Circular Jobs and Skills Report – Part 1(2025) and Part 2 (2026)

Last updated: 5 December 2025
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Prepared by: Sustainability Victoria
Prepared for: Sustainability Victoria
First published: December 2025
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The Victorian Government is planning for a sustainable future by identifying the jobs and skills that will be needed for Victoria’s circular economy

We have published 2 instalments of this research:

  • Part 1 – Circular Jobs and Skills: Planning for our Future (published December 2025)
  • Part 2 – Circular Jobs and Skills: A Workforce in Motion (published May 2026).

Part 2 expands on the analysis in Circular Jobs and Skills: Planning for our Future and includes a more comprehensive picture of current circular employment in Victoria, including a detailed quantification of circular jobs.  

Combined, the two reports provide the most detailed overview of Victoria’s circular workforce developed to date.  

The modelling in part 2 will enable tracking of Victoria’s circular workforce over time, reflecting both industry trends and the efficacy of circular policy and programs. 

Part 2 also provides information on where investment might yield the best results based on the circular employment characteristics of individual sectors.  

Download the report

Planning for our future

The purpose of this research is to make sure Victorian workers are well-placed to reap the rewards of our transition to a circular economy, in which we maximise the value of resources to cut pollution and waste, and regenerate our natural systems. 

A circular economy is about more than waste reduction. Our research shows that transitioning to a circular economy will involve a wide range of activities, sectors, jobs and capabilities.  

Our findings indicate that circular jobs will not replace existing jobs. They will offer new opportunities for both highly educated and lower-skilled workers. These jobs will attract higher salaries on average. 

Four things to know

How we analysed the data  

The main challenge in supporting a circular workforce lies in the wide variety of work that takes place in a circular economy. 

To this end, our holistic framework provides definitions of circular jobs and economic sectors, and the occupations, skills and education required to effectively transition Victoria's workforce to a circular economy.

We conducted the analysis using: 

  • current National Census data
  • Circle Economy’s Key Elements Framework, considered international best practice for identifying circular economic activity
  • Australian and New Zealand Standard Industrial Classification (ANZSIC) and Australian and New Zealand Standard Classification of Occupations (ANZSCO), the standardised systems used by the Australian Bureau of Statistics to compile and analyse industry data
  • The Australian Skills Classification, developed by Jobs and Skills Australia.

Our research is effectively a translation of Circle Economy's Key Elements Framework into the Australian context and can be used to benchmark all circular economy initiatives. 

The methodology’s categorisation of circular sectors and capability profiles will enable the Victorian Government to monitor progress and plan for our future circular workforce. 

In Part 2 – Circular Jobs and Skills: A Workforce in Motion, we used a new methodology that adds a quantification of circular employment in Victoria. This quantification uses input-output analysis, a macroeconomic technique based on the interdependencies between industries, allowing the flow of circular goods and services to be linked to employment across the economy. 

It is recommended this methodology be used as a standardised, annual process to build a detailed picture of Victoria’s circular progress for evidence-based policymaking.

What's next

This work aims to support policy development, workforce initiatives, and broader economic development programs with evidence of what is required from an effective circular workforce. 

It lays the foundations for us to better understand:

  • what circular work is
  • the opportunities it provides
  • how Victorians can make the most out of those opportunities 

It is an exciting starting point to develop a workforce that can thrive in our sustainable and circular future. 

These two reports represent the culmination of our research into Victoria’s circular workforce. After 30 June 2026, this work will be transferred to the Victorian Skills Authority (VSA) and all enquiries about this research should be directed to vsa.enquiries@ecodev.vic.gov.au

This work supports the Victorian Government’s 10-year Clean Economy Workforce Development Strategy (CEWDS). The insights discussed in this report are already being used to inform several initiatives under this strategy.

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