falling-labour-productivity

Why is it in the news ?

Annual Survey of Industries data on India’s labour productivity growth shows that India’s labour productivity between 2016 and 2018 grew by just 3.7 per cent.

What is Labour Productivity ?

Labour productivity is an important economic indicator that is closely linked to economic growth, competitiveness, and living standards within an economy.

  • Labour productivity = GDP at constant prices/Number of employed persons

Annual Survey of Industries (ASI)

  • The Annual Survey of Industries (ASI) is the principal source of Industrial Statistics in India.
  • The survey was conducted annually under the statutory provisions of the Collection of Statistics Act 1953.