Clean Energy Sector Shed 36,949 Jobs in 2025
Federal policy reversals and project cancellations impacted workforce growth across the U.S. clean energy sector.
Updated on Sept. 28, 2026 in Employment
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The United States clean energy industry lost 36,949 jobs in 2025, bringing total employment in the sector to 3.52 million workers. This contraction followed significant project cancellations and shifted federal support for clean energy and electric vehicles.
Why it matters
Federal policy reversals forced the cancellation or scaling back of 142 energy projects, directly suppressing hiring demand and investment across the sector. Businesses must now account for increased volatility in energy project pipelines as federal support mechanisms shift.
The clean energy sector's 36,949 job losses accounted for 43% of the 86,000 total energy industry jobs shed in 2025. Employment in oil and gas companies currently stands at 958,000 workers, while coal and nuclear sectors employ 125,000 and 70,000 workers, respectively.
The details
Job losses were concentrated in 35 states, with California experiencing the most significant contraction at nearly 21,000 roles. Conversely, Florida saw job growth with a net increase of about 3,800 positions. Operational delays followed the cancellation or downsizing of 142 manufacturing, generation, and storage projects during the year.
Timeline
2024 marked a period of employment gains for the sector.
2025 saw the clean energy sector lose 36,949 jobs.
October 2026 is the expected release date for the full Clean Jobs America 2026 report.
Market Landscape
The 2025 employment contraction represents a marked reversal from the growth observed across the clean energy sector in 2024. This trend highlights the sensitivity of long-term energy project development to changes in federal support policies.
Operators should monitor local project development timelines, as the cancellation of 142 manufacturing and storage projects in 2025 indicates potential volatility for supply chain partners. Given the 43% contribution of clean energy to total industry job losses, businesses tied to energy transition investments should re-evaluate 2026 labor requirements.
The takeaway
The sector lost nearly 37,000 jobs as federal policy shifts prompted widespread project scaling. Operators should track legislative signals to gauge future site-permitting risks and staffing needs for upcoming energy infrastructure projects.
What happens next
The full Clean Jobs America 2026 report is scheduled for release in October 2026, which will likely provide a detailed breakdown of regional and sub-sector employment impacts.
Further reading
For broader trends on labor shifts in the energy sector, review our latest Employment coverage.
Source note: This article includes information reported by Electrek.
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