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How to Calculate Labor Productivity.
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How to Calculate Labor Productivity.

Rosemary Njeri

Labor productivity represents the total volume of output produced per unit of labor during a given time reference period.

Labor productivity is an important factor in determining the long-run trend rate of economic growth.

Formula to calculate labor productivity.

Calculate Labor Productivity.

Example:

A factory with 800 employees produced 80,000 items in a certain month. Calculate the labor productivity.

Calculate Labor Productivity.

Therefore, one employee produces 100 items.

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