Labour productivity is concerned with the total number of hours worked in a unit time to produce goods and services. It has become imperative for organisations to retain a competitive edge in the market. Labour productivity contributes to an organisation’s total factor productivity, which ultimately leads towards growth in national income. Thus, the economic development of nations lies in the efficient use of labour. Recent studies have shown that human emotions, aspirations and feelings considerably influence productivity. Religion, as a domain of human beliefs and feelings, also affects labour productivity because people carry their work-related religious beliefs into the workplace. Islam stands for commitment, hard work, and sincerity in all spheres of life. It presents the concept of Ihsān, which motivates the highest form of excellence in performing all duties. The concept of Ihsān carries some essential attributes that positively impact work-related values. This study presents the concept of Ihsān in the context of the working environment in organisations, and its potential impact on labour productivity. In this study, a qualitative approach, based on an extensive review of the literature, has been taken to understand the concept of Ihsān and to determine its relationship with the labour productivity. The findings explicitly show that attributes of Islamic concept of Ihsān positively affect labour productivity This discussion leads to some policy recommendations for organisations to create Ihsān-friendly working environments to improve productivity and for efficient use of labour resources.
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