Cyprus recorded increases in labour productivity during the first quarter of 2026, according to Eurostat, outperforming the overall European Union average in terms of output per employed person.

The figures showed that real labour productivity per person in Cyprus rose by 1 per cent compared with the first quarter of 2025.

At the same time, real labour productivity per hour worked in Cyprus increased by 0.3 per cent on a year-on-year basis.

Across the European Union, labour productivity increased by just 0.1 per cent when measured both by persons employed and by hours worked compared with the same quarter of the previous year.

The data indicated a marked slowdown from the fourth quarter of 2025, when labour productivity across the bloc had risen by 0.8 per cent based on persons employed and by 0.7 per cent based on hours worked.

The calculation combines gross domestic product (GDP) and employment data to determine the real output generated by each employed person or by each hour worked.

The latest figures showed that labour productivity increased in most EU countries.

Denmark registered the strongest growth in labour productivity based on persons employed.

Danish productivity per person increased by 4.8 per cent compared with the first quarter of 2025, while Lithuania followed with a rise of 3.5 per cent.

Slovenia recorded the third-highest increase, with productivity per person growing by 2.7 per cent.

Only two member states registered declines in labour productivity based on persons employed.

Ireland experienced the sharpest contraction, with productivity per person falling by 16.9 per cent.

At the same time, Italy also recorded a decline, although a much smaller one, of 0.3 per cent.

When measured on the basis of hours worked, Denmark again posted the strongest increase among EU countries.

Labour productivity based on hours worked in Denmark climbed by 5.1 per cent. Sweden followed with growth of 3 per cent while Poland recorded an increase of 2.8 per cent.

Labour productivity based on hours worked declined in six EU countries. Ireland once again recorded the steepest fall, with a decrease of 17.1 per cent. Latvia registered a decline of 1.3 per cent.

The Czech Republic saw productivity based on hours worked contract by 0.8 per cent.

The latest figures showed that Cyprus remained among the countries reporting positive productivity growth, both in terms of output per worker and output per hour worked, during the opening quarter of 2026.