Introduction
In simple terms efficiency of labor refers to the productive capacity of employees. It is the ability of a worker to complete a task within a given time. It shows how labor resources are utilized in the organization to obtain its goals and objectives. Efficiency of labor can be improved by providing training, improving working condition, offering ideal wage and incentives etc.
Factors Affecting Efficiency Of Labor
Some of the important factors affecting efficiency of labor can be described as follows:
1. Race And Heredity Of Worker
Race and heredity of employees highly affect the efficiency of labor. Laborers of some races are more efficient than others. Similarly, hereditary qualities such as individual qualities, moral qualities, intelligence etc. also influence the labor efficiency.
2. Attitudes And Personal Qualities
Attitudes and personal qualities of workers are also the major factors that affect efficiency of labor.
3. Working Environment
Working environment or conditions such as hours of work, work place, wage rate, regularity of payment etc. effect the labor efficiency in the organization.
4. Training And Education
Employee training and education also influence the labor efficiency. Properly trained employees are more efficient than less trained manpower.
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5. Social And Political Condition
Social conditions such as culture, tradition, security condition, economic condition etc. and political condition of the country affect the efficiency of labor of the nation.
6. Managerial Ability
Efficient management is required to increase labor efficiency in the organization. Better management promotes motivation, coordination and cooperation at the workplace which helps to increase the efficiency of labor.
7. Specialization And Division Of Labor
Specialization and division of labor also affect the efficiency of employees. Assigning tasks to workers as per their expertise and skills helps to improve their efficiency.
8. Collaboration And Teamwork
Effective communication, better collaboration and good teamwork also increases the efficiency of labor.
9. Technology/Automation
Technology is another factor that affects the efficiency of labor. Advance technology and automation helps to increase productivity per employee.
10. Job Satisfaction
Job satisfaction also affects employees' efficiency. Satisfied and motivated workers perform well than unsatisfied ones.