TEXT Table 1. Business sector: Productivity, hourly compensation, unit labor costs, Table 2. Nonfarm business sector: Productivity, hourly compensation, unit labor costs, Table 3. Manufacturing sector: Productivity, hourly compensation, and unit labor costs, Table 4. Durable manufacturing sector: Productivity, hourly compensation, and unit labor costs, Table 5. Nondurable manufacturing sector: Productivity, hourly compensation, and unit labor costs, Table 6. Nonfinancial corporations: Productivity, hourly compensation, unit labor costs, unit profits, Historical, technical USDL 95-158 information:(202) 606-5606 TRANSMISSION OF THIS Current data: (202) 606-7828 MATERIAL IS EMBARGOED Media contact:(202) 606-5902 UNTIL 10:00 A.M. EDT TUESDAY, MAY 9, 1995 PRODUCTIVITY AND COSTS First Quarter 1995 The Bureau of Labor Statistics of the U.S. Department of Labor today reported preliminary productivity data--as measured by output per hour of all persons--for the first quarter of 1995. The seasonally-adjusted annual rates of productivity change in the first quarter were: 0.4 percent in the business sector, and 0.7 percent in the nonfarm business sector. In both sectors, first-quarter productivity gains were much smaller than gains recorded in the fourth quarter of 1994 (as revised). In manufacturing, productivity changes in the first quarter were: 3.6 percent in manufacturing, 3.8 percent in durable goods manufacturing, and 3.2 percent in nondurable goods manufacturing. The productivity increase in manufacturing in the first quarter was slightly higher than that recorded in the fourth quarter of 1994, and both the output and hours increases were smaller. Output and hours in manufacturing, which includes about 20 percent of U.S. business-sector employment, tend to change more from quarter to quarter than in the business and nonfarm business sectors. First-quarter measures are summarized in table A and appear in detail in tables 1 through 5. Output measures for business and nonfarm business are based on measures of gross domestic product prepared by the Bureau of Economic Analysis (BEA) of the U.S. Department of Commerce. Quarterly output measures for manufacturing reflect independent indexes of industrial production prepared by the Board of Governors of the Federal Reserve System. See Technical Notes (page 7) for further information on data sources. In nonfinancial corporations, productivity rose 3.0 percent in the fourth quarter of 1994, as output rose 8.4 percent and hours rose 5.2 percent. For 1994 as a whole, productivity in nonfinancial corporations increased 2.6 percent (tables B and 6). 2 Table A. Productivity and costs: First-quarter 1995 measures (Seasonally adjusted annual rates) Real Hourly hourly Unit Produc- compen- compen- labor Sector tivity Output Hours sation sation costs Percent change from preceding quarter Business 0.4 3.2 2.8 3.9 0.8 3.5 Nonfarm business 0.7 3.3 2.6 4.1 1.0 3.4 Manufacturing 3.6 6.1 2.4 4.9 1.7 1.2 Durable 3.8 7.2 3.3 5.1 1.9 1.2 Nondurable 3.2 4.5 1.2 4.4 1.3 1.1 Percent change from same quarter a year ago Business 1.5 4.8 3.3 2.7 -0.2 1.2 Nonfarm business 1.4 4.6 3.2 2.9 0.0 1.4 Manufacturing 4.0 6.7 2.6 2.4 -0.4 -1.5 Durable 4.4 8.0 3.4 2.4 -0.5 -1.9 Nondurable 3.4 5.0 1.5 2.4 -0.5 -1.0 Business From the fourth quarter of 1994 to the first quarter of 1995, business sector productivity increased at a 0.4 percent annual rate. Output and hours advanced 3.2 percent and 2.8 percent, respectively. During the fourth quarter of 1994, output had increased 7.8 percent and hours of all persons engaged in the sector increased 3.6 percent (seasonally adjusted annual rates), and productivity went up 4.1 percent (revised). See table 1. Hourly compensation increased 3.9 percent during the first quarter of 1995, compared with a 3.1 percent rise in the fourth quarter of 1994. This measure includes wages and salaries, supplements, employer contributions to employee benefit plans, and taxes. Unit labor costs, which reflect changes in hourly compensation and productivity, increased at a 3.5 percent rate during the first quarter. Unit labor costs had declined 0.9 percent in the fourth quarter of 1994. Real hourly compensation, which takes into account changes in the Consumer Price Index for All Urban Consumers (CPI-U), rose at a 0.8 percent annual rate in the first quarter, about the same as the 0.9 percent rise in the fourth quarter of 1994. The implicit price deflator for the business sector, which reflects changes in unit labor costs and unit nonlabor payments, increased 1.8 percent in the first quarter, compared with a 0.7 percent increase during the fourth quarter of 1994. 3 Nonfarm business Productivity rose 0.7 percent in the nonfarm business sector in the first quarter, slightly more than in the business sector as a whole. Nonfarm output rose 3.3 percent, and hours of all persons increased 2.6 percent. During the fourth quarter of 1994, productivity had risen 4.0 percent in this sector, reflecting gains of 7.7 percent in output and 3.5 percent in hours (table 2). Hourly compensation increased at a 4.1 percent annual rate in the first quarter, compared with a 3.5 percent increase one quarter earlier. When the rise in the CPI-U was taken into account, real hourly compensation rose 1.0 percent; it had increased 1.2 percent in the fourth quarter. Unit labor costs rose 3.4 percent, compared with a 0.6 percent decline during the fourth quarter of 1994. The implicit price deflator for nonfarm business output rose 1.7 percent in the first quarter, compared with a 0.5 percent rise one quarter earlier. Manufacturing Productivity increased at a 3.6 percent seasonally adjusted annual rate in manufacturing in the first quarter of 1995, as output rose 6.1 percent and hours of all persons increased 2.4 percent (seasonally adjusted annual rates). In the fourth quarter of 1994, productivity rose 3.4 percent as output and hours increased 8.0 and 4.5 percent, respectively. Hourly compensation of all manufacturing workers increased 4.9 percent during the first quarter. An adjustment to source data received from BEA reflecting a large pension plan contribution in the motor vehicles industry contributed to this increase. (See Gross Domestic Product: First Quarter 1995 (Advance) release, BEA 95-18, April 28, 1995.) Real hourly compensation rose 1.7 percent when the increase in consumer prices was taken into account. Unit labor costs rose at a 1.2 percent annual rate in the first quarter of 1995, the first increase since the third quarter of 1993. 4 Table B. Nonfinancial corporations: Fourth-quarter productivity and cost measures (Seasonally adjusted annual rates) Real Hourly hourly Unit Implicit Produc- compen- compen- labor Unit price Period tivity Output Hours sation sation costs profits deflator Percent change from preceding quarter 1994 IV 3.0 8.4 5.2 2.7 0.5 -0.3 2.5 -0.2 Percent change from same quarter of preceding year 1994 IV 1.7 5.8 4.0 2.8 0.1 1.0 4.2 1.4 Fourth-quarter and annual measures for nonfinancial corporations Fourth-quarter and annual 1994 measures of productivity and costs also were announced today for the nonfinancial corporate sector (tables B, C, and 6). Output per all-employee hour rose 3.0 percent from the third to the fourth quarter of 1994. Output rose 8.4 percent, and all-employee hours rose 5.2 percent (seasonally adjusted annual rates). Hourly compensation increased 2.7 percent in the fourth quarter, and unit labor costs fell 0.3 percent. The implicit price deflator for nonfinancial corporate output fell 0.2 percent during the fourth quarter. 5 Table C. Nonfinancial corporations: Annual changes in productivity and related measures, 1985-1994 Measure 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 Productivity.... 1.0 2.6 1.7 1.9 -1.6 1.1 2.0 3.0 3.0 2.6 Output.......... 3.5 3.2 4.4 5.4 1.3 1.1 -1.1 3.2 5.0 6.1 Hours........... 2.5 0.5 2.7 3.4 2.9 -0.1 -3.1 0.1 2.0 3.4 Hourly comp..... 4.1 4.7 3.2 4.1 3.4 5.3 4.8 4.6 3.0 2.4 Real hourly comp. 0.5 2.8 -0.5 0.0 -1.3 -0.1 0.6 1.6 0.0 -0.1 Unit labor costs 3.1 2.0 1.4 2.2 5.1 4.1 2.7 1.6 0.0 -0.2 Unit nonlabor cost 1.2 2.4 0.1 3.8 6.1 3.0 3.7 -2.1 -1.9 0.2 Total unit cost. 2.5 2.1 1.0 2.6 5.4 3.8 3.0 0.5 -0.5 -0.1 Unit profits.... -0.2 -10.8 14.7 6.6 -8.2 -0.6 -1.7 7.6 14.0 12.2 Impl. price defl. 2.3 0.8 2.2 3.0 4.1 3.4 2.6 1.1 0.8 1.1 Productivity was 2.6 percent higher in 1994 than in 1993 in nonfinancial corporations. This reflects an output increase of 6.1 percent, the largest since 1984 (when it rose 8.1 percent), and an increase in employee hours of 3.4 percent. The 1994 increase in hourly compensation (2.4 percent) was the smallest increase in the history of the series, which goes back to 1958. Total unit costs in 1994 fell 0.1 percent, reflecting decreases in unit labor costs of 0.2 percent and increases in unit nonlabor costs of 0.2 percent. Unit profits rose at a 12.2 percent annual rate. 6 Table D. Previous and revised productivity and related measures Quarterly percent changes at seasonally adjusted annual rates Real Hourly hourly Unit Produc- compen- compen- labor Sector tivity Output Hours sation sation costs Fourth quarter 1994 Business: Previous.... 1.7 5.4 3.6 3.1 0.8 1.3 Current..... 4.1 7.8 3.6 3.1 0.9 -0.9 Nonfarm business: Previous.... 1.7 5.3 3.5 3.4 1.2 1.7 Current..... 4.0 7.7 3.5 3.5 1.2 -0.6 Manufacturing: Previous.... 3.1 7.7 4.5 3.4 1.1 0.3 Current..... 3.4 8.0 4.5 3.4 1.1 0.0 Revised measures Current and previous measures for the fourth quarter of 1994 for the business, nonfarm business, and manufacturing sectors are compared in table D. The quarterly movements in productivity and output differ from the figures reported on March 8, based on information then available. There were significant upward revisions to output data for the business and nonfarm business sectors. Next release date The next release of Productivity and Costs is scheduled for 10:00 AM EDT, Wednesday, June 14, 1995. First-quarter measures for nonfinancial corporations and revised measures for business, nonfarm business, and manufacturing will be released at that time. 7 TECHNICAL NOTES Labor Input: The primary source of and miscellaneous manufactures. Non- hours and employment data is the BLS durables include: Food and kindred Current Employment Statistics (CES) products, tobacco products, textile program, which provides monthly survey mill products apparel products, paper data on total employment and average and allied products, printing and weekly hours of production and non- publishing, chemicals and chemical supervisory workers in nonagricultural products, petroleum refining and establishments. Jobs rather than related industries, rubber and plastic persons are counted. Weekly hours are products, leather and leather adjusted to the hours at work products. Manufacturing accounted for definition using the BLS Hours at Work about 19 percent of GDP in 1992. survey, conducted for this purpose. Quarterly manufacturing output Data from the BLS Current measures are based on the index of Population Survey (CPS) are used for industrial production prepared monthly farm labor; in the nonfarm sector, the by the Board of Governors of the National Income and Product Accounts Federal Reserve System adjusted by BLS (NIPA) prepared by the Bureau of Eco- to annual manufacturing output levels nomic Analysis of the Department of (gross product originating) from the Commerce and the CPS are used to National Income and Product Accounts measure labor input for government prepared by the Bureau of Economic enterprises, proprietors and unpaid Analysis of the U.S. Department of family workers. Commerce. Nonfinancial corporate output is Output: Business output is equal to equal to GDP in constant 1987 dollars, gross domestic product (GDP) in less the output of nonprofit constant 1987 dollars, less general institutions, output of paid employees government, output of nonprofit of private households, rental value of institutions, output of paid employees owner-occupied dwellings, of private households, rental value of unincorporated business, the output of owner-occupied dwellings, and the sta- corporations engaged in banking, fi- tistical discrepancy in computing the nance, stock and commodity trading, NIPA. Corresponding exclusions are and credit and insurance agencies, and also made in labor inputs. Business the statistical discrepancy in output was about 78 percent of GDP in computing the NIPA. Nonfinancial 1992. Nonfarm business, which also ex- corporations accounted for about 56 cludes farming, was about 77 percent percent of GDP in 1992. of GDP in 1992. Total manufacturing measures are Productivity: These productivity mea- computed by summing series prepared sures describe the relationship for the durable and nondurable goods between real output and the labor time sectors. Durables include the involved in its production. They show following 2-digit SIC industries: the changes from period to period in Primary metal industries; fabricated the amount of goods and services pro- metal products; nonelectrical duced per hour. Although these machinery; industrial and commercial measures relate output to hours at machinery and computer equipment; work of all persons engaged in a electronic and other electrical sector, they do not measure the equipment; transportation equipment; specific contribution of labor, instruments; lumber and lumber prod- capital, or any other factor of ucts; furniture and fixtures; stone, production. Rather, they reflect the clay, and glass and concrete products; joint effects of many influences, 8 including changes in technology; capital investment; level of output; Information in this release will utilization of capacity, energy, and be made available to sensory-impaired materials; the organization of produc- individuals upon request. Voice phone: tion; managerial skill; and the 202-606-STAT; TDD phone: 202-606-5897; characteristics and effort of the work TDD message referral phone number: 1- force. 800-326-2577. Table 1. Business sector: Productivity, hourly compensation, unit labor costs, and prices, seasonally adjusted Real Year Output per Hours Compensa- compensa- Unit Unit non- Implicit and hour of of all tion per tion per labor labor pay- price quarter all persons Output persons hour (1) hour (2) costs ments (3) deflator (4) --------------------------------------------------------------------------------------------------------- Indexes 1982=100 1993 I 116.2 138.1 118.9 158.8 107.0 136.6 149.5 140.8 II 116.4 139.6 119.9 160.0 107.0 137.5 149.6 141.4 III 117.3 140.9 120.1 161.2 107.4 137.4 150.4 141.6 IV 119.0 143.9 121.0 162.1 107.2 136.3 153.8 142.1 ANNUAL 117.2 140.6 120.0 160.5 107.2 136.9 150.9 141.5 1994 I 119.8 145.8 121.7 164.6 108.2 137.4 153.2 142.6 II 119.2 147.2 123.5 164.7 107.6 138.2 155.3 143.8 III 120.3 148.8 123.7 166.2 107.6 138.1 157.6 144.5 IV r121.5 r151.6 124.8 167.4 107.8 r137.8 r158.9 144.8 ANNUAL r120.1 r148.4 123.5 165.6 107.8 r137.9 r156.3 143.9 1995 I 121.6 152.8 125.7 169.0 108.1 139.0 158.4 145.4 --------------------------------------------------------------------------------------------------------- Percent change from previous quarter at annual rate(5) 1993 I -1.9 0.6 2.5 2.6 -0.4 4.6 -2.0 2.3 II 0.6 4.2 3.6 3.1 0.1 2.5 0.3 1.7 III 3.3 4.0 0.7 3.0 1.3 -0.3 2.1 0.6 IV 5.7 8.6 2.8 2.4 -0.8 -3.1 9.4 1.2 ANNUAL 1.5 3.8 2.2 3.6 0.6 2.0 1.7 1.9 1994 I 2.9 5.5 2.5 6.3 4.1 3.3 -1.7 1.5 II -2.0 3.7 5.9 0.2 -2.3 2.3 5.8 3.5 III 3.7 4.5 0.8 3.6 0.0 -0.2 5.9 2.0 IV r4.1 r7.8 3.6 3.1 r0.9 r-0.9 r3.4 r0.7 ANNUAL r2.5 r5.5 2.9 3.2 0.6 r0.7 r3.6 1.7 1995 I 0.4 3.2 2.8 3.9 0.8 3.5 -1.2 1.8 --------------------------------------------------------------------------------------------------------- Percent change from corresponding quarter of previous year 1993 I 1.5 3.3 1.8 4.3 1.1 2.8 0.7 2.0 II 1.4 3.8 2.4 4.1 0.9 2.7 0.6 1.9 III 1.3 3.6 2.3 3.3 0.5 2.0 3.1 2.4 IV 1.9 4.3 2.4 2.8 0.0 0.9 2.4 1.4 ANNUAL 1.5 3.8 2.2 3.6 0.6 2.0 1.7 1.9 1994 I 3.1 5.6 2.4 3.7 1.1 0.6 2.5 1.2 II 2.4 5.4 3.0 3.0 0.5 0.5 3.8 1.7 III 2.5 5.6 3.0 3.1 0.2 0.6 4.8 2.0 IV r2.1 r5.4 3.2 3.3 0.6 r1.1 r3.3 1.9 ANNUAL r2.5 r5.5 2.9 3.2 0.6 r0.7 r3.6 1.7 1995 I 1.5 4.8 3.3 2.7 -0.2 1.2 3.4 2.0 --------------------------------------------------------------------------------------------------------- See footnotes following table 6. May 9, 1995 r=revised Source: Bureau of Labor Statistics 11 Table 2. Nonfarm business sector: Productivity, hourly compensation, unit labor costs, and prices, seasonally adjusted Real Year Output per Hours Compensa- compensa- Unit Unit non- Implicit and hour of of all tion per tion per labor labor pay- price quarter all persons Output persons hour (1) hour (2) costs ments (3) deflator(4) --------------------------------------------------------------------------------------------------------- Indexes 1982=100 1993 I 114.4 138.3 120.9 157.2 106.0 137.5 151.5 142.0 II 114.5 139.9 122.1 158.2 105.8 138.1 151.8 142.5 III 115.6 141.5 122.4 159.3 106.1 137.7 153.5 142.8 IV 117.0 144.3 123.3 160.2 105.9 136.9 156.1 143.1 ANNUAL 115.4 141.0 122.2 158.7 106.0 137.5 153.3 142.6 1994 I 117.9 146.1 124.0 162.6 106.9 137.9 155.3 143.5 II 117.2 147.3 125.6 162.9 106.4 138.9 158.1 145.1 III 118.2 148.8 126.0 164.1 106.3 138.9 160.8 145.9 IV r119.3 r151.6 127.1 165.5 106.6 r138.7 r161.7 146.1 ANNUAL r118.1 r148.5 125.7 163.6 106.6 r138.6 r159.0 145.2 1995 I 119.5 152.9 127.9 167.2 106.9 139.9 161.2 146.7 --------------------------------------------------------------------------------------------------------- Percent change from previous quarter at annual rate(5) 1993 I -2.0 1.0 3.0 2.1 -0.9 4.1 -1.4 2.2 II 0.4 4.7 4.3 2.4 -0.6 2.0 0.8 1.6 III 4.0 4.9 0.9 2.8 1.1 -1.2 4.4 0.7 IV 4.9 7.9 2.9 2.4 -0.9 -2.4 7.1 0.8 ANNUAL 1.5 4.1 2.5 3.3 0.2 1.7 2.4 1.9 1994 I 2.9 5.2 2.3 6.1 3.9 3.1 -2.1 1.2 II -2.1 3.2 5.5 0.7 -1.8 2.9 7.5 4.5 III 3.2 4.3 1.1 3.1 -0.4 -0.1 6.9 2.3 IV r4.0 r7.7 3.5 r3.5 1.2 r-0.6 r2.5 0.5 ANNUAL r2.3 r5.3 2.9 3.1 r0.6 r0.8 r3.7 1.8 1995 I 0.7 3.3 2.6 4.1 1.0 3.4 -1.4 1.7 --------------------------------------------------------------------------------------------------------- Percent change from corresponding quarter of previous year 1993 I 1.6 3.5 1.9 4.2 1.0 2.6 1.3 2.1 II 1.2 4.0 2.8 3.7 0.5 2.4 0.9 1.9 III 1.5 4.2 2.6 2.9 0.1 1.4 4.4 2.4 IV 1.8 4.6 2.7 2.4 -0.3 0.6 2.7 1.3 ANNUAL 1.5 4.1 2.5 3.3 0.2 1.7 2.4 1.9 1994 I 3.0 5.7 2.6 3.4 0.9 0.3 2.5 1.1 II 2.4 5.3 2.8 3.0 0.6 0.6 4.2 1.8 III 2.2 5.2 2.9 3.1 0.2 0.9 4.8 2.2 IV r2.0 r5.1 3.1 3.3 0.7 r1.3 r3.6 2.1 ANNUAL r2.3 r5.3 2.9 3.1 r0.6 r0.8 r3.7 1.8 1995 I 1.4 4.6 3.2 2.9 0.0 1.4 3.8 2.2 --------------------------------------------------------------------------------------------------------- See footnotes following table 6. May 9, 1995 r=revised Source: Bureau of Labor Statistics Table 3. Manufacturing sector: Productivity, hourly compensation, and unit labor costs, seasonally adjusted Real Year Output per Hours Compensa- compensa- Unit and hour of of all tion per tion per labor quarter all persons Output persons hour(1) hour(2) costs -------------------------------------------------------------------------------------------------- Indexes 1982=100 1993 I 130.0 134.0 103.1 150.0 101.1 115.4 II 130.7 134.4 102.8 152.1 101.8 116.4 III 131.7 135.4 102.8 153.6 102.4 116.6 IV 133.6 137.7 103.0 155.1 102.5 116.1 ANNUAL 131.6 135.4 102.9 152.8 102.0 116.1 1994 I 135.7 140.2 103.3 156.6 103.0 115.4 II 137.6 142.7 103.7 156.1 102.0 113.4 III 138.8 144.6 104.2 157.2 101.8 113.3 IV r140.0 r147.5 105.4 r158.6 102.1 r113.3 ANNUAL 138.0 143.7 104.2 157.1 102.3 113.8 1995 I 141.2 149.7 106.0 160.4 102.6 113.6 -------------------------------------------------------------------------------------------------- Percent change from previous quarter at annual rate(5) 1993 I 3.7 6.3 2.6 -2.0 -4.9 -5.5 II 2.4 1.3 -1.1 6.0 2.9 3.5 III 3.0 3.0 0.0 3.9 2.2 0.9 IV 6.0 6.9 0.9 3.9 0.6 -2.0 ANNUAL 3.2 4.1 0.8 3.3 0.3 0.1 1994 I 6.4 7.4 1.0 4.0 1.8 -2.3 II 5.6 7.2 1.5 -1.4 -3.9 -6.7 III 3.5 5.6 2.0 3.0 -0.5 -0.5 IV r3.4 r8.0 4.5 3.4 1.1 r0.0 ANNUAL 4.9 r6.2 1.2 2.8 0.2 -2.0 1995 I 3.6 6.1 2.4 4.9 1.7 1.2 -------------------------------------------------------------------------------------------------- Percent change from corresponding quarter of previous year 1993 I 2.9 4.2 1.3 3.3 0.1 0.4 II 3.1 3.7 0.6 3.6 0.5 0.5 III 3.2 4.0 0.7 3.5 0.7 0.3 IV 3.8 4.4 0.6 2.9 0.2 -0.8 ANNUAL 3.2 4.1 0.8 3.3 0.3 0.1 1994 I 4.4 4.6 0.2 4.4 1.9 0.0 II 5.3 6.1 0.8 2.6 0.2 -2.5 III 5.4 6.8 1.3 2.4 -0.5 -2.9 IV r4.7 r7.1 2.2 2.2 -0.4 r-2.4 ANNUAL 4.9 r6.2 1.2 2.8 0.2 -2.0 1995 I 4.0 6.7 2.6 2.4 -0.4 -1.5 -------------------------------------------------------------------------------------------------- See footnotes following table 6. May 9, 1995 r=revised Source: Bureau of Labor Statistics Table 4. Durable manufacturing sector: Productivity, hourly compensation, and unit labor costs, seasonally adjusted Real Year Output per Hours Compensa- compensa- Unit and hour of of all tion per tion per labor quarter all persons Output persons hour(1) hour(2) costs -------------------------------------------------------------------------------------------------- Indexes 1982=100 1993 I 141.0 141.6 100.4 147.4 99.3 104.5 II 142.3 142.2 99.9 149.4 100.0 105.0 III 143.4 143.5 100.1 150.7 100.4 105.1 IV 146.6 147.4 100.5 152.3 100.7 103.9 ANNUAL 143.5 143.7 100.1 150.1 100.2 104.6 1994 I 149.3 150.8 101.0 154.0 101.2 103.1 II 151.2 153.4 101.4 153.1 100.0 101.2 III 153.0 156.3 102.2 154.1 99.8 100.7 IV 154.3 r160.0 103.7 155.7 100.3 100.9 ANNUAL 151.9 155.1 102.1 154.1 100.4 101.5 1995 I 155.8 162.8 104.5 157.6 100.7 101.2 -------------------------------------------------------------------------------------------------- Percent change from previous quarter at annual rate(5) 1993 I 5.5 8.5 2.8 -4.8 -7.7 -9.8 II 3.7 1.8 -1.9 5.6 2.6 1.9 III 3.0 3.9 0.8 3.4 1.7 0.3 IV 9.4 11.2 1.7 4.4 1.1 -4.6 ANNUAL 4.5 5.4 0.8 2.8 -0.2 -1.7 1994 I 7.3 9.5 2.0 4.4 2.3 -2.7 II 5.3 7.1 1.7 -2.3 -4.7 -7.2 III 4.8 7.8 2.9 2.7 -0.8 -1.9 IV r3.6 r9.7 5.9 4.1 1.8 r0.5 ANNUAL 5.9 8.0 2.0 2.7 0.1 -3.0 1995 I 3.8 7.2 3.3 5.1 1.9 1.2 -------------------------------------------------------------------------------------------------- Percent change from corresponding quarter of previous year 1993 I 4.2 5.3 1.0 3.0 -0.1 -1.2 II 4.3 4.8 0.4 3.1 0.0 -1.1 III 4.3 5.2 0.8 2.9 0.1 -1.3 IV 5.4 6.3 0.8 2.1 -0.7 -3.2 ANNUAL 4.5 5.4 0.8 2.8 -0.2 -1.7 1994 I 5.8 6.5 0.7 4.4 1.9 -1.3 II 6.2 7.9 1.6 2.4 0.0 -3.6 III 6.7 8.9 2.1 2.3 -0.6 -4.1 IV 5.2 8.5 3.1 2.2 -0.4 -2.9 ANNUAL 5.9 8.0 2.0 2.7 0.1 -3.0 1995 I 4.4 8.0 3.4 2.4 -0.5 -1.9 -------------------------------------------------------------------------------------------------- See footnotes following table 6. May 9, 1995 r=revised Source: Bureau of Labor Statistics Table 5. Nondurable manufacturing sector: Productivity, hourly compensation, and unit labor costs, seasonally adjusted Real Year Output per Hours Compensa- compensa- Unit and hour of of all tion per tion per labor quarter all persons Output persons hour(1) hour(2) costs -------------------------------------------------------------------------------------------------- Indexes 1982=100 1993 I 116.5 124.7 107.0 155.2 104.6 133.1 II 116.7 124.9 107.0 157.7 105.5 135.1 III 117.6 125.5 106.7 159.5 106.3 135.6 IV 118.0 125.8 106.6 160.7 106.2 136.2 ANNUAL 117.2 125.2 106.8 158.3 105.7 135.0 1994 I 119.4 127.2 106.5 161.9 106.5 135.6 II 121.2 129.5 106.9 161.9 105.8 133.5 III 121.7 130.3 107.1 163.2 105.7 134.1 IV r122.6 r132.1 107.8 164.0 105.6 r133.8 ANNUAL 121.2 129.8 107.1 162.8 106.0 r134.2 1995 I 123.6 133.6 108.1 165.8 106.0 134.2 -------------------------------------------------------------------------------------------------- Percent change from previous quarter at annual rate(5) 1993 I 1.2 3.5 2.3 2.4 -0.6 1.2 II 0.7 0.6 -0.1 6.6 3.5 5.9 III 3.0 1.8 -1.1 4.6 2.9 1.6 IV 1.4 1.1 -0.3 3.1 -0.2 1.7 ANNUAL 1.4 2.3 0.9 4.1 1.1 2.7 1994 I 5.0 4.6 -0.4 3.1 0.9 -1.9 II 6.1 7.4 1.3 -0.1 -2.6 -5.8 III 1.6 2.5 0.9 3.3 -0.3 1.7 IV r3.0 r5.6 r2.6 r2.1 -0.2 r-0.9 ANNUAL 3.4 r3.7 0.2 2.8 0.3 r-0.6 1995 I 3.2 4.5 1.2 4.4 1.3 1.1 -------------------------------------------------------------------------------------------------- Percent change from corresponding quarter of previous year 1993 I 1.0 2.7 1.7 3.8 0.6 2.7 II 1.5 2.3 0.8 4.4 1.3 2.9 III 1.7 2.3 0.6 4.4 1.6 2.7 IV 1.5 1.8 0.2 4.2 1.4 2.6 ANNUAL 1.4 2.3 0.9 4.1 1.1 2.7 1994 I 2.5 2.0 -0.4 4.3 1.8 1.8 II 3.8 3.7 -0.1 2.7 0.2 -1.1 III 3.5 3.9 0.4 2.3 -0.5 -1.1 IV r3.9 r5.0 1.1 2.1 r-0.5 r-1.7 ANNUAL 3.4 r3.7 0.2 2.8 0.3 r-0.6 1995 I 3.4 5.0 1.5 2.4 -0.5 -1.0 -------------------------------------------------------------------------------------------------- See footnotes following table 6. May 9, 1995 r=revised Source: Bureau of Labor Statistics Table 6. Nonfinancial corporations: Productivity, hourly compensation, unit labor costs, unit profits, and prices, seasonally adjusted Output Hourly Real Unit Total Unit Implicit Year per all- compen- hourly Unit non- unit pro- price and employee Employee sation compen- labor labor cost fits deflator quarter hour Output hours (1) sation(2) costs cost(6) (7) (8) (4) ---------------------------------------------------------------------------------------------------------- Indexes 1982=100 1992 I 116.8 137.3 117.6 147.7 102.7 126.5 119.3 124.5 170.4 127.3 II 117.6 138.8 118.1 149.4 103.1 127.1 118.0 124.5 175.6 127.6 III 119.1 140.7 118.1 151.5 103.8 127.2 119.0 124.9 171.0 127.7 IV 120.6 143.4 118.9 153.1 104.0 127.0 115.7 123.8 191.2 127.9 ANNUAL 118.5 140.0 118.2 150.4 103.5 126.9 118.0 124.4 177.2 127.7 1993 I 120.0 143.3 119.4 154.0 103.8 128.3 116.8 125.0 183.7 128.7 II 121.3 145.9 120.3 154.5 103.4 127.3 115.8 124.1 199.4 128.7 III 122.7 148.1 120.7 155.4 103.5 126.7 115.8 123.6 202.5 128.5 IV 124.1 150.9 121.6 155.9 103.1 125.7 114.8 122.6 220.9 128.7 ANNUAL 122.0 147.0 120.5 154.9 103.5 127.0 115.8 123.8 201.9 128.6 1994 I 125.1 153.0 122.3 157.9 103.8 126.2 116.6 123.5 218.2 129.4 II 124.6 154.8 124.2 157.9 103.1 126.7 115.2 123.4 228.7 129.9 III 125.2 156.5 124.9 159.1 103.1 127.1 116.2 124.0 228.8 130.5 IV 126.2 159.6 126.5 160.2 103.2 127.0 115.9 123.8 230.3 130.4 ANNUAL 125.2 156.0 124.6 158.7 103.3 126.7 116.0 123.7 226.5 130.0 ---------------------------------------------------------------------------------------------------------- Percent change from previous quarter at annual rate(5) 1992 I 1.3 0.9 -0.4 3.9 1.1 2.6 -2.6 1.2 14.8 2.2 II 2.9 4.7 1.7 4.7 1.5 1.7 -4.4 0.0 12.8 1.0 III 5.2 5.5 0.3 5.7 2.5 0.4 3.5 1.2 -10.0 0.2 IV 5.1 8.0 2.7 4.3 0.8 -0.8 -10.4 -3.5 56.4 0.7 ANNUAL 3.0 3.2 0.1 4.6 1.6 1.6 -2.1 0.5 7.6 1.1 1993 I -1.9 -0.3 1.7 2.3 -0.7 4.4 3.6 4.2 -14.9 2.3 II 4.5 7.5 2.8 1.4 -1.6 -3.0 -3.3 -3.1 38.9 0.2 III 4.5 6.0 1.5 2.2 0.5 -2.1 0.0 -1.6 6.5 -0.8 IV 4.7 7.8 3.0 1.4 -1.8 -3.1 -3.4 -3.2 41.5 0.6 ANNUAL 3.0 5.0 2.0 3.0 0.0 0.0 -1.9 -0.5 14.0 0.8 1994 I 3.3 5.8 2.5 5.1 3.0 1.8 6.6 3.1 -4.9 2.2 II -1.4 4.8 6.4 -0.1 -2.6 1.4 -4.8 -0.3 20.7 1.8 III 2.0 4.2 2.2 3.3 -0.3 1.2 3.5 1.8 0.3 1.7 IV 3.0 8.4 5.2 2.7 0.5 -0.3 -1.1 -0.5 2.5 -0.2 ANNUAL 2.6 6.1 3.4 2.4 -0.1 -0.2 0.2 -0.1 12.2 1.1 ---------------------------------------------------------------------------------------------------------- Percent change from corresponding quarter of previous year 1992 I 2.4 1.7 -0.7 4.3 1.3 1.8 -1.2 1.0 5.2 1.3 II 2.6 2.7 0.2 4.5 1.4 1.9 -2.1 0.8 5.0 1.1 III 3.3 3.5 0.3 4.9 1.7 1.6 -1.5 0.7 3.7 0.9 IV 3.6 4.7 1.1 4.6 1.5 1.0 -3.6 -0.3 16.2 1.1 ANNUAL 3.0 3.2 0.1 4.6 1.6 1.6 -2.1 0.5 7.6 1.1 1993 I 2.8 4.4 1.6 4.2 1.0 1.4 -2.1 0.5 7.8 1.1 II 3.2 5.1 1.9 3.4 0.3 0.2 -1.8 -0.3 13.6 0.8 III 3.0 5.2 2.2 2.6 -0.2 -0.4 -2.7 -1.0 18.5 0.6 IV 2.9 5.2 2.2 1.8 -0.9 -1.0 -0.8 -1.0 15.5 0.6 ANNUAL 3.0 5.0 2.0 3.0 0.0 0.0 -1.9 -0.5 14.0 0.8 1994 I 4.2 6.8 2.4 2.5 0.0 -1.6 -0.1 -1.2 18.8 0.5 II 2.7 6.1 3.3 2.2 -0.2 -0.5 -0.5 -0.5 14.7 0.9 III 2.1 5.7 3.5 2.4 -0.4 0.3 0.4 0.3 13.0 1.6 IV 1.7 5.8 4.0 2.8 0.1 1.0 1.0 1.0 4.2 1.4 ANNUAL 2.6 6.1 3.4 2.4 -0.1 -0.2 0.2 -0.1 12.2 1.1 ---------------------------------------------------------------------------------------------------------- See footnotes following table 6. May 9, 1995 r=revised Source: Bureau of Labor Statistics SOURCE: Output data from the Bureau of Economic Analysis, U.S. Department of Commerce, and the Federal Reserve Board. Compensation and hours data from the Bureau of Labor Statistics, U.S. Department of Labor, and the Bureau of Economic Analysis. RELIABILITY: Productivity and cost measures are regularly revised as more complete information becomes available. The measures are first published 30 days after the close of the reference period; revisions appear about 35 days later, and second revisions after an additional 60 days. In the business sector, the probability is 0.95 that the third publication (second revision) of a quarterly index of output per hour of all persons will differ from the initial value by between -2.0 and +2.0 index points. This interval is based on the performance of this measure between the third quarter of 1976 and the fourth quarter of 1992. Footnotes, Tables 1-6 (1) Wages and salaries of employees plus employers' contributions for social insurance and private benefit plans. Except for nonfinancial corporations, where there are no self-employed, data also include an estimate of wages, salaries, and supplemental payments for the self- employed. (2) Compensation per hour adjusted for changes in the Consumer Price Index for All Urban Consumers. (3) Unit nonlabor payments include profits, capital consumption allowances, interest, rental income of persons, and indirect taxes. (4) Current dollar gross product divided by constant dollar gross product. (5) Quarterly changes: Percent change compounded at annual rate from the original data rather than index numbers. Annual changes: Percent change between annual average levels. (6) Unit nonlabor cost includes capital consumption allowances, interest, rental income of persons, and indirect taxes. For nonfinancial corporations, rental income of persons is zero by definition. (7) Total unit cost is the sum of labor and nonlabor costs. (8) Unit profits include corporate profits with inventory valuation and capital consumption adjustments.