Spain trails in European productivity

22nd November 2007, Comments 0 comments

22 November 2007, Madrid - While the Spanish economy has motored ahead of its European partners for over a decade in terms of growth, it continues to lag behind in the productivity stakes.

22 November 2007

Madrid - While the Spanish economy has motored ahead of its European partners for over a decade in terms of growth, it continues to lag behind in the productivity stakes.

According to a study released yesterday by the European Commission, labor productivity as measured by real GDP per employee rose only 0.7 percent last year. On that basis, Spain was only ahead of Portugal and Italy, and way behind the likes of Germany, which increased by 2.7 percent.

One of the factors behind this has been a massive influx of immigrants, which has swelled the workforce, with the generally low-cost labor they offer providing employers with few incentives to invest in innovation to enhance efficiency.

[Copyright EL PAÍS, SL. 2007]

Subject: Spanish news

 

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