Previous literature has posited a strong correlation between economic compensation, and the dynamics of skills availability and labour supply and demand (Autor, 2014). Consequently, wage premiums have been recognised as valuable indicators of potential skill shortages, recruitment challenges, and the value of specic skills (Stephany & Teutloff, 2024; Saussay et al., 2022). Prior studies on green and AI occupations have shown that these jobs offer higher economic rewards (Vona et al., 2019; Alekseva et al., 2021). This tendency in wage premia is consistent with the skills shortages reported by employers in these domains. The novelty of this study is to delve into the variations in wages among different job vacancies and estimate the wage premium associated with AI and green skills. If jobs requiring AI skills are expected to yield higher productivity due to the application of these skills, it follows that

Furthermore, we anticipate that the AI and green skills premium may differ across skill types. For instance, skills such as Machine Learning or Energy Management are in high demand and should therefore yield a higher economic return. On average, we see that wages in AI and green OJV postings are higher than in other job advertisements (see Figure 4B). In contrast to the premium of higher formal education (Figure 4A), we see that AI roles offer wages on a stable level and signicantly 15 Gonzlez Ehlinger & Stephany, 2023. Skills or Degree? higher than any role mentioning formal education can offer on average. However, it is worth noticing as a limitation of this work that we only observe offered salaries by the nature of the data. This means that the later negotiated salaries for the position advertised might differ from the wage levels considered in our analysis. While the salaries listed may not accurately reect

s willingness to pay for the specic skill set required for the vacant position. Figure 4. (A) Higher education has a signicant premium on offered wages. Postings asking for a higher education degree offer around 40k GBP as salary about 10k GBP more than postings without higher education requirements. (B) The offered wage premium for AI postings is even larger. Throughout the observation period wages in AI jobs are signicantly higher than in other job postings (around 50k GBP), while green postings (33k GBP) and other postings (30k GBP) offer lower wages (95% condence intervals as shown). Additionally, when examining the premium on specic skills more closely, we see that high-wage skills are not necessarily those types of competencies that are most strongly demanded. There is considerable variance in offered wages across skill domains. For the case of

AI skills we observe that skills around Neural Networks3 and Natural Language Processing (NLP) are associated with higher wage offerings than skills around Robotics or Autonomous Driving. For green skills, Nuclear Energy offers wages at the same level as AI jobs, but the offered wages decline once considering skills in the eld of Energy more generally, and they are lowest for Waste Management (see Figure 5). The premium of AI and green skills is also visible within occupational domains. For the case of AI, corporate managers with AI skills earn around nine percent more than their less AI-savvy counterparts. This premium grows for 3 Computing systems inspired by the biological neural networks that constitute animal brains. 16 Gonzlez Ehlinger & Stephany, 2023. Skills or Degree? Business and Public Service Professionals (18 percent) and peaks for Sales Managers with 21 percent. For green skills, premia within occupations are much lower. Sales Managers, for