Transmission of material in this release is embargoed until USDL 17-0767
8:30 a.m. (EDT) Monday, June 5, 2017
Technical information: (202) 691-5606 dprweb@bls.gov www.bls.gov/lpc
Media contact: (202) 691-5902 PressOffice@bls.gov
PRODUCTIVITY AND COSTS
First Quarter 2017, Revised
Nonfarm business sector labor productivity was unchanged during the first
quarter of 2017, the U.S. Bureau of Labor Statistics reported today, as both
output and hours worked increased 1.7 percent. (All quarterly percent changes
in this release are seasonally adjusted annual rates.) From the first quarter
of 2016 to the first quarter of 2017, productivity increased 1.2 percent,
reflecting a 2.5-percent increase in output and a 1.3-percent increase in
hours worked. (See table A1.)
Labor productivity, or output per hour, is calculated by dividing an index of
real output by an index of hours worked by all persons, including employees,
proprietors, and unpaid family workers. Measures released today were based on
more recent source data than were available for the preliminary report.
Unit labor costs in the nonfarm business sector increased 2.2 percent in the
first quarter of 2017, reflecting a 2.2-percent increase in hourly
compensation; productivity was unchanged. Unit labor costs increased 1.1
percent over the last four quarters. (See tables A1 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 labor productivity increased 0.5 percent in the first
quarter of 2017, as output increased 2.6 percent and hours worked increased
2.1 percent. Output per hour decreased 0.7 percent in the durable goods
manufacturing sector and increased 2.7 percent in the nondurable goods
sector. Over the last four quarters, manufacturing sector productivity
increased 0.3 percent, as output increased 0.9 percent and hours worked
increased 0.6 percent. (See tables A1, 3, 4 and 5.) Unit labor costs in
manufacturing increased 2.4 percent in the first quarter of 2017 and rose 2.9
percent from the same quarter a year ago.
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 the Technical Notes
for a more detailed explanation.
Preliminary first-quarter 2017 measures were announced today for the
nonfinancial corporate sector. Productivity decreased 1.5 percent in the
first quarter of 2017 and decreased 0.1 percent over the last four quarters.
Unit profits of nonfinancial corporations fell at a 6.6 percent annual rate
in the first quarter of 2017 and fell 6.8 percent over the last four
quarters. (See tables A2 and 6.)
Revised measures
Table B1 presents previous and revised productivity and related measures
for the business, nonfarm business, and manufacturing sectors for the
first quarter of 2017.
In the first quarter of 2017, nonfarm business productivity was unchanged,
rather than falling 0.6 percent as reported May 4, due to a 0.7-percentage
point upward revision to output; hours worked were revised up 0.1
percentage point. Unit labor costs were revised down--due primarily to the
upward revision to productivity--and increased 2.2 percent. In the
manufacturing sector, productivity was revised up 0.1 percentage point and
hourly compensation was revised up 0.4 percentage point, resulting in a 0.3-
percentage point upward revision to unit labor costs.
Table B2 shows previous and revised productivity and related measures for
the business, nonfarm business, manufacturing, and nonfinancial corporate
sectors for the fourth quarter of 2016.
In the fourth quarter of 2016, labor productivity in the business, nonfarm
business, and manufacturing sectors increased at the same rates reported May
4. In the nonfarm business sector, hourly compensation was revised down, and
decreased 3.0 percent, in contrast to the previously published estimate of a
3.1 percent increase. As a result, unit labor costs fell 4.6 percent in the
fourth quarter of 2016, rather than increasing 1.3 percent. In the
manufacturing sector, a downward revision to hourly compensation also led
directly to a downward revision to unit labor costs, which declined 3.4
percent in the fourth quarter of 2016 rather than increasing 2.2 percent as
previously published.
In the nonfinancial corporate sector, productivity fell 4.2 percent in the
fourth quarter of 2016 rather than declining 1.0 percent as previously
reported, due solely to a downward revision to output. Annual average
productivity increased 0.4 percent from 2015 to 2016, slightly less than the
0.6-percent increase reported May 4. Unit profits of nonfinancial
corporations fell 15.2 percent in the fourth quarter of 2016, rather than the
decline of 17.9 percent reported May 4. (See table 6.)
Complete annual and quarterly data series can be found on the Productivity
and Costs home page: www.bls.gov/lpc/#data.
______________
The preliminary Productivity and Costs news release for second-quarter 2017
is scheduled to be released on Wednesday, August 9, 2017 at 8:30 a.m. (EDT).
=========================================================================================================================
Table A1. Labor productivity growth and related measures - revised first-quarter 2017
(percent change from previous quarter at annual rate and from same quarter a year ago)
Labor Hours Hourly Real hourly Unit labor
Sector Percent change from: productivity Output worked compensation compensation costs
-------------------------------------------------------------------------------------------------------------------------
Nonfarm business Previous quarter 0.0 1.7 1.7 2.2 -0.9 2.2
A year ago 1.2 2.5 1.3 2.3 -0.3 1.1
Business Previous quarter -1.0 1.1 2.2 1.6 -1.5 2.7
A year ago 1.2 2.4 1.2 2.3 -0.3 1.1
Manufacturing Previous quarter 0.5 2.6 2.1 2.9 -0.3 2.4
A year ago 0.3 0.9 0.6 3.2 0.6 2.9
Durable Previous quarter -0.7 2.9 3.6 1.7 -1.4 2.4
manufacturing A year ago 0.9 1.5 0.6 3.6 0.9 2.6
Nondurable Previous quarter 2.7 2.3 -0.4 4.9 1.7 2.1
manufacturing A year ago -0.5 0.2 0.7 2.5 -0.1 3.0
=========================================================================================================================
Table A2. Labor productivity growth and related measures - preliminary first-quarter 2017
(percent change from previous quarter at annual rate and from same quarter a year ago)
Labor Hours Hourly Real hourly Unit labor
Sector Percent change from: productivity Output worked compensation compensation costs
-------------------------------------------------------------------------------------------------------------------------
Nonfinancial Previous quarter -1.5 0.5 2.0 1.9 -1.2 3.4
corporate A year ago -0.1 1.2 1.4 2.4 -0.2 2.5
=========================================================================================================================
Table B1. Labor productivity growth and related measures - revised and previously published first-quarter 2017
(percent change from previous quarter at annual rate)
Labor Hours Hourly Real hourly Unit labor
Sector productivity Output worked compensation compensation costs
-------------------------------------------------------------------------------------------------------------------------
Nonfarm business Revised 0.0 1.7 1.7 2.2 -0.9 2.2
Previously published -0.6 1.0 1.6 2.4 -0.8 3.0
Business Revised -1.0 1.1 2.2 1.6 -1.5 2.7
Previously published -1.5 0.5 2.1 1.8 -1.3 3.4
Manufacturing Revised 0.5 2.6 2.1 2.9 -0.3 2.4
Previously published 0.4 2.8 2.4 2.5 -0.6 2.1
Durable Revised -0.7 2.9 3.6 1.7 -1.4 2.4
manufacturing Previously published -1.1 2.8 4.0 1.4 -1.7 2.5
Nondurable Revised 2.7 2.3 -0.4 4.9 1.7 2.1
manufacturing Previously published 3.2 2.8 -0.4 4.6 1.4 1.3
=========================================================================================================================
Table B2. Labor productivity growth and related measures - revised and previously published fourth-quarter 2016
(percent change from previous quarter at annual rate)
Labor Hours Hourly Real hourly Unit labor
Sector productivity Output worked compensation compensation costs
-------------------------------------------------------------------------------------------------------------------------
Nonfarm business Revised 1.8 2.7 1.0 -3.0 -5.8 -4.6
Previously published 1.8 2.7 1.0 3.1 0.0 1.3
Business Revised 2.4 2.6 0.2 -2.1 -5.0 -4.4
Previously published 2.4 2.6 0.2 4.0 0.9 1.5
Manufacturing Revised 2.0 1.8 -0.2 -1.5 -4.4 -3.4
Previously published 2.0 1.8 -0.2 4.2 1.2 2.2
Durable Revised 1.8 2.0 0.2 -1.3 -4.2 -3.1
manufacturing Previously published 1.8 2.0 0.2 4.0 0.9 2.1
Nondurable Revised 2.3 1.5 -0.8 -2.1 -5.0 -4.3
manufacturing Previously published 2.3 1.5 -0.8 4.6 1.5 2.3
Nonfinancial Revised -4.2 -3.5 0.6 -2.2 -5.1 2.0
corporate Previously published -1.0 -0.3 0.6 3.3 0.2 4.3
=========================================================================================================================
TECHNICAL NOTES
Labor Hours
Hours data for the labor productivity and cost measures include hours worked
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 worked using data from
the National Compensation Survey (NCS) for 1996 forward and data from the BLS
Hours at Work survey, conducted for this purpose, prior to 1990. Between 1990
and 1995, weekly paid hours are adjusted to hours at work using a combination
of NCS and Hours at Work survey data. 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 appropriate
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
hours. Business output accounted for about 75 percent of the value of GDP in
2016. Nonfarm business, which excludes farming, also accounted for about 75
percent of GDP in 2016.
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 50 percent of
the value of GDP in 2016.
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 employees in domestic industries 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. A complete historical series of 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
productivity@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: Labor productivity, hourly compensation, unit labor costs, and prices,
seasonally adjusted.
Real
Hourly hourly Unit Implicit
Year Labor compen- compen- Unit nonlabor price
and produc- Hours sation sation labor payments deflator
quarter tivity Output worked (1) (2) costs (3) (4)
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate (5)
2017 I -1.0 r 1.1 r 2.2 r 1.6 r -1.5 r 2.7 r 0.9 r 1.9
2016 ANNUAL 0.3 1.8 1.5 2.4 r 1.2 r 2.1 r -0.6 r 1.0
2016 IV 2.4 2.6 0.2 -2.1 r -5.0 r -4.4 r 10.9 r 1.8
III 3.7 4.3 0.6 4.3 2.5 0.6 1.2 0.8
II -0.3 1.6 2.0 5.7 3.2 6.0 -3.0 2.1
I -0.7 0.8 1.5 -1.1 -1.2 -0.4 1.4 0.4
2015 ANNUAL 0.8 3.1 2.3 2.8 2.7 2.0 -1.0 0.7
2015 IV -2.1 0.8 3.0 3.3 2.9 5.6 -6.8 0.1
III 2.2 2.1 -0.1 2.7 1.2 0.6 1.4 0.9
II 1.3 3.0 1.7 5.0 2.6 3.6 0.1 2.1
I 0.8 2.3 1.5 1.7 4.3 0.9 -2.1 -0.4
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2017 I 1.2 r 2.4 r 1.2 2.3 r -0.3 r 1.1 r 2.4 r 1.7
2016 ANNUAL 0.3 1.8 1.5 2.4 r 1.2 r 2.1 r -0.6 r 1.0
2016 IV 1.2 2.3 1.1 1.6 r -0.2 r 0.4 r 2.5 r 1.3
III 0.1 1.9 1.8 3.0 1.9 2.9 -1.9 0.9
II -0.3 1.3 1.6 2.6 1.5 2.9 -1.8 0.9
I 0.1 1.7 1.5 2.5 1.4 2.3 -1.1 0.9
2015 ANNUAL 0.8 3.1 2.3 2.8 2.7 2.0 -1.0 0.7
2015 IV 0.5 2.1 1.5 3.2 2.8 2.6 -1.9 0.7
III 0.6 2.6 1.9 3.2 3.1 2.5 -1.8 0.6
II 1.0 3.6 2.6 3.3 3.3 2.3 -1.4 0.7
I 1.0 4.1 3.1 1.5 1.6 0.5 1.1 0.8
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2017 I 107.2 r 121.4 r 113.3 r 118.0 r 103.7 r 110.1 r 113.5 r 111.5 r
2016 ANNUAL 106.6 119.8 112.4 117.0 r 104.6 r 109.8 r 111.1 r 110.4
2016 IV 107.5 121.1 112.7 117.6 r 104.1 r 109.4 r 113.2 r 111.0
III 106.9 120.3 112.6 118.2 105.5 110.6 110.3 110.5
II 105.9 119.1 112.4 116.9 104.8 110.4 110.0 110.3
I 106.0 118.6 111.9 115.3 104.0 108.8 110.8 109.7
2015 ANNUAL 106.2 117.6 110.7 114.2 103.4 107.5 111.7 109.3
2015 IV 106.2 118.3 111.5 115.7 104.3 108.9 110.5 109.6
III 106.7 118.1 110.6 114.7 103.5 107.5 112.4 109.5
II 106.2 117.5 110.7 113.9 103.2 107.3 112.0 109.3
I 105.8 116.6 110.2 112.6 102.6 106.4 112.0 108.7
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. June 5, 2017
r=revised Source: Bureau of Labor Statistics
Table 2. Nonfarm business sector: Labor productivity, hourly compensation, unit labor costs, and
prices, seasonally adjusted.
Real
Hourly hourly Unit Implicit
Year Labor compen- compen- Unit nonlabor price
and produc- Hours sation sation labor payments deflator
quarter tivity Output worked (1) (2) costs (3) (4)
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate (5)
2017 I 0.0 r 1.7 r 1.7 r 2.2 r -0.9 r 2.2 r 0.4 r 1.4 r
2016 ANNUAL 0.2 1.7 1.5 2.5 r 1.2 r 2.2 r -0.2 r 1.2
2016 IV 1.8 2.7 1.0 -3.0 r -5.8 r -4.6 r 11.7 r 1.9
III 3.3 4.2 0.8 4.1 2.2 0.7 1.6 1.1
II -0.1 1.6 1.7 6.1 3.7 6.2 -2.8 2.3
I -0.7 0.7 1.4 -1.0 -1.1 -0.3 2.1 0.7
2015 ANNUAL 0.9 3.1 2.1 3.0 2.8 2.0 -0.4 1.0
2015 IV -2.0 0.8 2.9 3.6 3.2 5.7 -6.2 0.5
III 1.8 1.8 0.0 2.7 1.1 0.8 1.1 1.0
II 1.1 3.1 2.0 4.6 2.2 3.5 -0.1 2.0
I 1.2 2.4 1.2 1.9 4.6 0.7 -0.2 0.4
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2017 I 1.2 r 2.5 r 1.3 2.3 r -0.3 r 1.1 r 2.6 r 1.7
2016 ANNUAL 0.2 1.7 1.5 2.5 r 1.2 r 2.2 r -0.2 r 1.2
2016 IV 1.1 2.3 1.2 1.5 r -0.3 r 0.4 r 3.0 r 1.5
III 0.1 1.8 1.7 3.2 2.0 3.0 -1.4 1.1
II -0.3 1.2 1.5 2.8 1.7 3.1 -1.5 1.1
I 0.0 1.6 1.6 2.4 1.3 2.4 -0.8 1.0
2015 ANNUAL 0.9 3.1 2.1 3.0 2.8 2.0 -0.4 1.0
2015 IV 0.5 2.0 1.5 3.2 2.8 2.7 -1.4 0.9
III 0.6 2.5 1.8 3.2 3.1 2.6 -1.4 0.8
II 1.2 3.7 2.4 3.5 3.5 2.3 -0.6 1.0
I 1.4 4.2 2.8 1.8 1.9 0.5 1.8 1.0
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2017 I 107.5 r 121.7 r 113.2 r 118.3 r 103.9 r 110.0 r 113.7 r 111.6 r
2016 ANNUAL 106.7 119.8 112.3 117.3 r 104.8 r 109.9 r 111.3 r 110.5
2016 IV 107.5 121.2 112.7 117.6 r 104.2 r 109.4 r 113.6 r 111.2
III 107.0 120.4 112.5 118.5 105.7 110.8 110.5 110.6
II 106.1 119.1 112.2 117.3 105.2 110.6 110.1 110.3
I 106.2 118.7 111.8 115.6 104.2 108.9 110.9 109.7
2015 ANNUAL 106.4 117.8 110.7 114.5 103.6 107.5 111.5 109.2
2015 IV 106.3 118.5 111.4 115.9 104.5 109.0 110.3 109.5
III 106.9 118.2 110.6 114.9 103.7 107.5 112.1 109.4
II 106.4 117.7 110.6 114.1 103.4 107.3 111.8 109.1
I 106.1 116.8 110.1 112.9 102.8 106.3 111.8 108.6
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. June 5, 2017
r=revised Source: Bureau of Labor Statistics
Table 3. Manufacturing sector: Labor productivity, hourly compensation, and unit labor costs,
seasonally adjusted.
Real
Year Labor Hourly hourly Unit
and produc- Hours compensa- compensa- labor
quarter tivity Output worked tion (1) tion (2) costs
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate (5)
2017 I 0.5 r 2.6 r 2.1 r 2.9 r -0.3 r 2.4 r
2016 ANNUAL 0.2 0.2 0.0 2.6 r 1.3 r 2.4 r
2016 IV 2.0 1.8 -0.2 -1.5 r -4.4 r -3.4 r
III -0.5 0.2 0.7 4.1 2.3 4.7
II -0.8 -0.9 -0.1 7.6 5.1 8.4
I 1.3 1.0 -0.3 -5.3 -5.3 -6.5
2015 ANNUAL -0.6 0.3 1.0 2.4 2.3 3.0
2015 IV -1.6 -0.6 1.0 7.9 7.5 9.6
III 2.3 1.1 -1.2 3.8 2.3 1.5
II -0.4 -0.3 0.0 4.4 2.0 4.8
I -1.9 -2.3 -0.4 -1.1 1.4 0.7
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2017 I 0.3 0.9 0.6 r 3.2 r 0.6 r 2.9 r
2016 ANNUAL 0.2 0.2 0.0 2.6 r 1.3 r 2.4 r
2016 IV 0.5 0.5 0.0 1.1 r -0.7 r 0.6 r
III -0.4 -0.1 0.3 3.4 2.3 3.9
II 0.3 0.1 -0.2 3.4 2.3 3.1
I 0.4 0.3 -0.1 2.6 1.5 2.2
2015 ANNUAL -0.6 0.3 1.0 2.4 2.3 3.0
2015 IV -0.4 -0.5 -0.2 3.7 3.3 4.1
III -0.5 0.1 0.6 2.6 2.5 3.2
II -1.0 0.2 1.3 2.5 2.5 3.6
I -0.6 1.6 2.2 0.6 0.7 1.3
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2017 I 119.2 r 129.3 r 108.5 r 115.0 r 101.1 r 96.5 r
2016 ANNUAL 118.7 r 128.1 r 107.8 113.5 r 101.4 r 95.6 r
2016 IV 119.0 r 128.4 r 107.9 114.2 r 101.1 r 96.0 r
III 118.5 127.9 107.9 114.7 102.3 96.8
II 118.6 127.8 107.8 113.5 101.7 95.7
I 118.9 128.1 107.8 111.5 100.5 93.8
2015 ANNUAL 118.5 127.8 107.8 110.6 100.1 93.3
2015 IV 118.5 127.8 107.9 113.0 101.9 95.4
III 118.9 128.0 107.6 110.9 100.0 93.2
II 118.3 127.6 107.9 109.8 99.5 92.9
I 118.4 127.7 107.9 108.6 99.0 91.8
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. June 5, 2017
r=revised Source: Bureau of Labor Statistics
Table 4. Durable manufacturing sector: Labor productivity, hourly compensation, and unit labor
costs, seasonally adjusted.
Real
Year Labor Hourly hourly Unit
and produc- Hours compensa- compensa- labor
quarter tivity Output worked tion (1) tion (2) costs
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate (5)
2017 I -0.7 r 2.9 r 3.6 r 1.7 r -1.4 r 2.4 r
2016 ANNUAL 0.1 -0.2 -0.3 2.8 r 1.5 r 2.7 r
2016 IV 1.8 2.0 0.2 -1.3 r -4.2 r -3.1 r
III 0.7 1.0 0.3 4.3 2.4 3.5
II 1.9 0.2 -1.6 9.9 7.3 7.8
I -0.6 0.1 0.7 -6.8 -6.8 -6.2
2015 ANNUAL -1.3 -0.8 0.6 2.9 2.8 4.3
2015 IV -3.1 -2.5 0.7 9.4 9.0 12.9
III 2.6 0.5 -2.0 3.2 1.6 0.6
II -0.8 -1.3 -0.5 3.9 1.5 4.7
I -3.9 -4.9 -1.1 0.8 3.4 4.8
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2017 I 0.9 r 1.5 0.6 r 3.6 r 0.9 r 2.6 r
2016 ANNUAL 0.1 -0.2 -0.3 2.8 r 1.5 r 2.7 r
2016 IV 1.0 0.8 -0.1 1.3 r -0.5 r 0.4 r
III -0.3 -0.3 0.0 4.0 2.8 4.3
II 0.2 -0.4 -0.6 3.7 2.6 3.5
I -0.5 -0.8 -0.3 2.3 1.2 2.8
2015 ANNUAL -1.3 -0.8 0.6 2.9 2.8 4.3
2015 IV -1.3 -2.0 -0.7 4.3 3.8 5.7
III -0.9 -1.2 -0.3 3.0 2.9 4.0
II -1.7 -0.8 0.9 3.1 3.0 4.9
I -1.3 1.1 2.4 1.2 1.3 2.5
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2017 I 119.9 r 133.5 r 111.4 r 114.2 r 100.4 r 95.3 r
2016 ANNUAL 119.5 r 131.9 r 110.4 112.8 r 100.8 r 94.4 r
2016 IV 120.1 r 132.6 r 110.4 113.7 r 100.7 r 94.7 r
III 119.6 131.9 110.3 114.1 101.8 95.4
II 119.4 131.6 110.2 112.9 101.2 94.6
I 118.8 131.5 110.7 110.3 99.4 92.8
2015 ANNUAL 119.4 132.1 110.7 109.7 99.3 91.9
2015 IV 119.0 131.5 110.5 112.2 101.2 94.3
III 119.9 132.3 110.3 109.7 99.0 91.5
II 119.2 132.2 110.9 108.9 98.6 91.4
I 119.4 132.6 111.0 107.8 98.3 90.3
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. June 5, 2017
r=revised Source: Bureau of Labor Statistics
Table 5. Nondurable manufacturing sector: Labor productivity, hourly compensation, and unit labor
costs, seasonally adjusted.
Real
Year Labor Hourly hourly Unit
and produc- Hours compensa- compensa- labor
quarter tivity Output worked tion (1) tion (2) costs
---------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate (5)
2017 I 2.7 r 2.3 r -0.4 4.9 r 1.7 r 2.1 r
2016 ANNUAL 0.2 0.6 0.5 2.3 r 1.0 r 2.1 r
2016 IV 2.3 1.5 -0.8 -2.1 r -5.0 r -4.3 r
III -2.2 -0.8 1.5 3.8 2.0 6.2
II -4.5 -2.2 2.5 3.7 1.3 8.6
I 4.0 2.1 -1.8 -2.5 -2.6 -6.3
2015 ANNUAL -0.1 1.6 1.7 1.5 1.4 1.6
2015 IV 0.0 1.5 1.4 5.1 4.7 5.1
III 1.6 1.8 0.2 5.2 3.6 3.6
II -0.2 0.7 1.0 5.5 3.1 5.7
I 0.2 0.9 0.7 -4.5 -2.0 -4.7
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2017 I -0.5 r 0.2 r 0.7 2.5 r -0.1 r 3.0 r
2016 ANNUAL 0.2 0.6 0.5 2.3 r 1.0 r 2.1 r
2016 IV -0.2 0.1 0.3 0.7 r -1.1 r 0.8 r
III -0.7 0.1 0.9 2.5 1.3 3.2
II 0.2 0.8 0.6 2.8 1.7 2.6
I 1.3 1.5 0.2 3.3 2.2 1.9
2015 ANNUAL -0.1 1.6 1.7 1.5 1.4 1.6
2015 IV 0.4 1.2 0.8 2.7 2.3 2.3
III -0.6 1.6 2.2 2.1 1.9 2.7
II -0.4 1.5 1.9 1.6 1.6 2.0
I 0.3 2.1 1.9 -0.4 -0.3 -0.7
---------------------------------------------------------------------------------------------------
Indexes 2009=100
2017 I 113.4 r 117.7 r 103.8 115.9 r 101.9 r 102.2 r
2016 ANNUAL 112.8 r 117.0 r 103.7 114.2 r 102.1 r 101.2 r
2016 IV 112.7 r 117.1 r 103.9 114.5 r 101.4 r 101.7 r
III 112.0 116.6 104.1 115.2 102.8 102.8
II 112.6 116.9 103.8 114.1 102.2 101.3
I 114.0 117.5 103.1 113.1 101.9 99.2
2015 ANNUAL 112.6 116.3 103.2 111.6 101.1 99.1
2015 IV 112.8 116.9 103.6 113.8 102.6 100.8
III 112.8 116.5 103.2 112.4 101.4 99.6
II 112.4 116.0 103.2 111.0 100.5 98.7
I 112.5 115.8 102.9 109.5 99.8 97.3
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. June 5, 2017
r=revised Source: Bureau of Labor Statistics
Table 6. Nonfinancial corporate sector: Labor productivity, hourly compensation, unit labor costs,
unit profits, and prices, seasonally adjusted.
Real
Hourly hourly Unit Total Implicit
Year Labor compen- compen- Unit nonlabor unit Unit price
and produc- Hours sation sation labor costs costs profits deflator
quarter tivity Output worked (1) (2) costs (6) (7) (8) (4)
---------------------------------------------------------------------------------------------------------
Percent change from previous quarter at annual rate (5)
2017 I -1.5 0.5 2.0 1.9 -1.2 3.4 -0.1 2.3 -6.6 1.1
2016 ANNUAL 0.4 r 1.9 r 1.5 1.9 r 0.6 r 1.5 r -0.2 r 0.9 r -5.5 r 0.0
2016 IV -4.2 r -3.5 r 0.6 -2.2 r -5.1 r 2.0 r 9.3 r 4.3 r -15.2 r 1.5
III 6.6 8.2 1.5 4.4 2.6 -2.0 -4.8 -2.9 15.3 -0.7
II -1.2 0.2 1.4 5.7 3.3 7.0 1.0 5.0 -17.2 1.8
I 1.3 1.9 0.6 -1.9 -2.0 -3.2 -12.1 -6.1 30.7 -2.0
2015 ANNUAL 0.8 3.0 2.2 2.9 2.8 2.2 0.8 1.7 -6.4 0.5
2015 IV -1.4 1.6 3.0 2.5 2.1 3.9 14.9 7.3 -36.4 0.1
III 1.2 3.0 1.8 1.7 0.1 0.5 0.3 0.4 -0.4 0.3
II -2.3 -1.3 1.1 3.7 1.3 6.2 3.8 5.4 -13.9 2.4
I 2.2 3.5 1.3 5.9 8.7 3.6 -2.0 1.8 -14.4 -0.8
---------------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2017 I -0.1 1.2 1.4 2.4 -0.2 2.5 1.2 2.1 -6.8 0.9
2016 ANNUAL 0.4 r 1.9 r 1.5 1.9 r 0.6 r 1.5 r -0.2 r 0.9 r -5.5 r 0.0
2016 IV 0.6 r 1.6 r 1.0 1.4 r -0.4 r 0.9 r -2.0 r -0.1 r 1.4 r 0.1
III 1.3 2.9 1.6 2.6 1.5 1.3 -0.7 0.7 -5.6 -0.2
II 0.0 1.7 1.7 1.9 0.8 2.0 0.6 1.5 -9.0 0.0
I -0.3 1.3 1.6 1.4 0.4 1.8 1.3 1.6 -8.1 0.2
2015 ANNUAL 0.8 3.0 2.2 2.9 2.8 2.2 0.8 1.7 -6.4 0.5
2015 IV -0.1 1.7 1.8 3.4 3.0 3.5 4.1 3.7 -17.3 0.5
III 0.5 2.4 1.8 3.3 3.1 2.7 0.4 2.0 -8.6 0.3
II 1.0 3.1 2.1 3.4 3.4 2.4 0.0 1.6 -5.0 0.6
I 1.7 4.9 3.2 1.7 1.8 0.0 -1.2 -0.4 6.8 0.6
---------------------------------------------------------------------------------------------------------
Indexes 2009=100
2017 I 106.1 122.7 115.7 117.1 102.9 110.4 102.4 107.7 131.5 110.2
2016 ANNUAL 106.5 r 122.1 r 114.6 116.0 r 103.7 r 108.9 r 101.3 r 106.3 r 137.1 r 109.6
2016 IV 106.5 r 122.5 r 115.1 116.5 r 103.2 r 109.5 r 102.4 r 107.1 r 133.7 r 109.9 r
III 107.6 123.6 114.9 117.2 104.6 108.9 100.2 106.0 139.3 109.5
II 105.9 121.2 114.5 115.9 103.9 109.5 101.4 106.8 134.5 109.7
I 106.2 121.2 114.1 114.3 103.1 107.7 101.2 105.5 141.0 109.2
2015 ANNUAL 106.1 119.9 113.0 113.9 103.1 107.3 101.5 105.4 145.1 109.5
2015 IV 105.9 120.6 113.9 114.9 103.6 108.5 104.5 107.2 131.8 109.8
III 106.2 120.1 113.1 114.2 103.1 107.5 100.9 105.3 147.6 109.7
II 105.9 119.3 112.6 113.7 103.0 107.4 100.8 105.2 147.8 109.6
I 106.5 119.6 112.3 112.7 102.7 105.8 99.9 103.8 153.4 109.0
---------------------------------------------------------------------------------------------------------
See footnotes following Table 6. June 5, 2017
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 -1.5 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
fourth quarter of 2016.
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 1978-2016 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
