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Productivity and Costs by Industry: Manufacturing and Mining Industries News Release
For release 10:00 a.m. (ET) Thursday, April 28, 2022 USDL-22-0711
Technical information: (202) 691-5606 * productivity@bls.gov * www.bls.gov/productivity
Media contact: (202) 691-5902 * PressOffice@bls.gov
PRODUCTIVITY AND COSTS BY INDUSTRY
MANUFACTURING AND MINING INDUSTRIES - 2021
Labor productivity rose in 47 of the 86 four-digit NAICS manufacturing industries in 2021,
the U.S. Bureau of Labor Statistics reported today. The railroad rolling stock industry had
the largest productivity gain with an increase of 20.6 percent. Four out of the five
industries in the mining sector posted productivity gains in 2021 with the greatest increase
occurring in the coal mining industry with a gain of 18.3 percent.
Increases in both output and hours worked were widespread among manufacturing and mining
industries in 2021. Output rose in approximately three-quarters of detailed industries in
2021 and two-thirds had growth in hours worked. Forty-three industries increased both output
and hours worked in 2021. Within this set of industries, almost half had rising labor
productivity.
Labor Productivity Trends in Three-Digit NAICS Industries, 2021
Manufacturing
* Labor productivity increased in 10 of the 21 three-digit NAICS manufacturing
industries in 2021. Within this set of industries, all but one had growth in output.
* Both output and hours worked increased in 17 industries, respectively. Eight
industries had concurrent increases of over 3.0 percent in both output and hours worked.
* The primary metal industry had the largest productivity gain, 9.5 percent.
* Beverage and tobacco products had the largest productivity decline, -15.5 percent.
Mining
* Labor productivity increased in all 3 of the three-digit NAICS mining industries in 2021.
* The productivity gain of 8.8 percent in oil and gas extraction was mostly caused by a
decline in hours worked of 8.1 percent.
* The largest increase in output occurred in support activities for mining, 8.1 percent.
Trends in Unit Labor Costs in 2021
Unit labor costs reflect the total labor costs required to produce a unit of output. Unit labor
costs increase when hourly compensation growth exceeds productivity growth.
Manufacturing
* In manufacturing, unit labor costs increased in 16 of the 21 three-digit NAICS
industries. The five industries with declines in unit labor costs all had increases in
output, with the largest output gain occurring in primary metals (9.3 percent).
* Twenty-eight four-digit NAICS manufacturing industries had declines in unit labor costs.
Of these, twenty-five also recorded growth in productivity.
Mining
* Unit labor costs recorded double-digit declines in 2 of the 3 three-digit NAICS mining
industries: oil and gas extraction (18.7 percent) and support activities for mining
(-17.2 percent).
* Unit labor costs fell in 3 of the 5 four-digit NAICS mining industries. All three of
these industries also recorded gains in productivity.
Long-Term Trends in Labor Productivity and Unit Labor Costs
Labor Productivity
* Over the entire 1987-2021 period, labor productivity rose in 85 of the 91 manufacturing
and mining industries. Output rose in 51 industries while hours worked increased in only
15. In the 15 industries where hours worked increased, they rose at a slow pace, 0.7
percent per year on average.
* During the more recent 2007-2021 period, productivity increased in 37 industries. Of these
industries, only two (dairy products, and petroleum and coal products) had simultaneous
growth in output as well as hours worked. Oil and gas extraction had the greatest average
annual growth in output over this period, 5.5 percent.
Unit Labor Costs
* During the 1987-2021 period, unit labor costs increased in 80 of the 86 four-digit NAICS
manufacturing industries and in all five mining industries.
* From 2007 to 2021, unit labor costs increased in all 86 manufacturing industries, but in
just 3 of the 5 mining industries. Unit labor costs rose the most in the audio and video
equipment industry.
The computer and peripheral equipment industry recorded the largest productivity gain as well as
the largest unit labor cost decline during the 1987-2021 period. However, between 2007 and 2021,
the oil and gas extraction industry posted the greatest productivity growth and the largest unit
labor cost decline.
Additional Information
Manufacturing industry output measures for 2020 and earlier years are constructed primarily
using data from the economic censuses and annual surveys of the U.S. Census Bureau together with
data on price changes primarily from BLS. These measures have been revised due to the release of
the 2020 Annual Survey of Manufactures. Manufacturing industry output for 2021 is estimated based
on historical relationships between BLS sectoral output, BLS price indexes, and data on
industrial production from the Federal Reserve Board.
Mining industry output measures are constructed primarily using data from the U.S. Energy
Information Administration and the U.S. Geological Survey's Mineral Commodity Summaries and
Mineral Yearbooks. The data from the U.S. Energy Information Administration are usually revised
on a monthly schedule while the U.S. Geological Survey's publications are released annually.
Access productivity data at www.bls.gov/productivity/tables/labor-productivity-detailed-industries.xlsx
for:
* Additional industries and sectors
* Detailed data series: indexes of productivity and related measures; rates of change; and
levels of industry employment, hours worked, sectoral output, and labor compensation
Subscribe to productivity news releases on the BLS website at https://public.govdelivery.com/accounts/USDOLBLS/subscriber/new.
If you are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access
telecommunications relay services.
Technical Note
Labor Productivity: Labor productivity describes the relationship between output and the labor
hours involved in its production. These measures show the changes from period to period in the
amount of goods and services produced per hour worked. Although the labor productivity measures
relate real output in an industry to hours worked of all persons in that industry, they do not
measure the specific contribution of labor to growth in output. Rather, they reflect the joint
effects of many influences, including: changes in technology; capital investment; utilization
of capacity, energy, and materials; the use of purchased services inputs, including contract
employment services; the organization of production; the characteristics and effort of the
workforce; and managerial skill.
Unit Labor Costs: Unit labor costs represent the cost of labor required to produce one unit of
output. The unit labor cost indexes are computed by dividing an index of nominal industry labor
compensation by an index of real industry output. Unit labor costs also describe the relationship
between compensation per hour worked (hourly compensation) and real output per hour worked (labor
productivity). When hourly compensation growth outpaces productivity, unit labor costs increase.
Alternatively, when productivity growth exceeds hourly compensation, unit labor costs decrease.
Output: Industry output is measured as an annual-weighted index of the changes in the various
products (in real terms) provided for sale outside the industry. Real industry output is usually
derived by deflating nominal sales or values of production using BLS price indexes, but for some
industries it is measured by physical quantities of output. Output is the measure of what is
produced by an industry, derived by adjusting shipments for changes in inventories and removing
intra-industry transactions. Industry output measures are constructed primarily using data from
the economic censuses and annual surveys of the Census Bureau, U.S. Department of Commerce,
together with data on price changes primarily from BLS. Data from the Bureau of Economic Analysis
at the U.S. Department of Commerce is used in part to construct intra-industry transactions. Other
data sources include the Energy Information Administration at the U.S. Department of Energy and
the U.S. Geological Survey at the U.S. Department of the Interior. Manufacturing industry output
for 2021 is estimated based on historical relationships between BLS sectoral output, BLS price
indexes, and data on industrial production from the Federal Reserve Board.
Labor Hours: Labor hours are measured as annual hours worked by all employed persons in an
industry. Data on industry employment and hours come primarily from the BLS Current Employment
Statistics (CES) survey and Current Population Survey (CPS). CES data on the number of total and
production worker jobs held by wage and salary workers in nonfarm establishments are supplemented
with CPS data on self-employed and unpaid family workers to estimate industry employment. Hours
worked estimates are derived using CES and CPS employment, CES data on the average weekly hours
paid of production workers, CPS data on hours of nonproduction, self-employed, and unpaid family
workers, and ratios of hours worked to hours paid based on data from the National Compensation
Survey (NCS). For some industries, employment and hours data are supplemented or further
disaggregated using data from the BLS Quarterly Census of Employment and Wages (QCEW), the Census
Bureau, or other sources. Hours worked are estimated separately for different types of workers
and then are directly aggregated; no adjustments for labor composition are made.
Labor Compensation: Labor compensation, defined as payroll plus supplemental payments, is a
measure of the cost to the employer of securing the services of labor. Payroll includes salaries,
wages, commissions, dismissal pay, bonuses, vacation and sick leave pay, and compensation in kind.
Supplemental payments include both legally required expenditures and payments for voluntary
programs. The legally required portion consists primarily of federal old age and survivors'
insurance, unemployment compensation, and workers' compensation. Payments for voluntary programs
include all programs not specifically required by legislation, such as the employer portion of
private health insurance and pension plans. Industry compensation measures are constructed
primarily using data from the BLS QCEW and the economic censuses of the Census Bureau at the U.S.
Department of Commerce.
Table 1. Recent labor productivity, unit labor costs, and related data
Industry
2017 NAICS code
2021 Employment (thousands)
Percent change, 2020-2021
Labor productivity
Unit labor costs
Output
Hours worked
Labor compen- sation
Hourly compen- sation
Mining
Mining
21
532.7
1.0
-10.6
0.6
-0.4
-10.0
-9.7
Oil and gas extraction
211
118.3
8.8
-18.7
0.0
-8.1
-18.8
-11.6
Oil and gas extraction
2111
118.3
8.8
-18.7
0.0
-8.1
-18.8
-11.6
Mining, except oil and gas
212
176.4
4.6
1.7
2.8
-1.7
4.6
6.4
Coal mining
2121
36.6
18.3
-13.7
8.1
-8.6
-6.7
2.1
Metal ore mining
2122
42.7
-2.8
14.5
-0.6
2.4
13.9
11.3
Nonmetallic mineral mining and quarrying
2123
97.1
3.6
2.2
3.0
-0.5
5.3
5.9
Support activities for mining
213
238.0
4.1
-17.2
8.1
3.9
-10.5
-13.8
Support activities for mining
2131
238.0
4.1
-17.2
8.1
3.9
-10.5
-13.8
Nondurable Manufacturing
Food
311
1,683.1
-1.9
6.1
-0.6
1.3
5.5
4.1
Animal food
3111
71.0
-3.1
6.6
-1.6
1.5
4.9
3.3
Grain and oilseed milling
3112
63.1
3.8
5.7
-0.4
-4.0
5.3
9.7
Sugar and confectionery products
3113
78.7
-13.8
7.4
-1.1
14.6
6.2
-7.4
Fruit and vegetable preserving and specialty
3114
174.4
-2.2
8.1
-1.6
0.6
6.4
5.8
Dairy products
3115
154.9
-2.6
6.1
-0.6
2.1
5.5
3.4
Animal slaughtering and processing
3116
532.6
1.7
3.1
-0.1
-1.7
3.0
4.8
Seafood product preparation and packaging
3117
33.0
-7.4
11.7
-2.5
5.2
8.9
3.4
Bakeries and tortilla products
3118
335.5
-3.1
7.3
0.1
3.3
7.4
4.0
Other food products
3119
239.9
-3.8
7.9
-0.7
3.3
7.1
3.7
Beverages and tobacco products
312
306.9
-15.5
10.5
-1.4
16.6
8.9
-6.6
Beverages
3121
296.3
-14.7
9.6
-0.1
17.1
9.6
-6.4
Tobacco
3122
10.6
-6.9
3.3
-4.2
2.9
-1.0
-3.8
Textile mills
313
101.3
-1.6
5.0
3.8
5.4
8.9
3.3
Fiber, yarn, and thread mills
3131
27.2
-9.6
12.1
6.7
18.1
19.6
1.3
Fabric mills
3132
47.7
-1.6
5.2
1.8
3.4
7.1
3.5
Textile and fabric finishing mills
3133
26.4
8.8
-0.6
5.5
-3.1
4.8
8.2
Textile product mills
314
113.0
3.1
4.8
3.4
0.3
8.4
8.0
Textile furnishings mills
3141
47.6
7.7
0.3
7.4
-0.3
7.7
8.0
Other textile product mills
3149
65.4
-2.2
10.5
-1.4
0.8
8.9
8.1
Apparel
315
100.7
1.2
2.3
4.6
3.3
7.0
3.6
Apparel knitting mills
3151
7.9
9.5
-3.4
6.4
-2.8
2.7
5.7
Cut and sew apparel
3152
80.3
1.2
2.0
4.3
3.1
6.4
3.2
Accessories and other apparel
3159
12.5
-4.1
8.7
5.6
10.1
14.8
4.3
Leather and allied products
316
29.5
0.7
7.5
1.3
0.5
8.9
8.3
Leather and hide tanning and finishing
3161
4.2
20.0
-4.1
5.3
-12.3
1.0
15.1
Footwear
3162
11.4
-5.8
9.8
-0.5
5.6
9.2
3.4
Other leather products
3169
13.9
0.1
10.9
0.6
0.5
11.5
11.0
Paper
322
348.9
-1.2
4.2
-1.4
-0.1
2.8
2.9
Pulp, paper, and paperboard mills
3221
88.4
2.2
-1.1
-0.8
-3.0
-2.0
1.1
Converted paper products
3222
260.5
-2.7
6.9
-1.7
1.0
5.0
4.0
Printing and related support activities
323
390.6
0.6
-2.4
3.6
2.9
1.0
-1.8
Printing and related support activities
3231
390.6
0.6
-2.4
3.6
2.9
1.0
-1.8
Petroleum and coal products
324
105.9
-4.3
-10.1
6.3
11.1
-4.4
-14.0
Petroleum and coal products
3241
105.9
-4.3
-10.1
6.3
11.1
-4.4
-14.0
Chemicals
325
883.2
-0.7
2.0
2.0
2.7
4.0
1.3
Basic chemicals
3251
148.4
3.5
-0.9
2.6
-0.8
1.6
2.5
Resin, rubber, and artificial fibers
3252
90.1
0.5
5.4
-0.9
-1.4
4.4
6.0
Agricultural chemicals
3253
38.4
-5.9
8.5
-3.4
2.6
4.9
2.2
Pharmaceuticals and medicines
3254
337.3
-1.9
-0.2
5.6
7.6
5.3
-2.2
Paints, coatings, and adhesives
3255
65.1
0.4
3.0
1.5
1.0
4.5
3.5
Soaps, cleaning compounds, and toiletries
3256
123.4
0.7
2.8
-1.2
-1.9
1.6
3.6
Other chemical products and preparations
3259
80.5
-3.7
4.1
-0.7
3.1
3.3
0.2
Plastics and rubber products
326
733.8
-1.6
5.9
3.4
5.1
9.5
4.2
Plastics products
3261
600.3
-1.9
6.6
2.7
4.7
9.4
4.5
Rubber products
3262
133.5
0.3
2.5
7.1
6.7
9.7
2.8
Durable Manufacturing
Wood products
321
437.0
-1.2
8.4
4.0
5.3
12.8
7.1
Sawmills and wood preservation
3211
99.8
-2.4
10.4
0.3
2.7
10.8
7.8
Plywood and engineered wood products
3212
82.9
3.2
4.5
6.1
2.8
10.8
7.8
Other wood products
3219
254.3
-2.0
8.8
5.2
7.3
14.5
6.7
Nonmetallic mineral products
327
417.1
0.1
6.5
-0.4
-0.6
6.0
6.7
Clay products and refractories
3271
36.6
13.3
1.4
4.4
-7.9
5.8
14.9
Glass and glass products
3272
86.7
-0.9
5.4
0.9
1.8
6.3
4.4
Cement and concrete products
3273
198.6
-3.4
8.8
-2.9
0.5
5.6
5.1
Lime and gypsum products
3274
15.0
7.2
0.4
1.9
-4.9
2.3
7.6
Other nonmetallic mineral products
3279
80.2
2.8
6.2
1.6
-1.1
7.9
9.1
Primary metals
331
352.3
9.5
-3.0
9.3
-0.2
6.0
6.3
Iron and steel mills and ferroalloys
3311
79.7
13.9
-0.3
11.4
-2.3
11.0
13.6
Steel products from purchased steel
3312
53.3
16.6
-5.6
14.0
-2.2
7.6
10.1
Alumina and aluminum production
3313
58.2
6.5
-5.1
10.2
3.5
4.6
1.1
Other nonferrous metal production
3314
56.9
5.4
-1.3
1.6
-3.7
0.3
4.1
Foundries
3315
104.2
4.2
-2.3
6.7
2.3
4.2
1.8
Fabricated metal products
332
1,410.6
1.6
1.3
3.5
1.8
4.9
3.0
Forging and stamping
3321
91.3
8.2
-10.1
15.2
6.5
3.5
-2.8
Cutlery and handtools
3322
37.3
-5.6
10.4
0.0
5.9
10.4
4.2
Architectural and structural metals
3323
396.1
-0.9
4.9
0.7
1.6
5.6
4.0
Boilers, tanks, and shipping containers
3324
87.1
10.5
-3.6
6.3
-3.8
2.5
6.5
Hardware
3325
24.4
6.5
-7.0
11.4
4.6
3.6
-0.9
Spring and wire products
3326
41.0
1.2
0.8
7.2
5.9
8.0
2.1
Machine shops and threaded products
3327
334.7
2.9
-2.3
3.9
0.9
1.5
0.6
Coating, engraving, and heat treating metals
3328
128.3
-1.2
2.2
-0.4
0.9
1.8
0.9
Other fabricated metal products
3329
270.4
-1.1
7.3
1.7
2.8
9.1
6.1
Machinery
333
1,059.3
7.9
-4.0
8.2
0.3
3.9
3.6
Agriculture, construction, and mining machinery
3331
197.9
12.3
-14.5
13.7
1.2
-2.8
-4.0
Industrial machinery
3332
122.4
8.3
-1.3
13.9
5.1
12.4
6.9
Commercial and service industry machinery
3333
87.1
-0.8
5.6
-1.6
-0.7
3.9
4.7
HVAC and commercial refrigeration equipment
3334
136.9
4.0
3.8
5.6
1.6
9.7
7.9
Metalworking machinery
3335
160.3
6.8
-1.5
4.8
-1.9
3.2
5.2
Turbine and power transmission equipment
3336
87.0
6.1
-4.7
4.5
-1.5
-0.5
1.1
Other general purpose machinery
3339
267.7
8.5
-2.9
7.3
-1.1
4.2
5.3
Computer and electronic products
334
1,068.8
1.7
6.4
1.4
-0.3
7.9
8.2
Computer and peripheral equipment
3341
158.6
2.5
10.7
1.6
-0.9
12.5
13.5
Communications equipment
3342
85.5
11.8
-0.2
1.8
-9.0
1.6
11.6
Audio and video equipment
3343
19.3
11.8
47.5
4.1
-6.9
53.6
64.9
Semiconductors and electronic components
3344
373.3
2.4
7.6
1.5
-1.0
9.1
10.2
Electronic instruments
3345
419.5
-1.5
0.9
1.2
2.7
2.1
-0.6
Magnetic media manufacturing and reproducing
3346
12.6
1.0
15.0
0.2
-0.8
15.3
16.2
Electrical equipment and appliances
335
399.3
-0.5
3.1
4.1
4.6
7.2
2.6
Electric lighting equipment
3351
42.6
4.6
-2.1
8.0
3.2
5.7
2.4
Household appliances
3352
73.3
-14.2
5.2
8.5
26.4
14.1
-9.7
Electrical equipment
3353
139.9
0.8
2.6
0.1
-0.7
2.7
3.4
Other electrical equipment and components
3359
143.5
2.6
5.4
3.9
1.2
9.5
8.2
Transportation equipment
336
1,653.1
2.3
-3.4
7.6
5.2
4.0
-1.2
Motor vehicles
3361
250.4
-11.1
8.1
4.5
17.5
12.9
-3.9
Motor vehicle bodies and trailers
3362
164.5
9.3
5.4
17.1
7.0
23.4
15.3
Motor vehicle parts
3363
549.3
6.4
-1.9
9.9
3.3
7.9
4.4
Aerospace products and parts
3364
482.3
8.3
-12.9
9.5
1.1
-4.6
-5.6
Railroad rolling stock
3365
18.3
20.6
-23.1
9.7
-9.0
-15.6
-7.3
Ship and boat building
3366
147.9
-1.9
6.2
2.2
4.1
8.5
4.2
Other transportation equipment
3369
40.4
-10.7
5.1
11.1
24.5
16.8
-6.2
Furniture and related products
337
397.6
-3.2
7.4
0.4
3.8
7.9
4.0
Household and institutional furniture
3371
257.8
-3.4
10.9
0.4
3.9
11.3
7.1
Office furniture and fixtures
3372
101.6
-1.2
-2.1
0.4
1.7
-1.6
-3.3
Other furniture related products
3379
38.2
-8.1
19.5
0.8
9.7
20.5
9.9
Miscellaneous manufacturing
339
651.2
-0.7
2.3
5.3
6.0
7.7
1.6
Medical equipment and supplies
3391
331.9
-0.2
2.5
3.8
4.0
6.4
2.4
Other miscellaneous manufacturing
3399
319.3
-0.7
2.3
7.4
8.2
9.8
1.5
Table 2. Long run labor productivity, unit labor costs, and related data
United States Department of Labor
