Amman: The Jordan Strategy Forum (JSF) recently released a policy brief titled "Productivity Levels in Jordan: Paradoxes between Reality and Aspiration," providing an in-depth analysis of productivity levels within the Jordanian economy. The brief aimed to compare productivity indicators in Jordan with those from global and Arab countries, drawing on data and estimates from the International Labour Organization (ILO). The study notably found that Jordan ranks fifth globally in terms of equivalent working hours compared to productivity.
According to Jordan News Agency, the summary included a detailed analysis of productivity across key economic activities to pinpoint major influencing factors and offer practical recommendations for enhancing economic efficiency and competitiveness. The JSF's analysis identified the Mines and Quarries (Mining) sector as the leader in worker productivity, achieving approximately JD46.1 per working hour. This was followed by the Agriculture sector, which recorded JD37.8 per hour.
The brief underscored the importance of understanding the relationship between working hours and average productivity per worker hour, emphasizing that this is a crucial aspect of analyzing labor market efficiency. Despite the common belief that longer working hours might boost productivity, economic literature and international comparisons suggest that the relationship is not necessarily directly positive.
To provide context within an international economic framework, the JSF examined 2023 data from 83 countries across various regions, using two metrics: average weekly working hours per worker and average Gross Domestic Product (GDP) per working hour, according to ILO data. Preliminary findings revealed an inverse relationship: as weekly working hours rise, worker productivity per hour tends to decline, and vice versa.
The JSF recommended reviewing how working hours are organized within companies to ensure more efficient time usage and higher productivity. This shift includes fostering an organizational culture focused on performance and outputs rather than mere time attendance, and developing incentive systems that encourage creativity, self-commitment, mastery, and quality work.
Additionally, the forum highlighted the need for ongoing development of human capital through specialized training courses that emphasize digital skills, such as computer and software proficiency, Artificial Intelligence (AI), and managerial skills in time, cost, and project management. This initiative aims to enhance the productivity of the labor force and various economic activities.
The JSF also stressed the necessity of conducting specialized analytical studies at the sectoral level to accurately diagnose weaknesses and low productivity. By identifying core factors that impact work efficiency, such as structural or institutional culture, operating models, skills, or technology systems, more targeted and effective interventions, programs, and policies can be designed to boost sectoral productivity.