Green Jobs in the Northern Plains and Rocky Mountains

Presented by Barbara Wagner, Senior Economist,

Montana Department of Labor and Industry April 19, 2011

Results from the Consortium’s Green Jobs Survey

Today’s Topics

1. About the Consortium

2. What is a green job?

3. Why study green jobs?

4. Literature Review

5. Results

6. Conclusions and Discussion

The Northern Plains & Rocky Mountain Consortium

Why Study Green Jobs?

Businesses and workers are changing their practices to address the rising costs for energy and ecological services

– Short supply of resources

– Greater recognition of the value of ecological services

– Technology to better “measure” the use of natural resources so that property rights can be established and prices can be charged

Why Study Green Jobs?

Green jobs are not a new phenomenon, but part of the ever-developing process to make production

– more efficient, – reduce costs, and – eliminate unnecessary waste

in order to make business more profitable.

Green Jobs are Not Just a Fad

1. Increased demand for energy and other natural resources will cause price increases.

2. Consumers value ecological services.– Will demand green products– Will likely continue to use policy and regulation to keep

immediate environment clean

3. Businesses try to increase profits.– Reducing costs and unnecessary waste– Creating niche products and marketing

Green Jobs are Changing the Skill Set Needed for Jobs

Consortium aimed to answer the questions:

• What are the characteristics of green jobs?

• What are the skills needed for green jobs?

• How do we need to change our education and training systems to prepare our workers for jobs?

What is a Green Job?

Green jobs are jobs where the work activity aids in – environmental mitigation, protection, or

restoration– renewable energy generation– conservation of energy or other resources– support services for the above, like education or

certification

What is a Green Job?

Green Jobs are found in nearly every industry• Renewable Energy• Restoration / Remediation• Construction• Oil and Gas• Health Care• Hospitality• Government Regulation

The concept of green is …

• Mutable: It changes with technology or knowledge improvements.

• Relational: The job is more green than other industries, old practices, or other options.

• Nebulous: We all understand the general concept, but it is difficult to draw the line needed to quantify the number of green jobs.

Consortium’s Definition of a Green Job

A green job is one in which the work is essential to products orservices that improve energy efficiency, expand the use of renewableenergy, or support environmental sustainability, including work in:

– Renewable Energy and Alternative Fuels

– Energy Efficiency and Conservation

– Pollution, Waste, and Greenhouse Gas Management, Prevention, and Reduction

– Environmental Cleanup, Remediation, Waste Clean-up, Mitigation, or Restoration

– Sustainable Agriculture and Natural Resource Conservation

– Education, Regulation, Compliance, Public Awareness, Training, or Energy Trading

How our Definition is Different From Other Research

• Included government regulators as green jobs

• Hydroelectric dams were considered green

• Green jobs could be in EVERY industry, including• Mining (restoration experts and water pollution

mitigation) • Oil and Gas (environmental engineers and hydrologists)• Biofuels and biomass (forestry and ethanol production)

Why do we need a Survey to Count Green Jobs?

its not as easy as one might think…

Green Jobs

Oil and Gas

Environmental Engineers

Renewable Energy

Administrative support

Construction

Plumbers

Urban Bus Systems

Janitors

Literature Review

• Results in other states generally find 3 to 5% green jobs

• Survey results show higher percentages than those identifying green businesses, industries, or occupations

• Many exclude industries, such as government or mining

Most Green Jobs are found in

• Construction and Agriculture Industries

• Construction and Production Occupations

No “new” occupations – all can be categorized into existing taxonomies

Consortium Differed From Other States

• Did not exclude any industry or occupation

• Attempted to exclude green practices, such as recycling – the work had to be essential to the production of a green product

• Consistent survey and data collection throughout the consortium for comparable results

3.5% Green Jobs in Consortium States

Margin of Error for Consortium Estimate

is 0.3% at the 95% Confidence Level

Industry Share of Green JobsOther Services

3%

Other12% Professional and

Technical Services8%

Administrative and Waste Services

6%Public Administra-

tion11%

Trade and Transportation15%

Ag and Forestry3%

Manufacturing17%

Mining and Utilities3%

Construction22%

Green Percent by Industry

Other

Trade and Transportation

Public Administration

Other Services

Administrative and Waste Services

Mining and Utilities

Manufacturing

Professional and Technical Services

Ag and Forestry

Construction

0% 2% 4% 6% 8% 10% 12% 14% 16%

Percent of Each Industry that is Green

Green Jobs by Size of Employer

< 10 10 to 49 50 and Over

0%

1%

2%

3%

4%

5%

6%

7%

8%

Employees

Perc

ent G

reen

Jobs

< 10 10 to 49 50 and Over

0

10

20

30

40

50

60

70

Employees

Thou

sand

s of

Gre

en Jo

bs

Green Jobs by Occupational Category

Production Occupations 17.3%

Construction and Extraction Occupations 15.1

Installation, Maintenance, and Repair 11.5

Transportation and Material Moving 7.1

Architecture and Engineering 6.9

Life, Physical, and Social Science 5.9

Occupations with the Most Green Jobs

1 5.8% Production Workers, All Other

2 4.5 Heating, Air Conditioning, and Refrigeration Mechanics

3 2.9 Electricians

4 2.6 Laborers and Freight, Stock, and Material Movers

5 2.2 Retail Salespersons

6 2.1 Janitors and Cleaners

7 2.0 Maintenance and Repair Workers, General

8 2.0 Eligibility Interviewers, Government Programs

9 1.8 Landscaping and Groundskeeping Workers

10 1.6 Water and Liquid Waste Treatment Plant and System Operators

Most Frequently Reported Green Jobs

1 Heating, Air Conditioning, and Refrigeration Mechanics and Installers

2 Water and Liquid Waste Treatment Plant Operators

3 Production Workers, All Other

4 First Line Supervisors of Production Workers

5 Electricians

6 Maintenance and Repair Workers

7 General and Operations Managers

8 Chief Executives

9 Conservation Scientists

10 Business Operations Specialists, All Other

Interesting Occupations

Job Description as Reported Coded IntoSustainability Manager Business Operations Specialist

Alternative Fuels Field Service Technician Inspectors, Testers, and Weighers

Dust Collection System Engineer Mechanical Engineer

Efficiency Analyst (electrical power efficiency analysis for power company) Electrical Engineer

Hot Oiler (Cleans up spills at oil field) Extraction Workers, All Other

Landscape Designer (wetlands restoration) Landscape Architects

Methane Gas Collection Tech Refuse and Recyclable Material Collectors

Water Rights Technician (Government) Title Examiners

Percent of Consortium Businesses in Each Green Industry

2.3% Renewable Energy and

Alternative

Fuels

7.5% Energy Efficiency

and Conservation

2.3% Environmental Cleanup

2.3%

Pollution and Waste Prevention

2.2%

Education,

Regulation, and Trading

3.5% Sustainable Agriculture

81.9% Reported No Green Activity

Margin of Error at the 95% Confidence Level is < +/- 0.5%

Percent of Time in Green Work

0-49% 50-99% 100% Did not Report0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Percent of Time Spent in Green Work

Required Education Level

No Requirements

High School Diploma/GED

Apprenticeship/On-The-Job Training

Trade Certified

Associate or Vocational Degree

Bachelors Degree

Graduate/Professional Degree

0% 5% 10% 15% 20% 25% 30% 35%

Percent of Green Jobs

Certification and Licensure

• LEED• Water• OSHA• Pesticide Application• HVAC• Electrical• Welding• Lead Removal

• EPA/ State Environmental Agency

• Equipment Operation• Architect• Environmental

Professional• Professional Engineer• Freon

11% green jobs require some type of certification or license

Green Wages

Under $19,240

19,240 - 23,919

23,920 - 30,159

30,160 - 37,959

37,960 - 47,319

47,320 - 59,799

59,800 - 74,879

74,880 - 94,119

Over 94,120

0%

5%

10%

15%

20%

25%

Conclusions from Survey

• Green percent consistent with other research, but differs between consortium states

• Industry and occupational breakdown consistent with other states

• Some “new” occupations in sustainability manager, water treatment specialist, but all could be included in current taxonomy

Conclusions from Survey

• 18% of businesses report being in some type of green industry

• More report green activities, such as recycling, adopting energy efficient practices, etc

Conclusions from Survey

Labor Market Information Improvement Grant

• Improved the knowledge and skills of LMI researchers

• Allowed for knowledge and technology transfer between states

• Resulted in economic information about green jobs and more

FIND OUR RESEARCH AT

www.researchingthegreeneconomy.com