Worker Productivity

In liberal market economies, worker productivity is one of the key factors for the economic performance and competitiveness of a national economy. Because economic growth is achieved either by increasing employment or by more effective work by employees, worker productivity is both an important indicator and a major policy goal for economic development and growth. As a key factor for economic systems, it is interconnected with and influenced by several other economic variables. Hence, the analysis of worker productivity and its development reveals important information about production or service systems, labor markets, human capital, and living standards.

According to the International Labour Organization (ILO), worker productivity—or labor productivity, which is used synonymously—represents the amount of output per unit of work time or employee. In addition to ...