Class XI, Principles of Economics, "Efficiency of Labour"

Efficiency of Labour

In very simple words efficiency of labour mean productive capacity. The capacity of a worker to work more or less in a given period of time is called his efficiency. Marshal defines efficiency as
“At a particular time the ability of a labourer to do better or much better and more work is deemed as the efficiency of labour.”

Efficiency of labour is a comparative concept. It compares the two or more workers. For example if a carpenter can make three chairs a day and another can make only one chair a day then this Implies that the efficiency of labour of the first worker is three times more than of the second. All the labours performing the same work turnout with different qualities in the same time depending upon their efficiency .All the laboures may not give similar output on a given period of time due to a difference their efficiency. Generally it depends upon the following factors:

• Personal qualities of labourer.
• Atmosphere of a country
• Atmosphere of the working place
• Ability of the organizer
• Miscellaneous