Skip to main content

Circular Economy Approaches and Green Jobs in European Companies

  • Conference paper
  • First Online:
Economic Recovery, Consolidation, and Sustainable Growth (ISCBE 2023)

Abstract

The European Green Deal is based on the circular economy (CE) dealing with reducing, reusing, recycling, and redesigning all stages of materials in order to achieve sustainable development. However, research on the impact of CE on firm-level employment is lacking. Our paper uses the latest Eurobarometer Flash 498 survey and a negative binomial regression model (NBR) to explore CE approaches and green job creation of European firms. The results show that the adoption of the CE approaches and the use of more resources and capabilities are correlated significantly with employing workers in green jobs, and this correlation is positive. The results could help policymakers and businesses to make informed decisions about implementing CE strategies to promote sustainable growth and employment.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 149.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 199.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  • Aranda-Usón, A., Portillo-Tarragona, P., Marín-Vinuesa, L., & Scarpellini, S. (2019). Financial resources for the circular economy: A perspective from businesses. Sustainability.

    Google Scholar 

  • Bowen, A., & Kuralbayeva, K. (2015). Looking for green jobs: The impact of green growth on employment. Grantham Research Institute Working Policy Report, School of Economics and Political Science.

    Google Scholar 

  • Burger, M., Stavropoulos, S., Ramkumar, S., Dufourmont, J., & Oort, F. (2019). The heterogeneous skill-base of circular economy employment. Research Policy, 48(1), 248–261.

    Article  Google Scholar 

  • Cai, W., & Li, G. (2018). The drivers of eco-innovation and its impact on performance: Evidence from China. Journal of Cleaner Production, 176, 110–118.

    Article  Google Scholar 

  • Cameron, A., & Trivedi, P. (1986). Econometric models based on count data. Comparisons and applications of some estimators and tests. Journal of applied econometrics, 29–53

    Google Scholar 

  • Cecere, G., & Mazzanti, M. (2017). Green jobs and eco-innovations in European SMEs. Resource and Energy Economics, 49, 86–98.

    Article  Google Scholar 

  • Commission, E. (2022). Flash Eurobarometer FL498: SMEs, resource efficiency and green markets. European Commission.

    Google Scholar 

  • Consoli, D., Marin, G., Marzucchi, A., & Vona, F. (2016). Do green jobs differ from non-green jobs in terms of skills and human capital? Research Policy, 45(5), 1046–1060.

    Article  Google Scholar 

  • Dangelico, R. M., & Pontrandolfo, P. (2015). Being green and competitive: The impact of environmental actions and collaborations on firm performance. Business Strategy and the Environment, 24(6), 413–430.

    Article  Google Scholar 

  • Dewar, R., & Dutton, J. (1986). The adoption of radical and incremental innovations: An empirical analysis. Management Science, 32(11), 1371–1520.

    Article  Google Scholar 

  • Ellen MacArthur Foundation. (2013). Towards the circular economy.

    Google Scholar 

  • Ettlie, J., Bridges, W., & O’Keefe, R. (1984). Organization strategy and structural differences for radical versus incremental innovation. Management Science, 30(6), 653–776.

    Article  Google Scholar 

  • European Commission. (2015). EUR-Lex. Retrieved from https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52015DC0614

  • European Commission. (2021). European union. Retrieved from https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/european-green-deal_en

  • Gagliardi, L., Marin, G., & Miriello, C. (2016). The greener the better? Job creation effects of environmentally-friendly technological change. Industrial and Corporate Change, 25(5), 779–807.

    Article  Google Scholar 

  • Ghisellini, P., Cialani, C., & Ulgiati, S. (2016). A review on circular economy: The expected transition to a balanced interplay of environmental and economic systems. Journal of Cleaner Production, 114, 11–32.

    Article  Google Scholar 

  • Hart, S., & Dowell, G. (2010). Invited editorial: A natural-resource-based view of the firm: Fifteen years after. Journal of Management, 37(5).

    Google Scholar 

  • Hart, S. (1995). A natural-resource-based view of the firm. The Academy of Management Review, 20(4), 986–1014.

    Article  Google Scholar 

  • Hilbe, J. (2017). The statistical analysis of count data. Cultura y Educación, 29, 409–460.

    Article  Google Scholar 

  • Hoogendoorn, B., Guerra, D., & Zwan, P. (2015). What drives environmental practices of SMEs? Small Business Economics, 759–781.

    Google Scholar 

  • Horbach, J. (2016). The impact of innovation activities on employment in the environmental sector—Empirical results for Germany at the firm level. Journal of Economics and Statistics, 230(4).

    Google Scholar 

  • Horbach, J., & Rammer, C. (2019). Circular economy innovations, growth and employment at the firm level: Empirical evidence from Germany. Journal of Industrial Ecology, 24(3), 615–625.

    Article  Google Scholar 

  • Kirchherr, J., Reike, D., & Hekkert, M. (2017). Conceptualizing the circular economy: An analysis of 114 definitions. Resources, Conservation and Recycling, 127, 221–232.

    Article  Google Scholar 

  • Long, J., & Freese, J. (2001). Predicted probabilities for count models. The Stata Journal, 1, 51–57.

    Google Scholar 

  • Long, J., & Freese, J. (2005). Regression models for categorical dependent variables using Stata. A Stata Press Publication.

    Google Scholar 

  • Luca, F.-A., Epuran, G., Ciobanu, C.-I., & Horodnic, A. V. (2019). Green jobs creation: Main element in the implementation of bioeconomic mechanisms. Amfiteatru Economic, 60–74.

    Google Scholar 

  • Manninen, K., Koskela, S., Antikainen, R., Bocken, N., Dahlbo, H., & Aminoff, A. (2018). Do circular economy business models capture intended environmental value propositions? Journal of Cleaner Production, 171, 413–422.

    Article  Google Scholar 

  • Martínez-del-Río, J., Céspedes-Lorente, J., & Carmona-Moreno, E. (2012). High-involvement work practices and environmental capabilities: How HIWPS create environmentally based sustainable competitive advantages. Human Resource Management, 51(6), 827–850.

    Article  Google Scholar 

  • Moreno-Mondéjar, L., & Cuerva, M. (2020). Fostering investment in resource efficiency actions: The case of European SMEs. Energy Efficiency, 1329–1351.

    Google Scholar 

  • Peters, P. (2004). Employment effects of different innovation activities: Microeconometric evidence. ZEW-Centre for European economic research discussion papers, No. 04–73.

    Google Scholar 

  • Prieto-Sandoval, V., Jaca, C., & Ormazabal, M. (2018). Towards a consensus on the circular economy. Journal of Cleaner Production, 179, 605–615.

    Article  Google Scholar 

  • Sáez-Martínez, F., Díaz-García, C., & González-Moreno, Á. (2016). Factors promoting environmental responsibility in European SMEs: The effect on performance. Sustainability, 8(9).

    Google Scholar 

  • Sanjay, S., Aragón-Correa, J., & Rueda-Manzanares, A. (2007). The contingent influence of organizational capabilities on proactive environmental strategy in the service sector: An analysis of North American and European ski resorts. Canadian Journal of Administrative Sciences, 268–283.

    Google Scholar 

  • Stahel, S. (2019). The circular economy. Routledge.

    Book  Google Scholar 

  • Tambovceva, T. T., Melnyk, L. H., Dehtyarova, I. B., & Nikolae, S. O. (2021). Circular economy: Tendencies and development perspectives. Green, Blue and Digital Economy Journal, 64–71.

    Google Scholar 

  • Triguero, Á., Cuerva, M., & Álvarez-Aledo, C. (2017). Environmental innovation and employment: Drivers and synergies. Sustainability, 9(11).

    Google Scholar 

  • Triguero, A., Fernández, S., & Sáez-Martinez, F. (2018). Inbound open innovative strategies and eco-innovation in the Spanish food and beverage industry. Sustainable Production and Consumption, 15, 49–64.

    Article  Google Scholar 

  • Vermunt, D., Negro, S., Verweij, P., Kuppens, D., & Hekkert, M. (2019). Exploring barriers to implementing different circular business models. Journal of Cleaner Production, 222, 891–902.

    Article  Google Scholar 

  • Winkler, H. (2011). Closed-loop production systems—A sustainable supply chain approach. CIRP Journal of Manufacturing Science and Technology, 4(3), 243–246.

    Article  Google Scholar 

  • Zhu, Q., Geng, Y., & Lai, K.-H. (2010). Circular economy practices among Chinese manufacturers varying in environmental-oriented supply chain cooperation and the performance implications. Journal of Environmental Management, 91(6).

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Ardita Bytyqi .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2023 The Author(s), under exclusive license to Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Bytyqi, A., Jashari, A., Hadzimustafa, S. (2023). Circular Economy Approaches and Green Jobs in European Companies. In: Bexheti, A., Abazi-Alili, H., Dana, LP., Ramadani, V., Caputo, A. (eds) Economic Recovery, Consolidation, and Sustainable Growth. ISCBE 2023. Springer Proceedings in Business and Economics. Springer, Cham. https://doi.org/10.1007/978-3-031-42511-0_3

Download citation

Publish with us

Policies and ethics