Major environmental organizations such as the Sierra Club have recently popularized the concept of a “just energy transition” – a framework for focusing on equity and accountability in the shift away from fossil fuels toward a clean energy economy. One of the major challenges facing a just energy transition is providing pathways for former fossil fuel workers to shift into well-paying, permanent jobs. A popular proposal among policy experts for tackling this complex problem is to encourage former fossil fuel workers to transition into clean energy jobs. Research from academic and advocacy organizations alike predicts that the upsurge in clean energy/renewables sector jobs will more than compensate for the number of lost fossil fuel jobs. However, this research sometimes overlooks the quality of new jobs in terms of pay and job security—an important consideration that is not guaranteed under a status quo shift toward renewables.
A 2020 report from Indiana University’s Public Policy Institute examines the impacts of the ongoing energy transition in Indiana and includes a breakdown of coal and clean energy jobs in the United States by employment type or sector in 2018. Most coal jobs fall under mining, utilities, and wholesale sectors and can be qualified as permanent, blue-collar work. In contrast, most employment opportunities available in the renewables industry are temporary construction jobs. This discrepancy—in terms of wages, benefits, and job security—between the quality of jobs lost versus jobs gained during the transition presents a major policy challenge for stakeholders to navigate.
Coal mining jobs are generally well-paying, union jobs that have played central roles in their respective communities for a long time. For workers in these jobs, switching to a job in the renewables sector often means taking pay cuts for temporary, non-union construction jobs requiring extensive travel outside their communities—sometimes even across state lines. Simply focusing on the number of jobs gained and ignoring the decline in quality of life associated with such job transitions undermines the principles of equity and accountability that underlie the vision of a just transition. Policies and programs directing the decarbonization of the energy sector must better serve impacted communities and their local economies. For instance, policies/programs could focus more on sustained investment in impacted communities that leads to resilient, diversified local economies upon which communities can fully depend. Achieving a just transition by addressing both climate change and socioeconomic inequalities requires more thoughtful policymaking.
