Australia ranks 8th globally for life-work balance and leads with highest minimum wage: New remote study

The annual Global Life-Work Balance Index reveals the best and worst countries for life-work balance around the world. It investigates everything from average work hours to public safety to determine where the healthiest life-work culture is in 2025. 

 

In early childhood education and care (ECEC), where professional demands are high and workforce wellbeing is a critical concern, national indicators like life-work balance offer valuable context. A newly released international report sheds light on how Australia compares globally and what it might signal for those working in the ECEC sector.

 

The Global Life-Work Balance Index 2025, published by Remote, ranks Australia eighth out of the world’s top 60 GDP nations for overall life-work balance. Notably, Australia also leads globally with the highest minimum wage, a finding that adds weight to sector-wide conversations about remuneration, conditions, and sustainable career pathways in early learning.

 

The annual Index assesses countries across key indicators such as annual leave, maternity and sick pay, healthcare, public safety, working hours, and inclusivity. Australia achieved a score of 72.1 out of 100 outperforming many European countries and the United States, and placing second in the Asia–Pacific region, behind only New Zealand.

 

The annual Global Life-Work Balance Index reveals the best and worst countries for life-work balance around the world. It investigates everything from average work hours to public safety to determine where the healthiest life-work culture is in 2025. 

 

Sydney, Australia – 18 June 2025: The Global Life-Work Balance Index 2025 is the third annual index report published by Remote, the global authority on remote employment. The company has ranked the top 60 GDP nations based on several workplace factors like statutory annual leave, paid maternity leave, sick leave, healthcare, public safety, public happiness, LGBTQ+ inclusivity, and average work hours per employee. 

 

Australia retained its eighth spot for the second consecutive year, in the 2025 Global Life-Work Balance Index, outperforming many European nations and the United States.

 

The 2025 Index assesses each country using a ‘life-work balance score’ out of 100 and Australia scored 72.1. The United States ranks near the bottom with a score of just 31.17, while New Zealand tops the list for the third year in a row, scoring 86.87. Australia also boasts the highest minimum wage of US$18.12, followed by New Zealand and the United Kingdom at US$16.47 and US$15.67 respectively.

 

Key global findings: 

 

• New Zealand tops Remote’s Index once again thanks to a high minimum wage,  generous annual and maternity leave entitlements, and high overall happiness scores.

 

• Australia ranked second in the APAC region for life-work balance, with Singapore following closely in third place.

 

While Australia trails behind New Zealand in most categories, it boasts the highest minimum wage of any country studied (US$18.12). Australians also tend to work short hours (32.29 per week on average) compared to most other countries.

 

Singapore improved by one position to rank third of the APAC countries, owing partly to an increase in statutory maternity leave. The city-state also ranks fourth highest of the APAC countries on the happiness index. 

 

• Notable riser: Malaysia increased its ranking by 20 places compared to 2024. It now ranks fourth of the APAC countries, where previously it stood at 11th. Improved statutory maternity leave is one of the reasons for Malaysia’s improved performance. Still, compared to the other APAC countries, Malaysians tend to work longer hours (44.70 per week on average), and are the least LGBTQ+ inclusive. 

 

• European countries continue to rank consistently well. 16 European nations appear in the top 20, while Ireland, Belgium, Germany, and Norway round out the top five. 

 

• The United States has dropped even further down the list. The country with the largest economy ranks 59th out of the top 60 GDP nations for life-work balance. 

 

Commenting on the newly released index and the importance of life-work balance, Chief People Officer at Remote, Barbara Matthews, “By promoting life-work balance, we acknowledge that work is a means to support life and not its defining purpose. At Remote, our Global Life-Work Balance study is more than just a comparative table. It’s a reflection of our core belief that people perform their best when they’re trusted to live fully outside of work, not just within it. We advocate for life-work balance because flexibility and wellbeing are more than just perks. Our mission is to build a future where global talent thrives not just professionally, but personally too.”

 

Below is a snapshot of the Top 10 countries:

 

1. New Zealand — 86.87 

 

Holding its place at the top of Remote’s life-work balance index for the third year in a row, New Zealand has significantly improved its score by over six points compared to the previous year. The country doesn’t rank number one for every factor assessed, but scores consistently well across the study, particularly in areas like statutory annual leave, public happiness, safety, and minimum wage (where it is ranked the second-highest of all countries assessed). 

 

2. Ireland — 81.17 

 

Ireland retains its position two ranking in 2025, making it the highest performing European nation for life-work balance. The Emerald Isle scores well across the board, with a relatively high minimum wage and a generous maternity leave policy compared to many other countries (with 26 weeks off at 70% of income payment rate). The work culture in Ireland tends to favor a balance between hard work and a real sense of community and camaraderie. 

 

3. Belgium — 75.91 

 

Belgium scores well across several metrics, including statutory sick pay and maternity payment rate, while the country’s happiness rating is among the highest in Europe at 6.91/10. Belgians also work relatively short working weeks (34.1 hours) on average compared to many of their overseas counterparts. Notably, it has one of the highest minimum wages in Europe, topped only by the United Kingdom and Germany. 

 

4. Germany — 74.65

 

Rising two places from the 2024 ranking, Germany climbs to the top five on Remote’s 2025 Global Life Work Balance Index. Several factors have contributed to Germany’s improved score in 2025, but a key change is an increase in statutory sick pay, especially for parents. Additionally, there’s been a slight increase in overall happiness and a decrease in the average hours worked per week, while the country’s LGBTQ+ inclusivity has improved since 2024, too. 

 

5. Norway — 74.20

 

Norway has seen the biggest improvement among countries ranking in the top ten. The nation has moved from ninth in 2024 to fifth in 2025. This improvement is mainly due to an extension of parental leave options (Norway has the most generous parental leave policy of all countries studied), but we’ve also seen a slight drop in working hours. At 32.6 hours, Norway has one of the shortest work weeks in Europe on average. 

 

6. Denmark — 73.76 

 

Denmark’s rank has decreased by three places in 2025, having tied for third in the previous report. But despite dropping out of the top three this year, the country remains synonymous with a high quality of life, second only to Finland for public happiness levels. It also has one of the shortest average working weeks (32.5 hours) and is considered one of the safest and most LGBTQ+-friendly countries. 

 

7. Canada — 73.46

 

Canada may have fallen two places this year, but it remains the only country in the Americas to feature in the top ten for life-work balance (a stark contrast to neighboring America). Canada ranks among the world’s top countries for statutory sick pay, while it also performs well when it comes to public safety and LGBTQ+ inclusivity. Plus, one thing it has that the U.S. doesn’t is a universal government-funded healthcare system. 

 

8. Australia — 72.10 

 

While Australia trails behind its Antipodean neighbor New Zealand in most categories, it boasts the highest minimum wage of any country we studied (the equivalent of $18.12 in U.S. dollars). Perhaps unsurprisingly for a country with such a relaxed outlook (and year-round sunshine, too), Australians tend to work short hours (32.29 per week) compared to most other countries. 

 

9. Spain — 71.94 

 

Spain is considered the second-most LGBTQ+-friendly country of the 60 analysed. Spanish workers also enjoy a generous annual leave entitlement and maternity payment contribution. However, Spain’s public happiness rating is perhaps surprisingly low compared to other European nations, it largely performs well across the factors measured. 

 

10. Finland — 70.86 

 

Finland rounds out the top ten, having dropped three places compared to 2024. It hangs on in the top ten due to being the happiest country in the world, alongside having a generous statutory annual leave policy, a high rate of sick pay, and a relatively short average working week. 

 

Data swings compared to 2024 

 

Some countries have made significant strides in improving their life-work balance score in 2025, while others have faced challenges that have led to a decline compared to 2024. 

 

• Notable riser: Argentina is 2025’s notable riser, having increased its ranking by six places compared to 2024. The South American nation has moved from 19th to 14th, thanks to an increase in minimum wage (effective January 2025) and a boost in overall public happiness. Argentina’s life-work balance score has increased by 7.09 points to 68.35 out of 100. 

 

• Dropping further behind: The United States now has the second-worst life-work balance score on Remote’s index. The U.S. has fallen to 59th out of 60, having placed 55th last year and 53rd in 2023. The continued drop in ranking is due to lower scores in public safety and LGBTQ+ inclusivity. 

 

• Bouncing back: The United Kingdom, after dropping to 15th in 2024, has increased its life-work balance score by 4.56 points in 2025. It now ranks just outside the top ten, with an improvement due to an increase in minimum wage combined with a reduction in average hours worked.  

 

Countries with significant increases in their overall ‘life-work balance’ score likely saw improvement across multiple indices such as economic growth, social welfare, healthcare, education, and environmental sustainability. Meanwhile, countries that experienced a decline in their overall ‘life-work balance’ may have plateaued compared to other countries’ progression, or faced challenges in one or more of the noted factors, including economic downturn, political instability, social unrest, and environmental degradation.

 

Appendix

 

 

Campaign methodology: 

 

As leaders in global HR and employment, Remote conducts an annual index data analysis of the world’s top 60 GDP countries to discover which global player offers employees the best life-work balance. The top 60 GDP countries were selected as a global sample.

 

The study reviewed the following indicators:

 

• Statutory annual leave (total days of paid leave, including public holidays)*
• Minimum statutory sick pay (percent of wage, or a flat amount)*
• Statutory maternity leave (weeks paid)*
• Statutory maternity leave payment rate (percent of wage)* 
• Minimum wage (USD per hour)*
• Healthcare status 
• Happiness index score (1-10, 10 being highest)
• Average hours per week per employed person
• LGBTQ+ Inclusivity (0-100, 100 being highest to reflect the Legal Index scores the legal rights and freedoms LGBTQ+ people have, while the Public Opinion Index scores how the general public feels in each region)
• Safety: Global Peace Index (1-4, lower is better)

 

The goal is to accurately represent each country’s life-work balance, reframing the familiar concept of “work-life balance” to showcase how businesses in each country are looking after the lives of their employees and putting life before work. 

 

The metrics were adjusted with index weights to reflect their relative importance, giving each country an overall score out of 100. All data points are ranked highest to lowest, apart from the healthcare rating, which is ranked out of five (with one being the best), and average hours worked per week and the safety score, which are both ranked from lowest to best. 

 

The data was pulled and analysed in April 2025.

 

(*) When a range was offered, the minimum amount was listed.

 

Access the full report here.