Global employment and skill level requirements for ‘Post-Carbon Europe’

Global employment and skill level requirements for ‘Post-Carbon Europe’

2024 | Martin Černý, Martin Bruckner, Jan Weinzettel, Kirsten Wiebe, Christian Kimmich, Christian Kerschner, Klaus Hubacek
The article "Global Employment and Skill Level Requirements for ‘Post-Carbon Europe’" by Černý et al. (2024) examines the impact of transitioning to 100% renewable energy on employment and skill levels in the electricity sector within the European Union (EU27 + UK). The study uses a multiregional input-output (MRIO) model to quantify the employment requirements associated with this transition, comparing a 100% renewables scenario with a reference scenario representing current energy and climate commitments. Key findings include: 1. **Employment Requirements**: - The 100% renewables scenario significantly increases labor demand within the EU27 + UK, followed by Asia, Australia, and Latin America. - The transition will particularly increase demand for medium- and high-skilled labor, while low-skilled labor may face the largest gap in availability. - The construction and manufacturing sectors will see significant but temporary job gains. 2. **Skill Level and Gender**: - High-skilled males are expected to experience the largest increase in employment, followed by medium-skilled males and high-skilled females. - Low-skilled females are the least growing category in both scenarios. - The transition will affect men more than women in most sectors. 3. **Sectoral Impact**: - Sectors with strong links to capital formation, such as manufacturing and construction, will see the highest labor demand initially, peaking around 2025-2030. - The electricity sector itself will experience the highest labor demand, with medium-skilled labor being the most in demand. 4. **Labor Intensity**: - The 100% renewables scenario has higher labor intensity compared to the reference scenario, particularly in operation and maintenance (O&M) activities. - However, by 2050, both scenarios settle at similar levels, suggesting that the transition may not be as labor-intensive as initially thought. 5. **Discussion**: - The study highlights the need for informed labor and education policies to address potential bottlenecks in the transition to 100% renewable energy. - It provides insights into the geographic distribution of labor demand and the skill levels required, which can inform policy decisions and workforce planning. Overall, the study underscores the importance of a well-coordinated approach to ensure a smooth transition to a post-carbon economy, addressing both labor market adjustments and skill development.The article "Global Employment and Skill Level Requirements for ‘Post-Carbon Europe’" by Černý et al. (2024) examines the impact of transitioning to 100% renewable energy on employment and skill levels in the electricity sector within the European Union (EU27 + UK). The study uses a multiregional input-output (MRIO) model to quantify the employment requirements associated with this transition, comparing a 100% renewables scenario with a reference scenario representing current energy and climate commitments. Key findings include: 1. **Employment Requirements**: - The 100% renewables scenario significantly increases labor demand within the EU27 + UK, followed by Asia, Australia, and Latin America. - The transition will particularly increase demand for medium- and high-skilled labor, while low-skilled labor may face the largest gap in availability. - The construction and manufacturing sectors will see significant but temporary job gains. 2. **Skill Level and Gender**: - High-skilled males are expected to experience the largest increase in employment, followed by medium-skilled males and high-skilled females. - Low-skilled females are the least growing category in both scenarios. - The transition will affect men more than women in most sectors. 3. **Sectoral Impact**: - Sectors with strong links to capital formation, such as manufacturing and construction, will see the highest labor demand initially, peaking around 2025-2030. - The electricity sector itself will experience the highest labor demand, with medium-skilled labor being the most in demand. 4. **Labor Intensity**: - The 100% renewables scenario has higher labor intensity compared to the reference scenario, particularly in operation and maintenance (O&M) activities. - However, by 2050, both scenarios settle at similar levels, suggesting that the transition may not be as labor-intensive as initially thought. 5. **Discussion**: - The study highlights the need for informed labor and education policies to address potential bottlenecks in the transition to 100% renewable energy. - It provides insights into the geographic distribution of labor demand and the skill levels required, which can inform policy decisions and workforce planning. Overall, the study underscores the importance of a well-coordinated approach to ensure a smooth transition to a post-carbon economy, addressing both labor market adjustments and skill development.
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