IDEAS home Printed from https://ideas.repec.org/a/gam/jecomi/v10y2022i11p287-d974614.html
   My bibliography  Save this article

Assessment of Labour Productivity and the Factors of Its Increase in European Union 27 and Ukrainian Economies

Author

Listed:
  • Tetiana Kornieieva

    (Instituto Superior de Gestão Superior, 1700-284 Lisbon, Portugal)

  • Miguel Varela

    (Instituto Superior de Gestão Superior, 1700-284 Lisbon, Portugal)

  • Ana Lúcia Luís

    (Instituto Superior de Gestão Superior, 1700-284 Lisbon, Portugal)

  • Natália Teixeira

    (Instituto Superior de Gestão Superior, 1700-284 Lisbon, Portugal)

Abstract

The article is devoted to identifying the impact of factors on the increasing labour productivity in the economies of the European Union-27 (EU-27) and Ukraine. The system of influencing factors that must be taken into account in the assessment of the labour productivity indicator was substantiated. The factors are based on the most significant indicators of innovative development (innovative activity; formation and the use of personnel; the state of use of fixed capital; the composition of the payroll budget; investment activity; and the use of working time). Based on the use of the method of linearization of the labour productivity model, the rating coefficients of the influence of factors for the economies of the EU-27 and Ukraine were determined. It has been proven that the following factors have a significant positive impact on labour productivity: an increase in the costs of scientific research and development; the growth of enterprises expenditures on research and development (R&D) in high-tech sectors; the increase in the share of scientific research personnel and researchers in the total number of the employed population; the growth of costs for the innovation of industrial enterprises; an introduction to the production of new technological processes and innovative types of products; the purchase of machinery, equipment, and software; an increase in the share of the employed population that has a basic higher education (bachelor’s degree); the growth in the share of the employed population that has a full higher education (master’s degree); the increase in the share of enterprises providing training; the increase in the capital–labour ratio; the technological equipment of labour; the machine equipment of labour; the renewal of fixed capital; and the increase in the level of intellectualization of fixed capital. The available reserves for increasing the labour productivity in EU-27 economies and Ukraine were clarified, and recommendations for managing the labour productivity in the conditions of innovative development have been provided. This study gains relevance when Ukraine has assumed the official status of an EU candidate country and the advantages and potential difficulties in the membership process should be evaluated. Labour productivity will be one of the key factors in the post-conflict recovery of the economy.

Suggested Citation

  • Tetiana Kornieieva & Miguel Varela & Ana Lúcia Luís & Natália Teixeira, 2022. "Assessment of Labour Productivity and the Factors of Its Increase in European Union 27 and Ukrainian Economies," Economies, MDPI, vol. 10(11), pages 1-25, November.
    • Handle: RePEc:gam:jecomi:v:10:y:2022:i:11:p:287-:d:974614
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2227-7099/10/11/287/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2227-7099/10/11/287/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. David Autor & Anna Salomons, 2018. "Is Automation Labor-Displacing? Productivity Growth, Employment, and the Labor Share," NBER Working Papers 24871, National Bureau of Economic Research, Inc.
    2. Enrico Marelli & Marcello Signorelli, 2010. "Employment, productivity and models of growth in the EU," International Journal of Manpower, Emerald Group Publishing Limited, vol. 31(7), pages 732-754, October.
    3. Hartmut Egger & Peter Egger, 2006. "International Outsourcing and the Productivity of Low-Skilled Labor in the EU," Economic Inquiry, Western Economic Association International, vol. 44(1), pages 98-108, January.
    4. Fagerberg, Jan, 1996. "Technology and Competitiveness," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 12(3), pages 39-51, Autumn.
    5. Roth, Felix, 2019. "Intangible Capital and Labour Productivity Growth: A Review of the Literature," Hamburg Discussion Papers in International Economics 4, University of Hamburg, Department of Economics.
    6. Nader AlKathiri, 2022. "Labour productivity growth and convergence in manufacturing: A nonparametric production frontier approach," Applied Economics, Taylor & Francis Journals, vol. 54(4), pages 406-429, January.
    7. Ramon Gomez-Salvador & Alberto Musso & Marc Stocker & Jarkko Turunen, 2006. "Labour productivity developments in the euro area," Occasional Paper Series 53, European Central Bank.
    8. Richard Blundell & Lorraine Dearden & Costas Meghir & Barbara Sianesi, 1999. "Human capital investment: the returns from education and training to the individual, the firm and the economy," Fiscal Studies, Institute for Fiscal Studies, vol. 20(1), pages 1-23, March.
    9. Riccardo Pariboni & Pasquale Tridico, 2020. "Structural change, institutions and the dynamics of labor productivity in Europe," Journal of Evolutionary Economics, Springer, vol. 30(5), pages 1275-1300, November.
    10. Sanghoon Ahn, 2002. "Competition, Innovation and Productivity Growth: A Review of Theory and Evidence," OECD Economics Department Working Papers 317, OECD Publishing.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. AIYEDOGBON John O & OLOGUNLA Emmanuel Sunday & SHAGI Zabwari Abdu, 2024. "Impact of Taxation on Human Capital Development in Nigeria: 1994-2022," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(7), pages 1624-1637, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Richard Dion & Robert Fay, 2008. "Understanding Productivity: A Review of Recent Technical Research," Discussion Papers 08-3, Bank of Canada.
    2. Viktorija Bobinaite & Inga Konstantinaviciute & Akvile Cibinskiene & Daiva Dumciuviene, 2022. "Labour Productivity as a Factor of Tangible Investment in Companies Producing Wind Energy Components and Its Impacts: Case of Lithuania," Energies, MDPI, vol. 15(13), pages 1-29, July.
    3. Erik Canton & Bert Minne & Ate Nieuwenhuis & Bert Smid & Marc van der Steeg, 2005. "Human capital, R&D, and competition in macroeconomic analysis," CPB Document 91.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    4. Alhassan Abdul-Wakeel Karakara & Evans Osabuohien, 2020. "ICT adoption, competition and innovation of informal firms in West Africa: a comparative study of Ghana and Nigeria," Journal of Enterprising Communities: People and Places in the Global Economy, Emerald Group Publishing Limited, vol. 14(3), pages 397-414, June.
    5. Cornelia Serena, PASCA, 2016. "The Human Capital - A Long Term Investment," Contemporary Economy Journal, Constantin Brancoveanu University, vol. 1(4), pages 51-62.
    6. Matteo G. Richiardi & Luis Valenzuela, 2024. "Firm heterogeneity and the aggregate labour share," LABOUR, CEIS, vol. 38(1), pages 66-101, March.
    7. Joshua Greenstein, 2020. "The Precariat Class Structure and Income Inequality among US Workers: 1980–2018," Review of Radical Political Economics, Union for Radical Political Economics, vol. 52(3), pages 447-469, September.
    8. Hahn, Robert & Evans, Lewis, 2010. "Regulating Dynamic Markets: Progress in Theory and Practice," Working Paper Series 4052, Victoria University of Wellington, The New Zealand Institute for the Study of Competition and Regulation.
    9. T. Gries & R. Grundmann & I. Palnau & M. Redlin, 2017. "Innovations, growth and participation in advanced economies - a review of major concepts and findings," International Economics and Economic Policy, Springer, vol. 14(2), pages 293-351, April.
    10. Jörn H. Block & Christian O. Fisch & James Lau & Martin Obschonka & André Presse, 2019. "How Do Labor Market Institutions Influence the Preference to Work in Family Firms? A Multilevel Analysis Across 40 Countries," Entrepreneurship Theory and Practice, , vol. 43(6), pages 1067-1093, November.
    11. Dario Cords & Klaus Prettner, 2022. "Technological unemployment revisited: automation in a search and matching framework [The future of work: meeting the global challenges of demographic change and automation]," Oxford Economic Papers, Oxford University Press, vol. 74(1), pages 115-135.
    12. John Burgess & Julia Connell, 2020. "New technology and work: Exploring the challenges," The Economic and Labour Relations Review, , vol. 31(3), pages 310-323, September.
    13. Weifeng Xu & Qingsong Ruan & Chang Liu, 2019. "Can the Famous University Experience of Top Managers Improve Corporate Performance? Evidence from China," Sustainability, MDPI, vol. 11(24), pages 1-20, December.
    14. Morgenroth, Edgar & FitzGerald, John & FitzGerald, John, 2006. "Summary and Conclusions," Book Chapters, in: Morgenroth, Edgar (ed.),Ex-Ante Evaluation of the Investment Priorities for the National Development Plan 2007-2013, chapter 24, pages 317-333, Economic and Social Research Institute (ESRI).
      • Baker, Terence J. & FitzGerald, John & Honohan, Patrick & FitzGerald, John & Honohan, Patrick, 1996. "Summary and Conclusions," Book Chapters, in: Baker, Terence J. (ed.),Economic Implications for Ireland of EMU, chapter 12, pages 339-352, Economic and Social Research Institute (ESRI).
    15. Venturini, Francesco, 2022. "Intelligent technologies and productivity spillovers: Evidence from the Fourth Industrial Revolution," Journal of Economic Behavior & Organization, Elsevier, vol. 194(C), pages 220-243.
    16. Sangui Wang & Lijuan Zheng, 2024. "The Impacts of the Poverty Alleviation Relocation Program (PARP) on Households’ Education Investment: Evidence from a Quasi-Experiment in Rural China," Sustainability, MDPI, vol. 16(10), pages 1-23, May.
    17. Aleksandra Parteka & Joanna Wolszczak-Derlacz, 2013. "The Impact of Trade Integration with the European Union on Productivity in a Posttransition Economy: The Case of Polish Manufacturing Sectors," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 49(2), pages 84-104, March.
    18. Ülengin, Füsun & Kabak, Özgür & Önsel, Sule & Aktas, Emel & Parker, Barnett R., 2011. "The competitiveness of nations and implications for human development," Socio-Economic Planning Sciences, Elsevier, vol. 45(1), pages 16-27, March.
    19. Martin Falk, 2012. "International Outsourcing and Productivity Growth," Review of Economics and Institutions, Università di Perugia, vol. 3(1).
    20. Hötte, Kerstin, 2023. "Demand-pull, technology-push, and the direction of technological change," Research Policy, Elsevier, vol. 52(5).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jecomi:v:10:y:2022:i:11:p:287-:d:974614. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.