Productivity Rose 2.9% in Q2

Washington, DC, September 6, 2018-Nonfarm business sector labor productivity increased 2.9% during the second quarter of 2018, the U.S. Bureau of Labor Statistics reported, as output increased 5.0% and hours worked increased 2.0%.

From the second quarter of 2017 to the second quarter of 2018, productivity increased 1.3%,

reflecting a 3.5% increase in output and a 2.2% increase in hours worked.

Labor productivity, or output per hour, is calculated by dividing an index of real output by an index of hours worked by all persons, including employees, proprietors, and unpaid family workers.

Unit labor costs in the nonfarm business sector decreased 1.0% in the second quarter of 2018,

reflecting a 1.9% increase in hourly compensation and a 2.9% increase in labor productivity.

Unit labor costs increased 1.9% over the last four quarters.