Employment effects of different waste management systems in residual waste treatment

The aim of waste recovery is to process waste that has not been avoided into reusable and marketable materials which are used either as secondary raw materials or as substitute fuels for energy generation. As a result of European legislation and within the framework of the EU Circular Economy Package, waste management is of increasing socio-political importance, which, on the one hand, provides for improved quality and quantity of the recycling of municipal and industrial waste, and, on the other hand, generates further economic value in terms of local value added and employment effects. The hypothesis to be examined states that the more differentiated the collection and treatment processes of municipal waste, the greater the local demand for labour. The study applies a macroeconometric model for Austria (WIFO.DYNK) to simulate the indirect and induced value-added and employment effects of different models of residual waste treatment in Austria by sectors. The simulation is based on direct employment data with respect to different waste management regimes.