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- U.S. labor productivity’s Q1 increase unrevised
U.S. labor productivity’s Q1 increase unrevised
The
revised data from the U.S. Labour Department showed on Thursday that nonfarm
business sector labor productivity in the United States surged 5.4 percent
q-o-q in the first quarter of 2021, as output jumped 8.6 percent q-o-q and
hours worked rose 3.0 percent q-o-q (seasonally adjusted). That was in line
with the initial estimate of a gain of 5.4 percent q-o-q but slightly worse
than economists’ forecast for an advance of 5.5 percent q-o-q. In the previous
quarter, labor productivity fell 3.8 percent q-o-q .
In
y-o-y terms, the labor productivity increased 4.1 percent, reflecting a 1.1-percent
gain in output and a 2.9-percent drop in hours worked.
Meanwhile,
unit labor costs in the nonfarm business sector in the first quarter climbed
1.7 percent q-o-q compared to an initial estimate of a 0.3 percent q-o-q decrease
and a revised 14.0 percent q-o-q surge in the prior quarter (originally a 5.6
percent q-o-q increase). Economists had forecast a 0.4 percent q-o-q drop in first-quarter
unit labor costs.
Unit
labor costs quarterly gain reflected a 7.2-percent q-o-q jump in hourly
compensation and a 5.4-percent q-o-q advance in productivity.
Compared
to the corresponding period of 2020, unit labor costs rose 4.1 percent, as hourly
compensation increased 8.3 percent and productivity rose 4.1 percent.
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