Mon | Dec 16, 2024

How many jobs are being created in the green economy?

LinkedIn’s new report has the answers

Published:Monday | December 16, 2024 | 12:10 AMRyan Taylor/Guest Columnist
Oladapo Adekunle, an engineer with Rensource Energy, installs solar panels on a roof of a house in Lagos, Nigeria.
Oladapo Adekunle, an engineer with Rensource Energy, installs solar panels on a roof of a house in Lagos, Nigeria.

EARTHDAY.ORG launched an initiative urging businesses to support climate education as a key driver for the green economy. This effort, backed up by a new report from LinkedIn titled 2024 Global Green Skills Report, underscores the urgent need for green skills to address environmental challenges and drive global economic growth.

“This is the reality, not make-believe; if you are looking for a new career or your children are planning theirs, make sure you have green skills on your resume because that is what businesses are looking for,” said Aidan Charron, associate director, Global Earth Day, EARTHDAY.ORG.

Using real-time data on employment and skills for over a billion users worldwide, LinkedIn’s report arrived at this shocking conclusion: the green skilled workforce is not keeping up with green job growth.

“Roughly half of jobs in the 2050 green economy will lack qualified candidates if we don’t focus on strategic, expansive upskilling,” according to LinkedIn.

This skills gap creates significant opportunity—workers with green skills have a 54.6 per cent higher hiring rate globally and an 80.3 per cent higher rate in the US compared to other workers.

WHAT ARE GREEN SKILLS?

Green skills span technical knowledge like renewable energy technologies, waste management, and utilities, alongside broader areas like infrastructure, marketing, and financial services. For example, bankers may assess environmental risks in lending, while marketers might promote products like geothermal energy. These skills are vital across all industries.

THE GROWING GAP IN SUPPLY AND DEMAND

Green talent demand rose by 11.6 per cent last year, while supply increased by only 5.6 per cent. By 2030, one in five green jobs could go unfilled, threatening the green economy’s transition. EARTHDAY.ORG has been campaigning to support climate education, a critical component of green skilling, in individual nation’s nationally determined contributions (NDCs), under the Paris Agreement.

LinkedIn reports that renewable energy jobs are growing worldwide, while fossil fuel jobs are in decline. In the US, renewable energy hiring is 120 per cent higher than fossil fuel hiring. However, renewables companies face talent shortages, particularly in utilities, where 28 per cent of workers already have green skills. Utility sectors urgently need more skilled workers to upgrade grids, expand capacity, and withstand climate-driven extreme weather.

EXPANDING GREEN SKILLS ACROSS INDUSTRIES

LinkedIn highlights surging demand for green workers in manufacturing, construction, and technology.

• Manufacturing: Renewable energy expansion is expected to create 14 million manufacturing jobs, doubling the workforce. Over the past year, green talent in manufacturing rose by seven per cent.

• Construction: With 20.6 per cent of postings requiring green skills, this sector is adding green talent at a 2.2 per cent annual rate—insufficient to meet demand for low-carbon concrete, energy-efficient buildings, and decarbonised materials. In the US, building performance assessments skyrocketed 80 times in 2024.

• Technology: Green job postings in tech rose 60 per cent in 2024. Sustainability was a fast-growing skill globally, with increases in Brazil (61.9 per cent), India (56.4 per cent), and the US (46.9 per cent).

Even fossil fuel companies require green skills, such as ecosystem and pollution management, underscoring the universal need for green expertise.

GEN Z, WOMEN, AND EQUITY

Gen Z views climate transition as both a challenge and an opportunity. While 61 per cent of Gen Zers aspire to green jobs within five years, only 10 per cent are expected to have green skills by 2030. This is alarming given that Gen Z will comprise one-third of the workforce by then.

Yet, access to green skills training is limited. Only 30 per cent of Gen Z workers report employer-provided training, and in the US, this drops to 25 per cent. Kathleen Rogers, president of EARTHDAY.ORG, stresses the urgency: “We have to skill-up Generation Z now. Whether motivated by job security, growing industries, or saving the planet, we should do it regardless.”

Women also face barriers in the green workforce, with only 10 per cent having at least one green skill compared to 17 per cent of men. Closing this gap requires targeted support from education systems, employers, and government training programmes.

POLICY AND COLLABORATION ARE KEY

Robust policies are critical to creating green jobs. Initiatives like the EU’s carbon tariff and the US Inflation Reduction Act spur demand, but partnerships across employers, schools, and training providers are essential to supply skilled workers.

EARTHDAY.ORG advocates for integrating climate education into all subjects, ensuring students graduate prepared to contribute to a green economy. LinkedIn likens this economic shift to the digital or industrial revolutions, requiring a transformative approach to education and workforce development.

THE WAY FORWARD

The green economy offers a “win-win” opportunity. “The renewable energy sector is growing rapidly, creating millions of new jobs, driving profits. It also happens to mitigate the climate crisis, doesn’t pollute so it’s better for human health and it ensures that nations that invest in clean energy support national security too. Because it frees them from their dependency on fossil fuel imports and market fluctuations in oil prices,” said Charron.

Ryan Taylor is corporate liaison, climate education, at EARTHDAY.ORG. Send feedback to [email protected]