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Productivity up 2.2 percent from second quarter 2025 to second quarter 2026

August 11, 2026

In the second quarter of 2026, nonfarm business sector labor productivity increased 2.2 percent from the same quarter a year ago, as output increased 2.5 percent and hours worked went up 0.2 percent. Unit labor costs in the nonfarm business sector rose 1.4 percent.

Productivity and costs by sector, percent change from same quarter a year ago, 2nd quarter 2026
SectorBusinessNonfarm businessManufacturingDurable goodsNondurable goods

Labor productivity (output per hour)

2.12.20.92.2-0.3

Output

2.52.51.33.1-0.6

Hours worked

0.40.20.40.9-0.4

Unit labor costs

1.41.43.53.32.5

Hourly compensation

3.63.74.55.52.2

Real hourly compensation

-0.2-0.10.61.7-1.5

Over the same period, manufacturing labor productivity increased 0.9 percent, with output increasing 1.3 percent and hours worked growing by 0.4 percent. Unit labor costs for manufacturing rose 3.5 percent, while hourly compensation increased 4.5 percent.

These data are from the Productivity program and are seasonally adjusted at annual rates, subject to revision. See "Productivity and Costs — Second Quarter 2026, Preliminary" to learn more. We also have more charts on productivity and costs. Labor productivity, or output per hour, is calculated by dividing an index of real output by an index of hours worked for all persons, including employees, proprietors, and unpaid family workers.

SUGGESTED CITATION

Bureau of Labor Statistics, U.S. Department of Labor, The Economics Daily, Productivity up 2.2 percent from second quarter 2025 to second quarter 2026 at https://www.bls.gov/opub/ted/2026/productivity-up-2-2-percent-from-second-quarter-2025-to-second-quarter-2026.htm (visited August 12, 2026).