Towards a Just Transition for Workers in the Built Environment in Europe

A study by Ecorys examines how the shift to a low-carbon economy is transforming Europe’s construction and building materials sectors across ten countries, and what this means for workers in construction, as well as industries including steel, cement, timber, and glass.

A new study carried out by Ecorys reveals how Europe’s construction and building materials sectors are being reshaped by the transition to a lowcarbon economy – and what this means for the millions of workers who keep the built environment and its related industries running. Covering ten European countries and the core building materials industries (steel, cement, timber and glass), the research highlights both the opportunities and risks emerging from decarbonisation processes and other developments such as digitalisation.

Background: The Policy Push Reshaping Europe’s Construction Force 

• EU climate policy is reshaping the construction and building materials sectors, driven by the European Green Deal, Fitfor55 package, the Renovation Wave, and the revised Energy Performance of Buildings Directive (EPBD), all aiming to decarbonise buildings and accelerate largescale renovation. 
• These policies shift activity from new builds to energyefficient renovation, circularity and lowcarbon materials, creating major changes in labour demand, production processes and supply chains. 
• The construction ecosystem spans 12.5 million onsite workers and nearly 2 million in building material sectors (steel, cement, timber, glass), making the social implications of decarbonisation particularly significant.  
• Despite its scale, there is limited existing analysis on how decarbonisation affects workers, especially vulnerable groups such as women, youth and migrant workers.  
• This study fills a critical knowledge gap by examining labour conditions, skills needs, job quality risks, workerprotection mechanisms, and the uneven impacts of the transition across regions and industries. It provides a workercentred view of the green transition – what changes are coming, who is most affected, and what is required to make the shift just.

Key Findings: Insights on Jobs, Skills and Risks

• Decarbonisation is accelerating a shift from new build to renovation, energy efficiency and circularity, driving demand for skilled workers in insulation, heat pumps, prefabrication, digital tools and lowcarbon materials. 
• Job creation is expected, with strong regional variation; and when combined with millions of replacement needs due to retirements, labour shortages will intensify. 
• Skills gaps are one of the biggest barriers, with 35-45% of the renovation workforce requiring training in the areas of climate and circularity. 
• Job quality risks persist: fragmented subcontracting, unsafe working conditions, informality, and limited time/access to training continue to undermine fair work -especially for migrant workers, women and older workers. 
• Material sectors face uneven transitions: steel and cement expect job losses due to automation and decarbonisation needs, while timber and energyefficient glass production are likely to expand. 
• Protection mechanisms exist but remain partial, including social ID cards, limits on subcontracting, climaterelated work stoppages, and emerging retraining systems – yet there is no comprehensive workerprotection framework across countries. 
• A just transition is achievable, but requires coordinated action: consistent longterm policy, scaledup Vocational and Educational Training and onthejob training, stronger collective bargaining, and inclusive recruitment strategies. The study lays out recommendations for different stakeholders to achieve a just transition in the built environment and its supply.