Productivity in industry



Institute of National Accounts (INR) & Eurostat


Labour productivity: a measure of efficiency of the labour deployed. This shows the relationship between the gross value added and employment in a sector, a country or region.

Gross value added:  the difference between the value of the goods and services produced and the value of the goods and services used in the production process. In other words, it is the value that the production factors of labour and capital add to the used or intermediary goods and services.

This is ’gross’ value added, meaning that the consumption of fixed assets (depreciations) is included.
Production price valuation is based on basic prices. This means that the production does not include value added tax charged by the producer, nor any other product-linked taxes, such as excise duties. It does, however, include product-linked subsidies.

Employment: this includes employees and the self-employed as defined in accordance with ESA 2010. Employees are persons who perform work based on an employment contract (whether or not formal) against remuneration for another institutional unit in the country. Persons on the payroll are only classified as employees if they are not primarily self-employed. Self-employed persons are persons who work as owners or co-owners in a company without legal personality which is not considered a quasi-partnership. The self-employed also include non-paid family members, home workers whose income depends on the output of the production process for which they are responsible and workers who produce solely for their own consumption or investments.

Industry is defined as NACE rev.2 05-33 minus NACE 19 (coke and petroleum refining).

Remarks on quality

The ESA 2010 (European System of Accounts) ensures a similar compilation of the aggregate across Member States. The data for the most recent years may be revised due to the availability of new statistical information (from annual reports, information from relevant actors, etc.) and the alignment with the national accounts, which may also be revised.


Institute of National Accounts (INR): Regional accounts

Eurostat: National Accounts – detailed breakdowns


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