WELLINGTON, Feb. 22 (Xinhua) -- New Zealand's labor productivity rose 0.9 percent in the year ended March 2017, the country's statistics department Stats NZ said on Thursday.
Growth in the workforce saw labor inputs for the measured sector increase 2.9 percent, while the economy expanded 3.8 percent, Stats NZ said, adding that labor productivity measures the quantity of goods and services (output) produced for each hour of labor.
"The latest figures show that New Zealand workers could produce 133 goods or services each hour in 2017, compared with 100 an hour 20 years ago," national accounts senior manager Gary Dunnet said in a statement.
Labor productivity is one of the three major productivity measures produced; the other two are multifactor productivity and capital productivity, Dunnet said, adding that both multifactor and capital productivity also rose in the year ended March 2017.
Growth in labor productivity in goods-producing industries was up 1.6 percent in the year ended March 2017, boosted largely by 3.9 percent growth in labor productivity in the construction industry.
Service industries recorded labor productivity growth of 0.8 percent in aggregate over the year, while primary industries, such as agriculture, forestry, fishing, and mining, collectively recorded a 0.6-percent decline, statistics show.
Multifactor productivity rose 1 percent for the year, reflecting the effects of unobserved inputs such as technological progress, efficiency gains, and economies of scale, he said.
In the long run, productivity is regarded as key to increasing New Zealand's standard of living, as workers share the fruits of their labor. By producing more for each hour worked, their incomes may rise and the country becomes wealthier, Dunnet said.