The literature review is intended to cover the study of research related to labor productivity calculations performed to evaluate the performance of the United States construction industry and the development of formulas used to perform labor productivity calculations. Attempts to Quantify Labor Productivity in the Construction Industry Considering the size of the construction industry, any research is not only critical to improving the national economy, but will also help improve the productivity of the construction workforce (Chapman and Butry, 2008). But studies relating to the accurate measurement of construction industry productivity are limited (BFC, 2006). Many researchers have worked to identify the factors that determine labor productivity in the construction industry and to develop robust methods for its measurement. According to one of the first studies conducted in terms of analyzing labor productivity in the construction sector, from 1968 to 1978 the productivity of the construction sector declined due to the lag in the growth of capital per worker (Stokes, 1981). Another study supported this finding that the construction industry declined from 1968 to 1978 and considered the shift of production from commercial projects to residential projects as a contributing factor (Allen, 1985). Another attempt to measure labor productivity found that productivity increased from 1980 to 1990 due to depressed real wages and technological advances (Allmon et al. 2000). In 2004, a study suggested that although the construction industry has significantly adopted technological advances, the industry's productivity declined from 1964 to 1999... middle of paper... at the subsector level . rather than at the industry level as aggregating data at the industry level as a whole may camouflage productivity trends in individual sub-sectors (Rojas and Aramvareekul, 2003) Relevance to the study: Like the previous study, this research also had a broader approach in calculating labor productivity. This study attempted to estimate the labor productivity of the entire sector by taking the weighted average of the grouped sectors. Consequently, it has been recommended that measuring labor productivity be examined at the subsector level rather than at the sector level, as aggregating data at the level of the sector as a whole may camouflage productivity trends in individual subsectors (Rojas and Aramvareekul, 2003). Table 1 shows the comparison between the two previous studies and the development of the proposal.