A Literature Review on Developing a Framework for Factors Affecting Labour Productivity and Suggestions to Improve It

Abstract

This literature review explores the development of a framework for understanding the factors that influence labor productivity and provides practical suggestions to enhance it. Drawing from a diverse range of academic sources and research papers, the review highlights the complex interplay between various macroeconomic and microeconomic factors, including technological advancements, skills, management practices, infrastructure, and labor market institutions. It emphasizes the need for a holistic approach that considers the synergistic effects of these factors and proposes strategies to improve labor productivity. These strategies encompass investment in research and development, fostering innovation, promoting human capital development, implementing effective management practices, improving infrastructure, enhancing labor market flexibility, and creating an enabling business environment. This review serves as a valuable resource for policymakers, researchers, and practitioners seeking evidence-based approaches to boost labor productivity and promote sustainable economic growth