Job Creation and Local Economic Development 2023

Bridging the Great Green Divide

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The green transition is changing jobs, skills, and local economies. It poses new challenges but also opportunities, both of which will differ across places within countries. This report, Job Creation and Local Economic Development 2023: Bridging the Great Green Divide, provides novel evidence on those risks and opportunities across regions in 30 OECD countries. It examines the geography of green-task and polluting jobs and examines the impact of the green transition on gender and socioeconomic inequality by identifying the characteristics of workers in those jobs. Furthermore, the report tracks the progress regions have made in greening their labour market over the past decade. The report provides actionable policy recommendations that can help deliver a green and just transition. It looks at past and other ongoing labour market transitions and identifies local success drivers that can help communities prepare for and manage the impact of the green transition. Finally, it points out actions for ramping up and adapting local skills development systems to meet the demands of the green transition and equip their workforce with the right skills for the future.


The green transition and jobs: what do we know?

This chapter provides an overview of the concept of green jobs used in this report. It describes the evidence of the effects of green policies on the economy, including the labour market. It reviews and explains the main approaches commonly used to define green jobs and describes their advantages, caveats, and limitations. Finally, it describes how the share of green jobs can be estimated at the regional level to shed light on the green transition’s impact on local labour markets and to inform policy.


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