January 22, 2025

By Nicholas Renzetti

Canada’s transition to a low-carbon economy offers universities a critical opportunity to help shape the future of work. While concerns about job loss persist, this transition could, in fact, spur as many as 300,000 new jobs across sectors like clean energy, manufacturing and sustainable construction. But creating new jobs should be only half of Canada’s plan to capitalize on the economic opportunities of the low-carbon transition; the other must be building a labour force with the right skills.

Universities are uniquely positioned to lead this effort. As hubs of research, innovation and education, they can partner with industry to develop the programs and pathways that align with Canada’s climate goals while ensuring students and workers are prepared for a rapidly changing labour market.

Evolving skills needs

Over the last two years, we have looked at the labour and skills needs of three Canadian clean-growth sectors that stand to benefit from the transition: zero-emissions vehicle manufacturing, mass-timber construction and plant-based protein production. Sectors like these present an economic opportunity for Canada while helping to reduce our GhG emissions. They will need to bring in new workers and retrain existing ones to be successful. Our research reveals a dual shift. First, the required skills in these sectors are evolving due to rapid technological advancement and decarbonization. Second, the career trajectories of workers are becoming more dynamic and flexible, with continual reskilling and upskilling becoming the norm.

This shift requires workers and educational institutions to rethink career preparation. While traditional education models focused on foundational knowledge, the green transition demands continual reskilling and upskilling. It also requires a greater investment in the “soft skills” such as communication, problem-solving and decision-making that our research shows will be essential to all workers in the green transition. Workers who can adapt to new technologies and improve the way products are made will be the most in demand, underscoring the need for universities to embed them into curricula.

New jobs, new opportunities

Canada’s decarbonization is creating new job types with the development of new sectors like mass timber (engineered wood products designed to replace steel or concrete in construction) or new low-carbon technologies in existing sectors like automotive manufacturing (think, EVs). So, it is increasingly important for academic institutions to raise awareness of new job types among students when they are weighing their options and looking for ways into their chosen industry.

Continued rapid technological change is erasing the traditional career paths for workers in fields such as construction, food processing and auto manufacturing, and this is good news. It also extends beyond early-career workers. Universities, in collaboration with industries, can develop modular, short-term programs tailored to mid-career professionals looking to enhance their skills in as little as a few weeks. Doing so would help these workers apply their existing skills to new sectors, and take advantage of higher pay, a more desirable working environment or location, or the joy of a new challenge. These benefits have long been available to professional workers but have been less a feature of “blue collar” careers, until now.

Curious workers benefit the most from work-integrated learning opportunities to develop practical skills and learn about available possibilities. One such program is the BASES program in the Sarnia-Lambton, Ont. area, which provides hands-on training in workplace health and safety systems. Flexible workers also benefit from opportunities to establish themselves in their careers. These include development methods like shadowing another worker or gaining a specific set of skills. Universities could offer students similar opportunities through co-op placements, internships and partnerships with local industry.

Those later in their careers may provide essential training and mentoring resources for less experienced staff instead of disengaging entirely from the workplace. This intergenerational knowledge transfer is most important in sectors where a pending wave of retirements will further exacerbate existing labour shortages, such as in agriculture.

Collaboration is key

Lifelong skills development cannot be the sole responsibility of students and workers. Businesses, communities and academic institutions will need to bring in students and workers from different backgrounds into training and employment opportunities. Workforce development strategies must be specific to regions and opportunities—a process we lay out in our work Sustainable Jobs 101: a how-to guide for supporting the green transition. Organizations like the Canadian Agricultural Human Resource Council, Workforce-Windsor Essex, and the Canadian Wood Council are already doing excellent work in this area.

As Canada’s decarbonization accelerates, universities have a vital role to play in fostering collaboration among government, industry and educational institutions. By aligning workforce development strategies with regional economic needs, universities can ensure that the green transition supports vibrant communities and creates meaningful career opportunities for all.

This is a moment for higher education to lead. By embracing innovation in teaching, research and workforce development, universities can help Canada realize the full potential of a low-carbon economy—creating not only new jobs but also a more inclusive and sustainable future.