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Workers ยป Division of Labour

What you'll learn this session

Study time: 30 minutes

Cambridge spec: 3.3.5

  • What division of labour means
  • Four advantages for workers and firms
  • Four disadvantages for workers and firms
  • How to weigh both sides in an exam answer

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What is division of labour?

Imagine one person making a whole bicycle alone. They would need to cut the frame, build the wheels, fit the brakes and paint it. That would take weeks, and they would not be good at every job.

Now imagine a bicycle factory. One worker cuts frames, another builds wheels, another fits brakes and another paints. Each worker does one small job, again and again. This is division of labour.

Key terms:

  • Division of labour: splitting production into separate tasks, with each worker doing one task.
  • Specialisation (worker specialisation): when a worker concentrates on one task or job, so they become good at it.

Division of labour is the method. Worker specialisation is what each person ends up doing. The two ideas go together, so the spec treats them as one.

Division of labour in a made-up firm

Take a made-up bakery in the town of Merlowe that sells 600 loaves a day. Before, each baker did every job: mixing, shaping, baking and packing. Now the owner splits the work:

🍞 Before

Six bakers each do every task. Each one loses time changing from job to job and moving between machines all day.

🏭 After

Two mix, two shape, one bakes and one packs. Each baker stays at one place and does one task all day.

The same six workers now make more loaves. Let us see why, and what might go wrong.

Advantages of division of labour

🎓 Greater skill

A worker who repeats one task becomes very good at it. Practice builds expertise, and fewer mistakes are made.

⏱️ Faster production

Workers do not lose time changing from job to job or moving tools. Each worker stays in one place.

📈 Higher productivity

More output is made for each worker. (Productivity is covered fully in the lesson Production and Productivity.)

💲 Lower costs

More output from the same wages means a lower cost for each unit made. The firm can charge lower prices or earn more profit.

Who gains?

  • Firms gain from faster output, better quality and lower costs. They can sell more and may earn higher profit.
  • Workers gain from becoming skilled, which can make them more valuable to an employer.
  • Consumers may gain from lower prices if the firm passes on its lower costs.

Disadvantages of division of labour

😴 Boredom

Doing one small task all day is repetitive. Bored workers may lose motivation, make more mistakes or leave the job.

🔗 Reliance on others

Each task depends on the one before it. If one worker is absent, or one machine breaks, the whole line can stop.

🔄 Loss of flexibility

A worker who only knows one task cannot easily cover another job. They may also find it hard to move to a different type of work.

💼 Risk of unemployment

Simple, repeated tasks are easy to give to a machine. A worker with only one narrow skill can lose their job if their task is automated or no longer needed.

Who loses?

  • Workers may be bored, less flexible and at risk of losing their job.
  • Firms may suffer delays when one stage stops, and mistakes or lost output from bored workers.

Worked example

A made-up firm, Ravenna Shoes, has 10 workers. Each worker used to make 4 pairs of shoes a day alone: 10 x 4 = 40 pairs. After splitting the work into cutting, stitching and finishing, the 10 workers make 70 pairs a day. Output has risen by 30 pairs, or 75%. Wages for the 10 workers stay the same, so the wage cost for each pair falls. This shows two advantages: faster production and lower costs.

Common mistakes

1. Mixing up division of labour with specialisation by country. Here, the split is between workers inside a firm, not between countries (that is covered in the lesson Specialisation by Country).
2. Writing only advantages. A good answer gives both sides.
3. Saying "workers are paid more". Division of labour does not automatically raise wages. Say instead that skills can make a worker more valuable.
4. Saying "it is boring" and stopping. Explain the effect: lower motivation and more mistakes.

Exam-style question

Fenwick Toys is a made-up firm in the country of Dornaly. It used to let each worker build a whole toy train. Now the firm has divided production into separate tasks: cutting wood, assembly, painting and packing. Output per day has risen, but some workers say the work is dull.

(a) Define division of labour. [2 marks]

(b) Explain two advantages of division of labour for Fenwick Toys. [4 marks]

(c) Discuss whether division of labour is good for the workers at Fenwick Toys. [6 marks]

Model answer

(a) Division of labour is when production is split into separate tasks (1), with each worker doing only one task, so they specialise (1).
(b) One advantage is greater skill (1): a worker who paints toys all day becomes very good at it, so quality improves (1). Another is faster production (1): workers do not lose time changing between jobs, so more toys are made each day, which lowers the cost of each toy (1).
(c) On one side, workers can become highly skilled (1), which makes them more valuable to an employer (1). On the other side, the work is repetitive so workers may become bored and unmotivated (1), and with only one narrow skill they find it hard to move to other jobs (1) and could be replaced by machines (1). Overall it is good for workers if they gain skills and keep their jobs, but it is less good if the tasks are dull and easy to automate (1).

Exam tip

In "Discuss" questions, give a point for each side and finish with a short conclusion that uses the context. Here, name Fenwick Toys, not just "the firm".

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