Manufacturing Labor Productivity Down 1.6% in the Second Quarter - Modern Distribution Management

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Manufacturing Labor Productivity Down 1.6% in the Second Quarter

Nonfarm business sector labor productivity increased 2.3%.

Manufacturing sector labor productivity decreased 1.6% in the second quarter of 2019, as output decreased 2.1% and hours worked declined 0.5%, according to the U.S. Bureau of Labor Statistics. 

Productivity declined 0.9% in the durable manufacturing sector, reflecting a 1.8% decrease in output and a 0.9% decrease in hours worked. Productivity decreased 2.6% in the nondurable manufacturing sector as output fell 2.4% and hours worked rose 0.3%. Over the last four quarters, total manufacturing sector productivity increased 0.2%, as output increased 0.4% and hours worked increased 0.2%. Unit labor costs in the manufacturing sector increased 5.8% in the second quarter of 2019, and increased 4.3% from the same quarter a year ago. 

Nonfarm business sector labor productivity increased 2.3% in the second quarter of 2019 as output increased 1.9% and hours worked decreased 0.4%. From the second quarter of 2018 to the second quarter of 2019, productivity increased 1.8%, reflecting a 2.6% increase in output and a 0.8% increase in hours worked. 

Read the first quarter results.

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