Achieving climate neutrality requires carbon–neutral energy production and transforming production and consumption for greater energy efficiency and lower resource use, while explicitly involving the phasing-out of coal as the main source of energy in the majority of Western Balkan countries, including Bosnia and Herzegovina (BiH). The anticipated transition from coal to green energy, though yet to begin, will have significant social and economic impacts, particularly in coal-dependent regions, affecting labor markets, public budgets, and community well-being through job losses and ripple effects on suppliers. This chapter draws on Green FORCE research in Bosnia and Herzegovina to assess the budgetary and distributional impacts of coal mine closures and job losses. It provides an evidence-based analysis of how the transition will affect employment at both local and national levels, highlighting the need for policy responses to mitigate adverse labor market effects and ensure a just transition. At least this chapter contributes to the broader discourse on the equitable management of coal phase-out policies and recommends workforce retraining, economic diversification, and regional interventions.