LAPSE:2023.35458
Published Article
LAPSE:2023.35458
Labour Productivity as a Factor of Tangible Investment in Companies Producing Wind Energy Components and Its Impacts: Case of Lithuania
April 28, 2023
This paper aims at justifying the significance of investment in the improvement of labour productivity (LP) and importance of the latter on economic performance of companies manufacturing wind energy components (WEC) in Lithuania in terms of value added (VA) created, profitability and wage earned. The time period covered is 2000−2020. The following methods have been employed: analysis of legal acts, programmes, strategies, and business structure and finance indicators, interdependence (correlation and regression), trend, case analysis, logical economical reasoning and graphical representation. The research results of current status analysis showed that the business of WEC manufacturing is small in regard to their variety of products but increasing in terms of VA and employment in Lithuania. Investment has been found as a driver of improvement in LP. The calculated historical ratio of change in LP to investment showed that, on average, after 1000 EUR per employee has been invested in tangible assets (TA), the LP increased by 0.13 EUR/h. A higher than average ratio was found in the manufacture of other transport and repair and installation of machinery and equipment (1.41), such as rubber, plastic and other non-metallic mineral products (0.17), but lower in the manufacture of electronic and communication (0.12) and metal (0.06) products. Taking into account the linear curves of LP to investment in TA curve and the average volumes of investment in different manufacturing activities, it is estimated that LP could grow by 5.3% a year in the manufacture of electronic products, and communication equipment are expected to increase by two-fold to 33 EUR/h in 2030, but it could grow only by 2.0% a year in the manufacture of rubber, plastic and other non-metallic mineral products to reach 28 EUR/h in 2030. Due to investment related changes in LP, the VA created by WEC companies could increase by 5.9% a year and account to 2.9 billion EUR during 2021−2030. Net profitability and real wages (and salaries) could also increase in future. Seeking to use the potential of companies to manufacture WEC for domestic wind installations and exports, investment supporting programmes are of high importance in the fields of promotion of innovations, development of human capital and adaptation of new technologies.
Keywords
European green deal, investment, labour productivity, manufacturing, regulatory framework, wind energy components
Suggested Citation
Bobinaite V, Konstantinaviciute I, Cibinskiene A, Dumciuviene D. Labour Productivity as a Factor of Tangible Investment in Companies Producing Wind Energy Components and Its Impacts: Case of Lithuania. (2023). LAPSE:2023.35458
Author Affiliations
Bobinaite V: Laboratory for Energy System Research, Lithuanian Energy Institute, Breslaujos Street 3, LT-44403 Kaunas, Lithuania
Konstantinaviciute I: Laboratory for Energy System Research, Lithuanian Energy Institute, Breslaujos Street 3, LT-44403 Kaunas, Lithuania [ORCID]
Cibinskiene A: School of Economics and Business, Kaunas University of Technology, Gedimino Street 50-404, LT-44239 Kaunas, Lithuania [ORCID]
Dumciuviene D: School of Economics and Business, Kaunas University of Technology, Gedimino Street 50-404, LT-44239 Kaunas, Lithuania [ORCID]
Journal Name
Energies
Volume
15
Issue
13
First Page
4925
Year
2022
Publication Date
2022-07-05
Published Version
ISSN
1996-1073
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Original Submission
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PII: en15134925, Publication Type: Journal Article
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LAPSE:2023.35458
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doi:10.3390/en15134925
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Apr 28, 2023
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