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Labor productivity business cycle trends in selected service-providing industries
July 25, 2025
Labor productivity increased in 24 of 31 selected service-providing industries from 2019 to 2024. Similarly, productivity increased in 23 of 31 industries over the business cycle preceding the COVID-19 pandemic: 2007 to 2019.
The highest annual productivity gains from 2019 to 2024 were in cable and other subscription programming (+8.8 percent per year) and travel arrangement and reservation services (+7.5 percent). The largest annual declines in productivity during this period occurred in warehousing and storage (−7.4 percent) and couriers and messengers (−5.8 percent).
Truck, utility trailer, and RV (recreational vehicle) rental and leasing
2.5
-1.2
4.8
Full-service restaurants
1.1
0.3
4.7
Traveler accommodation
1.9
1.6
2.1
Limited-service eating places
0.6
0.2
2.1
Amusement parks and arcades
-0.4
-1.3
1.8
General freight trucking, long-distance
1.3
0.8
1.7
Drycleaning and laundry services
1.7
3.1
1.6
Software publishers
9.4
3.4
1.5
Commercial banking
2.6
0.2
1.3
Engineering services
1.1
0.5
1.2
Line-haul railroads
3.1
1.8
1.0
General freight trucking, local
2.5
2.5
1.0
Natural gas distribution
1.1
2.5
1.0
Specialized freight trucking
1.1
1.4
0.7
Water, sewage and other systems
-1.4
-1.8
0.7
Accounting, tax preparation, bookkeeping, and payroll services
1.7
1.3
0.3
Electric power generation, transmission and distribution
2.3
-0.4
-1.6
Wired telecommunications carriers
3.1
2.8
-1.8
Automotive repair and maintenance
0.7
0.9
-2.3
Postal service
-0.6
-1.8
-4.0
Air transportation
1.9
1.8
-4.5
Couriers and messengers
-2.6
-5.2
-5.8
Warehousing and storage
0.0
0.0
-7.4
[1]Measures for 23 industries begin in 1987 while measures for 8 additional industries begin in later years.
Long-term productivity from 1987 to 2024 rose in 26 of 31 selected service-providing industries. Median long-term productivity growth for all 31 industries was 1.7 percent per year, ranging from a decline of 2.6 percent per year for couriers and messengers to an increase of 10.8 percent in wireless telecommunications carriers.
United States Department of Labor
