Sentiment Falls for the Sixth Straight Month

The numbers that show up in official employment data don’t capture how workers actually feel. ADP’s Employee Motivation and Commitment Index does, and the February 2026 reading isn’t encouraging.

The index dropped 4 points to 131, its lowest level since May 2025, capping six consecutive months of decline. The pullback was broad. Sentiment weakened in five of the 10 sectors ADP tracks and across all three worker types: knowledge workers, skilled task workers, and repetitive task workers.Manufacturing took the steepest hit, falling 18 points to 192, its largest single-month drop since August 2024. Transportation and warehousing fell for the third straight month, hitting its lowest reading since May 2025. Repetitive task workers saw the sharpest decline of any group, down 10 points to 100, the largest month-over-month drop since the series launched in March 2022. Knowledge workers declined for the fourth consecutive month.

ADP’s Dr. Mary Hayes put it plainly: workers are “pressured to stay” in jobs they’d leave if they had better options, and that pressure is dragging morale down across the board.

That connects directly to the side hustle story. Workers who feel stuck don’t disengage quietly. They find other outlets. Six months of consecutive decline is a signal that something real is happening beneath the surface of an employment market that still looks stable on paper. Employers who think strong retention numbers mean everything is fine should look more carefully at what’s actually driving employee engagement on their teams.

ADP NER Pulse: Hiring Pulled Back at the End of February

The brief stretch of hiring momentum in early February didn’t hold. For the four weeks ending February 29, 2026, U.S. private employers added an average of 9,000 jobs per week, a step back after several weeks of strengthening, according to ADP’s NER Pulse. The figures are preliminary and subject to revision.

Nine thousand jobs per week across the entire U.S. private sector is a modest number. It fits a pattern that’s become familiar: a labor market that shows signs of life, then pulls back before gaining any real traction. For employers trying to plan headcount, or for job seekers navigating a search, the inconsistency is its own challenge.

Frequently Asked Questions

Why do high-income workers have more side hustles than low-income workers?

According to ZipRecruiter’s 2026 data, workers earning over $150,000 are the most likely group to have supplemental income (44.8%), outpacing those earning under $25,000 (30.6%). For high earners, side hustles are less about financial survival and more about accelerating wealth, career momentum, and closing the gap between a strong salary and the financial position they’re aiming for.

How do side hustles affect job search leverage?

Workers with a side hustle have a meaningful financial cushion that changes how they negotiate. ZipRecruiter found that job seekers with supplemental income are far more likely to reject a job offer (49% vs. 32.2%) and nearly twice as likely to say they’d quit without another job lined up (46.9% vs. 23.6%). They’re also more likely to have at least one month of savings on hand (81% vs. 69.5%).

Why is worker sentiment declining in 2026?

ADP’s Employee Motivation and Commitment Index has fallen for six consecutive months, hitting its lowest point since May 2025. ADP’s research points to a lack of job opportunities as the primary driver. Workers who feel they have no viable alternatives are pressured to stay in their current roles, and that sense of being stuck is dragging down morale across all worker types and most major sectors.

What does declining worker sentiment mean for employers?

Six months of consecutive decline among knowledge workers, skilled task workers, and repetitive task workers signals a disengaging workforce. ADP’s data shows sentiment is weakest at the largest employers. Workers who stay because they feel they have no choice are less productive and more likely to leave the moment conditions improve. Employers who invest in genuine engagement now will be in a stronger position when the market shifts.

A closeup of Pete Newsome, looking into the camera and smiling.

About Pete Newsome

Pete Newsome is the President of 4 Corner Resources, the staffing and recruiting firm he founded in 2005. 4 Corner is a member of the American Staffing Association and TechServe Alliance and has been Clearly Rated's top-rated staffing company in Central Florida for seven consecutive years. Recent awards and recognition include being named to Forbes' Best Recruiting and Best Temporary Staffing Firms in America, Business Insider's America's Top Recruiting Firms, The Seminole 100, and The Golden 100. He hosts Cornering The Job Market, a daily show covering real-time U.S. job market data, trends, and news, and The AI Worker YouTube Channel, where he explores artificial intelligence's impact on employment and the future of work. Connect with Pete on LinkedIn