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    Home » US NonFarm Business Labor Productivity Plunges 7.3% in Q1 as Output Falls
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    US NonFarm Business Labor Productivity Plunges 7.3% in Q1 as Output Falls

    June 2, 20221 Min Read
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    Nonfarm business sector labor productivity fell 7.3% in the first quarter of 2022 as output dropped 2.3% and hours worked rose by 5.4%.

    • The decline in labor productivity is the largest fall in quarterly productivity since 1947 when the measure fell by 11.7%.
    • Nonfarm business sector labor productivity declined by 0.6%, signaling a 4.2% increase in output that surpassed a 4.8% increase in hours worked.
    • Unit labor costs in the nonfarm business sector rose by 12.6% in Q1 of 2023, pointing to a 4.4% increase in hourly compensation and a 7.3% decline in productivity.

    Manufacturing sector output now stands at 3.1% above its level in Q4 of 2019, the last quarter not affected by the COVID-19 pandemic.

    DXY down -0.46%, EURUSD up +0.63%

    Source: US Bureau of Labor Statistics

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