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Home BUSINESSCentral government productivity falls by 2.5 %
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Sat, 12 Oct, 2013 12:05:47 AM
FTimes Report, October 12

The overall productivity of central government agencies and institutions fell by 2.5 per cent in 2012 from the previous year. 

The productivity of labour, however, rose by 1.1 per cent from 2011, according to Statistics Finland. 

The added up volume of output of central government agencies and institutions fell by around one per cent. Labour input diminished by 2.1 per cent and total input rose by 1.5 per cent. 

These data derive from the statistics on central government productivity compiled by Statistics Finland, said a press release issued on Friday.  

The most visible change in 2012 was the weakening of total productivity by 2.5 per cent. The 2.1 per cent fall in labour input was also significant. 

Total productivity deteriorated because total input went up by 1.5 per cent and the volume of output went down by 1.0 per cent. 

In turn, the rise in the productivity of labour was caused by the fact that the use of labour input fell more than the volume of output. 

The productivity of labour has been growing continuously since 2005 in all statistical years except for the year 2009, when the productivity of labour dropped slightly. 

By contrast, the development in total productivity has fluctuated in different years.   

Calculations for the statistics on central government productivity are performed as an examination of pairs of years by comparing the volumes of outputs and inputs for the services of a respondent unit in two successive years.

Units removed from the central government sector and newly established units without comparison data from the preceding year are excluded from the comparison.

The agencies and institutions included in the measurement vary slightly from one year and administrative sector to the next depending on the quantity and quality of the obtained responses, according to the release.

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