Labor productivity in South Korea rose for two straight years as labor inputs declined on lower working hours, a government report showed Thursday.
The labor productivity index for all industries, or the percentage of industrial production to labor inputs, came to 101.9 in 2014, up 1.5 percent from a year earlier, according to the Ministry of Trade, Industry and Energy.
After falling 2.6 percent in 2012, the index rebounded 2.8 percent in 2013 before rising again last year.
The increasing labor productivity came as working hours reduced on the back of the government's efforts to help boost the lackluster private consumption by encouraging leisure activity.
The lower working hours resulted in a fall in labor inputs, while overall industrial production increased on efficient manufacturers and service companies.
The industrial output index rose 1.2 percent last year, but the labor input index slid 0.4 percent.
Labor productivity among service companies gained 2.7 percent in 2014 from a year earlier, but those for builders decreased 1.7 percent on lower production. The index for manufacturers was unchanged at 102.4 last year.