HR Glossary

What is Labor Productivity?

A measure of economic output per unit of labor input, typically expressed as revenue, units produced, or value added per employee hour worked, used to assess how efficiently a workforce converts effort into results.

Why it matters in hiring

Labor Productivity comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with L

• Labor Law
• Lateral Hiring
• Leadership Development Program
• Learning Management System (LMS)
• Learning Pathway
• Life Insurance
• Living Wage
• Lohnsteuer - Wage Tax (Germany)

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.