Carbon Tax Revenues Could Help Create 14 Million Jobs Says Labor Organization

Dec. 7, 2009

Jobs would be created if a price on CO 2 was imposed and the resulting revenues were used to cut labor taxes, UN group says

Agence France-Presse

Revenues from a carbon tax on emissions could be used to help create 14 million jobs by 2014, a report by the UN labor agency said on Dec. 7.

"If a price on CO₂ (carbon dioxide) emissions was imposed -- at a level close to what is internationally suggested -- and if the resulting revenues were used to cut labor taxes, then employment would rise by 0.5% by 2014," the report on the global jobs crisis said.

The International Labor Organization added that the amount was "equivalent to over 14.3 million net new jobs for the world economy as a whole."

Lead author Raymond Torres said the estimates were based on a $30 per ton price for CO₂ emissions.

The issue of carbon pricing and taxation is among those up for discussion at the UN climate change conference that began on Dec. 7 in Copenhagen.