The European Parliament has adopted, by 349 votes to 142 with 65 abstentions, a resolution on job creation – the just transition and impact investments.
The resolution stressed that a well-managed and sufficiently supported ecological transition will result in a large increase in economic activities linked to renewable energies, energy efficiency and the circular economy. The green transition will create up to 2 million jobs in the EU in the short and medium term, and up to 10 million additional jobs as the transition advances. For each investment of EUR 1 million in the energy renovation of a building, an average of 18 jobs should be created in the EU. According to studies, the circular economy could contribute to the creation of around 700 jobs in the EU by 2030.
Green economy and employment opportunities on the labour market
Members stressed that a transition to sustainable, renewable and circular economies and societies has the potential to create a significant number of new jobs and to transform existing employment into green and sustainable jobs in most sectors. The green transition has a significant potential to create high-quality jobs at European, national, regional and local level, which are difficult to relocate and which will help to strengthen European sovereignty and competitiveness.
The resolution highlights the importance of the necessary investments and streamlined procedures, as well as the involvement of small and medium-sized enterprises (SMEs). EU cohesion policy funds are essential to support the transition to climate neutrality while ensuring quality employment opportunities in the regions.
Member States are called on to develop regional strategies to prevent structural unemployment and the deterioration of social cohesion. EU regions should be supported to retain and attract people through investments in local and regional infrastructure and education, training and adult learning. In this context, the importance of the efficient and targeted deployment of EU funds, in particular Cohesion programmes, the ESF+, the Just Transition Fund and the Recovery and Resilience Facility (RRF) is stressed.
Conceptual guidelines should be developed with a view to establishing a common EU definition of what constitutes a quality green job.
Decent work for a just transition
The resolution stressed that the transition must benefit both current workers, who are undergoing significant changes in their work tasks, and displaced workers, who are transitioning to new jobs, by ensuring decent working conditions for all. The green transition of the job market should go hand in hand with upward social convergence towards better working conditions, more stable employment and attractive career paths and quality jobs, including stronger collective bargaining, decent wages and good physical and mental health, not least through health and safety at work.
The resolution highlighted the need to modernise EU occupational safety and health (OSH) rules in the context of the green and digital transitions, taking into account specific risks in new sectors, and to tackle the unequal vulnerability and exposure to risks deriving from climate change and environmental degradation such us increased ambient temperature, air pollution and extreme weather events.
The Commission is called on to enforce the social clause in the existing EU Public Procurement Directive. Members also insisted on the need to invest significantly in people and to offer quality, inclusive and subsidised education and training in areas linked to skills and competences needs that are identified in labour markets and future-oriented sectors.
Public policy coherence to fully develop the job potential of the green transition
Members stressed that environmental, social and employment legislation must be approached in a holistic manner to ensure a just transition.
The Commission is called on to:
- ensure diligent and comprehensive impact assessments for all proposed legislation;
- reinforce the European instrument for temporary Support to mitigate Unemployment Risks in an Emergency (SURE) to support short-time work schemes, workers’ income and workers who would be temporarily laid off in the context of the green transition;
- issue country-specific recommendations that contribute to job creation, higher employment and smaller ecological footprints, including the phasing out of counterproductive subsidies competing with green and social investments.
The resolution called for the adoption of just transition plans to be negotiated by the social partners at sectoral and company level, particularly those affected by the green transition, with due consideration for the situation of SMEs and microenterprises.
Investing in sustainable job creation: the role of investment
Parliament recognised the importance of facilitating access to funding for public and private companies and organisations addressing social, environmental and educational needs in order to address skills gaps with the explicit expectation of a measurable social and environmental return, including on employment and quality job creation. In this regard, the Commission and the Member States are called on to promote an enabling environment and support the role of cooperatives and the social economy in the just transition, in order to generate decent work, productive employment and improved living conditions for all.