Effects of the green transition on labour markets in Finland

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School of Business | Master's thesis
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Date

2024

Department

Taloustieteen laitos

Major/Subject

Mcode

Degree programme

Economics

Language

en

Pages

59

Series

Abstract

Investments supporting the green transition have a key role in achieving the decarbonization of the Finnish economy. In 2023, over 200 green investment projects estimated to be worth more than 140 billion euros were in the pipeline across Finland to help achieve climate goals. Fundamental changes in technologies and economical structures have caused changes in the demand for labour, job allocation and distributional consequences throughout history and the green transition will not be an exception. The main purpose of this thesis is to analyze the differences between green and non-green occupations and that way to assess the effects of the green transition on labour markets in Finland as new green technologies and investments are being implemented. This thesis also gives an opportunity to assess the distributive impacts that is linked to the green transition. Based on the descriptive evidence gathered in this thesis, the wages paid to green workers are higher on average compared to workers occupying non-green occupations. Regarding education, green occupations tend to have a higher share of more educated workers than in non-green occupations. When it comes to other characteristics of the workers, green jobs are more occupied by men. In terms of age, green jobs do not benefit any specific age groups. Most of these green jobs in Finland can be found in the manufacturing sector.

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Thesis advisor

Liski, Matti

Keywords

green transition, labour markets, wages, education, technological change, green jobs

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https://urn.fi/URN:NBN:fi:aalto-202405193400

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[gradu] Kauppakorkeakoulu / BIZ