Keeping you up to date on the latest data releases.
- Productivity and Costs
Nonfarm business sector productivity, which is measured as real output per hour of all persons, was revised up from 0.9 percent to 2.3 percent at a seasonally-adjusted annualized rate in the second quarter of 2013. This upward revision to productivity reflects both an upward revision to output and a downward revision to hours worked. Output is now estimated to have increased 3.7 percent during the quarter, compared with a previous estimate of 2.6 percent, while hours increased 1.4 percent compared with a previously estimated increase of 1.7 percent. Over the past year, productivity has increased 0.3 percent, due to year-over-year increases of 2.1 percent and 1.7 percent in output and hours worked, respectively. In the second quarter, compensation per hour increased 2.3 percent (revised down from 4.0 percent), and after controlling for price changes, real compensation per hours increased 2.3 percent (unrevised). Due to the upward revision to productivity and the downward revision to compensation per hour, unit labor costs, which is measured as hourly compensation per hourly output, was revised down from a 1.4 percent increase to a 0.0 percent increase. On a year-over-year basis, real hourly compensation has increased 0.3 percent, and unit labor costs are up 1.5 percent.