Digital Competencies, Human Capital, and Labor Productivity in the European Union: Evidence from a Cross-Country Analysis (2015–2023)

The transition toward a digital and knowledge-based economy has fundamentally transformed the drivers of labor productivity, raising important questions about its sustainability, inclusiveness, and long-term resilience. In this context, understanding the role of future-oriented competencies becomes essential for both economic performance and sustainable development. The aim of this article is to examine the relationship between selected indicators of digitalization and human capital and labor productivity, with particular reference to future-oriented competencies in the context of ongoing labor market transformation. The study relies on secondary analysis of data and reports published by international organizations and research institutions, particularly the World Economic Forum (WEF), the International Labour Organization (ILO), and the OECD. The research combines content analysis, comparative analysis, and selected statistical methods, including correlation and regression techniques, supported by data triangulation. The results suggest that future-oriented competencies, especially digital, cognitive, and social skills, are strongly associated with higher levels of labor productivity. At the same time, productivity growth increasingly depends on the effective integration of technological advancement with human capabilities, which is critical for building resilient and inclusive economies. The study emphasizes the need to invest in competency development, encourage innovation-driven organizational cultures, and implement flexible work arrangements that support sustainable productivity, digital inclusion, and employee well-being. The development of future-oriented competencies may also help reduce structural inequalities and improve the adaptability of labor markets. In addition, the study contributes to the existing literature by linking labor productivity with future competencies within the broader context of digital transformation and sustainable development.

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Publication Details

Journal
Sustainability
Published
2026-05-27
DOI
https://doi.org/10.3390/su18115382
Primary Topic
Digital Transformation in Industry
Type
article
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article

Digital Competencies, Human Capital, and Labor Productivity in the European Union: Evidence from a Cross-Country Analysis (2015–2023)

Michał Igielski
Sustainability
Digital Transformation in Industry
article

Digital Competencies, Human Capital, and Labor Productivity in the European Union: Evidence from a Cross-Country Analysis (2015–2023)

Michał Igielski
article en

Abstract

The transition toward a digital and knowledge-based economy has fundamentally transformed the drivers of labor productivity, raising important questions about its sustainability, inclusiveness, and long-term resilience. In this context, understanding the role of future-oriented competencies becomes essential for both economic performance and sustainable development. The aim of this article is to examine the relationship between selected indicators of digitalization and human capital and labor productivity, with particular reference to future-oriented competencies in the context of ongoing labor market transformation. The study relies on secondary analysis of data and reports published by international organizations and research institutions, particularly the World Economic Forum (WEF), the International Labour Organization (ILO), and the OECD. The research combines content analysis, comparative analysis, and selected statistical methods, including correlation and regression techniques, supported by data triangulation. The results suggest that future-oriented competencies, especially digital, cognitive, and social skills, are strongly associated with higher levels of labor productivity. At the same time, productivity growth increasingly depends on the effective integration of technological advancement with human capabilities, which is critical for building resilient and inclusive economies. The study emphasizes the need to invest in competency development, encourage innovation-driven organizational cultures, and implement flexible work arrangements that support sustainable productivity, digital inclusion, and employee well-being. The development of future-oriented competencies may also help reduce structural inequalities and improve the adaptability of labor markets. In addition, the study contributes to the existing literature by linking labor productivity with future competencies within the broader context of digital transformation and sustainable development.

SustainabilityVol. 18(11)
Gdynia Maritime University (PL)
Reduced inequalities
Openalex Percentile: Top 6%
Digital Transformation in Industry
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