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Job Creation for a Clean Jumpstart

By Amanda Novello - Data for Progress, July 2021

Government stimulus is sorely needed: more than a year into the pandemic recession, nearly 10 percent of Black workers are unemployed, and over 6 percent of all workers are unemployed. There are still more than 7 million fewer jobs than there were last June, and nearly 40% of all unemployed workers are long-term unemployed. A majority of those out of work have no college degree. In addition, there are 5 million fewer people in the labor force than pre-pandemic, including 3 million women who left the labor force since last February, and 2 million men.

Decarbonizing the economy in tandem with a full, job centered green recovery, will require many different plans to be executed at all levels of government and society. That’s why, this March, Data for Progress and Evergreen Action released the Clean Jumpstart 2021 report that offers 39 policy priorities for how to carry out our existing commitments, while increasing ambition and creating good jobs that Americans desperately need, in communities that need them most. All components of this plan are popular with likely voters. The Clean Jumpstart 2021 plan represents how a bold climate investment package, like the American Jobs Plan, could tackle the climate crisis and build a clean energy economy.

The Clean Jumpstart 2021 plan would invest a total of $2.3 trillion over four years. Some investments would create jobs more or less immediately, while others will take longer to realize full job-creation effects. Therefore, in this memo, we estimate that the plan would create an average of 2.7 million jobs annually for the first five years. But the job benefits of the plan don’t end there. The policies in Clean Jumpstart would also create up to 960,000 jobs annually for five years following (year 6-10 after investments begin). Approximately 40 percent of all jobs created would be “direct” jobs, or employment working directly toward these policy goals, and the rest would be due to additional work generated along supply chains and in communities due to the multiplied impacts of increased demand.

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