Abstract—Construction projects suffer from various problems and complex factors which affect each phase of the project life cycle. Construction labor productivity has become a big problem in construction industry in most countries, hence it is necessary to see how the human factors will affect the labor productivity in construction projects. Labor productivity is one of the least studied areas within the construction industry. Productivity improvements achieve higher cost savings with minimal investment. Due to the fact that profit margins are small on construction projects, cost savings associated with productivity are crucial to becoming a successful contractor. In construction, the output is usually expressed in weight, length, or volume, and the input resource is usually in cost of labor or man-hours. There are many standards available in the construction industry for contractors as reference values for purposes of construction cost estimation. These standards may vary in values but most are similar in principle. The paper attempts to highlight some of the methods to study Labor productivity, its importance and most factors which affect labor productivity on construction project.