Transmission of material in this release is embargoed until USDL 15-0157
8:30 a.m. (EST) Thursday, February 5, 2015
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 2014, Preliminary
Nonfarm business sector labor productivity decreased at a 1.8 percent annual
rate during the fourth quarter of 2014, the U.S. Bureau of Labor Statistics
reported today, as output increased 3.2 percent and hours worked increased
5.1 percent. (All quarterly percent changes in this release are seasonally
adjusted annual rates.) The increase in hours worked is the largest increase
in this series since a gain of 5.7 percent in the fourth quarter of 1998.
From the fourth quarter of 2013 to the fourth quarter of 2014, productivity
was unchanged as output and hours worked both increased 3.1 percent. (See
table A.) Annual average productivity increased 0.8 percent from 2013 to
2014. (See table C.)
Labor productivity, or output per hour, is calculated by dividing an index of
real output by an index of hours worked of all persons, including employees,
proprietors, and unpaid family workers.
Unit labor costs in the nonfarm business sector increased 2.7 percent in the
fourth quarter of 2014, reflecting a 0.9 percent increase in hourly
compensation and a 1.8 percent decline in productivity. Unit labor costs
increased 1.9 percent over the last four quarters. (See tables A and 2.)
BLS calculates 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.
Manufacturing sector productivity increased 1.3 percent in the fourth quarter
of 2014, as output increased 5.7 percent and hours worked increased 4.3
percent. Productivity increased 1.5 percent in the durable manufacturing
sector and increased 0.2 percent in the nondurable manufacturing sector.
(See tables A, 3, 4, and 5.) Over the last four quarters, manufacturing
productivity increased 2.8 percent, as output increased 4.8 percent and hours
increased 1.9 percent. Unit labor costs in manufacturing increased 0.2
percent in the fourth quarter of 2014 and decreased 0.4 percent from the
same quarter a year ago. (See tables A and 3.)
The concepts, sources, and methods used for the manufacturing output series
differ from those used in the business and nonfarm business output series;
these output measures are not directly comparable. See Technical Notes for a
more detailed explanation.
Table C presents annual averages for the most recent five years for the
nonfarm business sector and the total manufacturing sector. Nonfarm business
sector productivity grew 0.8 percent in 2014, as output and hours increased
3.1 percent and 2.2 percent, respectively. This increase in productivity is
similar to the increases of 0.9 percent in 2013 and 1.0 percent in 2012.
These rates are slower than the long-term average annual rate of
productivity growth since 1947 (2.2 percent), and reflect steady growth in
both output and hours.
Unit labor costs rose 1.5 percent in 2014, as hourly compensation grew faster
than productivity. Real hourly compensation, which takes into account changes
in consumer prices, increased 0.7 percent in 2014.
In the manufacturing sector, productivity increased 2.5 percent from 2013 to
2014, and unit labor costs were unchanged. Real hourly compensation in
manufacturing increased 0.8 percent--the first annual increase in the series
since 2009 (3.8 percent).
Revised measures
Revised and previous measures for the third quarter of 2014 are shown in
tables B and D and cover the following major sectors: nonfarm business,
business, manufacturing, and nonfinancial corporations.
In the third quarter of 2014, nonfarm business productivity was revised up
1.4 percentage points, to an increase of 3.7 percent; this is due solely to
an upward revision to output, as hours worked were unrevised. (See table B.)
Unit labor costs for the nonfarm business sector fell 2.3 percent in the
third quarter--rather than falling 1.0 percent as previously reported--due
solely to the upward revision to productivity.
In the manufacturing sector, productivity was revised up 0.3 percentage
points, to an increase of 3.2 percent. Manufacturing unit labor costs were
revised down, to a decline of 1.7 percent.
In the nonfinancial corporate sector, productivity increased 1.7 percent,
after a 0.6 percentage point upward revision which was due solely to an
upward revision to output. (See table D.)
Quarterly and annual data for all sectors from 2012 to 2014 appear in
tables 1-6. Full historical measures can be found on the Productivity and
Costs home page: www.bls.gov/lpc/#data.
______________
The revised Productivity and Costs news release for fourth-quarter 2014
is scheduled to be released on Thursday, March 5, 2015 at 8:30 a.m. (EST).
=======================================================================================================
Table A. Preliminary fourth-quarter 2014 measures: percent change from previous quarter, at 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 -1.8 0.0 -2.0 -0.3 1.3 2.8 1.5 3.1 0.2 2.9
Output 3.2 3.1 3.3 2.9 5.7 4.8 4.5 5.8 7.0 3.7
Hours 5.1 3.1 5.3 3.2 4.3 1.9 3.0 2.5 6.8 0.9
Hourly
compensation 0.9 1.9 0.6 1.7 1.5 2.4 1.3 2.1 2.2 2.8
Real hourly
compensation 2.1 0.7 1.8 0.5 2.8 1.2 2.5 0.9 3.4 1.6
Unit labor
costs 2.7 1.9 2.6 2.0 0.2 -0.4 -0.2 -1.0 2.0 0.0
=======================================================================================================
Table B. Revised and previous measures: third quarter 2014
Sector Nonfarm Durable Nondurable
Business Business Manufacturing Manufacturing Manufacturing
Revised Previous Revised Previous Revised Previous Revised Previous Revised Previous
-------------------------------------------------------------------------------------------------------
Percent change, annual rate, third quarter 2014
Productivity 3.7 2.3 3.2 1.8 3.2 2.9 3.5 3.2 3.8 3.5
Output 6.3 4.9 6.4 4.9 4.8 4.2 6.7 6.3 2.7 2.0
Hours 2.5 2.5 3.1 3.0 1.5 1.3 3.1 3.0 -1.1 -1.5
Hourly
compensation 1.3 1.3 0.6 0.6 1.4 1.6 0.7 0.8 2.6 2.7
Real hourly
compensation 0.2 0.2 -0.5 -0.5 0.3 0.5 -0.4 -0.3 1.5 1.6
Unit labor
costs -2.3 -1.0 -2.5 -1.2 -1.7 -1.3 -2.6 -2.3 -1.2 -0.7
=======================================================================================================
Table C. Annual average changes in productivity and related measures: 2010-2014
Sector Nonfarm Business Manufacturing
2010 2011 2012 2013 2014 | 2010 2011 2012 2013 2014
--------------------------------------------------------------|----------------------------------------
Productivity 3.3 0.1 1.0 0.9 0.8 | 6.2 0.8 1.0 2.0 2.5
Output 3.2 2.2 3.2 2.6 3.1 | 6.2 2.9 3.3 2.7 3.9
Hours -0.1 2.1 2.2 1.7 2.2 | 0.0 2.1 2.3 0.7 1.3
Hourly |
compensation 2.0 2.2 2.7 1.1 2.3 | 1.3 1.7 1.7 0.6 2.5
Real hourly |
compensation 0.3 -0.9 0.6 -0.3 0.7 | -0.4 -1.4 -0.3 -0.8 0.8
Unit labor |
costs -1.3 2.1 1.7 0.2 1.5 | -4.7 1.0 0.8 -1.4 0.0
=======================================================================================================
Table D. Nonfinancial corporations: revised and previous third-quarter 2014 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, third quarter 2014
Revised 1.7 4.6 2.9 0.9 -0.2 -0.8 5.7 0.7
Previous 1.1 4.0 2.9 0.9 -0.2 -0.3 3.2 0.7
=======================================================================================================
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, counting a
person who is employed by two or more establishments at each place of
employment. 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) for 2001 forward and data from the BLS Hours at Work survey,
conducted for this purpose, 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 to estimate hours worked for farm labor,
nonfarm proprietors, and nonfarm unpaid family workers. Using CPS
information on employment and hours worked at primary jobs and all other
jobs, separately, the BLS productivity measures assign all hours worked
to the correct industrial sector. Hours 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.
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 76 percent of the value of GDP in 2013. Nonfarm business, which
excludes farming, accounted for about 74 percent of GDP in 2013.
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 indexes 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.
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 49 percent of the value of GDP in 2013.
Labor Productivity: The measure describes the relationship between real
output and the labor time involved in its production. Measures of labor
productivity growth show the changes from period to period in the amount
of goods and services produced per hour worked. 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: The measure includes accrued wages and salaries,
supplements, employer contributions to employee benefit plans, and taxes.
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: These measures describe the relationship between
compensation per hour and labor 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 percent changes from the previous quarter
presented at a compound annual rate, as percent changes from the
corresponding quarter of the previous year, and as index number series
where 2009=100. 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, 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).
For a more detailed explanation of methodology see "Technical Information
About the Major Sector Productivity and Costs Methods" at
www.bls.gov/lpc/lpcmethods.pdf.
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
Output Compen- compen- Unit Implicit
Year per hour Hours sation sation Unit nonlabor price
and of all of all per hour per hour labor payments deflator
quarter persons Output persons (1) (2) costs (3) (4)
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2014 ANNUAL 0.6 2.9 2.3 2.2 0.5 1.6 0.9 1.3
2014 IV -2.0 3.3 5.3 0.6 1.8 2.6 -4.9 -0.8
III 3.2 r 6.4 r 3.1 r 0.6 -0.5 -2.5 r 5.9 r 1.1 r
II 2.9 5.7 2.7 -1.1 -4.0 -3.9 11.1 2.4
I -5.0 -3.3 1.8 6.9 4.9 12.5 -11.5 1.3
2013 ANNUAL 1.2 2.7 1.5 1.4 -0.1 0.2 3.1 1.4
2013 IV 3.1 4.6 1.5 1.7 0.5 -1.4 4.0 1.0
III 3.5 5.9 2.4 0.3 -1.7 -3.1 7.9 1.6
II 0.7 2.1 1.4 3.8 3.4 3.1 -1.7 1.0
I 2.1 3.2 1.1 -5.6 -6.7 -7.6 14.6 1.4
2012 ANNUAL 0.9 3.1 2.2 2.8 0.7 1.9 1.7 1.8
2012 IV -2.0 -0.1 1.9 10.8 8.1 13.0 -12.3 1.3
III 1.3 3.1 1.8 0.0 -1.6 -1.3 6.5 2.0
II 1.8 2.3 0.4 0.8 -0.5 -1.0 6.5 2.2
I -0.1 3.1 3.3 11.6 9.2 11.7 -10.0 1.7
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2014 ANNUAL 0.6 2.9 2.3 2.2 0.5 1.6 0.9 1.3
2014 IV -0.3 2.9 3.2 1.7 0.5 2.0 -0.3 1.0
III 1.0 r 3.3 r 2.3 r 2.0 0.2 1.0 r 2.0 r 1.4
II 1.1 3.2 2.1 1.9 -0.1 0.8 2.5 1.5
I 0.5 2.3 1.7 3.1 1.7 2.6 -0.6 1.2
2013 ANNUAL 1.2 2.7 1.5 1.4 -0.1 0.2 3.1 1.4
2013 IV 2.4 4.0 1.6 0.0 -1.2 -2.3 6.0 1.2
III 1.1 2.8 1.7 2.1 0.6 1.1 1.6 1.3
II 0.5 2.1 1.5 2.1 0.6 1.5 1.3 1.4
I 0.8 2.1 1.3 1.3 -0.3 0.5 3.3 1.7
2012 ANNUAL 0.9 3.1 2.2 2.8 0.7 1.9 1.7 1.8
2012 IV 0.3 2.1 1.8 5.7 3.7 5.4 -2.7 1.8
III 1.6 3.6 2.0 1.8 0.1 0.2 3.6 1.7
II 1.0 3.1 2.1 2.3 0.4 1.3 2.6 1.8
I 0.8 3.5 2.7 1.6 -1.2 0.8 3.8 2.1
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2014 ANNUAL 106.1 114.8 108.2 110.8 100.4 104.4 113.2 108.1
2014 IV 106.3 116.8 109.9 111.0 100.5 104.3 113.7 108.3
III 106.9 r 115.9 r 108.4 r 110.8 r 100.0 r 103.7 r 115.1 r 108.5 r
II 106.0 114.1 107.6 110.6 100.1 104.3 113.5 108.2
I 105.3 112.5 106.9 110.9 101.1 105.4 110.6 107.5
2013 ANNUAL 105.5 111.6 105.7 108.5 99.9 102.8 112.2 106.7
2013 IV 106.6 113.5 106.4 109.1 99.9 102.3 114.0 107.2
III 105.8 112.2 106.0 108.6 99.8 102.7 112.9 106.9
II 104.9 110.6 105.4 108.6 100.3 103.5 110.7 106.5
I 104.7 110.0 105.1 107.5 99.4 102.7 111.2 106.3
2012 ANNUAL 104.3 108.6 104.2 107.0 99.9 102.6 108.9 105.2
2012 IV 104.2 109.1 104.8 109.1 101.2 104.7 107.5 105.9
III 104.7 109.2 104.3 106.4 99.2 101.6 111.1 105.6
II 104.3 108.3 103.8 106.3 99.6 101.9 109.3 105.0
I 103.9 107.7 103.7 106.1 99.8 102.2 107.6 104.5
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 5, 2015
r=revised Source: Bureau of Labor Statistics
Table 2. Nonfarm business sector: Productivity, hourly compensation, unit labor costs, and prices,
seasonally adjusted
Real
Output Compen- compen- Unit Implicit
Year per hour Hours sation sation Unit nonlabor price
and of all of all per hour per hour labor payments deflator
quarter persons Output persons (1) (2) costs (3) (4)
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2014 ANNUAL 0.8 3.1 2.2 2.3 0.7 1.5 1.1 1.3
2014 IV -1.8 3.2 5.1 0.9 2.1 2.7 -4.8 -0.7
III 3.7 r 6.3 r 2.5 1.3 0.2 -2.3 r 7.1 r 1.7 r
II 2.9 5.5 2.5 -0.9 -3.8 -3.7 10.1 2.0
I -4.5 -2.4 2.1 6.6 4.6 11.6 -11.7 0.8
2013 ANNUAL 0.9 2.6 1.7 1.1 -0.3 0.2 2.9 1.4
2013 IV 3.3 4.7 1.4 1.9 0.7 -1.3 5.0 1.4
III 3.6 5.6 1.9 0.7 -1.4 -2.9 8.5 1.9
II 0.5 2.0 1.5 3.7 3.2 3.2 -0.7 1.5
I 0.8 2.4 1.6 -6.3 -7.4 -7.0 12.7 0.9
2012 ANNUAL 1.0 3.2 2.2 2.7 0.6 1.7 2.0 1.8
2012 IV -2.0 0.1 2.2 10.4 7.8 12.7 -12.8 1.0
III 1.7 3.7 2.0 -0.2 -1.8 -1.8 6.7 1.8
II 1.8 2.3 0.5 0.7 -0.7 -1.2 7.0 2.3
I 0.2 3.3 3.2 11.6 9.3 11.4 -9.9 1.6
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2014 ANNUAL 0.8 3.1 2.2 2.3 0.7 1.5 1.1 1.3
2014 IV 0.0 3.1 3.1 1.9 0.7 1.9 -0.2 1.0
III 1.3 r 3.5 r 2.2 r 2.2 0.4 0.9 r 2.2 r 1.5
II 1.3 3.3 2.0 2.0 0.0 0.7 2.6 1.5
I 0.7 2.4 1.7 3.2 1.8 2.5 0.0 1.4
2013 ANNUAL 0.9 2.6 1.7 1.1 -0.3 0.2 2.9 1.4
2013 IV 2.0 3.7 1.6 -0.1 -1.3 -2.1 6.2 1.4
III 0.7 2.5 1.8 1.9 0.4 1.2 1.4 1.3
II 0.2 2.0 1.8 1.7 0.3 1.5 1.0 1.3
I 0.6 2.1 1.5 1.0 -0.7 0.4 2.9 1.5
2012 ANNUAL 1.0 3.2 2.2 2.7 0.6 1.7 2.0 1.8
2012 IV 0.4 2.3 1.9 5.5 3.5 5.1 -2.7 1.6
III 1.7 3.8 2.0 1.6 0.0 -0.1 4.1 1.7
II 1.1 3.1 2.0 2.3 0.4 1.2 2.8 1.9
I 0.9 3.7 2.7 1.5 -1.2 0.6 4.0 2.0
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2014 ANNUAL 106.3 115.1 108.3 110.8 100.4 104.2 112.1 107.5
2014 IV 106.6 117.0 109.8 111.1 100.6 104.2 112.7 107.8
III 107.1 r 116.1 r 108.5 r 110.8 r 100.1 r 103.5 r 114.1 r 107.9 r
II 106.1 114.4 107.8 110.5 100.0 104.1 112.2 107.5
I 105.4 112.9 107.1 110.7 101.0 105.1 109.5 106.9
2013 ANNUAL 105.4 111.7 105.9 108.3 99.7 102.7 110.9 106.1
2013 IV 106.6 113.5 106.5 109.0 99.9 102.3 113.0 106.7
III 105.7 112.2 106.2 108.5 99.7 102.6 111.6 106.4
II 104.8 110.7 105.7 108.3 100.0 103.4 109.4 105.9
I 104.7 110.2 105.3 107.3 99.2 102.5 109.6 105.5
2012 ANNUAL 104.5 108.9 104.2 107.1 100.0 102.4 107.8 104.7
2012 IV 104.4 109.5 104.9 109.1 101.1 104.4 106.3 105.2
III 105.0 109.5 104.3 106.4 99.3 101.4 110.0 105.0
II 104.5 108.5 103.8 106.5 99.7 101.8 108.3 104.5
I 104.1 107.9 103.7 106.3 99.9 102.1 106.5 103.9
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 5, 2015
r=revised Source: Bureau of Labor Statistics
Table 3. Manufacturing sector: Productivity, hourly compensation, and unit labor costs,
seasonally adjusted
Real
Output Compen- compen-
Year per hour Hours sation sation Unit
and of all of all per hour per hour labor
quarter persons Output persons (1) (2) costs
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2014 ANNUAL 2.5 3.9 1.3 2.5 0.8 0.0
2014 IV 1.3 5.7 4.3 1.5 2.8 0.2
III 3.2 r 4.8 r 1.5 r 1.4 r 0.3 r -1.7 r
II 3.7 r 7.3 r 3.4 -1.9 -4.8 -5.4
I 3.2 1.6 -1.6 8.9 6.9 5.5
2013 ANNUAL 2.0 2.7 0.7 0.6 -0.8 -1.4
2013 IV 1.3 4.7 3.4 0.8 -0.4 -0.5
III 0.5 1.7 1.1 0.6 -1.4 0.0
II 3.7 1.5 -2.2 2.9 2.4 -0.9
I 3.1 4.8 1.7 -2.3 -3.4 -5.2
2012 ANNUAL 1.0 3.3 2.3 1.7 -0.3 0.8
2012 IV 1.9 2.4 0.4 4.3 1.8 2.4
III 0.1 1.2 1.1 -2.1 -3.7 -2.1
II 1.0 2.4 1.3 0.4 -1.0 -0.7
I 2.8 6.1 3.1 10.7 8.4 7.6
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2014 ANNUAL 2.5 3.9 1.3 2.5 0.8 0.0
2014 IV 2.8 4.8 1.9 2.4 1.2 -0.4
III 2.8 r 4.6 r 1.7 r 2.2 r 0.4 -0.6 r
II 2.2 3.8 1.6 2.0 0.0 -0.2 r
I 2.2 2.4 0.2 3.2 1.8 1.0
2013 ANNUAL 2.0 2.7 0.7 0.6 -0.8 -1.4
2013 IV 2.2 3.2 1.0 0.5 -0.7 -1.7
III 2.3 2.6 0.3 1.3 -0.2 -1.0
II 2.2 2.4 0.3 0.7 -0.8 -1.5
I 1.5 2.7 1.1 0.0 -1.6 -1.4
2012 ANNUAL 1.0 3.3 2.3 1.7 -0.3 0.8
2012 IV 1.5 3.0 1.5 3.2 1.3 1.7
III 0.6 3.2 2.6 0.9 -0.7 0.4
II 1.5 4.0 2.4 1.8 -0.1 0.3
I 0.4 3.2 2.8 1.0 -1.7 0.7
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2014 ANNUAL 113.0 120.4 106.5 108.1 97.9 95.6
2014 IV 114.0 122.9 107.8 108.4 98.2 95.1
III 113.7 r 121.2 r 106.6 r 108.0 r 97.5 r 95.1 r
II 112.8 r 119.8 r 106.2 107.7 97.4 95.5 r
I 111.7 117.7 105.3 108.2 98.6 96.8
2013 ANNUAL 110.3 115.9 105.1 105.5 97.1 95.6
2013 IV 110.9 117.2 105.8 105.9 97.0 95.5
III 110.5 115.9 104.9 105.7 97.1 95.6
II 110.4 115.4 104.6 105.5 97.5 95.6
I 109.4 115.0 105.2 104.8 96.9 95.8
2012 ANNUAL 108.1 112.8 104.4 104.8 97.9 97.0
2012 IV 108.5 113.6 104.7 105.4 97.7 97.1
III 108.0 113.0 104.6 104.3 97.3 96.6
II 108.0 112.7 104.3 104.8 98.2 97.1
I 107.7 112.0 104.0 104.7 98.5 97.2
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 5, 2015
r=revised Source: Bureau of Labor Statistics
Table 4. Durable manufacturing sector: Productivity, hourly compensation, and unit labor costs,
seasonally adjusted
Real
Output Compen- compen-
Year per hour Hours sation sation Unit
and of all of all per hour per hour labor
quarter persons Output persons (1) (2) costs
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2014 ANNUAL 3.2 5.4 2.1 1.9 0.3 -1.2
2014 IV 1.5 4.5 3.0 1.3 2.5 -0.2
III 3.5 r 6.7 r 3.1 r 0.7 r -0.4 r -2.6 r
II 4.1 r 10.2 r 5.9 -3.1 -5.9 -6.9 r
I 3.5 1.8 -1.6 10.0 7.9 6.3
2013 ANNUAL 3.1 4.2 1.0 0.1 -1.4 -3.0
2013 IV 2.6 6.9 4.2 -1.7 -2.9 -4.2
III 2.0 3.6 1.6 1.0 -1.0 -0.9
II 5.2 2.9 -2.1 2.6 2.1 -2.5
I 3.4 6.4 2.9 -3.4 -4.5 -6.5
2012 ANNUAL 3.0 6.0 2.9 1.3 -0.7 -1.6
2012 IV 3.3 3.6 0.3 5.1 2.6 1.7
III 0.5 1.1 0.6 -3.4 -5.0 -4.0
II 3.4 5.3 1.9 -1.0 -2.4 -4.3
I 7.0 10.3 3.1 11.9 9.6 4.6
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2014 ANNUAL 3.2 5.4 2.1 1.9 0.3 -1.2
2014 IV 3.1 5.8 2.5 2.1 0.9 -1.0
III 3.4 r 6.3 r 2.8 1.4 -0.4 -2.0 r
II 3.0 5.6 2.5 1.4 -0.6 -1.5
I 3.3 3.8 0.5 2.9 1.5 -0.4
2013 ANNUAL 3.1 4.2 1.0 0.1 -1.4 -3.0
2013 IV 3.3 4.9 1.6 -0.4 -1.6 -3.5
III 3.5 4.1 0.6 1.3 -0.2 -2.1
II 3.1 3.5 0.4 0.1 -1.3 -2.9
I 2.6 4.1 1.4 -0.7 -2.4 -3.3
2012 ANNUAL 3.0 6.0 2.9 1.3 -0.7 -1.6
2012 IV 3.5 5.1 1.5 3.0 1.0 -0.5
III 2.5 5.8 3.2 0.2 -1.5 -2.3
II 4.1 7.3 3.2 1.6 -0.3 -2.4
I 1.8 5.9 4.0 0.7 -2.1 -1.1
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2014 ANNUAL 123.4 135.7 110.0 106.7 96.7 86.4
2014 IV 124.6 138.8 111.4 106.8 96.7 85.7
III 124.2 r 137.3 r 110.6 r 106.5 r 96.1 r 85.8 r
II 123.1 r 135.1 r 109.7 106.3 96.2 86.4 r
I 121.9 131.8 108.2 107.1 97.7 87.9
2013 ANNUAL 119.6 128.8 107.7 104.7 96.4 87.5
2013 IV 120.8 131.2 108.6 104.6 95.8 86.6
III 120.1 129.1 107.5 105.1 96.5 87.5
II 119.5 127.9 107.1 104.8 96.8 87.7
I 118.0 127.0 107.7 104.1 96.3 88.3
2012 ANNUAL 116.0 123.7 106.6 104.6 97.7 90.2
2012 IV 117.0 125.1 106.9 105.0 97.4 89.8
III 116.1 124.0 106.8 103.7 96.8 89.4
II 115.9 123.6 106.6 104.6 98.0 90.3
I 114.9 122.0 106.2 104.9 98.6 91.3
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 5, 2015
r=revised Source: Bureau of Labor Statistics
Table 5. Nondurable manufacturing sector: Productivity, hourly compensation, and unit labor costs,
seasonally adjusted
Real
Output Compen- compen-
Year per hour Hours sation sation Unit
and of all of all per hour per hour labor
quarter persons Output persons (1) (2) costs
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2014 ANNUAL 2.2 2.2 0.1 3.3 1.7 1.2
2014 IV 0.2 7.0 6.8 2.2 3.4 2.0
III 3.8 r 2.7 r -1.1 r 2.6 r 1.5 r -1.2 r
II 4.7 4.0 -0.6 -0.1 -3.0 -4.5
I 2.8 1.4 -1.4 6.8 4.8 3.9
2013 ANNUAL 1.2 1.3 0.1 1.6 0.2 0.4
2013 IV 0.3 2.3 2.0 5.7 4.4 5.3
III -0.8 -0.4 0.4 -0.4 -2.4 0.4
II 2.2 -0.1 -2.3 3.4 2.9 1.2
I 3.4 3.1 -0.3 -0.5 -1.6 -3.8
2012 ANNUAL 0.0 1.3 1.3 2.4 0.3 2.4
2012 IV 0.6 1.2 0.7 2.9 0.4 2.3
III -0.2 1.7 1.9 0.8 -0.9 1.0
II -0.5 -0.1 0.4 3.0 1.6 3.5
I -0.5 2.6 3.2 8.3 6.1 8.9
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2014 ANNUAL 2.2 2.2 0.1 3.3 1.7 1.2
2014 IV 2.9 3.7 0.9 2.8 1.6 0.0
III 2.9 r 2.6 r -0.3 r 3.7 1.9 0.8 r
II 1.7 1.8 0.1 2.9 0.9 1.2
I 1.1 0.8 -0.3 3.8 2.4 2.7
2013 ANNUAL 1.2 1.3 0.1 1.6 0.2 0.4
2013 IV 1.3 1.2 -0.1 2.0 0.8 0.7
III 1.3 0.9 -0.4 1.3 -0.2 0.0
II 1.5 1.5 0.0 1.6 0.2 0.1
I 0.8 1.5 0.7 1.5 -0.1 0.7
2012 ANNUAL 0.0 1.3 1.3 2.4 0.3 2.4
2012 IV -0.2 1.4 1.5 3.7 1.8 3.9
III -0.4 1.2 1.5 2.2 0.5 2.6
II 0.2 1.3 1.1 2.0 0.1 1.9
I 0.4 1.2 0.8 1.5 -1.3 1.1
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2014 ANNUAL 107.6 108.6 101.0 110.0 99.7 102.3
2014 IV 108.4 110.6 102.0 110.8 100.3 102.2
III 108.4 r 108.8 r 100.4 r 110.2 r 99.5 r 101.7 r
II 107.3 108.1 100.7 109.5 99.1 102.0
I 106.1 107.0 100.8 109.5 99.9 103.2
2013 ANNUAL 105.3 106.2 100.9 106.5 98.0 101.1
2013 IV 105.4 106.6 101.2 107.7 98.7 102.2
III 105.3 106.0 100.7 106.3 97.7 100.9
II 105.5 106.1 100.6 106.4 98.3 100.8
I 105.0 106.2 101.1 105.5 97.5 100.5
2012 ANNUAL 104.0 104.9 100.8 104.8 97.9 100.7
2012 IV 104.1 105.4 101.2 105.6 98.0 101.5
III 103.9 105.0 101.1 104.9 97.9 100.9
II 104.0 104.6 100.6 104.7 98.1 100.7
I 104.1 104.6 100.5 103.9 97.7 99.8
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 5, 2015
r=revised Source: Bureau of Labor Statistics
Table 6. Nonfinancial corporate sector: Productivity, hourly compensation, unit labor costs, unit profits,
and prices, seasonally adjusted
Real Unit
Output Hourly hourly non- Total Unit Implicit
Year per all- compen- compen- Unit labor unit pro- price
and employee Employee sation sation labor costs cost fits deflator
quarter hour Output hours (1) (2) costs (6) (7) (8) (4)
---------------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate(5)
2014 III 1.7 r 4.6 r 2.9 0.9 -0.2 -0.8 r 1.1 r -0.2 r 5.7 r 0.7
II 2.0 6.5 4.5 -1.5 -4.4 -3.4 -6.1 -4.3 47.3 1.7
I -1.1 0.7 1.8 6.5 4.5 7.6 2.3 5.9 -26.9 0.5
2013 ANNUAL 0.3 2.3 2.0 1.4 -0.1 1.1 0.1 0.8 1.4 0.9
2013 IV 0.1 2.2 2.1 0.8 -0.4 0.8 0.7 0.7 -3.9 0.0
III -2.0 0.4 2.4 -0.5 -2.5 1.6 2.3 1.8 -2.7 1.1
II 2.9 4.5 1.6 2.2 1.7 -0.6 -2.6 -1.3 8.5 0.1
I -1.4 1.6 3.1 -1.8 -2.9 -0.4 2.7 0.6 -1.9 0.2
2012 ANNUAL 1.9 4.3 2.3 2.9 0.8 0.9 -0.7 0.4 7.9 1.4
2012 IV 4.0 5.6 1.5 7.9 5.3 3.7 -3.3 1.4 4.5 1.8
III -3.6 -2.2 1.5 -0.2 -1.9 3.6 2.3 3.1 -5.7 1.8
II 1.6 2.4 0.8 0.3 -1.1 -1.3 -0.2 -0.9 15.5 1.3
I 6.1 9.6 3.3 13.5 11.1 6.9 -2.6 3.6 -1.4 2.9
---------------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2014 III 0.6 r 3.5 r 2.8 1.6 -0.2 1.0 r -0.6 r 0.5 r 2.3 r 0.7
II -0.3 2.4 2.7 1.3 -0.8 1.6 -0.3 1.0 0.2 0.8
I -0.1 1.9 2.0 2.2 0.8 2.3 0.7 1.7 -7.2 0.4
2013 ANNUAL 0.3 2.3 2.0 1.4 -0.1 1.1 0.1 0.8 1.4 0.9
2013 IV -0.1 2.2 2.3 0.2 -1.0 0.3 0.7 0.5 -0.1 0.4
III 0.8 3.0 2.1 1.9 0.4 1.0 -0.3 0.6 2.0 0.8
II 0.4 2.3 1.9 2.0 0.5 1.5 -0.3 0.9 1.2 1.0
I 0.1 1.8 1.7 1.5 -0.2 1.4 0.4 1.0 2.8 1.3
2012 ANNUAL 1.9 4.3 2.3 2.9 0.8 0.9 -0.7 0.4 7.9 1.4
2012 IV 2.0 3.8 1.8 5.2 3.2 3.2 -1.0 1.8 2.9 2.0
III 1.8 3.8 2.0 2.1 0.5 0.3 -0.7 0.0 4.1 0.5
II 2.0 4.4 2.4 2.4 0.5 0.4 -0.5 0.1 8.8 1.3
I 2.0 5.3 3.2 1.7 -1.1 -0.4 -0.7 -0.5 17.3 1.7
---------------------------------------------------------------------------------------------------------
Indexes 2009=100
2014 III 108.1 r 119.7 r 110.8 r 109.9 r 99.2 r 101.7 r 97.5 r 100.3 r 150.3 r 105.5 r
II 107.6 118.4 110.0 109.6 99.2 101.9 97.3 100.3 148.2 105.3
I 107.1 116.5 108.8 110.1 100.4 102.8 98.8 101.4 134.6 104.9
2013 ANNUAL 107.5 115.5 107.5 108.1 99.5 100.6 98.0 99.7 146.4 104.6
2013 IV 107.4 116.3 108.3 108.3 99.3 100.9 98.2 100.0 145.5 104.8
III 107.4 115.7 107.8 108.1 99.3 100.7 98.1 99.8 147.0 104.8
II 107.9 115.6 107.1 108.2 100.0 100.3 97.5 99.4 148.0 104.5
I 107.2 114.3 106.7 107.7 99.5 100.5 98.2 99.7 145.0 104.4
2012 ANNUAL 107.1 112.9 105.4 106.6 99.6 99.5 97.9 99.0 144.3 103.7
2012 IV 107.5 113.9 105.9 108.2 100.3 100.6 97.5 99.6 145.7 104.4
III 106.5 112.3 105.5 106.1 99.0 99.7 98.3 99.2 144.1 103.9
II 107.5 113.0 105.1 106.2 99.5 98.8 97.8 98.4 146.2 103.4
I 107.1 112.3 104.9 106.1 99.7 99.1 97.8 98.7 141.1 103.1
---------------------------------------------------------------------------------------------------------
See footnotes following Table 6. February 5, 2015
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. Hours and
compensation 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
-1.6 and 1.5 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 2014.
Table Footnotes
(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 1978-2013 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 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
