Enterprises consider the following to be the main factors for growth in labor productivity in 2024.
Posted: Wed Jan 22, 2025 3:50 am
In 2024, business expects labor productivity to grow by 3.2%, according to data from the Bank of Russia. Among the tools for increasing it are the de-mothballing of old capacities and the replacement of some workers with robots.
In 2024, Russian companies expect labor productivity to grow by 3.2% (this is the median value, i.e. half of the surveyed companies predict a figure higher than the specified level, and the other half - lower). This was reported by the Bank of Russia in its March report on regional economies, citing its monitoring of enterprises. Almost 30% of the surveyed companies expect that the physical volume of output per employee (as labor productivity was defined in the survey) will grow this year by 6 to 15% or more.
Against the backdrop of record capacity utilization, companies are planning to increase productivity through the optimization of business processes, the introduction of new equipment and the "de-preservation" of old equipment, as well as an increase in the average number of hours worked by employees, according to the Central Bank's report.
In which industries will productivity increase?
According to the results of 2022 (the most up-to-date statistics to date), labor productivity in Russia fell by 3.6% after growing by 3.7% the year before. Rosstat defines the dynamics of labor productivity as the ratio of the change in real GDP to the change in labor costs (that is, the amount of time worked by all workers in the economy). In 2023, the indicator should have grown by 1.7%, and in 2024 - by 1.6%, the Ministry of Economic Development estimated in its September macroeconomic forecast. Given the negative demographic trends and labor shortages, today it is "critically important to radically increase labor productivity," President Vladimir Putin said during his recent address to the Federal Assembly.
The largest increase in azerbaijan whatsapp number database labor productivity in 2024 is expected by companies producing investment goods (i.e. machinery, equipment, construction materials) — by 4.2% (median), according to the Bank of Russia report. In the fourth quarter of 2023, the level of production capacity utilization reached a historical maximum (81%), which provoked a significant increase in companies' investments in the modernization and expansion of production, according to the Central Bank's materials. In the production of intermediate goods (raw materials, materials, components), labor productivity will grow by 3.9%, in the extraction of minerals — by 3.8%, business expects.
Current satisfaction of industrial enterprises with the level of labor productivity is at 76% (in October 2023 it was 84%), economist Sergei Tsukhlo, who has been conducting monthly business surveys of enterprises for many years, told RBK. Plans for early 2024 to increase labor productivity are close to historical highs, he added.
How can efficiency be improved?
Optimization of production and business processes . Such optimization was named the main productivity factor by 45% of Russian companies, the monitoring showed. Among industries, this option turned out to be the most popular in the extraction of minerals - 67% of mining organizations announced such plans, as well as in construction (49%). We are usually talking about a set of measures to reduce labor and resource costs, which can vary significantly from company to company and from industry to industry.
There are a number of sectors in the Russian economy with unproductive employment, said the head of the Ministry of Economic Development Maxim Reshetnikov earlier, citing the example of expenses in the security and accounting sectors. In particular, he noted that the presence of security guards is often due to "excessive" security requirements, "although everything could have been replaced with cameras a long time ago." At the same time, in his opinion, artificial intelligence will have a positive effect on labor productivity - in particular, by expanding the capabilities of employees in performing routine or dangerous tasks.
In 2024, Russian companies expect labor productivity to grow by 3.2% (this is the median value, i.e. half of the surveyed companies predict a figure higher than the specified level, and the other half - lower). This was reported by the Bank of Russia in its March report on regional economies, citing its monitoring of enterprises. Almost 30% of the surveyed companies expect that the physical volume of output per employee (as labor productivity was defined in the survey) will grow this year by 6 to 15% or more.
Against the backdrop of record capacity utilization, companies are planning to increase productivity through the optimization of business processes, the introduction of new equipment and the "de-preservation" of old equipment, as well as an increase in the average number of hours worked by employees, according to the Central Bank's report.
In which industries will productivity increase?
According to the results of 2022 (the most up-to-date statistics to date), labor productivity in Russia fell by 3.6% after growing by 3.7% the year before. Rosstat defines the dynamics of labor productivity as the ratio of the change in real GDP to the change in labor costs (that is, the amount of time worked by all workers in the economy). In 2023, the indicator should have grown by 1.7%, and in 2024 - by 1.6%, the Ministry of Economic Development estimated in its September macroeconomic forecast. Given the negative demographic trends and labor shortages, today it is "critically important to radically increase labor productivity," President Vladimir Putin said during his recent address to the Federal Assembly.
The largest increase in azerbaijan whatsapp number database labor productivity in 2024 is expected by companies producing investment goods (i.e. machinery, equipment, construction materials) — by 4.2% (median), according to the Bank of Russia report. In the fourth quarter of 2023, the level of production capacity utilization reached a historical maximum (81%), which provoked a significant increase in companies' investments in the modernization and expansion of production, according to the Central Bank's materials. In the production of intermediate goods (raw materials, materials, components), labor productivity will grow by 3.9%, in the extraction of minerals — by 3.8%, business expects.
Current satisfaction of industrial enterprises with the level of labor productivity is at 76% (in October 2023 it was 84%), economist Sergei Tsukhlo, who has been conducting monthly business surveys of enterprises for many years, told RBK. Plans for early 2024 to increase labor productivity are close to historical highs, he added.
How can efficiency be improved?
Optimization of production and business processes . Such optimization was named the main productivity factor by 45% of Russian companies, the monitoring showed. Among industries, this option turned out to be the most popular in the extraction of minerals - 67% of mining organizations announced such plans, as well as in construction (49%). We are usually talking about a set of measures to reduce labor and resource costs, which can vary significantly from company to company and from industry to industry.
There are a number of sectors in the Russian economy with unproductive employment, said the head of the Ministry of Economic Development Maxim Reshetnikov earlier, citing the example of expenses in the security and accounting sectors. In particular, he noted that the presence of security guards is often due to "excessive" security requirements, "although everything could have been replaced with cameras a long time ago." At the same time, in his opinion, artificial intelligence will have a positive effect on labor productivity - in particular, by expanding the capabilities of employees in performing routine or dangerous tasks.