WELLINGTON, April 16 (Xinhua) -- New Zealand's labor productivity fell 0.9 percent in the year ended March 2023, the largest fall since 2009, which followed a rise of 1 percent in the year ended March 2022, according to the statistics department Stats NZ on Tuesday.
Labor productivity measures the quantity of goods and services produced, or output, per hour of labor.
"A fall in labor productivity means that we are producing less output per hour of labor," said Ruvani Ratnayake, senior manager of Stats NZ national accounts industry and production.
A fall was also seen in multifactor productivity, down 2.2 percent, which captures the effects of unobserved inputs such as technological progress, efficiency gains, and economies of scale, Ratnayake said.
Notable events affecting the economy in the year ended March 2023 included the closure of the Marsden point refinery, the removal of COVID-19 restrictions including border closures, and extreme weather events in the North Island, he said.
These statistics cover the measured sector, which is mainly market-sector industries, and covers approximately three-quarters of New Zealand's economy, he added.
Predominantly non-market service industries like education and healthcare are not included within the measured sector, Ratnayake said, adding productivity is best analyzed over business growth cycles, as annual movements can be volatile. ■
