Labor Productivity Rose 1.3% in Q4 2016, Output Rose 2.4%

Washington, DC, March 8, 2017--Nonfarm business sector labor productivity increased at a 1.3% annual rate during the fourth quarter of 2016, the U.S. Bureau of Labor Statistics has reported, as output increased 2.4% and hours worked increased 1.0%.

From the fourth quarter of 2015 to the fourth quarter of 2016, productivity increased 1.0%, reflecting increases in output and hours worked of 2.2% and 1.2%, respectively.

Annual average productivity increased 0.2% from 2015 to 2016.

Unit labor costs in the nonfarm business sector increased 1.7% in the

fourth quarter of 2016, reflecting a 3.0% increase in hourly

compensation and a 1.3% increase in productivity. Unit labor costs

increased 2.0% over the last four quarters.