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Eco-innovation and (green) employment: A task-based approach to measuring the composition of work in firms

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  • Elliott, Robert J.R.
  • Kuai, Wenjing
  • Maddison, David
  • Ozgen, Ceren

Abstract

This paper examines how different types of eco-innovation activities affect firms’ employment patterns. Using a linked employer–employee administrative dataset for the Netherlands we take an individual level task-based approach to differentiate between green and non-green jobs within firms. Our results show that while eco-innovation does not impact overall employment, eco-product innovation does lead to a 19.72% increase in green jobs. The growth in green jobs mainly comes from a compositional shift towards a small yet significant increase in green workers and reduction in non-green workers. Further analysis suggests that firms that voluntarily undertake eco-innovation create more green jobs but also that it is subsidy-driven policies rather than stricter regulations that drives the increase in green employment.

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  • Elliott, Robert J.R. & Kuai, Wenjing & Maddison, David & Ozgen, Ceren, 2024. "Eco-innovation and (green) employment: A task-based approach to measuring the composition of work in firms," Journal of Environmental Economics and Management, Elsevier, vol. 127(C).
    • Handle: RePEc:eee:jeeman:v:127:y:2024:i:c:s0095069624000895
    DOI: 10.1016/j.jeem.2024.103015
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    More about this item

    Keywords

    Eco-innovation; Green jobs; Subsidies; Firms; Green tasks;
    All these keywords.

    JEL classification:

    • Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities

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