The future of employment in green and digital transitions in response to the escalating impacts of climate change and expanding opportunities of the digital revolution, economies are ramping up investments in green and digital transitions. These transformative shifts offer significant potential to driving large-scale job creation and fostering sustainable economic growth.
According to an International Labour Organization (ILO) brief, investments in renewable energy and energy efficiency to achieve net-zero carbon emissions by 2050 are expected to generate 37.2 million more jobs than a business-as-usual scenario. Additionally, investments aimed at universal broadband coverage by 2023, are projected to create 23.5 million more jobs.
The Asia-Pacific region is expected to experience the most significant gains, particularly from green investments.
An estimated 26.3 million new jobs will account for 70 per cent of the total global gains.
The digital transition will primarily drive employment growth in the distribution, retail, hospitality, and catering sectors, while the green transition will notably boost job creation in construction and manufacturing sectors.
Strong employment creation potential exists for youth, especially in middle-income countries. The role of Technical and Vocational Education and Training (TVET) would be crucial in equipping young workers with Population, Labour Force and Employment the necessary skills to thrive in the evolving green and digital economies.
However, gender disparities in the benefits of these transitions will persist. Women are significantly less likely to benefit from the newly created employment opportunities, as the sectors expanding as a result of these transitions are predominantly male-dominated.
Estimates suggest that, compared to men, the increase in female employment share from digital investments will be 30 percent points lower and from green investments 46 percent points lower.
While the green and digital transitions offer significant employment potential, strategic, gender-sensitive policies will be necessary to ensure that the benefits are equitably distributed and that women are not left behind in the workforce of the future.
Key actions should include enhancing women’s access to digital skills and STEM training, introducing incentives for recruitment, retention, and advancement of women in maledominated sectors, and promoting inclusive workplace cultures that mitigate occupational segregation.
As highlighted in this chapter, the federal and provincial governments are taking various measures to equip Pakistan’s youth for future, including young women, ensuring they are prepared for the opportunities arising from the country’s green and digital transitions.
Overseas Employment Expatriate Pakistani workers play a crucial role by sending much needed remittances that majorly contribute to capital inflows into the country. These remittances serve as a vital source of income for many households in Pakistan, contributing to poverty alleviation, improving living standards, and stimulating consumption.