US nonfarm business sector labor productivity increased 1.7% in the fourth quarter of 2022, but failed to beat market estimates, according to the Bureau of Labor Statistics figures released Thursday.
The figure, which measures the change in labor efficiency when producing goods and services, was expected to show a quarterly gain of 2.6%, according to the market estimates.
The 1.7% increase in labor productivity in the fourth quarter of 2022 is also 1.3 percentage points below the preliminary estimate of a 3% increase, the agency said in a statement.
Annually, the nonfarm business sector labor productivity decreased 1.8% in the fourth quarter, compared to the same period last year.
Unit labor costs in the nonfarm business sector increased 3.2% in the fourth quarter, compared to the previous quarter. This reflected a 4.9% increase in hourly compensation and a 1.7% gain in productivity, said the agency.
The figure, which is the ratio of hourly compensation to labor productivity, rose 6.3% year-on-year.
Manufacturing sector labor productivity decreased 2.7% on a quarterly basis and declined 1.9% annually.
Source: Anadolu Agency