Sustainable development, decent work and green jobs Conclusions of tripartite discussion at International Labour Conference, June, 2013 Lessons for the MENA region Christine Hofmann, ILO Cairo

labour market dynamics is critical Introduction Two defining challenges of the 21st century: Achieving environmental sustainability: Overuse natural resource, pollution, water scarcity, land degradation, biodiversity, climate change Decent work for all: Unemployment, working poverty, lack of social protection Both are intimately linked Transitions to greener jobs need to be just and managed well labour market dynamics is critical Transitions will cause shifts in the volume, composition and quality of employment across sectors Affects level and distribution of income Environmental jobs created in the process must be green and decent i.e. green jobs

Background: Green Jobs and the ILO Flagship publications: Green Jobs Report I, 2008 Working towards sustainable development, 2012 Skills for green jobs, 2011 Green Jobs mainstreamed through ILO’s work: capacity building, assessments, tools, policy advice, technical cooperation General discussion at ILC, 1 year after Rio+20 UN Conference on Sustainable Development. Outcome: tripartite conclusions World of Work to formulate guidance for national initiatives www.ilo.org/greenjobs

Seizing the opportunities and managing the challenges Job creation An environmentally sustainable economy could lead to +0.5-2 % more employment i.e. 15- 60 million additional jobs More with higher investment Gains may be higher in emerging economies and developing countries than in industrialized ones Improving the quality of existing jobs Major opportunity and need for improved working conditions, skills, better OSH, and higher incomes Economic restructuring Protection of existing jobs through greening of enterprises Improving the productivity of energy and materials is an important means Particular attention required to SMEs

ILC Conclusions Strong social consensus on goals and pathways to sustainability is fundamental: Governments, employers and workers are active agents of change through social dialogue at all levels Promote fundamental principles and rights and work, including gender dimensions Anticipate impacts on employment Invest in natural resource management and env. sustainable production and consumption Design coherent policies to provide enabling environment for enterprises, workers, investors and consumers to drive transitions

Recommended key policy areas to promote green jobs and manage transition Macroeconomic and growth policies Industrial and sectoral policies Enterprise policies Skills development Occupational safety and health Social protection Active labour market policies Social dialogue and tripartism

Energy sector: Working towards sustainable development (ILO, 2012) Shift to low-carbon energy supply will have important net positive effects on employment and help address energy poverty in rural communities Growth of the renewable energy industry has supplemented jobs in the fossil fuel sector, not replaced them Job losses in the fossil fuel industry mainly due to rising mechanization and labour productivity Renewable energy jobs are of better quality than in fossil fuel industry (if deployment is gradual)

Findings from Egypt: Skills for green jobs ILO/GIZ Conference: Skills for green jobs. The case of composting and renewable energy 19 November 2012 Lack of coordination: No institutional mechanism to link skills and environmental policies No systematic data collection on skills for green jobs Skills forecasting mechanisms do not systematically analyse skills for green jobs Organizations dealing with the environment are well aware of skills requirements Formal education and training system has not mainstreamed environmental concerns and related skills

Findings from Egypt cont. Findings continued Skills response scattered and mainly by enterprises on-the-job or variety of specialized providers and centres of excellence Missing incentives: Energy subsidies (e.g. for green building) Some skill and occupational requirements: Environmental auditor, energy and clean production advisors, bio-fuels operator Strengthen networks, collaboration and cross-fertilization between actors Start dialogue on needed skills responses today

Policy coherence for green jobs in France Study by Boston Consulting Group (2009): green growth in France could secure 600 000 jobs by 2020 Grenelle de l’Environnement 5 parties: government, unions, employers, NGOs and local authorities. Social dialogue!! National Strategy for Sustainable Development 2009-2012 Training is included!! Mobilization Plan for Green Jobs Mobilization of the State Mobilization of industries Mobilization of territories 11 Sectoral Committees: analysis on skills needs in the green economy . France – a stand alone case. A comprehensive policy framework Mobilisation of the State (national level) Identify quantity and quality of skills for GJs, inlc. Observatory (tbc) Promote these trades Adjust training provision, incl. that for teachers and trainers Mobilisation of industries and businesses Developing green competencies and portable skills Access for disadvantaged groups Green enterprise creation Mobilisation of territories part of preparation of regional plans for development of training created by Law on Career Guidance and LLL of June 2011

ILO Resources Think pieces Are green jobs decent? Think pieces Research: e.g. Green building sector in South Africa, Global impact of e-waste, Skill needs in green building and renewable energy Assessment tools for green jobs potential, sector assessments, Training manuals for workers Forthcoming: - A step-by-step guide on identifying skill needs for green jobs - International Conference for Labour Statisticians to discuss Green Jobs Definition A number of forecasts have indicated that the overall impact on employment of the transition to a low-carbon economy will be positive. This assessment is based on two main assumptions: (1)That strengthened regulation to combat climate change will lead to expanded production of environmental goods and services; (2) That many green sectors tend to be more labour intensive than ‘traditional’ fossil fuel based industries. (i.e. that investments in environment-friendly economic activities support more jobs per unit of expenditure) Investment in greener economic activities generates jobs not only directly, for example in solar panel production, installation and maintenance, or in hybrid car manufacturing, but also indirectly in the supply chain – for instance, in steel production for wind turbines. In addition, investment in environment-friendly industries generates induced employment in the form of jobs generated by consumer spending. Although new job opportunities arising from new low-carbon markets are estimated to offset the unemployment, those who will get green jobs are not necessarily those who will have lost their jobs. Retraining becomes crucial for the success to smooth and just transition to the low-carbon and green economy. Low-skilled people are especially vulnerable as it will be difficult to compete for new jobs. Disadvantaged groups on the labour market need targeted assistance. Portable skills become of a special value as they increase adaptation of workers and their occupational mobility.

Thank you for your attention The reports are available at: http://www.ilo.org/skills and http://www.ilo.org/cairo