Labor Productivity Rose 3.2% in Q4 2023

Washington, DC, February 1, 2024-Nonfarm business sector labor productivity increased 3.2% in Q4 2023, the U.S. Bureau of Labor Statistics reported, as output increased 3.7% and hours worked increased 0.4%. 

From the same quarter a year ago, nonfarm business sector labor productivity increased 2.7%. 

Annual average productivity increased 1.2% from 2022 to 2023. 

Unit labor costs in the nonfarm business sector increased 0.5% in Q4 2023, reflecting a 3.7% increase in hourly compensation and a 3.2% increase in productivity. Unit labor costs increased 2.3% over the last four quarters.