Labor Productivity calculation analysis for Spa and Salon - Essay Example

Labor Productivity calculation analysis for Spa and Salon White Canada) Labor productivity calculation analysis is an important aspect in business because it gives a perspective on the production capacity of the labor. There are different types for the calculation of labor productivity and the simple way is ‘Output divided by input’ method. According to this method labor productivity is calculated by; Labor Productivity = Labor cost per day Production Units per day Labor cost per person – C $11.

86 /hr The working hours per day = 10 hrs Labor Cost Per Day = 118.6 Production Units per day – 105 Labor Cost = 118.6/105 = c$1.129 Labor productivity per unit= $ 1.129