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Nordic Toolbox for a Just Green Transition

Suggestions from workers in carbon-heavy industries for a just green transition

Representatives of Nordic labour unions make the following suggestions to policymakers at national levels of governance to ensure that the green transition is just:

    1: Support further research on the employment effects and skills needs of the green transition

    There is currently not enough information on how the green transition will affect employment at sectoral and regional levels in the Nordic countries. There is also a lack of knowledge about which skills and expertise will be required in a greener economy. In order to prepare for employment effects and support employees who are most affected, more research is needed to study these questions.

    2: Collaborate with social partners to develop sectoral roadmaps

    Roadmaps can estimate greenhouse gas emissions for each given sector and describe how to reduce emissions to meet climate goals. Such roadmaps have already been developed in several Nordic countries (Ohrling, 2020). Nonetheless, they often do not assess employment impacts or skills needs. This step is important to support future skills supply and develop educational programmes that train workers for new technologies and new tasks.
      The labour force will need to get the right education and skills to take green jobs. So, there are two challenges: the regional question: where will the jobs grow? And what skills will or won’t be needed in the future?

      - Labour union representative

      3: Develop and invest in reskilling programmes

      Measures and investments are needed to upskill and reskill workers and employees to make them employable in a greener economy. Low-skilled employees and people with weak labour market attachment need support to obtain qualifications specific to green sector jobs. Nordic governments should acknowledge their important role in this process, develop and invest in adult education programmes that allow for continuous skills development, and work in collaboration with the social partners, employers, and the educational sector. Investing in a skilled labour force will not only facilitate the transition itself, but it will also be a key component to ensure fairness and allow workers and employees to benefit from new job opportunities.
      There will be losers and winners in the green transition. But no one sees it because we don’t have information by sector. Politicians don’t get prepared, or allocate resources to reskill people.

      - Labour union representative

      4: Embrace a more positive (but realistic) narrative of the green transition

      The green transition will bring many benefits and likely improve the quality of life for people in the Nordic Region. The advantages of the green transition should be better communicated to the public. What is a green and sustainable society about? How will people experience life in the Nordic Region after a successful green transition? People should also be given the chance to co-create such a narrative and become part of the process.

        5: Focus on the distributional impacts of taxes and subsidies

        Government subsidies and funding mechanisms can play a big role in promoting the green transition – for example by supporting green innovation, accelerating the development of green products or investing in green infrastructure. Government funding can also help to stimulate household demand for sustainable products such as electric vehicles and solar panels. Similarly, different types of environmental taxes can discourage the consumption of specific products and make production more expensive. 
        The use of government subsidies and taxes should be carefully targeted. A key goal should be to move away from subsidising fossil fuel and instead supporting sustainable and green choices. In addition, a focus should be placed on supporting vulnerable groups and households as well as regions which risk to suffer adverse consequences during the green transition.

        Views from representatives of the labour market
        Nordregio I www.nordregio.org/publications