Good Green Jobs: How Cities Are Building the Future Workforce
Cities are proving that tackling climate change is not just about cutting emissions, it is also about creating opportunity. The newly updated Good Green Jobs report by C40 Cities and Circle Economy provides fresh evidence that climate action can power economic growth, inclusion, and resilience in urban economies worldwide. (1)(2)
Published in 2025, the report measures employment across 81 global cities using a consistent methodology, showing that more than 21 million jobs are now classified as green, representing 10.4% of total employment. These findings build on C40 mayors’ 2022 pledge to create 50 million good green jobs by 2030, confirming that many are well on track to meet their targets.
What Are “Good Green Jobs”?
According to C40 Cities, good green jobs include work that helps reduce greenhouse gas emissions, protects nature, and improves wellbeing, while offering fair wages, safe working conditions, and stable employment.
The report distinguishes between direct and indirect green jobs:
Direct green jobs produce the goods and services needed for the green economy, such as renewable energy engineers, solar technicians, or building retrofit specialists.
Indirect green jobs provide supporting goods and services that enable these sectors to function, such as component manufacturing, education, digital services, and financial systems.
By adopting climate policies that prioritise inclusion and job quality, cities are delivering a “just transition” that supports affected workers, diversifies the workforce, and improves employment standards as new green industries emerge.
Global Findings
Across all 81 cities, 13.5 million jobs (6.6%) are directly green, and 7.6 million (3.7%) are indirectly green. The analysis highlights four key sectors already leading the green transition:
Waste and water management: Over 80% of employment is already green, driven by zero-waste policies and recycling programs.
Transportation and storage: Around 32% of jobs are green, reflecting investments in public transport, electrification, and urban cycling networks.
Energy: 28% of jobs are green, largely due to rapid expansion of renewables.
Construction: 22% of jobs are green, reflecting widespread adoption of green building codes and retrofitting programs.
These are sectors where local governments hold significant influence, enabling mayors to integrate green employment goals directly into climate action plans.
Globally, green jobs are growing slightly faster than overall employment, particularly in energy and transport. The report notes that this trend demonstrates the potential for cities to be economic engines of the green transition, even in a difficult global policy environment.
Regional Breakdown
Green employment varies significantly by region. Cities in Latin America and Africa lead with 14.4% and 11.2% of jobs classified as green, respectively. In cities such as Freetown, Nairobi, Accra, Bogotá, and Lima, over 20% of total employment is already green.
In East, Southeast Asia and Oceania, including Sydney and Melbourne, 9.6% of jobs are green, with strong growth in waste management and transport. Europe records 8.5%, supported by strong green-building and retrofit programs, while North America achieves 10.2%, driven by clean construction and renewable-energy projects.
Cities cited in the report are demonstrating that local climate action can deliver tangible results. Freetown’s reforestation initiative has created more than 1,200 jobs for women and youth, while London’s Green Skills Academy has trained 6,500 workers, placing 3,000 in new green roles. Rio de Janeiro’s solar-energy installations in informal settlements and Quezon City’s Good Green Jobs legislation are further proof that inclusion and sustainability can progress hand in hand.
Inclusion and Workforce Equity
The report finds that access to green jobs remains uneven. Men hold roughly 60% of green jobs globally, while women occupy 40%, often concentrated in education and health rather than high-growth sectors like construction or transport. In some countries, women account for less than 10% of employment in construction and around 12% in transport and storage.
Addressing this imbalance will require gender-sensitive workforce policies, such as those in Bogotá, which trains women to drive electric buses, or New York’s program helping women enter the construction workforce.
The study also highlights the crucial role of informal workers, who make up over 60% of the global labour force. Many of these workers already contribute to green outcomes, particularly in waste collection and repair sectors. Quezon City has institutionalised its Good Green Jobs Development Program, which formalises informal roles and promotes fair wages and social protection.
Skills, Data and the Next Phase of Growth
C40’s research estimates that the transition to a low-carbon economy could generate 12 million additional jobs by 2040 across construction, transport, and waste management, but warns that workforce shortages may limit growth unless governments and investors expand training programs.
The report recommends that cities:
Partner with national governments to align green-job strategies with local skills programs.
Increase investment in climate and just-transition finance directly accessible to cities.
Ensure that green jobs provide decent, equitable working conditions across all sectors.
Invest in localised data systems that track job creation and the equity impacts of climate investments. (2)
These steps are critical if C40 mayors are to achieve their target of 50 million good green jobs by 2030.
Opportunities for Investors
For investors, the implications are clear. Cities are not just hubs of innovation—they are now major drivers of sustainable employment and infrastructure demand. As the green economy expands, capital allocation is flowing toward projects that blend climate and social returns.
Clean energy: Decentralised renewables, rooftop solar, and urban electrification are accelerating.
Green construction: Retrofitting and low-carbon building standards are scaling rapidly.
Waste and circular economy: Local recycling and reuse programs are becoming core components of municipal climate strategies.
Skills and education: The emerging global skills gap presents new opportunities for training and certification providers.
The message is that the climate transition is no longer a policy aspiration. It is a labour-market reality, with cities leading the charge and investors invited to participate.
The Bottom Line
The Good Green Jobs report provides solid evidence that climate action is one of the world’s most effective job-creation strategies. With over 21 million green jobs already established, cities are proving that sustainability and economic growth can advance together.
For Australia, the findings highlight the growing role of cities such as Sydney and Melbourne, where climate policy, workforce planning, and private investment are converging to build more inclusive, future-ready economies. For investors, this represents both a moral and a material opportunity—the chance to back the transition shaping the workforce of tomorrow.
References
C40 Cities (2025), Good Green Jobs – How Climate Action Is Driving Employment in Cities, C40 & Circle Economy. https://www.c40knowledgehub.org/s/article/Tracking-global-good-green-jobs-in-cities
251107 Summary Good Green Jobs (2025), C40 Cities. https://www.c40knowledgehub.org/s/article/Tracking-global-good-green-jobs-in-cities
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