“Nonfarm business sector labor productivity decreased 1.5 percent in the first quarter of 2025, the US Bureau of Labor Statistics reported today, as output decreased 0.2 percent and hours worked increased 1.3 percent. (All quarterly percent changes in this release are seasonally adjusted annualized rates.) This is the first decline in nonfarm business sector labor productivity since the second quarter of 2022. From the same quarter a year ago, nonfarm business sector labor productivity increased 1.3 percent in the first quarter of 2025,” says the Bureau of Labor Statistics.
“In the first quarter of 2025, nonfarm business sector productivity decreased 1.5 percent, a 0.7-percentage point downward revision from the previously reported decrease of 0.8 percent. Output was revised up 0.1 percentage point to a decrease of 0.2 percent and hours worked were revised up 0.7 percentage point to an increase of 1.3 percent. Unit labor costs increased 6.6 percent rather than increasing 5.7 percent as previously reported, reflecting a 0.2-percentage point upward revision to hourly compensation and a 0.7-percentage point downward revision to labor productivity.”
In related news, the Associated Press reports that unemployment benefit applications rose to an eight month high of 247,000, beating analysts’ expectations of 237,000. L0wEr tEh R8 p0WeLL!!!1