Productivity Rose 1.7% in Q4, Output Up 3.1%
Washington, DC, March 2, 2023-Nonfarm business sector labor productivity increased 1.7% in Q4 2022, the U.S. Bureau of Labor Statistics reported, as output increased 3.1% and hours worked increased 1.4%.
This 1.7% increase in labor productivity for the fourth quarter of 2022 is 1.3 percentage points below the preliminary estimate of a 3.0% increase. From the same quarter a year ago, nonfarm business sector labor productivity decreased 1.8%, reflecting a 0.7% increase in output and a 2.6% increase in hours worked. Annual average productivity decreased 1.7% from 2021 to 2022. This is the largest annual decline in the measure since 1974, when productivity also decreased 1.7%.