Resource efficiency and Circular Economy in European SMEs: Investigating the role of green jobs and skills
Authors: Francesca Bassi, Mariangela Guidolin
AI-generated Key Points
- Significance of green employment for Circular Economy (CE) within Small and Medium Enterprises (SMEs) in the European Union
- Focus on size and potential of green jobs, and their role in facilitating implementation of CE practices
- Research methodology involving data collection through Eurobarometer survey covering resource efficiency, green markets, and CE practices
- Lack of environmental expertise perceived as a barrier to adopting resource efficiency actions within SMEs
- Variations in resource efficiency practices adoption within and between European countries
- Use of multilevel latent class model to analyze determinants of green behavior among European SMEs
- Not having dedicated workers for green jobs linked to lower adoption rates of resource efficiency practices
- Recognition of need for additional environmental skills positively impacts firms' intentions to implement such actions in the future
- Characteristics such as firm age, size, and annual turnover significantly influence likelihood of implementing resource efficiency measures
- Choice of specific actions varies across different activity sectors within SMEs operating in the EU
Abstract: Purpose of the paper: This paper explores size and potential of green employment for Circular Economy (CE) in SMEs in the European Union and investigates the role of green jobs and skills for the implementation of CE practices. Design/methodology/approach: The data are collected in a Eurobarometer survey, and refer to resource efficiency, green markets, and CE practices. Lack of environmental expertise is one of the factors that might be perceived as an obstacle when trying to implement resource efficiency actions. Previous research shows that, although resource efficiency practices are adopted by firms in all European countries, there are differences both within and between countries. The analysis of the determinants of green behavior by European SMEs is completed by a study of heterogeneity across firms and within countries with a multilevel latent class model, a hierarchical clustering method. Findings: A general important evidence is that having no workers dedicated to green jobs is strongly correlated to the probability of adopting resource efficiency practices, while perceiving the need of extra environmental skills has a positive effect on the intention to implement actions in the future. Other characteristics of the firms play a significant impact on resource efficiency: in general, older and bigger firms, with larger yearly turnover, are more prone to implement actions. The type of chosen action varies across activity sectors. What is original/value of paper: In the reference literature, the relationship between green jobs, environmental skills, workers employed in CE practices, and resource efficiency has received limited attention so far.
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