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Amsterdam's Post-Pandemic Tourism Boom Creates Labor Shortage, Drives Circular Economy
Post-pandemic tourism recovery set the stage for labor shortages and a shift toward circular targets.
How we reported this
Amsterdam recorded 4.5 percent economic growth in 2022 after tourist arrivals jumped 138 percent to 6.9 million visitors, according to figures compiled by Research and Markets at https://www.researchandmarkets.com/reports/5970638/city-profile-amsterdam-comprehensive-overview. The rebound followed the resumption of travel after pandemic restrictions lifted.
From recovery to tightness
The service sector accounted for 23.2 percent of national GDP in 2022, confirming Amsterdam as the largest economic region in the Netherlands per data held at https://onderzoek.amsterdam.nl/dossier/economie. That same year the city faced one short-term unemployed worker for every six job openings, a ratio documented in OECD analysis at https://www.oecd.org/content/dam/oecd/en/publications/reports/2023/01/policy-options-for-labour-market-challenges-in-amsterdam-and-other-dutch-cities_1496859a/181c0fff-en.pdf. Unemployment stood at 4 percent while employers reported persistent worker shortages.
Circular jobs already made up 11 percent of employment in the Amsterdam Metropolitan Area, above the national average, as the city works toward a fully circular economy by 2050. The local economy is projected to expand 1.6 percent in 2025, led by business services and ICT sectors, according to the same research portal.
Material-use data prompts new targets
New measurements showed annual material use at 73.4 billion kilograms, 61 times higher than earlier estimates, with scope 3 emissions forming 70 to 90 percent of the total, per the analysis at https://weall.org/resource/amsterdam-netherlands-measuring-a-wellbeing-economy/. Amsterdam adopted the doughnut economic framework to reach 100 percent circular status by 2050 and halve primary abiotic material use by 2030, details outlined in city planning documents at https://www.etoa.org/wp-content/uploads/2020/08/Amsterdam-City-in-Balance-2018-2022.pdf.
Officials continue to track these indicators through the circular economy monitor hosted at https://onderzoek.amsterdam.nl/publicatie/the-circular-economy-monitor-an-outline. The next steps center on refining measurement methods and adjusting procurement rules to meet the 2030 material-use reduction goal.