The Gulf Cooperation Council (GCC) is actively moving towards a greener future as companies start focusing more on environmental, social, and governance (ESG) principles. However, a significant challenge arises with the increasing gap in green skills, which threatens to impede the region’s ambitious plans.
Regional organizations are realizing the importance of enhancing their ESG capabilities not only to ensure long-term sustainability but also to generate value. Simultaneously, governments are implementing national agendas aimed at achieving net-zero emissions and introducing regulatory measures to support ESG initiatives. There is a growing consensus that strong ESG performance is crucial for maintaining competitiveness and attracting investors, customers, and other essential stakeholders.
As efforts to diversify economies and reduce carbon footprints become more ingrained, GCC nations are adopting AI and automation technologies to speed up their transition to green economies. This has led to a surge in demand for professionals in sustainability and ESG fields, particularly those specializing in climate risk management, sustainable finance, and corporate governance.
ESG Outlook: Growth in Green Jobs Outpaces Workforce Preparedness
Nonetheless, talent pipelines lag behind demand. The growth in green jobs surpasses workforce readiness, with a shortage of skills posing a significant barrier. A report by PwC indicates that one in three business leaders in the GCC identifies a lack of internal skills and expertise as a major hurdle to achieving ESG objectives.
The LinkedIn Global Green Skills Report 2024 highlights the pressing need for action. From 2023 to 2024, the global demand for green talent increased at double the rate of supply, with an 11.6% rise compared to a 5.6% growth in supply. By 2030, one in five jobs globally might lack qualified green professionals, and by 2050, this could grow to one in two roles unless the pool of green talent is doubled.
Green skills not only are in demand but also provide an advantage in hiring. According to LinkedIn, candidates with green qualifications or job titles are employed at a rate 54.6% higher than the average workforce.
Despite this, a generational divide is becoming apparent: while 61% of Gen Z employees worldwide aspire to work in green jobs within five years, only one in twenty currently possesses green skills, and less than half have access to relevant training opportunities.
The skills gap includes both technical and soft skills, ranging from renewable energy engineering, carbon accounting, and environmental management to collaboration, communication, and critical thinking. Companies increasingly view green skills as essential rather than optional, crucial for attracting investment, complying with regulations, and remaining competitive in a rapidly changing global market.
A 2024 report by PwC identifies structural obstacles: many firms lack access to tailored training programs, and educational institutions struggle to keep up with evolving skill demands. Without appropriate tools and partnerships to assess and close these gaps, they are unlikely to improve.
Tackling this issue will require a coordinated effort involving governments, businesses, and educational entities. Encouragingly, GCC nations are taking steps by launching upskilling initiatives and forming alliances with international organizations to prepare the workforce for the future. Initiatives such as fintech centers, innovation accelerators, and entrepreneurship incubators are also attracting and retaining top talent, especially among the youth.
National projects are helping to build momentum. For example, the UAE’s Energy Strategy 2050 aims to extensively increase clean energy output, triple the share of renewables, and create 50,000 green jobs by 2030.
Similarly, Saudi Arabia’s Vision 2030 places sustainability at the forefront of its economic diversification strategy, increasing the need for a workforce proficient in renewable energy, green technologies, and sustainable tourism.
Essential to Master New Tools to Succeed
With nearly half of the region’s population below the age of 24, and 61% of Middle Eastern employees recognizing the necessity of learning new tools and technologies to succeed in their roles, the urgency is apparent. Gen Z is particularly underserved regarding green skills, highlighting the importance of prioritizing training for this group.
Online learning platforms offer a scalable and accessible solution. Through flexible training paths, they can deliver focused skill development in areas like climate risk, renewable energy, and sustainable finance, empowering individuals and organizations to lead the green transition.
Educational institutions also play a crucial role. By embedding ESG into core curricula—such as integrating CSR into marketing and finance programs—and providing specialized training aligned with regional needs, they can prepare learners to tackle the GCC’s specific sustainability challenges.
To achieve its ESG aspirations, the GCC must address the green skills gap. Government policies establish a solid foundation, but businesses and educators must collaborate to equip the workforce with practical, job-ready skills needed to implement sustainability on a large scale. This will be vital for unlocking long-term growth, innovation, and resilience throughout the region.