Bloomberg Law
May 4, 2023, 1:37 PM

US Productivity Declines More Than Forecast, Labor Costs Climb

Reade Pickert
Reade Pickert
Bloomberg News

US worker productivity declined in the first quarter by more than forecast and labor costs accelerated, underscoring a challenging inflation fight for the Federal Reserve.

Productivity, or nonfarm business employee output per hour, decreased at a 2.7% annual rate in the first quarter, according to figures out Thursday from the Bureau of Labor Statistics. That was the first drop in three quarters and compared to a 1.6% advance in the final three months of 2022.

Unit labor costs, or what a business pays to produce one unit of output, increased at a 6.3% rate after rising 3.3% in ...

Learn more about Bloomberg Law or Log In to keep reading:

Learn About Bloomberg Law

AI-powered legal analytics, workflow tools and premium legal & business news.

Already a subscriber?

Log in to keep reading or access research tools.