Transmission of material in this release is embargoed until USDL-10-0140
8:30 a.m. (EST) Thursday, February 4, 2010
Technical information: (202) 691-5606 • dprweb@bls.gov • www.bls.gov/lpc
Media contact: (202) 691-5902 • PressOffice@bls.gov
PRODUCTIVITY AND COSTS
Fourth Quarter and Annual Averages 2009, Preliminary
Nonfarm business sector labor productivity increased at a 6.2 percent annual
rate during the fourth quarter of 2009, the U.S. Bureau of Labor Statistics
reported today. This gain in productivity reflects increases of 7.2 percent
in output and 1.0 percent in hours worked. (All quarterly percent changes in
this release are seasonally adjusted annual rates.) This was the first
quarterly increase in hours worked since the second quarter of 2007
(0.9 percent). Productivity increased 5.1 percent over the last four quarters
--more than during any similar period since output per hour rose 6.1 percent
from the first quarter of 2001 to the first quarter of 2002 (table A).
Labor productivity is calculated by dividing an index of real output by an
index of the combined hours worked of all persons, including employees,
proprietors, and unpaid family workers.
Unit labor costs in nonfarm businesses fell 4.4 percent in the fourth quarter
of 2009, a result of the increase in productivity (6.2 percent) outpacing the
increase in hourly compensation (1.5 percent). BLS defines unit labor costs
as the ratio of hourly compensation to labor productivity; increases in hourly
compensation tend to increase unit labor costs and increases in output per
hour tend to reduce them. Over the last four quarters, unit labor costs
declined 2.8 percent, as hourly compensation and productivity increased 2.2
percent and 5.1 percent, respectively (table A). This decline in unit labor
costs was the largest since unit labor costs fell 3.2 percent over the four
quarters ending with the first quarter of 2002.
=============================================================================
Data in this release do not reflect the annual benchmark revision of the BLS
Current Employment Statistics program data to be released February 5, 2010.
This benchmark will be incorporated in our next release on March 4, 2010.
=============================================================================
Manufacturing sector productivity grew 7.8 percent in the fourth quarter of
2009, as output rose 6.1 percent and hours worked declined 1.6 percent.
Productivity grew 6.2 percent in durable goods industries and 9.8 percent in
nondurable goods industries in the fourth quarter. Over the last four
quarters, manufacturing productivity increased 6.5 percent as output decreased
4.4 percent and hours fell 10.2 percent (table A). Unit labor costs in
manufacturing declined 7.4 percent in the fourth quarter of 2009 and decreased
3.2 percent from the same quarter a year earlier (table A).
The data sources and methods used in the preparation of the manufacturing
output series differ from those used in preparing the business and nonfarm
business output series, and these measures are not directly comparable. See
Technical Notes for further information on data sources.
Revised measures
Revised and previous measures for the third quarter of 2009 in tables B and D
cover the major sectors: nonfarm business, business, manufacturing and
nonfinancial corporations.
In the third quarter of 2009, nonfarm business productivity growth was revised
down from 8.1 percent to 7.2 percent compared to the estimate published on
December 3, reflecting a downward revision to output and a slight upward
revision to hours. Unit labor costs for nonfarm business fell 1.5 percent, a
smaller decline than previously reported. In both the manufacturing and
nonfinancial corporate sectors productivity was revised upward due to upward
revisions in output.
Table C presents Annual Averages for the most recent five years. In the
nonfarm business sector, productivity increased 2.9 percent in 2009, and
reflected the largest annual declines in output and hours (-3.6 percent and
-6.4 percent, respectively) for these measures, which begin in 1948.
Manufacturing sector productivity grew 1.3 percent in 2009, due to a decline
in both output (-11.0 percent) and hours (-12.1 percent)--the largest annual
declines recorded in these series, which begin in 1988. Over the long run,
from 2000 to 2009, nonfarm business productivity increased at an average
annual rate of 2.6 percent, and manufacturing productivity increased at a
rate of 3.1 percent.
Quarterly and annual data for all sectors for 2007 to 2009 appear in tables
1-6. Full historical measures can be found on the productivity and costs
home page http://www.bls.gov/lpc/#data.
___________
The revised Productivity and Costs press release for fourth-quarter 2009
is scheduled to be released on Thursday, March 4, 2010 at 8:30 a.m. (EST).
======================================================================================================
Table A. Preliminary fourth-quarter 2009 measures, percent change from previous quarter, annual rate
(Q to Q) and from same quarter a year ago (Y to Y)
Sector Nonfarm Durable Nondurable
Business Business Manufacturing Manufacturing Manufacturing
Q to Q Y to Y Q to Q Y to Y Q to Q Y to Y Q to Q Y to Y Q to Q Y to Y
------------------------------------------------------------------------------------------------------
Productivity 6.2 5.1 6.5 5.2 7.8 6.5 6.2 4.6 9.8 6.0
Output 7.2 -0.3 7.2 -0.2 6.1 -4.4 5.0 -8.8 7.2 0.0
Hours 1.0 -5.1 0.6 -5.2 -1.6 -10.2 -1.1 -12.8 -2.4 -5.7
Hourly
compensation 1.5 2.2 1.6 2.2 -0.2 3.0 -0.6 4.6 0.5 0.9
Real hourly
compensation -1.9 0.7 -1.8 0.8 -3.5 1.5 -3.9 3.0 -2.8 -0.6
Unit labor costs -4.4 -2.8 -4.7 -2.8 -7.4 -3.2 -6.4 -0.1 -8.5 -4.8
======================================================================================================
Table B. Revised and previous measures, third quarter 2009
Sector Nonfarm Durable Nondurable
Business Business Manufacturing Manufacturing Manufacturing
Revised Previous Revised Previous Revised Previous Revised Previous Revised Previous
------------------------------------------------------------------------------------------------------
Productivity 7.2 8.1 7.4 8.5 14.4 13.4 21.9 20.3 6.5 6.1
Output 2.2 2.9 2.2 3.1 9.5 8.4 14.9 13.1 4.7 4.2
Hours -4.7 -4.8 -4.8 -5.0 -4.2 -4.4 -5.8 -6.0 -1.7 -1.8
Hourly
compensation 5.5 5.4 5.9 5.8 6.4 6.5 7.1 7.3 5.5 5.5
Real hourly
compensation 1.9 1.8 2.2 2.1 2.7 2.8 3.4 3.5 1.8 1.8
Unit labor
costs -1.5 -2.5 -1.4 -2.4 -7.0 -6.1 -12.2 -10.9 -1.0 -0.5
======================================================================================================
Table C. Annual average changes in productivity and related measures, 2005-2009
Sector Nonfarm Business Manufacturing
2005 2006 2007 2008 2009 | 2005 2006 2007 2008 2009
--------------------------------------------------------------|----------------------------------------
Productivity 1.7 0.9 1.8 1.8 2.9 | 4.8 1.0 3.2 0.8 1.3
Output 3.4 3.1 2.3 -0.1 -3.6 | 3.7 1.8 1.3 -3.1 -11.0
Hours 1.7 2.2 0.5 -1.9 -6.4 | -1.1 0.8 -1.8 -3.9 -12.1
Hourly compensation 4.0 3.8 4.2 2.8 2.0 | 3.3 2.0 4.3 3.0 4.8
Real hourly |
compensation 0.6 0.5 1.3 -1.0 2.4 | 0.0 -1.3 1.4 -0.8 5.2
Unit labor costs 2.3 2.8 2.3 1.0 -0.9 | -1.4 0.9 1.1 2.1 3.5
======================================================================================================
Table D. Nonfinancial corporations: revised third-quarter 2009 productivity and cost measures
Real
Hourly hourly Unit Implicit
Produc- compen- compen- labor Unit price
tivity Output Hours sation sation costs profits deflator
------------------------------------------------------------------------------------------------------
Percent change, annual rate
Revised 6.3 1.4 -4.6 5.3 1.6 -1.0 16.2 -1.8
Previous 5.3 0.2 -4.8 5.2 1.5 -0.1 7.8 -1.6
======================================================================================================
TECHNICAL NOTES
Labor Hours: Hours data for the labor productivity and cost measures
include hours for all persons working in the sector—wage and salary
workers, the self-employed and unpaid family workers. The primary source
of hours and employment data is the BLS Current Employment Statistics
(CES) program, which provides monthly survey data on the number of jobs
held by wage and salary workers in nonfarm establishments. The CES also
provides average weekly paid hours of production and nonsupervisory
workers in these establishments. Weekly paid hours are adjusted to hours
at work using data from the National Compensation Survey (NCS). The BLS
Hours at Work survey, conducted for this purpose, was used for earlier
years. The Office of Productivity and Technology estimates average weekly
hours at work for nonproduction and supervisory workers using information
from the Current Population Survey (CPS), the CES, and the NCS.
Data from the CPS are used for farm labor, nonfarm proprietors, and
nonfarm unpaid family workers. Estimates of labor input for government
enterprises are derived from the CPS, the CES, and the National Income and
Product Accounts (NIPA) prepared by the Bureau of Economic Analysis (BEA)
of the Department of Commerce.
The CES measures jobs, counting a person who is employed by two or
more establishments at each place of employment. In contrast, the CPS
features measures of employment that count each person only once and
classify each person according to his or her primary job; hours worked at
all jobs by that person accrue to his or her primary job. However, the
CPS also collects more detailed information on employment and hours worked
at primary jobs and all other jobs, separately. The BLS productivity
measures use the more detailed information on employment and hours to
assign all hours worked to the correct industrial sector and avoid
duplicating hours data from the CES.
Output: Business sector output is a chain-type, current-weighted index
constructed after excluding from gross domestic product (GDP) the
following outputs: general government, nonprofit institutions, and private
households (including owner-occupied housing). Corresponding exclusions
also are made in labor inputs. Business output accounted for about 77
percent of the value of GDP in 2005. Nonfarm business, which excludes
farming, accounted for about 76 percent of GDP in 2005.
Annual indexes for manufacturing and its durable and nondurable goods
components are constructed by deflating current-dollar industry value of
production data from the U.S. Bureau of the Census with deflators from the
BLS. These deflators are based on data from the BLS producer price
program and other sources. The industry shipments are aggregated using
annual weights, and intrasector transactions are removed. Quarterly
manufacturing output measures are based on the index of industrial
production prepared monthly by the Board of Governors of the Federal
Reserve System, adjusted to be consistent with annual indexes of
manufacturing sector output prepared by BLS. Durables include the
following 3-digit NAICS industries: wood product manufacturing;
nonmetallic mineral product manufacturing; primary metal manufacturing;
fabricated metal product manufacturing; machinery manufacturing; computer
and electronic product manufacturing; electrical equipment and appliance
manufacturing; transportation equipment manufacturing; furniture and
related product manufacturing; and miscellaneous manufacturing.
Nondurables include: food manufacturing; beverage and tobacco product
manufacturing; textile mills; textile product mills; apparel
manufacturing; leather and allied product manufacturing; paper
manufacturing; printing and related support activities; petroleum and coal
products manufacturing; chemical manufacturing; and plastics and rubber
products manufacturing.
Nonfinancial corporate output is a chain-type, current-weighted index
calculated on the basis of the costs incurred and the incomes earned from
production. The output measure excludes the following outputs from GDP:
general government; nonprofit institutions; private households;
unincorporated business; and those corporations classified as offices of
bank holding companies, offices of other holding companies, or offices in
the finance and insurance sector. Nonfinancial corporations accounted for
about 50 percent of the value of GDP in 2005.
Productivity: These productivity measures describe the relationship
between real output and the labor time involved in its production. They
show the changes from period to period in the amount of goods and services
produced per hour. Although these measures relate output to hours at work
of all persons engaged in a sector, they do not measure the specific
contribution of labor, capital, or any other factor of production. Rather,
they reflect the joint effects of many influences, including changes in
technology; capital investment; level of output; utilization of capacity,
energy, and materials; the organization of production; managerial skill;
and the characteristics and effort of the work force.
Labor Compensation: Estimates of labor compensation by major sector,
required for measures of hourly compensation and unit labor costs, are
based primarily on employee compensation data from the NIPA, prepared by
the BEA. The compensation of employees in general government, nonprofit
institutions and private households are subtracted from compensation of
domestic employees to derive employee compensation for the business
sector. The labor compensation of proprietors cannot be explicitly
identified and must be estimated. This is done by assuming that
proprietors have the same hourly compensation as employees in the same
sector. The quarterly labor productivity and cost measures do not contain
estimates of compensation for unpaid family workers.
Unit Labor Costs: The measures of unit labor costs in this release
describe the relationship between compensation per hour and productivity,
or real output per hour, and can be used as an indicator of inflationary
pressure on producers. Increases in hourly compensation increase unit
labor costs; labor productivity increases offset compensation increases
and lower unit labor costs.
Presentation of the data: The quarterly data in this release are
presented in three ways; as index number series where 1992=100, as percent
changes from the corresponding quarter of the previous year, and as
percent changes from the previous quarter presented at a compound annual
rate. Annual data are presented both as index number series and percent
changes from the previous year.
The index numbers and rates of change reported in the productivity
and costs news release are rounded to one decimal place. All percent
changes in this release and on the BLS web site are calculated using index
numbers to three decimal places. These index numbers are available at the
BLS web site, http://www.bls.gov/data/home.htm, or by contacting the BLS
Division of Major Sector Productivity. (Telephone 202-691-5606 or email
DPRWEB@BLS.GOV)
Information in this release will be made available to sensory-
impaired individuals upon request. Voice phone: 202-691-5606; Federal
Relay Service number: 1-800-877-8339.
Table 1. Business sector: Productivity, hourly compensation, unit labor costs,
and prices, seasonally adjusted
Real
Year Output per Hours Compensa- compensa- Unit Unit non- Implicit
and hour of of all tion per tion per labor labor pay- price
quarter all persons Output persons hour (1) hour (2) costs ments (3) deflator (4)
---------------------------------------------------------------------------------------------------------
Indexes 1992=100
2007 I 139.0 168.4 121.2 175.2 122.7 126.0 136.7 130.0
II 140.2 169.8 121.2 176.5 122.4 125.9 139.4 130.9
III 142.1 171.4 120.6 177.8 122.6 125.1 141.9 131.4
IV 142.6 172.3 120.8 179.6 122.1 125.9 141.9 131.9
ANNUAL 141.0 170.5 120.9 177.3 122.4 125.7 140.0 131.0
2008 I 142.7 171.7 120.3 180.3 121.2 126.3 141.7 132.1
II 143.8 172.2 119.8 181.0 120.4 125.9 143.8 132.5
III 143.9 170.6 118.6 183.0 119.9 127.2 145.4 134.0
IV 144.2 167.4 116.1 184.2 123.3 127.7 143.6 133.6
ANNUAL 143.6 170.5 118.7 182.1 121.1 126.8 143.6 133.0
2009 I 144.3 163.6 113.4 182.0 122.6 126.1 148.1 134.3
II 146.7 163.2 111.3 184.9 124.1 126.1 147.9 134.2
III r149.3 r164.1 r109.9 r187.6 r124.8 r125.6 r148.8 r134.3
IV 151.7 167.0 110.1 188.3 124.2 124.2 151.8 134.4
ANNUAL 147.9 164.5 111.2 185.7 123.9 125.5 149.2 134.3
---------------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2007 I 0.9 0.8 -0.1 4.4 0.6 3.5 4.8 4.0
II 3.5 3.5 0.0 3.1 -1.1 -0.4 8.0 2.8
III 5.5 3.7 -1.7 3.0 0.6 -2.4 7.4 1.4
IV 1.6 2.1 0.5 4.3 -1.4 2.6 0.2 1.6
ANNUAL 1.8 2.2 0.4 4.2 1.3 2.4 3.0 2.6
2008 I 0.2 -1.3 -1.5 1.5 -3.0 1.3 -0.5 0.6
II 3.1 1.1 -1.9 1.6 -2.8 -1.5 5.9 1.4
III 0.3 -3.7 -4.0 4.5 -1.6 4.2 4.5 4.3
IV 0.8 -7.2 -8.0 2.6 12.0 1.8 -4.9 -1.0
ANNUAL 1.9 0.0 -1.9 2.7 -1.1 0.8 2.6 1.5
2009 I 0.2 -8.7 -8.9 -4.7 -2.4 -4.9 13.3 2.1
II 6.8 -1.0 -7.4 6.7 5.3 -0.2 -0.5 -0.3
III r7.4 r2.2 r-4.8 r5.9 r2.2 r-1.4 r2.4 r0.1
IV 6.5 7.2 0.6 1.6 -1.8 -4.7 8.2 0.5
ANNUAL 3.0 -3.5 -6.3 2.0 2.3 -1.0 3.9 1.0
---------------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2007 I 0.3 1.5 1.1 4.0 1.6 3.7 1.6 2.9
II 1.0 2.0 0.9 4.4 1.7 3.3 1.9 2.8
III 3.0 3.0 0.0 4.8 2.4 1.7 3.3 2.4
IV 2.9 2.5 -0.3 3.7 -0.3 0.8 5.1 2.5
ANNUAL 1.8 2.2 0.4 4.2 1.3 2.4 3.0 2.6
2008 I 2.7 2.0 -0.7 2.9 -1.2 0.2 3.7 1.6
II 2.6 1.4 -1.2 2.6 -1.7 0.0 3.2 1.2
III 1.3 -0.5 -1.7 2.9 -2.2 1.6 2.5 2.0
IV 1.1 -2.8 -3.9 2.5 1.0 1.4 1.2 1.3
ANNUAL 1.9 0.0 -1.9 2.7 -1.1 0.8 2.6 1.5
2009 I 1.1 -4.7 -5.7 0.9 1.1 -0.2 4.5 1.7
II 2.0 -5.2 -7.1 2.2 3.1 0.2 2.9 1.3
III r3.8 r-3.8 -7.3 2.5 4.1 r-1.2 r2.3 r0.2
IV 5.2 -0.2 -5.2 2.2 0.8 -2.8 5.7 0.6
ANNUAL 3.0 -3.5 -6.3 2.0 2.3 -1.0 3.9 1.0
---------------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 4, 2010
r=revised Source: Bureau of Labor Statistics
Table 2. Nonfarm business sector: Productivity, hourly compensation, unit labor costs,
and prices, seasonally adjusted
Real
Year Output per Hours Compensa- compensa- Unit Unit non- Implicit
and hour of of all tion per tion per labor labor pay- price
quarter all persons Output persons hour (1) hour (2) costs ments (3) deflator (4)
---------------------------------------------------------------------------------------------------------
Indexes 1992=100
2007 I 138.2 168.8 122.1 174.2 122.1 126.0 138.2 130.5
II 139.2 170.3 122.4 175.1 121.4 125.8 140.9 131.4
III 141.1 172.0 121.9 176.3 121.5 125.0 143.3 131.7
IV 141.8 172.8 121.9 178.5 121.3 125.9 143.0 132.2
ANNUAL 140.1 171.0 122.1 176.0 121.6 125.7 141.4 131.5
2008 I 141.7 172.0 121.4 179.2 120.5 126.4 142.5 132.3
II 142.8 172.6 120.8 179.8 119.6 125.9 144.9 132.9
III 142.8 170.8 119.6 181.8 119.1 127.3 146.6 134.4
IV 143.1 167.5 117.0 183.1 122.6 128.0 145.3 134.3
ANNUAL 142.6 170.7 119.7 181.0 120.4 126.9 144.8 133.5
2009 I 143.2 163.7 114.3 180.9 121.9 126.3 150.5 135.2
II 145.6 163.2 112.1 183.9 123.5 126.3 150.2 135.1
III r148.2 r164.1 r110.8 r186.4 r124.1 r125.8 r151.4 r135.2
IV 150.4 167.0 111.0 187.1 123.5 124.4 153.8 135.2
ANNUAL 146.8 164.5 112.1 184.6 123.2 125.7 151.5 135.2
---------------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2007 I 1.2 0.9 -0.3 4.7 0.8 3.5 3.9 3.6
II 2.8 3.7 0.9 2.0 -2.1 -0.7 8.1 2.7
III 5.5 3.9 -1.5 2.7 0.3 -2.7 7.0 1.1
IV 2.0 1.8 -0.2 5.0 -0.7 3.0 -0.9 1.4
ANNUAL 1.8 2.3 0.5 4.2 1.3 2.3 2.4 2.3
2008 I -0.1 -1.7 -1.6 1.7 -2.8 1.7 -1.5 0.5
II 3.1 1.3 -1.7 1.3 -3.0 -1.8 6.9 1.6
III -0.1 -4.0 -3.9 4.5 -1.6 4.6 4.7 4.6
IV 0.8 -7.6 -8.3 2.9 12.3 2.0 -3.5 -0.2
ANNUAL 1.8 -0.1 -1.9 2.8 -1.0 1.0 2.4 1.5
2009 I 0.3 -8.8 -9.0 -4.7 -2.4 -5.0 15.2 2.7
II 6.9 -1.1 -7.5 6.9 5.5 0.0 -0.8 -0.3
III r7.2 r2.2 r-4.7 r5.5 r1.9 r-1.5 r3.3 r0.4
IV 6.2 7.2 1.0 1.5 -1.9 -4.4 6.4 0.0
ANNUAL 2.9 -3.6 -6.4 2.0 2.4 -0.9 4.6 1.3
---------------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2007 I 0.5 1.5 0.9 4.3 1.8 3.7 1.0 2.7
II 1.1 2.1 1.1 4.3 1.6 3.1 1.3 2.4
III 2.9 3.2 0.2 4.6 2.2 1.6 2.8 2.1
IV 2.8 2.6 -0.3 3.6 -0.4 0.7 4.5 2.2
ANNUAL 1.8 2.3 0.5 4.2 1.3 2.3 2.4 2.3
2008 I 2.5 1.9 -0.6 2.9 -1.3 0.3 3.1 1.4
II 2.6 1.3 -1.3 2.7 -1.5 0.1 2.8 1.1
III 1.2 -0.7 -1.9 3.1 -2.0 1.9 2.3 2.0
IV 0.9 -3.0 -4.0 2.6 1.0 1.6 1.6 1.6
ANNUAL 1.8 -0.1 -1.9 2.8 -1.0 1.0 2.4 1.5
2009 I 1.0 -4.8 -5.8 0.9 1.1 -0.1 5.6 2.2
II 1.9 -5.4 -7.2 2.3 3.3 0.3 3.7 1.7
III r3.8 r-3.9 -7.4 2.5 r4.2 r-1.2 r3.3 r0.6
IV 5.1 -0.3 -5.1 2.2 0.7 -2.8 5.9 0.7
ANNUAL 2.9 -3.6 -6.4 2.0 2.4 -0.9 4.6 1.3
---------------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 4, 2010
r=revised Source: Bureau of Labor Statistics
Table 3. Manufacturing sector: Productivity, hourly compensation, and unit labor costs,
seasonally adjusted
Real
Year Output per Hours Compensa- compensa- Unit
and hour of of all tion per tion per labor
quarter all persons Output persons hour (1) hour (2) costs
--------------------------------------------------------------------------------------------------
Indexes 1992=100
2007 I 176.9 148.0 83.7 172.9 121.1 97.7
II 178.2 149.3 83.8 172.9 119.9 97.0
III 180.1 150.3 83.4 172.9 119.2 96.0
IV 181.6 150.4 82.8 175.6 119.4 96.7
ANNUAL 179.2 149.5 83.4 173.6 119.9 96.9
2008 I 182.8 149.9 82.0 175.7 118.1 96.1
II 181.6 148.0 81.5 176.9 117.6 97.4
III 180.3 144.4 80.1 178.8 117.1 99.2
IV 178.1 137.2 77.0 183.9 123.1 103.2
ANNUAL 180.7 144.9 80.2 178.7 118.9 98.9
2009 I 177.0 129.1 72.9 183.7 123.7 103.8
II r179.9 r126.4 70.2 186.6 125.3 r103.7
III r186.1 r129.3 r69.5 r189.5 r126.1 r101.9
IV 189.6 131.2 69.2 189.5 125.0 99.9
ANNUAL 183.1 129.0 70.5 187.3 125.0 102.3
--------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2007 I 3.7 1.8 -1.9 8.2 4.2 4.3
II 3.0 3.4 0.4 0.0 -4.1 -3.0
III 4.4 2.7 -1.6 0.1 -2.2 -4.1
IV 3.3 0.3 -2.9 6.5 0.7 3.1
ANNUAL 3.2 1.3 -1.8 4.3 1.4 1.1
2008 I 2.6 -1.2 -3.7 0.1 -4.3 -2.5
II -2.5 -5.2 -2.7 2.8 -1.6 5.4
III -2.9 -9.3 -6.5 4.3 -1.7 7.5
IV -4.7 -18.4 -14.4 12.0 22.2 17.5
ANNUAL 0.8 -3.1 -3.9 3.0 -0.8 2.1
2009 I -2.5 -21.7 -19.8 -0.4 2.0 2.2
II 6.8 -8.1 -13.9 6.5 5.1 r-0.2
III r14.4 r9.5 r-4.2 r6.4 r2.7 r-7.0
IV 7.8 6.1 -1.6 -0.2 -3.5 -7.4
ANNUAL 1.3 -11.0 -12.1 4.8 5.2 3.5
--------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2007 I 2.5 0.4 -2.0 4.3 1.9 1.8
II 3.3 1.3 -2.0 4.9 2.1 1.5
III 3.3 1.6 -1.6 4.5 2.1 1.2
IV 3.6 2.0 -1.5 3.6 -0.4 0.0
ANNUAL 3.2 1.3 -1.8 4.3 1.4 1.1
2008 I 3.3 1.3 -2.0 1.6 -2.5 -1.7
II 1.9 -0.9 -2.7 2.3 -1.9 0.4
III 0.1 -3.9 -4.0 3.4 -1.8 3.3
IV -1.9 -8.7 -7.0 4.7 3.1 6.7
ANNUAL 0.8 -3.1 -3.9 3.0 -0.8 2.1
2009 I -3.1 -13.9 -11.1 4.6 4.8 8.0
II -0.9 -14.6 -13.8 5.5 6.5 6.5
III r3.2 r-10.5 -13.3 r6.0 7.7 r2.7
IV 6.5 -4.4 -10.2 3.0 1.5 -3.2
ANNUAL 1.3 -11.0 -12.1 4.8 5.2 3.5
--------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 4, 2010
r=revised Source: Bureau of Labor Statistics
Table 4. Durable manufacturing sector: Productivity, hourly compensation, and unit labor costs,
seasonally adjusted
Real
Year Output per Hours Compensa- compensa- Unit
and hour of of all tion per tion per labor
quarter all persons Output persons hour (1) hour (2) costs
--------------------------------------------------------------------------------------------------
Indexes 1992=100
2007 I 204.1 180.4 88.4 168.0 117.7 82.3
II 206.9 183.0 88.5 167.3 116.0 80.9
III 209.7 185.0 88.2 167.5 115.5 79.9
IV 212.9 185.7 87.2 170.1 115.6 79.9
ANNUAL 208.4 183.5 88.1 168.2 116.2 80.7
2008 I 213.6 185.3 86.8 169.5 113.9 79.4
II 211.1 181.8 86.1 171.2 113.8 81.1
III 212.2 178.1 83.9 173.7 113.8 81.8
IV 204.3 165.1 80.8 178.1 119.2 87.2
ANNUAL 210.4 177.6 84.4 173.0 115.1 82.2
2009 I 198.7 150.1 75.6 178.4 120.1 89.8
II r200.4 r143.7 71.7 183.3 123.0 r91.5
III r210.6 r148.7 r70.6 r186.5 r124.1 r88.6
IV 213.7 150.6 70.4 186.2 122.8 87.1
ANNUAL 205.7 148.3 72.1 183.5 122.5 89.2
--------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2007 I 4.2 1.2 -2.9 10.1 6.0 5.6
II 5.6 6.0 0.4 -1.7 -5.7 -6.9
III 5.6 4.4 -1.1 0.4 -1.9 -4.9
IV 6.3 1.4 -4.5 6.3 0.5 0.1
ANNUAL 4.0 1.8 -2.1 4.7 1.8 0.7
2008 I 1.2 -0.9 -2.0 -1.4 -5.7 -2.5
II -4.6 -7.3 -2.9 4.1 -0.4 9.1
III 2.2 -7.9 -9.9 5.9 -0.2 3.6
IV -14.2 -26.2 -14.1 10.5 20.6 28.8
ANNUAL 0.9 -3.3 -4.2 2.8 -1.0 1.9
2009 I -10.5 -31.6 -23.5 0.7 3.1 12.6
II r3.5 r-16.1 -18.9 11.5 10.0 r7.7
III r21.9 r14.9 r-5.8 r7.1 r3.4 r-12.2
IV 6.2 5.0 -1.1 -0.6 -3.9 -6.4
ANNUAL -2.2 -16.5 -14.6 6.1 6.5 8.5
--------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2007 I 2.6 0.3 -2.3 4.9 2.4 2.2
II 4.1 1.4 -2.6 5.3 2.6 1.2
III 4.0 2.3 -1.6 5.0 2.7 1.0
IV 5.4 3.2 -2.1 3.7 -0.3 -1.6
ANNUAL 4.0 1.8 -2.1 4.7 1.8 0.7
2008 I 4.6 2.7 -1.8 0.9 -3.2 -3.6
II 2.0 -0.7 -2.6 2.3 -1.9 0.3
III 1.2 -3.7 -4.9 3.7 -1.5 2.5
IV -4.1 -11.1 -7.3 4.7 3.1 9.1
ANNUAL 0.9 -3.3 -4.2 2.8 -1.0 1.9
2009 I -7.0 -19.0 -12.9 5.3 5.5 13.1
II r-5.1 -21.0 -16.8 7.1 8.1 12.8
III r-0.8 r-16.5 r-15.8 7.4 9.1 r8.2
IV 4.6 -8.8 -12.8 4.6 3.0 -0.1
ANNUAL -2.2 -16.5 -14.6 6.1 6.5 8.5
--------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 4, 2010
r=revised Source: Bureau of Labor Statistics
Table 5. Nondurable manufacturing sector: Productivity, hourly compensation, and unit labor costs,
seasonally adjusted
Real
Year Output per Hours Compensa- compensa- Unit
and hour of of all tion per tion per labor
quarter all persons Output persons hour (1) hour (2) costs
--------------------------------------------------------------------------------------------------
Indexes 1992=100
2007 I 151.3 115.9 76.6 179.7 125.9 118.8
II 151.4 116.0 76.7 181.2 125.6 119.7
III 152.6 116.3 76.2 180.9 124.7 118.5
IV 152.3 116.0 76.2 184.1 125.1 120.8
ANNUAL 151.9 116.1 76.4 181.5 125.3 119.5
2008 I 154.3 115.6 74.9 185.2 124.5 120.0
II 154.2 114.8 74.4 185.3 123.2 120.2
III 150.1 111.6 74.4 186.3 122.1 124.1
IV 152.3 108.7 71.4 192.8 129.1 126.6
ANNUAL 152.7 112.7 73.8 187.4 124.6 122.7
2009 I 153.2 105.6 69.0 192.1 129.4 125.4
II r155.2 r105.6 68.1 191.8 128.7 r123.6
III r157.6 r106.8 r67.8 r194.3 r129.3 r123.3
IV 161.4 108.7 67.4 194.6 128.4 120.6
ANNUAL 156.8 106.7 68.0 193.2 129.0 123.2
--------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2007 I 2.4 2.4 0.0 4.9 1.1 2.4
II 0.3 0.7 0.4 3.3 -0.9 3.0
III 3.4 0.8 -2.5 -0.6 -2.9 -3.9
IV -0.9 -0.9 0.0 7.1 1.3 8.0
ANNUAL 2.0 0.9 -1.1 3.6 0.8 1.6
2008 I 5.4 -1.4 -6.5 2.6 -1.9 -2.7
II -0.4 -2.8 -2.5 0.2 -4.0 0.6
III -10.2 -10.6 -0.5 2.1 -3.8 13.7
IV 6.0 -9.9 -15.0 14.7 25.2 8.2
ANNUAL 0.6 -2.9 -3.4 3.3 -0.6 2.7
2009 I 2.2 -11.1 -13.0 -1.5 0.9 -3.6
II r5.4 0.0 -5.1 -0.7 -2.0 -5.8
III r6.5 r4.7 r-1.7 5.5 1.8 r-1.0
IV 9.8 7.2 -2.4 0.5 -2.8 -8.5
ANNUAL 2.7 -5.3 -7.8 3.1 3.5 0.4
--------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2007 I 2.3 0.7 -1.6 3.4 0.9 1.1
II 2.1 1.2 -0.9 4.1 1.4 2.0
III 2.5 0.9 -1.6 3.4 1.1 0.9
IV 1.3 0.8 -0.5 3.7 -0.4 2.3
ANNUAL 2.0 0.9 -1.1 3.6 0.8 1.6
2008 I 2.0 -0.2 -2.2 3.1 -1.1 1.0
II 1.9 -1.1 -2.9 2.3 -1.9 0.4
III -1.7 -4.0 -2.4 3.0 -2.1 4.7
IV 0.0 -6.3 -6.3 4.8 3.2 4.8
ANNUAL 0.6 -2.9 -3.4 3.3 -0.6 2.7
2009 I -0.8 -8.7 -8.0 3.7 3.9 4.5
II 0.6 -8.0 -8.6 3.5 4.5 2.8
III r5.0 r-4.3 -8.9 4.3 5.9 r-0.7
IV 6.0 0.0 -5.7 0.9 -0.6 -4.8
ANNUAL 2.7 -5.3 -7.8 3.1 3.5 0.4
--------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 4, 2010
r=revised Source: Bureau of Labor Statistics
Table 6. Nonfinancial corporate sector: Productivity, hourly compensation, unit labor costs, unit profits,
and prices, seasonally adjusted
Output Hourly Real Unit Total Unit Implicit
Year per all- compen- hourly Unit non- unit pro- price
and employee Employee sation compen- labor labor costs fits deflator
quarter hour Output hours (1) sation(2) costs costs(6) (7) (8) (4)
----------------------------------------------------------------------------------------------------------
Indexes 1992=100
2007 I 143.5 175.1 122.0 164.2 115.0 114.4 123.1 116.8 171.2 121.8
II 144.5 176.5 122.1 165.2 114.6 114.4 124.9 117.2 171.8 122.2
III 144.1 175.8 122.0 166.2 114.5 115.3 127.4 118.6 155.6 122.0
IV 145.9 178.5 122.3 168.3 114.4 115.3 127.9 118.7 149.9 121.6
ANNUAL 144.5 176.5 122.1 166.0 114.6 114.9 125.8 117.8 162.1 121.9
2008 I 145.0 176.9 122.0 168.6 113.4 116.3 129.1 119.8 133.0 121.0
II 147.4 178.8 121.3 169.7 112.9 115.1 129.2 118.9 134.7 120.4
III 148.6 178.4 120.1 171.8 112.5 115.6 129.8 119.4 145.3 121.8
IV 148.0 174.6 117.9 173.7 116.3 117.3 134.1 121.8 129.5 122.5
ANNUAL 147.2 177.2 120.3 170.9 113.7 116.1 130.5 120.0 135.7 121.4
2009 I 145.3 166.6 114.7 171.6 115.6 118.1 139.1 123.8 127.5 124.1
II 148.2 166.4 112.3 173.5 116.5 117.1 138.0 122.7 133.8 123.7
III r150.5 r167.0 r110.9 r175.8 r117.0 r116.8 r134.6 r121.6 r138.9 r123.2
----------------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2007 I -0.2 0.2 0.4 4.3 0.4 4.5 7.5 5.3 -10.2 3.2
II 2.8 3.2 0.4 2.5 -1.6 -0.3 5.8 1.4 1.5 1.4
III -1.1 -1.5 -0.4 2.3 -0.1 3.4 8.2 4.8 -32.7 -0.7
IV 5.3 6.2 0.9 5.3 -0.4 0.0 1.5 0.5 -13.8 -1.3
ANNUAL 1.0 1.7 0.7 3.6 0.8 2.6 5.8 3.5 -9.9 1.7
2008 I -2.7 -3.6 -1.0 0.7 -3.7 3.5 3.9 3.6 -38.0 -1.9
II 6.9 4.4 -2.4 2.6 -1.8 -4.0 0.5 -2.7 5.0 -2.0
III 3.2 -0.8 -3.9 4.9 -1.2 1.6 1.8 1.6 35.5 4.8
IV -1.4 -8.3 -6.9 4.6 14.1 6.1 13.9 8.3 -37.0 2.4
ANNUAL 1.9 0.4 -1.5 3.0 -0.8 1.1 3.7 1.8 -16.3 -0.4
2009 I -7.3 -17.1 -10.5 -4.7 -2.4 2.9 15.8 6.6 -5.8 5.3
II 8.4 -0.6 -8.3 4.5 3.2 -3.6 -3.2 -3.5 21.0 -1.3
III r6.3 r1.4 r-4.6 r5.3 r1.6 r-1.0 r-9.4 r-3.6 r16.2 r-1.8
----------------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2007 I 0.3 1.4 1.1 3.3 0.8 2.9 5.5 3.7 -3.0 2.8
II 1.7 2.6 0.9 3.7 1.0 2.0 5.0 2.8 -2.2 2.1
III 0.5 0.9 0.4 4.0 1.6 3.5 7.0 4.5 -18.7 1.1
IV 1.6 2.0 0.3 3.6 -0.4 1.9 5.7 3.0 -14.7 0.6
ANNUAL 1.0 1.7 0.7 3.6 0.8 2.6 5.8 3.5 -9.9 1.7
2008 I 1.0 1.0 0.0 2.7 -1.5 1.7 4.8 2.6 -22.3 -0.6
II 2.0 1.3 -0.7 2.7 -1.5 0.7 3.5 1.5 -21.6 -1.5
III 3.1 1.5 -1.6 3.4 -1.8 0.2 1.9 0.7 -6.6 -0.1
IV 1.4 -2.2 -3.6 3.2 1.6 1.7 4.9 2.6 -13.6 0.8
ANNUAL 1.9 0.4 -1.5 3.0 -0.8 1.1 3.7 1.8 -16.3 -0.4
2009 I 0.2 -5.8 -6.0 1.8 2.0 1.6 7.7 3.4 -4.1 2.6
II 0.6 -6.9 -7.4 2.2 3.2 1.7 6.8 3.2 -0.7 2.8
III r1.3 r-6.4 r-7.6 2.3 3.9 r1.0 r3.7 r1.8 r-4.4 r1.1
----------------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 4, 2010
r=revised Source: Bureau of Labor Statistics
SOURCES: Output data are from the Bureau of Economic Analysis and the
Census Bureau of the U.S. Department of Commerce; the Bureau of Labor
Statistics, U.S. Department of Labor; and the Federal Reserve Board.
Compensation and hours data are from the Bureau of Labor Statistics and
the Bureau of Economic Analysis.
RELIABILITY: Productivity and cost measures are regularly revised as
more complete information becomes available. The measures are first
published within 40 days of the close of the reference period; revisions
appear 30 days later, and second revisions after an additional 60 days.
In the business sector, the third publication (second revision) of a
quarterly index of output per hour of all persons has differed from the
initial value by between -1.5 and +1.4 index points approximately 95
percent of the time. This interval is based on the performance of this
measure between the fourth quarter of 1995 and the third quarter of 2009.
Footnotes, Tables 1-6
(1) Wages and salaries of employees plus employers' contributions for
social insurance and private benefit plans. Except for nonfinancial
corporations, where there are no self-employed, data also include an
estimate of wages, salaries, and supplemental payments for the self-
employed.
(2) The change for recent quarters is based on the Consumer Price Index
for all urban consumers (CPI-U). The trend from 1978-2008 is based on
the Consumer Price Index research series (CPI-U-RS).
(3) Unit nonlabor payments include profits, consumption of fixed
capital, taxes on production and imports less subsidies, net interest and
miscellaneous payments, business current transfer payments, rental income
of persons, and the current surplus of government enterprises.
(4) Current dollar output divided by the output index.
(5) Quarterly changes: Percent change compounded at annual rate is
calculated using index numbers to three decimal places. Indexes
published in the news release are rounded to one decimal place for
convenience. Annual changes: Percent change is calculated using annual
average indexes to three decimal places.
(6) Unit nonlabor costs include consumption of fixed capital, taxes on
production and imports less subsidies, net interest and miscellaneous
payments, and business current transfer payments.
(7) Total unit costs are the sum of unit labor and nonlabor costs.
(8) Unit profits include corporate profits before tax with inventory
valuation and capital consumption adjustments.
United States Department of Labor
