TOKYO: Japan ranked 29th for labor productivity among the 38 member countries of the Organization for Economic Cooperation and Development, a survey by the Japan Productivity Center showed Monday.

Japan’s per-hour productivity in 2023 came to 5,379 yen, or 56.8 dollars, up two notches from its all-time low logged the year before, according to the survey based on OECD data.

According to the Tokyo-based think tank, the improvement reflected Japan’s economic recovery after the COVID-19 pandemic and an economic slowdown in Europe.

But Japan remained in last place among the Group of Seven major economies. It was roughly on par with countries such as Poland, at 57.5 dollars per hour, and Estonia, at 56.5 dollars.

“The issue of prices is closely related to productivity,” the center said, expressing its view that a reason behind Japan’s low productivity was that high-quality products and services were undervalued and low-priced.

The survey used a purchasing power parity exchange rate of 94.68 yen per dollar, based on a comparison of goods and services prices between countries.

JIJI Press