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Question

Explain briefly the meaning of 'efficiency of labour' and state four factors which determine the efficiency of labour.

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Solution

Efficiency of labour refers to he ability of an employee to complete one task given within the time and without any wastage of resources.Four factors which determine the efficiency of labour are:
a) Employer-employee relation: Efficiency of labour also depends upon the employer-employee relations. If the relations between the two are friendly and cordial, efficiency of labour will be high.
b) Social conditions: If the society to which the workers belong is backward, and is based on caste and creed relationships, workers will not work in cooperation with workers belonging to other castes. Thus labour efficiency will be low.
c) Climatic conditions: The climate of a place also determines the efficiency of labour in a country. Workers who live and work under hot climate become tired soon both physically and mentally. As a result, their efficiency declines.
d) Wages: A worker who receives sufficiently high wages which ensure an adequate standard of living will have high efficiency. A low-paid worker always grumbles and is unable to put his heart into the job. Consequently, his efficiency is low.

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