How Labor Productivity can Affect Construction Efficiency

How Labor Productivity can Affect Construction Efficiency

The cost of labor takes a large portion of a construction project’s budget. But regardless of how good a construction crew is, the project will somehow experience inefficiency. And, this inefficiency can be traced back to labor productivity. So, how can labor productivity affect construction efficiency? Here are some of the ways labor can affect construction efficiency. 


Extending the workdays or even weeks won’t increase productivity. When a person works more than 8 hours per day or puts over 40 hours per week routinely, they become less productive. Working overtime continuously leads to poor attitude and physical fatigue. This reduces the morale of a person. Thus, performance decreases after working overtime for several weeks. 

Trade Stacking 

Having different trades working at the same time can seem like a more efficient way to complete a construction project. However, this will lower productivity if is not planned properly. 

This can be attributed to the following: 

  • Congestion in a space that is physically limited 
  • Increased loss of tools or the inability to find tools quickly 
  • Increased safety hazards 
  • Optimal crew size prevention 
  • Increased visitors to a construction site 

Trade stacking can cause between 10 and 30% effect on productivity and efficiency at a construction site. 


Material handling and procurements process can throw labor productivity off the balance. But, this is not the fault of a construction crew. Unfortunately, the contractor may not have control over finished materials. They may also not have control over material shipping processes. And, this can lead to disruptions at the construction site leading to inefficiencies. Poor logistics can reduce the number of hours that workers will be active at a construction site. And this will ultimately affect construction efficiency. 

In a nutshell, labor productivity affects the time a construction project takes. Taking appropriate measures to ensure optimal labor productivity will enhance construction efficiency and completion.