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  IS GOOD BUSINESS
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  Recycling creates employment

With more than 20 million unemployed people in Europe today, the creation of new jobs ranks among the priorities of European officials.

According to a report of the Council of Europe, between 3 and 3.5 million people are working in the waste management in Europe today (against 2 to 2.5 million in the USA) . Still relationship between recycling and employment remains quite complex and there is little data on either direct or indirect job creation in the recycling chain.
Source:
Rapport du Conseil de l'Europe, Protection de l'environnement comme source d'emplois,Fernando Gonzales Laxe, 1999.

Studies conducted in France and Austria, as well as a number of studies conducted in the USA showed that recycling creates 5 to 7 times the number of jobs in incineration, and ten times more than landfilling, and the number of jobs per value added in recycling is generally more than for producing virgin materials.

There is little information on the macro-economic effects of increased recycling pointing to a reduction of employment in non-waste related activities. If in certain jobs wages can be low and work conditions uncomfortable, there is a potential for better qualified job creation in sorting, dismantling and recycling of end of life products.
Source:

  • ADEME, Le contenu en emplois des filières de collecte et de traitements des déchets ménagers, J. Desproges et G. David, 1998
  • Austrian Federal Chamber of Labour:
    • Employment in the Environmental sector, 1998
    • Working conditions in the waste management sector, 1998

To know more:
European Commission, DG Environment

  • Investment and employment related to EU policy on air, water and waste
  • Employment Effects of Waste Management Policies
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    "Social enterprises" in reuse and recycling

    Social enterprises have been active for many years in Europe in waste sorting, repair/reselling and material recovery. They are often present in the form of scattered associations and are badly structured and poorly recognised. However, their importance in terms of jobs and sorted tonnage should not be underestimated. According to a study realsied by the CWESAR ( Coordinanation des entreprises d'Economie sociale actives dans le Recyclage et le Réemploi ), the number of jobs in waste management in these social enterprises would exceed 35.000 in Europe.

    Countries
    Social jobs( Minimal assessment )
    Germany
    8.130
    Austria
    80
    Belgium
    2.100
    Spain
    1.500
    France
    4.000
    Greece
    50
    Ireland
    500
    Italy
    2.500
    Luxembourg
    100
    Netherlands
    4.000
    Scandinavia
    8.500
    Portugal
    400
    United Kingdom
    3.000-5.000
    Total
    34.860 - 36.860

    In "Creating Wealth from Waste" (1999) Robin Murray estimates that an intensive programme of recycling in the UK could create between 10.000 and 55.000 new jobs, taking into account those who would be lost in the process.

    Operations of collection and processing of waste materials are the privileged place for the development of integration initiatives accompanied, if necessary, by professional requalification and redynamisation. These jobs may serve as a trampoline and permit the reintegration of workers into professional circuits. The cities of Bordeaux, Den Haag, Dunkirk, Lille, Palermo, and Dublin, in particular, have developed this approach.

    • What is social economy?
    Recycling activities are labour intensive. For this reason, recycling is one of the most interesting and important sectors in the development and growth of social enterprises, which main role is the reinsertion, through work, of people affected by any sort of exclusion. Recycling becomes a source of jobs for unskilled or long-term unemployed people.
    Social enterprises aim at combining a market oriented business approach with solidarity (carrying less about profit and more about people).

    Moreover, social enterprises have proved to be profitable through the implementation of new working patterns based on worker participation and flexibility. Indeed they are commonly registered under a co-operative legal status: workers participate directly or indirectly to the performance and management of the enterprise they own. This contributes to a stronger commitment and a higher self-respect of workers compared to traditional companies.

    A mix between public aids or subsidies and free market oriented business forms the basis for their financing. They can still be competitive in the provision of environmental services where traditional companies do not find adequate profits and public authorities do not have the financial resources to deal with directly.

    • How do social enterprises operate recycling?

    They focus on collection, recovery and recycling either through door-to-door approach or more sophisticated technology. Partnerships between public, private and social economy actors create a win-win situation. When collection of paper and other materials are made compulsory, agreements between local authorities and social enterprises often take place.
    Private companies with an interest in purchasing and processing recycled goods rather than raw materials often participate in these agreements as purchaser of the services provided by social enterprises. (for instance social cooperative consortium CGM and private company Masotina in Italy)

    click here to see the graph

    To know more about social economy activities in recycling

     

       
    This project has received support from the European Commission.
    The content of this website reflects the author's view and the European Commission is not liable for any use that may be made of the information contained therein.