CEP package could bring 270.000 jobs

CEP package could bring 270.000 jobs

  • December 14, 2015
  • Rematec

The Implementation of the European Commission’s Circular Economy Package (CEP), could save €3 billion (£2.1 billion) a year and bring 270,000 people back into employment in three EU countries alone.

The figures are contained in a report from the environmental think tank Green Alliance named ‘Unemployment and the circular economy in Europe: a study of opportunities in Italy, Poland and Germany.’

The report focuses on the impact of the implementation of hoped-for circular practices included in the CEP on employment in the three countries, which it says are among the major manufacturing countries in Europe.

The report marks the launch of the Alliance for Circular Economy Solutions (ACES), a collaboration of businesses and think tanks promoting circular economy policy in Europe. It seeks practices that are environmentally and economically beneficial through product innovation, secondary material use and new business models. The group includes IEEP, the Aldersgate Group and the Ecological Institute, among others.

The report predicts that developing circular practices will aid the reduction of unemployment through the increase of resource efficiency. Growth in the circular economy, it says, could create large numbers of jobs in remanufacturing, repair, recycling, servitisation and the bio economy, across all regions and skill levels.

The transition to a circular economy will look different in every country, the report suggests, with each country’s industrial strength, history, economic priorities and politics moulding its future. In Italy and Germany it is predicted that circular policies would reduce geographical unemployment inequality.

In Poland, the average proportion of workers on short-term contracts is twice the EU average, the report says. Through the development of remanufacturing industries, the amount of longer-term contracts would be increased. A circular economy would also ‘create the conditions to close Poland’s productivity gap compared with western Europe through remanufacturing’.

Dustin Benton, Head of Energy and Resources at Green Alliance, said: “Our analysis shows that, by being much more ambitious in developing the reuse, remanufacturing and recycling industries, significant social as well as environmental dividends can be gained. And these benefits can apply to countries across Europe with very different geographies, economies and labour market challenges. We hope that the EU measures presented tomorrow will require better product design, reward manufacturers which create products that are remanufactured and recycled, and reform markets for secondary materials.”

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