Transmission of material in this release is embargoed until USDL-11-1276
8:30 a.m. (EDT) Thursday, September 1, 2011
Technical information: (202) 691-5606 dprweb@bls.gov www.bls.gov/lpc
Media contact: (202) 691-5902 PressOffice@bls.gov
PRODUCTIVITY AND COSTS
Second Quarter 2011, Revised
Nonfarm business sector labor productivity decreased at a 0.7 percent annual
rate during the second quarter of 2011, the U.S. Bureau of Labor Statistics
reported today, with output and hours worked rising 1.3 percent and 2.0
percent, respectively. (All quarterly percent changes in this release are
seasonally adjusted annual rates.) From the second quarter of 2010 to the
second quarter of 2011, output increased 2.4 percent while hours rose 1.6
percent, yielding an increase in productivity of 0.7 percent.
(See tables A and 2.)
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 nonfarm businesses rose 3.3 percent in the second quarter
of 2011, because hourly compensation increased 2.7 percent while productivity
decreased 0.7 percent. Over the last four quarters, hourly compensation
increased more than output per hour, and unit labor costs rose 1.9 percent.
(See tables A and 2.)
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.
Manufacturing sector productivity fell 1.5 percent in the second quarter of
2011, as output rose 1.2 percent and hours increased 2.7 percent. Productivity
declined 2.7 percent in the durable goods sector and increased 1.3 percent in
the nondurable goods sector. Over the last four quarters, total manufacturing
productivity increased 2.4 percent. Unit labor costs in manufacturing rose 4.6
percent in the second quarter of 2011 and 0.4 percent over the last four
quarters. (See tables A, 3, 4, and 5.)
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.
Preliminary data for the second quarter of 2011 for the nonfinancial
corporate sector also were released today. Productivity increased 4.4
percent as output and hours rose 7.5 percent and 3.0 percent, respectively.
(See tables C and 6.)
Revised Measures
The measures released today were based on more recent source data than were
available for the preliminary report. Tables B and C present previous and
revised productivity and related measures for the major sectors: nonfarm
business, business and manufacturing, as well as nonfinancial corporations.
In the second quarter of 2011, nonfarm business productivity decreased 0.7
percent, rather than 0.3 percent, reflecting a downward revision of 0.5
percentage points to output; hours were not revised. Hourly compensation
increased 2.7 percent in the second quarter, a larger gain than reported
August 9. The increase in unit labor costs was revised up to 3.3 percent. In
the manufacturing sector, productivity showed a smaller decline than
previously reported, 1.5 percent, due to an upward revision to output; hours
were revised up slightly. Unit labor costs increased 4.6 percent rather than
4.4 percent.
In the first quarter of 2011, nonfarm business productivity growth was not
revised. Unit labor costs increased 6.2 percent, rather than the previous
estimate of 4.8 percent, due solely to an upward revision to hourly
compensation. The first-quarter increase in unit labor costs follows a 2.0
percent decline from 2009 to 2010, the largest in the annual series. In
manufacturing, productivity growth was not revised. Unit labor costs fell
0.1 percent, rather than 1.1 percent, due to an upward revision to hourly
compensation.
Nonfinancial corporate sector productivity growth in the first quarter of
2011 was revised up to 2.3 percent from the preliminary estimate of 1.4
percent. (See tables C and 6.)
Manufacturing sector productivity, output, and unit labor costs series were
revised back to 1987 to reflect revised output indexes constructed by BLS
using data from the U.S. Department of Commerce. Manufacturing productivity
was revised up for the years 2009 and 2010, and the average annual rate of
growth from 2007 to 2010 is now 2.0 percent, compared to 1.6 percent as of
August 9. Revised annual index series appear in appendix tables 1-3. Full
historical annual and quarterly measures can be found on the productivity and
costs home page at www.bls.gov/lpc/#data.
___________
The preliminary Productivity and Costs news release for third-quarter 2011 is
scheduled to be released on Thursday, November 3, 2011 at 8:30 a.m. (EDT).
======================================================================================================
Table A. Revised second-quarter 2011 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 -0.7 0.7 -0.5 0.6 -1.5 2.4 -2.7 2.7 1.3 3.5
Output 1.3 2.4 1.2 2.1 1.2 4.6 2.2 7.4 0.3 1.8
Hours 2.0 1.6 1.7 1.5 2.7 2.1 5.0 4.5 -0.9 -1.7
Hourly
compensation 2.7 2.7 3.1 2.7 3.1 2.8 2.4 2.0 4.1 3.7
Real hourly
compensation -1.4 -0.7 -1.0 -0.6 -0.9 -0.6 -1.6 -1.3 0.0 0.3
Unit labor
costs 3.3 1.9 3.5 2.1 4.6 0.4 5.2 -0.7 2.7 0.1
======================================================================================================
Table B. Revised and previous measures: second quarter and first quarter 2011
Sector Nonfarm Durable Nondurable
Business Business Manufacturing Manufacturing Manufacturing
Revised Previous Revised Previous Revised Previous Revised Previous Revised Previous
------------------------------------------------------------------------------------------------------
Percent change, annual rate, second quarter 2011
Productivity -0.7 -0.3 -0.5 0.0 -1.5 -2.0 -2.7 -3.5 1.3 1.2
Output 1.3 1.8 1.2 1.6 1.2 0.6 2.2 1.4 0.3 -0.2
Hours 2.0 2.0 1.7 1.7 2.7 2.6 5.0 5.1 -0.9 -1.4
Hourly
compensation 2.7 1.9 3.1 2.3 3.1 2.3 2.4 1.6 4.1 3.0
Real hourly
compensation -1.4 -2.1 -1.0 -1.7 -0.9 -1.7 -1.6 -2.4 0.0 -1.0
Unit labor
costs 3.3 2.2 3.5 2.4 4.6 4.4 5.2 5.3 2.7 1.8
------------------------------------------------------------------------------------------------------
Percent change, annual rate, first quarter 2011
Productivity -0.6 -0.6 -1.4 -1.4 4.2 4.2 6.8 6.9 3.4 3.4
Output 0.9 0.9 0.3 0.3 7.8 7.8 13.7 13.8 2.1 2.0
Hours 1.5 1.5 1.7 1.7 3.4 3.4 6.4 6.4 -1.3 -1.3
Hourly
compensation 5.6 4.2 5.4 4.0 4.1 3.1 4.4 4.9 2.8 -0.8
Real hourly
compensation 0.3 -1.0 0.1 -1.2 -1.2 -2.1 -0.8 -0.4 -2.4 -5.8
Unit labor
costs 6.2 4.8 6.8 5.4 -0.1 -1.1 -2.3 -1.9 -0.6 -4.0
======================================================================================================
Table C. Nonfinancial corporations: preliminary second quarter 2011 and revised first quarter 2011
Real
Hourly hourly Unit Implicit
Sector Produc- compen- compen- labor Unit price
tivity Output Hours sation sation costs profits deflator
------------------------------------------------------------------------------------------------------
Percent change, annual rate, second quarter 2011
Q to Q 4.4 7.5 3.0 2.5 -1.5 -1.8 28.9 1.8
Y to Y 0.8 3.2 2.3 2.3 -1.0 1.5 10.7 2.0
Percent change, annual rate, first quarter 2011
Revised 2.3 4.5 2.1 4.5 -0.8 2.1 3.7 2.0
Previous 1.4 3.6 2.1 3.1 -2.1 1.6 4.6 2.0
------------------------------------------------------------------------------------------------------
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 75 percent of the value of GDP in 2010. Nonfarm business,
which excludes farming, accounted for about 74 percent of GDP in 2010.
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 48 percent of the value
of GDP in 2010.
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: 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: 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 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 2005=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)
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)
2011 II -0.5 r 1.2 r 1.7 3.1 r -1.0 r 3.5 r 1.7 r 2.7 r
I -1.4 0.3 1.7 5.4 r 0.1 r 6.8 r -2.2 r 2.9
2010 ANNUAL 4.1 3.9 -0.1 2.0 0.4 -2.0 6.1 1.3
2010 IV 1.7 3.2 1.5 0.4 -2.2 -1.3 7.3 2.2
III 2.5 3.7 1.2 2.2 0.7 -0.3 3.2 1.1
II 1.1 4.7 3.6 2.4 2.9 1.2 2.8 1.9
I 4.3 5.1 0.8 1.2 0.0 -2.9 9.0 1.8
2009 ANNUAL 2.4 -4.9 -7.1 1.6 2.0 -0.8 3.1 0.7
2009 IV 5.3 5.0 -0.3 1.2 -1.6 -3.9 9.0 1.1
III 7.0 1.8 -4.9 2.7 -0.9 -4.0 7.3 0.3
II 8.0 -1.0 -8.4 6.6 4.6 -1.3 -1.0 -1.2
I 1.5 -8.5 -9.8 -2.7 -0.4 -4.1 10.5 1.4
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2011 II 0.6 r 2.1 r 1.5 2.7 r -0.6 r 2.1 r 2.4 r 2.3 r
I 1.0 3.0 2.0 2.6 r 0.4 r 1.6 r 2.7 r 2.0
2010 ANNUAL 4.1 3.9 -0.1 2.0 0.4 -2.0 6.1 1.3
2010 IV 2.4 4.2 1.8 1.5 0.3 -0.8 5.5 1.8
III 3.3 4.6 1.3 1.7 0.5 -1.5 6.0 1.5
II 4.4 4.1 -0.3 1.9 0.1 -2.4 7.0 1.3
I 6.2 2.7 -3.3 2.9 0.5 -3.1 6.0 0.5
2009 ANNUAL 2.4 -4.9 -7.1 1.6 2.0 -0.8 3.1 0.7
2009 IV 5.4 -0.8 -5.9 1.9 0.4 -3.3 6.3 0.4
III 3.3 -5.1 -8.1 2.0 3.7 -1.2 1.8 0.0
II 1.3 -6.8 -8.0 2.2 3.2 0.9 0.5 0.8
I -0.1 -6.5 -6.4 0.3 0.5 0.4 4.0 1.8
---------------------------------------------------------------------------------------------------
Indexes 2005=100
2011 II 110.2 r 104.3 r 94.6 118.8 r 103.2 r 107.7 r 118.3 r 111.9 r
I 110.4 104.0 94.2 117.9 r 103.5 r 106.8 r 117.8 r 111.2
2010 ANNUAL 110.0 102.5 93.2 115.8 103.6 105.3 116.3 109.6
2010 IV 110.7 103.9 93.8 116.3 103.5 105.0 118.5 110.4
III 110.3 103.1 93.5 116.2 104.1 105.4 116.4 109.7
II 109.6 102.1 93.2 115.6 103.9 105.5 115.5 109.4
I 109.3 101.0 92.4 114.9 103.1 105.1 114.7 108.9
2009 ANNUAL 105.7 98.7 93.4 113.5 103.3 107.4 109.6 108.3
2009 IV 108.2 99.7 92.2 114.6 103.1 105.9 112.3 108.4
III 106.8 98.5 92.3 114.2 103.5 107.0 109.9 108.1
II 105.0 98.1 93.4 113.5 103.8 108.1 108.0 108.1
I 103.0 98.3 95.5 111.7 102.6 108.5 108.2 108.4
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
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)
2011 II -0.7 r 1.3 r 2.0 2.7 r -1.4 r 3.3 r 1.5 r 2.6 r
I -0.6 0.9 1.5 5.6 r 0.3 r 6.2 r -3.1 r 2.2
2010 ANNUAL 4.1 4.0 -0.1 2.1 0.4 -2.0 5.7 1.1
2010 IV 2.2 3.8 1.5 0.6 -2.1 -1.6 6.4 1.7
III 2.1 3.5 1.4 1.9 0.4 -0.2 2.0 0.7
II 1.2 4.6 3.4 2.6 3.1 1.4 3.0 2.0
I 4.6 5.2 0.5 1.4 0.2 -3.1 8.8 1.6
2009 ANNUAL 2.3 -5.1 -7.2 1.6 2.0 -0.7 3.8 1.1
2009 IV 5.5 5.6 0.1 1.2 -1.5 -4.1 7.7 0.5
III 6.5 1.4 -4.8 2.3 -1.3 -3.9 8.1 0.6
II 8.0 -1.1 -8.4 6.7 4.7 -1.2 -1.3 -1.2
I 1.3 -8.7 -9.9 -2.7 -0.4 -4.0 12.1 2.0
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2011 II 0.7 r 2.4 r 1.6 2.7 r -0.7 r 1.9 r 1.6 r 1.8 r
I 1.2 3.2 1.9 2.6 r 0.4 r 1.4 r 2.0 r 1.7
2010 ANNUAL 4.1 4.0 -0.1 2.1 0.4 -2.0 5.7 1.1
2010 IV 2.5 4.3 1.7 1.6 0.4 -0.9 5.0 1.5
III 3.3 4.7 1.3 1.8 0.5 -1.5 5.3 1.2
II 4.4 4.2 -0.3 1.9 0.1 -2.5 6.9 1.2
I 6.2 2.7 -3.2 2.9 0.5 -3.1 5.7 0.4
2009 ANNUAL 2.3 -5.1 -7.2 1.6 2.0 -0.7 3.8 1.1
2009 IV 5.3 -0.9 -5.9 1.8 0.3 -3.3 6.5 0.5
III 3.0 -5.5 -8.2 2.1 3.7 -0.9 2.5 0.4
II 1.2 -7.1 -8.2 2.4 3.4 1.1 1.2 1.2
I -0.2 -6.7 -6.5 0.4 0.5 0.5 5.0 2.2
---------------------------------------------------------------------------------------------------
Indexes 2005=100
2011 II 110.3 r 104.4 r 94.6 r 118.7 r 103.2 r 107.6 r 117.5 r 111.5 r
I 110.5 104.0 94.2 117.9 r 103.6 r 106.7 r 117.0 r 110.8
2010 ANNUAL 109.8 102.4 93.2 115.8 103.7 105.4 116.1 109.6
2010 IV 110.7 103.8 93.8 116.3 103.5 105.1 118.0 110.2
III 110.1 102.9 93.5 116.2 104.0 105.6 116.1 109.7
II 109.5 102.0 93.1 115.6 103.9 105.6 115.6 109.5
I 109.2 100.8 92.4 114.9 103.1 105.3 114.7 109.0
2009 ANNUAL 105.5 98.5 93.3 113.4 103.3 107.5 109.8 108.4
2009 IV 107.9 99.6 92.2 114.5 103.1 106.1 112.3 108.5
III 106.5 98.2 92.2 114.2 103.5 107.2 110.3 108.4
II 104.8 97.9 93.4 113.5 103.8 108.3 108.1 108.2
I 102.8 98.2 95.5 111.7 102.6 108.6 108.5 108.6
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
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)
2011 II -1.5 r 1.2 r 2.7 r 3.1 r -0.9 r 4.6 r
I 4.2 7.8 3.4 4.1 r -1.2 r -0.1 r
2010 ANNUAL 6.1 r 6.0 r 0.0 1.6 0.0 -4.2 r
2010 IV 4.9 3.8 -1.0 2.3 -0.4 -2.5
III 2.1 5.6 3.4 1.7 0.2 -0.5
II 5.2 9.2 3.8 3.8 4.3 -1.3
I 4.7 7.8 3.0 -2.7 -3.9 -7.1
2009 ANNUAL 0.5 r -12.5 r -13.0 4.5 4.9 4.0 r
2009 IV 7.3 r 6.5 r -0.8 3.1 0.3 -3.9 r
III 13.1 r 7.5 r -4.9 1.4 -2.2 -10.3 r
II 6.3 r -10.1 r -15.4 7.9 5.9 1.5 r
I -1.4 r -21.1 r -20.0 0.5 2.9 1.9 r
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2011 II 2.4 r 4.6 r 2.1 2.8 r -0.6 r 0.4 r
I 4.1 6.6 2.4 2.9 r 0.7 r -1.1 r
2010 ANNUAL 6.1 r 6.0 r 0.0 1.6 0.0 -4.2 r
2010 IV 4.2 6.6 2.3 1.2 0.0 -2.9
III 4.8 r 7.3 r 2.3 1.4 0.2 -3.2 r
II 7.5 r 7.7 r 0.2 1.4 -0.4 -5.7 r
I 7.8 r 2.6 r -4.8 2.4 0.0 -5.0 r
2009 ANNUAL 0.5 r -12.5 r -13.0 4.5 4.9 4.0 r
2009 IV 6.2 r -5.1 r -10.6 3.2 1.7 -2.8 r
III 2.7 r -11.9 r -14.2 4.8 6.6 2.0 r
II -1.7 r -16.5 r -15.1 5.8 6.9 7.6 r
I -4.8 r -16.0 r -11.8 4.0 4.2 9.2 r
---------------------------------------------------------------------------------------------------
Indexes 2005=100
2011 II 113.7 r 95.9 r 84.4 r 119.7 r 104.1 r 105.3 r
I 114.1 r 95.6 r 83.8 118.8 r 104.3 r 104.1 r
2010 ANNUAL 111.3 r 92.0 r 82.7 116.6 104.4 104.8 r
2010 IV 112.9 r 93.8 r 83.1 117.6 104.6 104.2 r
III 111.6 r 92.9 r 83.3 117.0 104.7 104.8 r
II 111.0 r 91.7 r 82.6 116.5 104.7 105.0 r
I 109.6 r 89.7 r 81.8 115.4 103.6 105.3 r
2009 ANNUAL 104.9 r 86.8 r 82.7 114.8 104.5 109.4 r
2009 IV 108.3 r 88.0 r 81.2 116.2 104.6 107.3 r
III 106.5 r 86.7 r 81.4 115.3 104.5 108.3 r
II 103.2 r 85.1 r 82.4 114.9 105.1 111.3 r
I 101.7 r 87.4 r 86.0 112.8 103.6 110.9 r
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
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)
2011 II -2.7 r 2.2 r 5.0 r 2.4 r -1.6 r 5.2 r
I 6.8 r 13.7 r 6.4 4.4 r -0.8 r -2.3 r
2010 ANNUAL 7.7 r 7.6 r -0.1 2.1 0.4 -5.2 r
2010 IV 5.3 5.7 0.4 2.2 -0.5 -3.0
III 1.7 8.3 6.5 -0.8 -2.2 -2.5
II 11.3 14.5 2.8 7.1 7.7 -3.7
I 6.2 10.2 3.8 -3.1 -4.3 -8.7
2009 ANNUAL -4.6 r -19.3 r -15.5 5.7 6.1 10.8 r
2009 IV 6.3 r 5.9 r -0.4 3.8 1.0 -2.3 r
III 18.2 r 10.3 r -6.6 1.0 -2.6 -14.5 r
II 2.1 r -18.8 r -20.5 11.6 9.5 9.3 r
I -10.0 r -31.2 r -23.6 3.1 5.5 14.6 r
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2011 II 2.7 r 7.4 r 4.5 r 2.0 r -1.3 r -0.7 r
I 6.2 r 10.5 4.0 3.2 r 1.0 r -2.9 r
2010 ANNUAL 7.7 r 7.6 r -0.1 2.1 0.4 -5.2 r
2010 IV 6.1 9.6 3.4 1.3 0.1 -4.5
III 6.3 r 9.7 r 3.2 1.7 0.4 -4.4 r
II 10.4 r 10.2 r -0.2 2.1 0.3 -7.5 r
I 8.0 r 1.1 r -6.4 3.2 0.8 -4.5 r
2009 ANNUAL -4.6 r -19.3 r -15.5 5.7 6.1 10.8 r
2009 IV 3.6 r -10.1 r -13.3 4.8 3.3 1.1 r
III -2.5 r -18.9 r -16.8 5.9 7.7 8.7 r
II -7.8 r -24.4 r -18.0 7.4 8.4 16.4 r
I -10.5 r -22.5 r -13.4 4.6 4.8 16.9 r
---------------------------------------------------------------------------------------------------
Indexes 2005=100
2011 II 112.1 r 93.3 r 83.2 r 120.9 r 105.1 r 107.9 r
I 112.9 r 92.8 r 82.2 120.2 r 105.6 r 106.5 r
2010 ANNUAL 109.0 r 87.3 r 80.1 118.1 105.7 108.3 r
2010 IV 111.0 r 89.8 r 80.9 118.9 105.8 107.1 r
III 109.6 r 88.6 r 80.9 118.3 105.9 108.0 r
II 109.1 r 86.9 r 79.6 118.5 106.5 108.6 r
I 106.2 r 84.0 r 79.0 116.5 104.6 109.7 r
2009 ANNUAL 101.2 r 81.2 r 80.2 115.7 105.3 114.3 r
2009 IV 104.7 r 82.0 r 78.3 117.4 105.7 112.2 r
III 103.1 r 80.8 r 78.4 116.4 105.5 112.9 r
II 98.9 r 78.8 r 79.7 116.1 106.2 117.4 r
I 98.3 r 83.0 r 84.4 112.9 103.8 114.8 r
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
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)
2011 II 1.3 r 0.3 r -0.9 r 4.1 r 0.0 r 2.7 r
I 3.4 2.1 r -1.3 2.8 r -2.4 r -0.6 r
2010 ANNUAL 3.9 r 3.9 r 0.1 0.8 -0.9 -3.0 r
2010 IV 5.3 2.0 -3.2 2.2 -0.5 -3.0
III 4.2 2.8 -1.3 5.7 4.2 1.4
II -1.3 r 4.0 5.4 -1.9 -1.4 -0.5
I 3.6 5.4 1.7 -2.2 -3.4 -5.6
2009 ANNUAL 2.3 r -6.6 r -8.7 2.9 3.2 0.5 r
2009 IV 7.7 r 6.2 r -1.4 1.9 -0.9 -5.4 r
III 5.3 r 3.0 r -2.2 2.5 -1.1 -2.6 r
II 4.3 r -2.5 r -6.5 2.8 0.8 -1.5 r
I 2.8 r -11.2 r -13.6 -3.3 -1.0 -6.0 r
---------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2011 II 3.5 1.8 r -1.7 r 3.7 r 0.3 r 0.1 r
I 2.9 2.7 -0.2 2.1 r 0.0 r -0.7 r
2010 ANNUAL 3.9 r 3.9 r 0.1 0.8 -0.9 -3.0 r
2010 IV 2.9 3.5 0.6 0.9 -0.3 -2.0
III 3.5 r 4.6 r 1.1 0.8 -0.4 -2.6 r
II 3.8 r 4.6 r 0.8 0.1 -1.7 -3.6 r
I 5.2 r 3.0 r -2.1 1.2 -1.1 -3.8 r
2009 ANNUAL 2.3 r -6.6 r -8.7 2.9 3.2 0.5 r
2009 IV 5.0 r -1.3 r -6.0 0.9 -0.5 -3.9 r
III 4.5 r -5.8 r -9.8 3.5 5.2 -1.0 r
II 0.9 r -9.1 r -9.9 3.7 4.7 2.8 r
I -1.0 r -9.7 r -8.8 3.3 3.4 4.3 r
---------------------------------------------------------------------------------------------------
Indexes 2005=100
2011 II 111.3 r 96.1 r 86.4 r 117.8 r 102.4 r 105.8 r
I 110.9 r 96.0 r 86.6 116.6 r 102.4 r 105.1 r
2010 ANNUAL 108.5 r 94.6 r 87.2 114.7 102.7 105.7 r
2010 IV 110.0 r 95.5 r 86.9 115.8 103.0 105.3 r
III 108.6 r 95.1 r 87.6 115.2 103.2 106.1 r
II 107.5 r 94.4 r 87.9 113.6 102.1 105.7 r
I 107.8 r 93.5 r 86.7 114.2 102.5 105.9 r
2009 ANNUAL 104.5 r 91.1 r 87.2 113.8 103.6 109.0 r
2009 IV 106.9 r 92.3 r 86.3 114.8 103.3 107.4 r
III 104.9 r 90.9 r 86.6 114.3 103.6 108.9 r
II 103.6 r 90.2 r 87.1 113.5 103.8 109.6 r
I 102.5 r 90.8 r 88.6 112.8 103.6 110.0 r
---------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
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)
2011 II 4.4 7.5 3.0 2.5 -1.5 -1.8 -3.2 -2.2 28.9 1.8
I 2.3 r 4.5 r 2.1 4.5 r -0.8 r 2.1 r 0.7 r 1.7 r 3.7 r 2.0
2010 ANNUAL 5.3 5.4 0.1 1.9 0.3 -3.2 -9.7 -5.1 40.6 -0.7
2010 IV -3.1 -1.3 1.9 -0.3 -3.0 2.9 1.8 2.6 -0.8 2.1
III -0.1 2.3 2.3 2.6 1.2 2.7 -4.6 0.6 13.3 2.3
II -1.2 2.9 4.2 1.4 2.0 2.7 -7.8 -0.4 10.2 0.9
I 9.3 10.6 1.2 0.9 -0.4 -7.7 -15.0 -9.9 101.8 -0.5
2009 ANNUAL 1.6 -6.3 -7.8 2.0 2.4 0.4 5.3 1.8 -9.2 0.6
2009 IV 10.5 9.9 -0.6 1.6 -1.1 -8.1 -10.4 -8.7 74.1 -2.4
III 9.3 3.8 -5.0 3.0 -0.7 -5.7 -13.5 -8.1 52.8 -3.7
II 7.2 -3.2 -9.7 7.4 5.4 0.2 -3.3 -0.9 -28.2 -3.7
I -8.1 -18.6 -11.5 -6.3 -4.0 2.0 21.4 7.4 -29.7 3.0
---------------------------------------------------------------------------------------------------------
Percent change from corresponding quarter of previous year
2011 II 0.8 3.2 2.3 2.3 -1.0 1.5 -1.4 0.7 10.7 2.0
I -0.6 r 2.1 r 2.6 2.0 r -0.2 r 2.6 r -2.5 r 1.1 6.5 r 1.8
2010 ANNUAL 5.3 5.4 0.1 1.9 0.3 -3.2 -9.7 -5.1 40.6 -0.7
2010 IV 1.1 3.5 2.4 1.1 -0.1 0.0 -6.6 -1.9 25.7 1.2
III 4.5 6.4 1.8 1.6 0.4 -2.7 -9.5 -4.7 44.7 0.1
II 6.8 6.8 -0.1 1.7 0.0 -4.8 -11.7 -6.9 56.0 -1.4
I 9.1 5.1 -3.6 3.2 0.8 -5.4 -10.7 -7.0 40.1 -2.6
2009 ANNUAL 1.6 -6.3 -7.8 2.0 2.4 0.4 5.3 1.8 -9.2 0.6
2009 IV 4.5 -2.6 -6.8 1.3 -0.1 -3.0 -2.3 -2.8 7.6 -1.7
III 1.3 -7.6 -8.8 2.5 4.1 1.2 4.9 2.2 -19.2 -0.3
II 1.1 -7.7 -8.7 2.9 3.9 1.7 8.7 3.7 -16.2 1.6
I -0.3 -7.2 -6.9 1.5 1.6 1.8 10.4 4.3 -7.8 3.0
---------------------------------------------------------------------------------------------------------
Indexes 2005=100
2011 II 111.3 105.4 94.7 118.0 102.6 106.0 106.5 106.2 128.0 108.9
I 110.1 r 103.6 r 94.0 117.3 r 103.0 r 106.5 r 107.4 r 106.8 r 120.1 r 108.5
2010 ANNUAL 110.3 102.2 92.7 115.6 103.5 104.9 108.0 105.7 116.7 107.1
2010 IV 109.5 102.4 93.5 116.0 103.2 106.0 107.2 106.3 119.0 107.9
III 110.4 102.8 93.1 116.1 104.0 105.2 106.7 105.6 119.3 107.3
II 110.4 102.2 92.6 115.4 103.7 104.5 107.9 105.5 115.6 106.8
I 110.7 101.5 91.6 115.0 103.2 103.8 110.2 105.6 112.8 106.5
2009 ANNUAL 104.7 97.0 92.6 113.4 103.2 108.4 119.5 111.5 83.0 107.9
2009 IV 108.3 98.9 91.3 114.7 103.3 105.9 114.7 108.4 94.7 106.6
III 105.6 96.6 91.5 114.3 103.6 108.2 117.9 110.9 82.4 107.3
II 103.3 95.7 92.7 113.4 103.7 109.8 122.3 113.2 74.1 108.3
I 101.5 96.5 95.1 111.4 102.4 109.7 123.3 113.5 80.5 109.3
---------------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
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 -1.8 and 1.6 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 first quarter of
2011.
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 1978-2010 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.
Appendix table 1.
Manufacturing sector: Productivity, hourly compensation, and unit labor costs
Real
Output Compen- compen-
per hour Hours sation sation Unit
of all of all per hour per hour labor
Year persons Output persons (1) (2) costs
----------------------------------------------------------------------------------------------------
Indexes 2005=100
2010 111.3 r 92.0 r 82.7 116.6 104.4 104.8 r
2009 104.9 r 86.8 r 82.7 114.8 104.5 109.4 r
2008 104.4 r 99.2 r 95.1 109.8 99.6 105.2 r
2007 104.9 r 103.8 r 99.0 105.3 99.2 100.4 r
2006 100.9 r 101.6 r 100.7 102.0 98.8 101.1 r
2005 100.0 100.0 100.0 100.0 100.0 100.0
2004 95.4 r 96.5 r 101.1 96.8 100.0 101.4 r
2003 93.3 r 94.9 r 101.7 96.0 101.9 102.9 r
2002 87.8 r 93.9 r 106.9 88.9 96.5 101.2 r
2001 81.9 r 94.2 r 115.0 84.3 92.9 102.9 r
2000 80.4 r 98.9 r 123.1 81.2 92.0 101.0 r
1999 76.9 r 95.9 r 124.7 75.4 88.3 97.9 r
1998 73.3 r 92.1 r 125.5 72.2 86.3 98.4 r
1997 69.5 r 87.4 r 125.9 68.0 82.4 97.8 r
1996 65.9 r 81.5 r 123.6 66.4 82.2 100.7 r
1995 63.6 r 78.8 r 123.9 65.2 83.0 102.6 r
1994 60.8 r 74.9 r 123.1 64.2 83.7 105.6 r
1993 58.8 r 70.7 r 120.3 62.7 83.4 106.6 r
1992 57.3 r 68.0 r 118.7 61.3 83.5 106.9 r
1991 55.2 r 65.8 r 119.3 58.5 81.8 106.0 r
1990 53.8 r 67.0 r 124.5 55.2 80.0 102.7 r
1989 52.6 r 67.2 r 127.7 52.7 80.1 100.1 r
1988 52.1 r 66.1 r 126.9 51.2 81.1 98.2 r
1987 51.0 r 62.9 r 123.2 49.4 81.2 96.8 r
----------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
r=revised Source: Bureau of Labor Statistics
Appendix table 2.
Durable manufacturing sector: Productivity, hourly compensation, and unit labor costs
Real
Output Compen- compen-
per hour Hours sation sation Unit
of all of all per hour per hour labor
Year persons Output persons (1) (2) costs
----------------------------------------------------------------------------------------------------
Indexes 2005=100
2010 109.0 r 87.3 r 80.1 118.1 105.7 108.3 r
2009 101.2 r 81.2 r 80.2 115.7 105.3 114.3 r
2008 106.0 r 100.6 r 94.9 109.4 99.2 103.2 r
2007 107.7 r 106.6 r 99.0 106.1 99.9 98.5 r
2006 102.2 r 103.3 r 101.1 102.2 99.0 100.1 r
2005 100.0 100.0 100.0 100.0 100.0 100.0
2004 95.0 r 95.2 r 100.2 97.0 100.2 102.1 r
2003 93.4 r 93.0 r 99.5 97.3 103.3 104.2 r
2002 87.1 r 91.6 r 105.1 89.1 96.7 102.3 r
2001 80.7 r 92.5 r 114.6 84.9 93.7 105.2 r
2000 79.9 r 98.7 r 123.4 82.6 93.6 103.3 r
1999 75.8 r 94.2 r 124.2 76.5 89.7 100.9 r
1998 70.4 r 87.9 r 124.8 73.3 87.7 104.1 r
1997 65.2 r 81.0 r 124.1 68.9 83.5 105.5 r
1996 61.0 r 73.6 r 120.6 67.7 83.8 110.9 r
1995 57.9 r 69.3 r 119.5 66.9 85.2 115.5 r
1994 54.5 r 64.2 r 117.7 66.5 86.6 121.9 r
1993 51.9 r 59.2 r 114.0 64.8 86.3 124.9 r
1992 50.0 r 56.2 r 112.4 63.6 86.7 127.3 r
1991 47.3 r 53.9 r 114.0 60.3 84.3 127.5 r
1990 46.4 r 56.1 r 120.7 56.7 82.1 122.1 r
1989 45.6 r 56.8 r 124.7 54.3 82.5 119.2 r
1988 45.2 r 56.2 r 124.3 52.7 83.6 116.7 r
1987 44.2 r 52.9 r 119.7 51.3 84.3 116.0 r
----------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
r=revised Source: Bureau of Labor Statistics
Appendix table 3.
Nondurable manufacturing sector: Productivity, hourly compensation, and unit labor costs
Real
Output Compen- compen-
per hour Hours sation sation Unit
of all of all per hour per hour labor
Year persons Output persons (1) (2) costs
----------------------------------------------------------------------------------------------------
Indexes 2005=100
2010 108.5 r 94.6 r 87.2 114.7 102.7 105.7 r
2009 104.5 r 91.1 r 87.2 113.8 103.6 109.0 r
2008 102.1 r 97.5 r 95.4 110.7 100.4 108.4 r
2007 102.0 r 101.0 r 99.0 103.8 97.8 101.8 r
2006 99.8 r 99.9 r 100.1 101.5 98.3 101.7 r
2005 100.0 100.0 100.0 100.0 100.0 100.0
2004 95.3 r 98.1 r 102.8 96.5 99.8 101.2 r
2003 92.0 r 96.9 r 105.3 94.0 99.8 102.2 r
2002 87.8 r 96.6 r 110.0 88.8 96.4 101.1 r
2001 82.9 r 96.0 r 115.9 83.0 91.5 100.2 r
2000 80.9 r 99.1 r 122.5 78.5 89.0 97.0 r
1999 78.2 r 98.1 r 125.5 73.2 85.7 93.6 r
1998 77.2 r 97.9 r 126.9 70.2 83.9 90.9 r
1997 75.2 r 97.0 r 128.9 66.5 80.7 88.4 r
1996 72.3 r 93.2 r 128.9 64.2 79.6 88.9 r
1995 70.8 r 93.1 r 131.5 62.7 79.7 88.5 r
1994 69.1 r 91.4 r 132.4 60.9 79.3 88.2 r
1993 67.5 r 88.5 r 131.1 59.6 79.2 88.2 r
1992 66.7 r 86.5 r 129.6 58.0 79.0 86.9 r
1991 65.6 r 84.2 r 128.4 55.9 78.1 85.2 r
1990 64.0 r 83.9 r 131.1 53.0 76.7 82.8 r
1989 62.7 r 83.4 r 132.9 50.0 76.1 79.7 r
1988 62.2 r 81.7 r 131.4 48.5 76.8 77.9 r
1987 61.0 r 78.8 r 129.2 46.3 76.1 75.9 r
----------------------------------------------------------------------------------------------------
See footnotes following Table 6. September 1, 2011
r=revised Source: Bureau of Labor Statistics
United States Department of Labor
