Employment changes according to i) changes in activity and ii) labor intensity. Labor intensity determines the amount of labor required per unit of output and varies across sectors. For example, services are labor intensive activities compared to for example manufacturing activities (e.g., production of transport equipment, electronics) which require relatively higher amount of capital (e.g. machinery, facilities) to operate. For this reason, the clean energy transition may have important implications on employment as changes in the economic production structure are translated into changes in the economy’s labor intensity, hence employment. Typically, the largest (positive) employment impacts come from investments in the deployment of RES facilities due to the high participation of the construction sector. The latter has both a high output and employment multiplier as it employs intensively domestic resources (production factors and goods).