Assessing the Wealth Creating factors for Labor Efficiency in Sri Lankan Tea Industry: Development of a Conceptual Framework

  • S. W. G. K. Bulankualama
  • G. R. H. W. Gamagewaththa


Tea plantation create the nature in wet zone to create the wealth in which tea industry plays a vital role in Sri Lankan economy. Labor productivity is one of major key concept of the tea industry. Sri Lanka has been one of the major tea producing country in the world and its contribution to the overall economy is 0.9%. (CBSL 2014). It has been the biggest provider of export earnings, government revenue and also employment opportunities. Especially tea industry is concern as a labor intensive industry. Tea industry determines Productivity is the one of the most important factor that affects overall performance of any small or medium or large scale tea industries. However it has been declined significantly because of low labor productivity. Education, training, technology, welfare facilities and labor policies are the factors that directly affect the efficiency of labor productivity, thus it is important for any organization to study and identify those factors and take an appropriate action for improving the labor efficiency. Researchers have explored the specific variables associated with labor efficiency. This study aims at proposing a conceptual model for empirical examination for assessing the wealth creating factors for improving labor efficiency in Sri Lankan tea industry. Further empirical literature has identified labor efficiency is highly correlated with the total productivity of tea. In this paper, an attempt is made to present a simple conceptual model by the application of which the overall efficiency of Production-workers can be measured and actions can be initiated to improve the same towards desired output level.Keywords: Sri Lankan tea industry, labor efficiency, wealth creating factors, conceptual model