Labor Productivity Rose 3.7% in Q2

Washington, DC, August 3, 2023-Nonfarm business sector labor productivity increased 3.7% in Q2 2023, the U.S. Bureau of Labor Statistics reported, as output increased 2.4% and hours worked decreased 1.3%. 

The decline in hours worked is the first decline since the Q2 2020 and was the result of a 1.3% decline in average weekly hours; employment was unchanged. From the same quarter a year ago, nonfarm business sector labor productivity increased 1.3%, reflecting a 2.6% increase in output and a 1.2% increase in hours worked; this is the first increase in the four-quarter productivity measure since Q4 2021.