The Job Potential of Transport Electrification

Transport is the single biggest source of CO2 emissions in Europe and a major cause of urban air pollution and its health effects. Electromobility is seen as a key solution to tackling both concerns and also a generator of considerable positive economic impacts, both at the macro-level and for individual citizens in lower fuel costs.

However, there are concerns the shift to electromobility will result in a reduction in jobs in the automotive industry. This study has therefore sought to assess whether jobs created in the new electromobility value chain offset those lost in automotive manufacturing. The study has assessed job creation in a number of electromobility value chain segments and concludes that by 2030 a total of nearly 200,000 permanent jobs would be created. This is based upon a moderate uptake of plug-in vehicles amounting to around 35% of new car sales by 2030.

Jobs created in the electricity value chain are several times higher than those lost (even in worst case assumptions) in automotive manufacturing. Most of the new jobs will be downstream and are associated with the installation, operation and maintenance of charging points. Altogether, these segments will create around 112,500 new jobs, accounting for 57% of job creation.

The message is clear: electromobility is good for the environment, good for drivers – who achieve lower vehicle running costs – and good for jobs and the economy.

This study only has a 2030 time horizon and only covers electric passenger cars. Additional jobs will be created after 2030 and through electrification of vans, trucks and buses, as well as of shipping and aviation.

Download our full study here.