Overall labour productivity in the Irish economy increased increased by 5.7% in Q3 2024 compared with Q2 2024 according to the latest figures from the Central Statistics Office.
The CSO measures productivity using gross value added (GVA) per worker, per hour. GVA is the total output of goods and services, minus input costs.
The high concentration of multinational firms helps to boost overall productivity figures.
They are listed in the 'Foreign Sector' which refers to sectors dominated by Foreign-Owned Multinational Enterprises (MNEs).
The most recent data shows productivity for the Domestic sector (€61.50 per hour) fell by 0.4% in Q3 2024 compared with Q2 2024.
In stark contrast labour productivity for the Foreign sector (€391.70 per hour) was up by 15.8%.
Overall, Ireland had the highest labour productivity (€106.7 per hour) in the EU in Q3 2024, above Luxembourg (€96.9 per hour) and over double the EU average (€44.8 per hour).
Total Economy multifactor productivity went up by 6% in Q3 2024 when compared with Q2 2024.
But quarter-on-quarter multifactor productivity for the Domestic sector was down by 0.2%, while Foreign sector multifactor productivity grew by 13.2%.
Kenneth Kennedy, Statistician in the CSO's National Accounts Analysis & Globalisation Division, said: “Domestic productivity in Ireland fell in July, August, and September (Q3) 2024.
"When compared with the previous quarter, labour productivity in the Domestic sector decreased by 0.4% to a value of €61.50 per hour.
"In the Foreign sector and the total economy, labour productivity increased by 15.8% and 5.7% respectively in Q3."
