News

Bureau of Labor Statistics Washington, D.C. 20212 

United States 

Department 

of Labor 

Internet address: http://www.bls.gov/lpc/ USDL 09-0481 

Historical, technical TRANSMISSION OF THIS 

 information: (202) 691-5606 MATERIAL IS EMBARGOED 

Current data: (202) 691-5200 UNTIL 8:30 A.M. EDT, 

Media contact: (202) 691-5902 THURSDAY, MAY 7, 2009. 

PRODUCTIVITY AND COSTS 

First Quarter 2009, Preliminary

 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 2009. The seasonally adjusted annual rates of productivity growth in the first quarter 

were: 

1.1 percent in the business sector and 

 0.8 percent in the nonfarm business sector. 

Productivity gains in both sectors were due to hours declining faster than output. First 

quarter measures are summarized in table A and appear in detail in tables 1 through 5. 

In manufacturing, productivity changes in the first quarter were: 

-3.4 percent in manufacturing, 

-10.0 percent in durable goods manufacturing, and 

-0.1 percent in nondurable goods manufacturing. 

 Manufacturing sector productivity fell for the fourth consecutive quarter. First quarter 

declines in output and hours in total manufacturing were the largest in these series, which begin 

with data for the second quarter of 1987; output dropped 22.4 percent and hours fell 19.7 percent 

(seasonally adjusted annual rates). Output and hours in manufacturing, which includes about 11 

percent of U.S. business sector employment, tend to vary more from quarter to quarter than data 

for the aggregate business and nonfarm business sectors. First quarter measures are summarized 

in table A and appear in detail in tables 1 through 5. 
2

Table A. Productivity and costs: Preliminary first quarter 2009 measures 

(Seasonally adjusted annual rates) 

Sector 

Productivity Output Hours 

Hourly 

compensation 

Real 

hourly 

compensation 

Unit 

labor 

costs 

 Percent change from preceding quarter 

Business 1.1 -7.8 -8.8 4.1 6.6 2.9 

Nonfarm business 0.8 -8.2 -9.0 4.1 6.6 3.3 

Manufacturing -3.4 -22.4 -19.7 12.8 15.5 16.7 

 Durable -10.0 -31.0 -23.4 15.7 18.4 28.5 

 Nondurable -0.1 -13.1 -13.0 8.6 11.2 8.8 

 Percent change from same quarter a year ago 

Business 1.9 -4.0 -5.7 4.1 4.3 2.2 

Nonfarm business 1.8 -4.1 -5.8 4.2 4.4 2.4 

Manufacturing -3.3 -14.0 -11.1 7.9 8.1 11.5 

 Durable -6.7 -18.7 -12.9 9.2 9.4 17.1 

 Nondurable -1.2 -9.1 -8.0 5.8 6.0 7.1 

The data sources and methods used in the preparation of the manufacturing series differ 

from those used in preparing the business and nonfarm business series, and these measures are 

not directly comparable. Output measures for business and nonfarm business are based on 

measures of gross domestic product prepared by the Bureau of Economic Analysis of the U.S. 

Department of Commerce. Quarterly output measures for manufacturing reflect indexes of 

industrial production independently prepared by the Board of Governors of the Federal Reserve

System. See Technical Notes for further information on data sources (page 7). 

usiness 

 and 

d 

 A and 1). This growth rate is lower than the 2.5 percent average annual rate from 2000 to 

2007. 

kes into account changes 

in consumer prices, increased 6.6 percent in the first quarter of 2009. 

B

 Productivity in the business sector rose 1.1 percent in the first quarter of 2009, as output 

decreased 7.8 percent and hours of all persons at work in the sector—employees, proprietors,

unpaid family workers—fell 8.8 percent (seasonally adjusted annual rates). The decrease in 

hours was the largest since a decline of 12.1 percent in the first quarter of 1975. When measure

from the first quarter of 2008 to the first quarter of 2009, output per hour increased 1.9 percent 

(tables

 Hourly compensation increased 4.1 percent during the first quarter of 2009. Hourly

compensation includes wage and salary accruals, supplements, employer contributions to 

employee benefit plans, and taxes. Real hourly compensation, which ta

 
3

Unit labor costs in the business sector rose 2.9 percent in the first quarter of 2009. 

Growth in unit labor costs is roughly equal to the change in hourly compensation minus the 

change in output per hour. Compared to the same quarter a year ago, unit labor costs increased 

2.2 percent, more than the 1.4 percent average annual growth that occurred from 2000 to 2007. 

The implicit price deflator for the business sector, which reflects changes in both unit labor costs 

and unit nonlabor payments, grew at a 2.4 percent rate in the first quarter. 

Nonfarm Business 

 Productivity in the nonfarm business sector increased 0.8 percent in the first quarter of 

2009, as output declined 8.2 percent and hours of all persons dropped 9.0 percent (seasonally 

adjusted annual rates). The decrease in hours, 9.0 percent, was the largest since the first quarter 

of 1975, when hours fell 12.0 percent. Over the last four quarters, productivity in the nonfarm 

business sector grew 1.8 percent (chart 1, tables A and 2). This was lower than the 2.5 percent 

average rate of growth from 2000 to 2007. 

-6.0

-4.0

-2.0

0.0

2.0

4.0

6.0

8.0

10.0

12.0

2001 2002 2003 2004 2005 2006 2007 2008 2009

Percent change

From previous quarter, compound annual rate

From same quarter a year ago

Chart 1. Output per Hour, Nonfarm Business, all persons, 2001:1-2009:1

 

-6.0

-4.0

-2.0

0.0

2.0

4.0

6.0

8.0

10.0

12.0

2001 2002 2003 2004 2005 2006 2007 2008 2009

Percent change

From previous quarter, compound annual rate

From same quarter a year ago

Chart 2. Unit Labor Costs, Nonfarm Business, all persons, 2001:1-2009:1

 Hourly compensation in the nonfarm business sector grew at a 4.1 percent annual rate in 

the first quarter of 2009. Real hourly compensation increased 6.6 percent—due to a 2.3 percent 

decline in consumer prices (seasonally adjusted annual rates). 

Unit labor costs grew 3.3 percent in the first quarter of 2009 and the implicit price 

deflator for nonfarm business increased 2.9 percent. Over the last four quarters, unit labor costs 

rose 2.4 percent, greater than the 1.4 percent average annual growth rate from 2000 to 2007 

(chart 2). 

Manufacturing 

 Productivity decreased 3.4 percent in the manufacturing sector during the first quarter of 

2009, as output dropped 22.4 percent and hours fell 19.7 percent (seasonally adjusted annual 

rates). These were the largest-ever declines in the output and hours series, which begin with data 

for the second quarter of 1987. Over the last four quarters total manufacturing productivity 

decreased 3.3 percent (chart 3). By contrast, output per hour increased at a 3.7 percent average 

annual rate during the 2000-2007 period. 

In the durable goods manufacturing subsector, output plummeted at a 31.0 percent annual 

rate while hours dropped 23.4 percent, yielding a productivity decline of 10.0 percent. In the 

 
4

nondurable goods producing industries productivity edged down 0.1 percent as a 13.1 percent 

decline in output was offset by a 13.0 percent decline in hours worked. 

The hourly compensation of all manufacturing workers increased 12.8 percent during the 

first quarter of 2009 and real hourly compensation rose 15.5 percent (seasonally adjusted annual 

rates). Unit labor costs increased 16.7 percent in the first quarter of 2009, the largest increase in 

this series since the first quarter of 2000 when this measure increased at the same 16.7 percent 

rate. From the first quarter of 2008 to the first quarter of 2009, unit labor costs rose 11.5 percent 

(chart 4). This was a considerable increase compared to the average annual rate of growth of 0.3 

percent from 2000 to 2007. 

-18.0

-14.0

-10.0

-6.0

-2.0

2.0

6.0

10.0

14.0

18.0

2001 2002 2003 2004 2005 2006 2007 2008 2009

Percent change

From previous quarter, compound annual rate

From same quarter a year ago

Chart 3. Output per Hour, Manufacturing, all persons, 2001:1-2009:1

 -18.0

-14.0

-10.0

-6.0

-2.0

2.0

6.0

10.0

14.0

18.0

2001 2002 2003 2004 2005 2006 2007 2008 2009

Percent change

From previous quarter, compound annual rate

From same quarter a year ago

Chart 4. Unit Labor Costs, Manufacturing, all persons, 2001:1-2009:1

Fourth quarter and annual measures for nonfinancial corporations 

 Fourth quarter and annual 2008 measures of productivity and costs were announced for 

the nonfinancial corporate sector (tables B, C, and 6). Output per employee hour fell 3.9 percent 

for the fourth quarter of 2008 as output and hours fell 10.5 percent and 6.9 percent, respectively. 

The productivity decline was the largest since the first quarter of 1993 when output per hour fell 

5.0 percent. 

Table B. Nonfinancial corporations: Fourth quarter 2008 productivity and cost measures 

(Seasonally adjusted annual rates) 

Period 

Productivity Output Hours 

Hourly 

compensation 

Real 

hourly 

compensation 

Unit 

labor 

costs 

Unit 

profits 

Implicit 

price 

deflator 

Percent change from preceding quarter 

2008 IV -3.9 -10.5 -6.9 5.4 15.0 9.6 -28.8 5.0 

Percent change from same quarter a year ago 

2008 IV 2.5 -1.1 -3.5 4.3 2.7 1.7 -7.9 1.3 

 
5

 Hourly compensation increased 5.4 percent in the fourth quarter of 2008. Real hourly 

compensation rose steeply, 15.0 percent, when the 8.4 percent decrease in consumer prices was 

taken into account. Unit labor costs increased 9.6 percent and unit profits fell 28.8 percent in the 

fourth quarter of 2008. Productivity for nonfinancial corporations increased 2.5 percent from the 

same quarter a year ago, slightly lower than the 2.7 percent annual growth rate from 2000 to 

2007. 

Table C. Nonfinancial corporations: Annual changes in productivity and related measures, 

1999-2008 

Measure 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Productivity........................... 3.7 3.9 1.8 4.0 3.8 3.7 2.7 1.8 0.7 2.8

Output ................................... 6.0 5.2 -0.9 0.9 2.2 5.1 4.5 4.1 1.4 1.3

Hours..................................... 2.3 1.3 -2.7 -3.0 -1.5 1.3 1.7 2.2 0.7 -1.5

Hourly compensation ............ 4.9 7.1 4.2 3.6 4.1 3.0 3.6 3.6 4.1 3.9

Real hourly compensation..... 2.8 3.6 1.4 1.9 1.8 0.3 0.3 0.3 1.2 0.1

Unit labor costs ..................... 1.2 3.1 2.4 -0.4 0.3 -0.7 0.9 1.8 3.4 1.1

Unit nonlabor costs ............... 0.9 3.8 8.1 -1.6 0.2 -1.6 3.2 1.7 3.2 2.6

Total unit costs...................... 1.1 3.3 3.9 -0.7 0.3 -0.9 1.5 1.8 3.3 1.5

Unit profits............................ -5.8 -15.8 -24.3 19.2 12.1 31.8 12.5 12.6 -8.8 -10.4

Implicit price deflator ........... 0.3 1.2 1.3 0.6 1.2 2.0 2.8 3.1 1.7 0.0

Revised measures 

 Output data for the manufacturing sectors were revised to reflect revised Indexes of 

Industrial Production, published by the Board of Governors of the Federal Reserve System on 

March 27, 2009. Appendix tables 1-3 display quarterly and annual data for manufacturing, 

durable manufacturing, and nondurable manufacturing beginning in 2004. Quarterly and annual 

historical data are available on the BLS website. 

A revised seasonally adjusted Consumer Price Index Research Series, prepared by the 

BLS Office of Prices and Living Conditions for the period 1978 to 2008, has been incorporated 

into the consumer price series. As a result, measures of real hourly compensation for all sectors 

were revised back to 2004. Complete quarterly and annual series are available on the BLS 

website. 

Previous and revised measures for the fourth quarter and annual average of 2008 in the 

business, nonfarm business, and manufacturing sectors are compared in table D. In the business 

and nonfarm business sectors, productivity was revised down slightly in the fourth quarter, due 

to downward revisions to output. Unit labor costs in these sectors grew at the same rate reported 

March 5. The 2008 annual average measures for the business and nonfarm business sectors were 

not revised. 

 
6

Table D. Previous and revised productivity and related measures 

Quarterly percent change at seasonally adjusted annual rate 

Sector 

Productivity Output Hours 

Hourly 

compensation 

Real 

hourly 

compensation 

Unit 

labor 

costs 

Fourth quarter 2008 

Business: 

 Previous........................ -0.4 -8.4 -8.0 5.0 15.6 5.4 

 Revised......................... -0.5 -8.5 -8.0 4.9 14.4 5.4 

Nonfarm business: 

 Previous........................ -0.4 -8.7 -8.3 5.3 15.9 5.7 

 Revised......................... -0.6 -8.8 -8.3 5.2 14.8 5.7 

Manufacturing: 

 Previous........................ -4.0 -17.7 -14.2 10.1 21.2 14.7 

 Revised......................... -4.2 -18.0 -14.4 10.1 20.2 15.0 

Annual average 2008 

Business: 

 Previous........................ 2.7 0.8 -1.9 3.6 -0.2 0.9 

 Revised......................... 2.7 0.8 -1.9 3.6 -0.2 0.9 

Nonfarm business: 

 Previous........................ 2.8 0.8 -1.9 3.7 -0.1 0.9 

 Revised......................... 2.8 0.8 -1.9 3.7 -0.1 0.9 

Manufacturing: 

 Previous........................ 1.5 -2.5 -3.9 4.0 0.2 2.5 

 Revised......................... 0.9 -3.0 -3.9 4.0 0.2 3.1 

Manufacturing productivity growth was revised down for the fourth quarter as output was 

revised down by more than hours. Hourly compensation was not revised, but the downward 

revision in manufacturing productivity led to a slight upward revision to unit labor costs. For the 

year 2008, a downward revision to manufacturing output caused productivity to be revised down 

and unit labor costs to be revised up; hours and compensation were not revised. 

Next release date 

The next release of Productivity and Costs is scheduled for 8:30 AM EDT, Thursday, June 4, 

2009. First quarter measures for nonfinancial corporations and revised first quarter measures for 

business, nonfarm business, and manufacturing will be released at that time. 

 
7

TECHNICAL NOTES 

Labor Hours: Hours data for the labor productivity and cost measures include hours for all 

persons working in the sector—wage and salary workers, the self-employed and unpaid family 

workers. The primary source of hours and employment data is the BLS Current Employment 

Statistics (CES) program, which provides monthly survey data on the number of jobs held by 

wage and salary workers in nonfarm establishments. The CES also provides average weekly 

paid hours of production and nonsupervisory workers in these establishments. Weekly paid 

hours are adjusted to hours at work using data from the National Compensation Survey (NCS). 

The BLS Hours at Work survey, conducted for this purpose, was used for earlier years. The 

Office of Productivity and Technology estimates average weekly hours at work for 

nonproduction and supervisory workers using information from the Current Population Survey 

(CPS), the CES, and the NCS. 

Data from the CPS are used for farm labor, nonfarm proprietors, and nonfarm unpaid 

family workers. Estimates of labor input for government enterprises are derived from the CPS, 

the CES, and the National Income and Product Accounts (NIPA) prepared by the Bureau of 

Economic Analysis (BEA) of the Department of Commerce. 

The CES measures jobs, counting a person who is employed by two or more 

establishments at each place of employment. In contrast, the CPS features measures of 

employment that count each person only once and classify each person according to his or her 

primary job; hours worked at all jobs by that person accrue to his or her primary job. However, 

the CPS also collects more detailed information on employment and hours worked at primary 

jobs and all other jobs, separately. The BLS productivity measures use the more detailed 

information on employment and hours to assign all hours worked to the correct industrial sector 

and avoid duplicating hours data from the CES. 

Output: Business sector output is a chain-type, current-weighted index constructed after 

excluding from gross domestic product (GDP) the following outputs: general government, 

nonprofit institutions, and private households (including owner-occupied housing). 

Corresponding exclusions also are made in labor inputs. Business output accounted for about 78 

percent of the value of GDP in 2000. Nonfarm business, which excludes farming, accounted for 

about 77 percent of GDP in 2000. 

Annual indexes for manufacturing and its durable and nondurable goods components are 

constructed by deflating current-dollar industry value of production data from the U.S. Bureau of 

the Census with deflators from the BLS. These deflators are based on data from the BLS 

producer price program and other sources. The industry shipments are aggregated using annual 

weights, and intrasector transactions are removed. Quarterly manufacturing output measures are 

based on the index of industrial production prepared monthly by the Board of Governors of the 

Federal Reserve System, adjusted to be consistent with annual indexes of manufacturing sector 

output prepared by BLS. Durables include the following 3-digit NAICS industries: wood 

product manufacturing; nonmetallic mineral product manufacturing; primary metal 

manufacturing; fabricated metal product manufacturing; machinery manufacturing; computer 

and electronic product manufacturing; electrical equipment and appliance manufacturing; 

transportation equipment manufacturing; furniture and related product manufacturing; and 

miscellaneous manufacturing. Nondurables include: food manufacturing; beverage and tobacco 

product manufacturing; textile mills; textile product mills; apparel manufacturing; leather and 

allied product manufacturing; paper manufacturing; printing and related support activities; 

petroleum and coal products manufacturing; chemical manufacturing; and plastics and rubber 

products manufacturing. 

Nonfinancial corporate output is a chain-type, current-weighted index calculated on the 

basis of the costs incurred and the incomes earned from production. The output measure 

excludes the following outputs from GDP: general government; nonprofit institutions; private 

households; unincorporated business; and those corporations classified as offices of bank holding 

 
 

8

companies, offices of other holding companies, or offices in the finance and insurance sector. 

Nonfinancial corporations accounted for about 54 percent of the value of GDP in 2000. 

Productivity: These productivity measures describe the relationship between real output and the 

labor time involved in its production. They show the changes from period to period in the 

amount of goods and services produced per hour. Although these measures relate output to hours 

at work of all persons engaged in a sector, they do not measure the specific contribution of labor, 

capital, or any other factor of production. Rather, they reflect the joint effects of many 

influences, including changes in technology; capital investment; level of output; utilization of 

capacity, energy, and materials; the organization of production; managerial skill; and the 

characteristics and effort of the work force. 

Labor Compensation: Estimates of labor compensation by major sector, required for measures 

of hourly compensation and unit labor costs, are based primarily on employee compensation data 

from the NIPA, prepared by the BEA. The compensation of employees in general government, 

nonprofit institutions and private households are subtracted from compensation of domestic 

employees to derive employee compensation for the business sector. The labor compensation of 

proprietors cannot be explicitly identified and must be estimated. This is done by assuming that 

proprietors have the same hourly compensation as employees in the same sector. The quarterly 

labor productivity and cost measures do not contain estimates of compensation for unpaid family 

workers. 

Unit Labor Costs: The measures of unit labor costs in this release describe the relationship 

between compensation per hour and productivity, or real output per hour, and can be used as an 

indicator of inflationary pressure on producers. Increases in hourly compensation increase unit 

labor costs; labor productivity increases offset compensation increases and lower unit labor 

costs. 

Presentation of the data: The quarterly data in this release are presented in three ways; as 

index number series where 1992=100, as percent changes from the corresponding quarter of the 

previous year, and as percent changes from the previous quarter presented at a compound annual 

rate. Annual data are presented both as index number series and percent changes from the 

previous year. 

 The index numbers and rates of change reported in the productivity and costs news 

release are rounded to one decimal place. All percent changes in this release and on the BLS 

web site are calculated using index numbers to three decimal places. These index numbers are 

available at the BLS web site, http://www.bls.gov/data/home.htm, or by contacting the BLS 

Division of Major Sector Productivity. (Telephone 202-691-5606 or email 

DPRWEB@BLS.GOV) 

Information in this release will be made available to sensory-impaired individuals upon 

request. Voice phone: 202-691-5606; Federal Relay Service number: 1-800-877-8339. 
9 

 

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 1992=100 

2007 I 135.7 164.5 121.3 174.3 r122.1 128.5 134.3 130.7 

 II 137.5 166.8 121.3 175.4 r121.6 127.5 137.5 131.2 

 III 140.0 169.0 120.8 177.4 r122.3 126.7 139.8 131.6 

 IV 139.6 168.8 120.9 178.9 r121.6 128.2 139.0 132.2 

 ANNUAL 138.2 167.3 121.1 176.5 121.9 127.7 137.7 131.4 

2008 I 140.4 169.1 120.4 180.5 r121.3 128.6 140.2 132.9 

 II 142.0 170.2 119.9 181.3 r120.6 127.7 142.4 133.2 

 III 142.8 169.4 118.6 183.9 r120.4 128.8 144.3 134.6 

 IV r142.6 r165.7 r116.2 r186.1 r124.6 r130.5 r141.4 r134.6 

 ANNUAL r141.9 r168.6 r118.8 r182.9 r121.6 r128.9 r142.1 r133.8 

2009 I 143.0 162.4 113.6 187.9 126.6 131.4 142.0 135.4 

--------------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

2007 I -0.7 -0.7 0.0 4.0 r0.2 4.7 3.0 4.0 

 II 5.7 5.6 0.0 2.4 r-1.7 -3.1 9.9 1.7 

 III 7.3 5.5 -1.7 4.6 r2.2 -2.5 7.0 1.1 

 IV -1.1 -0.6 0.5 3.7 r-2.0 4.8 -2.3 2.0 

 ANNUAL 1.6 2.0 0.5 4.2 1.3 2.6 2.1 2.4 

2008 I 2.2 0.7 -1.5 3.5 r-1.1 1.2 3.2 2.0 

 II 4.7 2.6 -1.9 1.9 r-2.4 -2.6 6.4 0.9 

 III 2.3 -1.8 -4.0 5.7 r-0.4 3.3 5.6 4.2 

 IV r-0.5 r-8.5 -8.0 r4.9 r14.4 5.4 r-7.8 r0.0 

 ANNUAL 2.7 0.8 -1.9 3.6 -0.2 0.9 3.2 1.8 

2009 I 1.1 -7.8 -8.8 4.1 6.6 2.9 1.6 2.4 

--------------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

2007 I -0.2 1.0 1.2 3.9 1.5 4.1 0.6 2.7 

 II 0.7 1.7 1.0 4.3 1.6 3.6 0.9 2.5 

 III 2.9 3.0 0.1 4.9 r2.6 1.9 2.6 2.2 

 IV 2.7 2.4 -0.3 3.7 -0.3 0.9 4.3 2.2 

 ANNUAL 1.6 2.0 0.5 4.2 1.3 2.6 2.1 2.4 

2008 I 3.5 2.8 -0.7 3.5 r-0.7 0.0 4.4 1.7 

 II 3.2 2.0 -1.2 3.4 -0.8 0.2 3.5 1.5 

 III 2.0 0.2 -1.7 3.7 -1.5 1.6 3.2 2.3 

 IV r2.1 -1.8 -3.9 4.0 r2.4 1.8 r1.7 r1.8 

 ANNUAL 2.7 0.8 -1.9 3.6 -0.2 0.9 3.2 1.8 

2009 I 1.9 -4.0 -5.7 4.1 4.3 2.2 1.3 1.9 

--------------------------------------------------------------------------------------------------------- 

See footnotes following Table 6. May 7, 2009 

r=revised Source: Bureau of Labor Statistics 
 

10

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 1992=100 

2007 I 134.7 164.7 122.2 173.4 r121.5 128.7 135.1 131.1 

 II 136.3 167.0 122.5 174.0 r120.6 127.6 138.3 131.5 

 III 138.7 169.2 122.0 175.8 r121.2 126.8 140.5 131.8 

 IV 138.5 168.9 122.0 177.8 r120.8 128.4 139.7 132.5 

 ANNUAL 137.0 167.5 122.2 175.2 121.0 127.9 138.4 131.7 

2008 I 139.4 169.3 121.5 179.4 r120.6 128.7 141.0 133.2 

 II 141.0 170.5 120.9 180.2 r119.8 127.8 143.3 133.5 

 III 141.7 169.7 119.7 182.7 r119.7 128.9 145.6 135.0 

 IV r141.5 r165.8 r117.1 r185.0 r123.9 r130.7 r143.0 r135.2 

 ANNUAL r140.9 r168.8 r119.8 r181.8 r120.9 r129.0 r143.2 r134.2 

2009 I 141.8 162.3 114.4 186.9 125.9 131.8 143.8 136.2 

--------------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

2007 I -0.6 -0.9 -0.2 4.2 r0.3 4.8 1.2 3.4 

 II 4.8 5.8 0.9 1.3 r-2.8 -3.3 9.7 1.5 

 III 7.0 5.5 -1.5 4.4 r2.0 -2.5 6.4 0.9 

 IV -0.5 -0.7 -0.2 4.4 r-1.2 5.0 -2.3 2.1 

 ANNUAL 1.4 2.0 0.5 4.1 1.3 2.7 1.2 2.1 

2008 I 2.6 0.9 -1.7 3.7 r-0.8 1.1 3.8 2.1 

 II 4.7 2.8 -1.7 1.7 r-2.7 -2.8 6.9 0.9 

 III 2.2 -1.9 -3.9 5.7 r-0.4 3.5 6.4 4.7 

 IV r-0.6 r-8.8 -8.3 r5.2 r14.8 5.7 r-6.8 r0.6 

 ANNUAL 2.8 0.8 -1.9 3.7 -0.1 0.9 3.5 1.9 

2009 I 0.8 -8.2 -9.0 4.1 6.6 3.3 2.2 2.9 

--------------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

2007 I -0.1 0.9 1.0 4.1 1.7 4.2 -0.3 2.5 

 II 0.5 1.6 1.1 4.2 1.5 3.6 -0.2 2.1 

 III 2.6 2.9 0.3 4.7 2.3 2.0 1.5 1.8 

 IV 2.6 2.4 -0.3 3.6 -0.4 0.9 3.6 2.0 

 ANNUAL 1.4 2.0 0.5 4.1 1.3 2.7 1.2 2.1 

2008 I 3.5 2.8 -0.6 3.5 -0.7 0.0 4.3 1.6 

 II 3.4 2.1 -1.3 3.6 -0.7 0.1 3.6 1.5 

 III 2.2 0.3 -1.9 3.9 -1.3 1.6 3.6 2.4 

 IV 2.2 -1.8 -4.0 4.1 2.5 1.8 r2.4 r2.1 

 ANNUAL 2.8 0.8 -1.9 3.7 -0.1 0.9 3.5 1.9 

2009 I 1.8 -4.1 -5.8 4.2 4.4 2.4 2.0 2.2 

--------------------------------------------------------------------------------------------------------- 

See footnotes following Table 6. May 7, 2009 

r=revised Source: Bureau of Labor Statistics 
 

11

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 1992=100 

2007 I r176.9 r148.0 83.7 176.6 r123.7 r99.8 

 II r178.2 r149.3 83.8 176.3 r122.3 r99.0 

 III r180.1 r150.3 83.4 177.0 r122.0 r98.2 

 IV r181.6 r150.4 82.8 179.6 r122.1 r98.9 

 ANNUAL r179.2 r149.5 83.4 177.4 122.5 r99.0 

2008 I r182.8 r149.9 82.0 181.1 r121.7 r99.1 

 II r181.6 r148.0 81.5 182.7 r121.5 r100.6 

 III r180.3 r144.4 80.1 185.1 r121.2 r102.7 

 IV r178.3 r137.4 r77.0 r189.6 r126.9 r106.3 

 ANNUAL r180.8 r144.9 r80.2 r184.5 r122.7 r102.1 

2009 I 176.8 129.0 72.9 195.4 131.6 110.5 

-------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

2007 I r3.7 r1.8 -1.9 5.0 r1.1 r1.2 

 II r3.0 r3.4 0.4 -0.5 r-4.5 r-3.4 

 III r4.4 r2.7 -1.6 1.4 r-1.0 r-2.9 

 IV r3.3 r0.3 -2.9 6.1 r0.3 r2.7 

 ANNUAL r3.2 r1.3 -1.8 3.6 0.7 r0.4 

2008 I r2.6 r-1.2 -3.7 3.4 r-1.1 r0.8 

 II r-2.5 r-5.2 -2.7 3.5 r-0.9 r6.2 

 III r-2.9 r-9.3 -6.5 5.4 r-0.7 r8.6 

 IV r-4.2 r-18.0 r-14.4 10.1 r20.2 r15.0 

 ANNUAL r0.9 r-3.0 -3.9 4.0 0.2 r3.1 

2009 I -3.4 -22.4 -19.7 12.8 15.5 16.7 

-------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

2007 I 2.5 0.4 -2.0 3.5 1.0 0.9 

 II r3.3 r1.3 -2.0 4.1 1.4 r0.8 

 III r3.3 r1.6 -1.6 3.8 1.5 r0.5 

 IV r3.6 r2.0 -1.5 2.9 -1.0 r-0.6 

 ANNUAL r3.2 r1.3 -1.8 3.6 0.7 r0.4 

2008 I r3.3 r1.3 -2.0 2.6 r-1.6 r-0.7 

 II r1.9 r-0.9 -2.7 3.6 -0.7 r1.6 

 III r0.1 r-3.9 -4.0 4.6 -0.6 r4.5 

 IV r-1.8 r-8.6 r-7.0 5.6 4.0 r7.5 

 ANNUAL r0.9 r-3.0 -3.9 4.0 0.2 r3.1 

2009 I -3.3 -14.0 -11.1 7.9 8.1 11.5 

-------------------------------------------------------------------------------------------------- 

See footnotes following Table 6. May 7, 2009 

r=revised Source: Bureau of Labor Statistics 
 

12

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 1992=100 

2007 I r204.1 r180.4 88.4 172.7 r121.0 r84.6 

 II r206.9 r183.0 88.5 172.5 r119.6 r83.4 

 III r209.7 r185.0 88.2 173.0 r119.3 r82.5 

 IV r212.9 r185.7 87.2 175.7 r119.4 r82.5 

 ANNUAL r208.4 r183.5 88.1 173.5 119.8 r83.2 

2008 I r213.6 r185.3 86.8 176.5 r118.7 r82.7 

 II r211.1 r181.8 86.1 178.7 r118.9 r84.7 

 III r212.2 r178.1 83.9 181.7 r119.1 r85.6 

 IV r204.5 r165.2 r80.8 r186.0 r124.5 r90.9 

 ANNUAL r210.4 r177.6 r84.4 r180.6 r120.1 r85.9 

2009 I 199.2 150.6 75.6 192.8 129.9 96.8 

-------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

2007 I r4.2 r1.2 -2.9 6.2 r2.3 r1.9 

 II r5.6 r6.0 0.4 -0.5 r-4.5 r-5.8 

 III r5.6 r4.4 -1.1 1.3 r-1.0 r-4.1 

 IV r6.3 r1.4 -4.5 6.3 r0.5 r0.0 

 ANNUAL r4.0 r1.8 -2.1 4.2 1.3 r0.2 

2008 I r1.2 r-0.9 -2.0 2.0 r-2.4 r0.8 

 II r-4.6 r-7.3 -2.9 5.1 r0.6 r10.1 

 III r2.2 r-7.9 -9.9 6.9 r0.7 r4.5 

 IV r-13.8 r-25.9 r-14.1 r9.6 r19.6 r27.2 

 ANNUAL r1.0 r-3.2 -4.2 r4.1 0.3 r3.1 

2009 I -10.0 -31.0 -23.4 15.7 18.4 28.5 

-------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

2007 I r2.6 r0.3 -2.3 4.2 1.7 r1.5 

 II r4.1 r1.4 -2.6 4.8 2.1 r0.7 

 III r4.0 r2.3 -1.6 4.6 r2.3 r0.6 

 IV r5.4 r3.2 -2.1 3.3 -0.7 r-2.0 

 ANNUAL r4.0 r1.8 -2.1 4.2 1.3 r0.2 

2008 I r4.6 r2.7 -1.8 2.2 -1.9 r-2.3 

 II r2.0 r-0.7 -2.6 3.6 -0.6 r1.6 

 III r1.2 r-3.7 -4.9 5.0 -0.2 r3.8 

 IV r-4.0 r-11.0 r-7.3 r5.9 r4.3 r10.2 

 ANNUAL r1.0 r-3.2 -4.2 r4.1 0.3 r3.1 

2009 I -6.7 -18.7 -12.9 9.2 9.4 17.1 

-------------------------------------------------------------------------------------------------- 

See footnotes following Table 6. May 7, 2009 

r=revised Source: Bureau of Labor Statistics 
 

13

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 1992=100 

2007 I r151.3 r115.9 76.6 181.6 r127.2 r120.0 

 II r151.4 r116.0 76.7 181.3 r125.7 r119.8 

 III r152.6 r116.3 76.2 182.0 r125.5 r119.2 

 IV r152.3 r116.0 76.2 184.7 r125.6 r121.3 

 ANNUAL r151.9 r116.1 76.4 182.4 126.0 r120.1 

2008 I r154.3 r115.6 74.9 187.3 r125.9 r121.4 

 II r154.2 r114.8 74.4 187.6 r124.7 r121.6 

 III r150.1 r111.6 74.4 189.1 r123.9 r126.0 

 IV r152.5 r108.9 r71.4 r194.2 r130.0 r127.3 

 ANNUAL r152.8 r112.7 r73.8 r189.5 r126.0 r124.0 

2009 I 152.5 105.1 69.0 198.2 133.5 130.0 

-------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

2007 I r2.4 r2.4 0.0 2.8 r-1.0 r0.4 

 II r0.3 r0.7 0.4 -0.5 r-4.5 r-0.7 

 III r3.4 r0.8 -2.5 1.4 r-0.9 r-1.9 

 IV r-0.9 r-0.9 0.0 6.1 r0.3 r7.0 

 ANNUAL 2.0 0.9 -1.1 2.4 -0.4 0.4 

2008 I r5.4 r-1.4 -6.5 5.8 r1.2 r0.4 

 II r-0.4 r-2.8 -2.5 0.5 r-3.8 r0.9 

 III r-10.2 r-10.6 -0.5 3.4 r-2.6 r15.1 

 IV r6.6 r-9.4 r-15.0 r11.0 r21.2 r4.1 

 ANNUAL r0.6 r-2.9 -3.4 r3.9 0.0 r3.3 

2009 I -0.1 -13.1 -13.0 8.6 11.2 8.8 

-------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

2007 I r2.3 r0.7 -1.6 2.1 -0.3 r-0.1 

 II r2.1 r1.2 -0.9 2.8 0.1 0.7 

 III 2.5 0.9 -1.6 2.3 0.0 -0.2 

 IV r1.3 r0.8 -0.5 2.4 -1.5 r1.1 

 ANNUAL 2.0 0.9 -1.1 2.4 -0.4 0.4 

2008 I r2.0 r-0.2 -2.2 3.2 r-1.0 r1.1 

 II r1.9 r-1.1 -2.9 3.4 -0.8 r1.5 

 III r-1.7 r-4.0 -2.4 3.9 r-1.2 r5.7 

 IV r0.1 r-6.1 r-6.3 r5.1 r3.5 r5.0 

 ANNUAL r0.6 r-2.9 -3.4 r3.9 0.0 r3.3 

2009 I -1.2 -9.1 -8.0 5.8 6.0 7.1 

-------------------------------------------------------------------------------------------------- 

See footnotes following Table 6. May 7, 2009 

r=revised Source: Bureau of Labor Statistics 
 

14

Table 6. Nonfinancial corporate sector: 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 costs fits deflator 

 quarter hour Output hours (1) sation(2) costs costs(6) (7) (8) (4) 

---------------------------------------------------------------------------------------------------------- 

 Indexes 1992=100 

2006 I 146.0 176.1 120.6 164.2 r117.8 112.5 113.0 112.6 182.6 118.8 

 II 145.7 176.2 120.9 164.4 r117.0 112.8 114.6 113.3 183.4 119.5 

 III 146.7 178.1 121.4 165.1 r116.5 112.5 114.5 113.1 193.4 120.3 

 IV 145.6 177.3 121.8 167.8 r118.7 115.3 116.5 115.6 174.4 120.8 

 ANNUAL 146.0 176.9 121.2 165.4 117.5 113.3 114.6 113.6 183.5 119.9 

2007 I 145.4 177.2 121.9 170.0 r119.1 116.9 117.6 117.1 172.4 122.1 

 II 146.7 179.1 122.0 171.1 r118.6 116.6 117.9 116.9 173.1 122.0 

 III 147.8 180.2 121.9 172.8 r119.1 116.9 118.2 117.2 167.4 121.7 

 IV 148.3 181.2 122.2 174.9 r118.9 117.9 119.3 118.3 156.4 121.7 

 ANNUAL 147.1 179.4 122.0 172.2 118.9 117.1 118.3 117.4 167.3 121.9 

2008 I 148.1 180.6 121.9 176.1 r118.4 118.9 119.4 119.0 150.8 121.8 

 II 151.2 183.2 121.2 177.4 r118.0 117.3 119.8 118.0 147.8 120.6 

 III 153.6 184.2 120.0 180.0 r117.9 117.3 121.3 118.3 156.7 121.8 

 IV 152.0 179.2 117.9 182.4 122.1 120.0 124.7 121.3 144.0 123.3 

 ANNUAL 151.2 181.8 120.2 178.9 119.0 118.3 121.3 119.1 149.9 121.9 

---------------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

2006 I 3.0 6.3 3.2 7.5 r5.4 4.3 0.1 3.1 12.8 4.4 

 II -0.7 0.4 1.1 0.5 r-2.6 1.2 5.7 2.4 1.8 2.3 

 III 2.8 4.4 1.6 1.8 r-1.9 -0.9 -0.2 -0.7 23.7 2.4 

 IV -3.1 -1.9 1.2 6.7 r7.8 10.0 7.2 9.2 -34.0 2.0 

 ANNUAL 1.8 4.1 2.2 3.6 0.3 1.8 1.7 1.8 12.6 3.1 

2007 I -0.6 -0.2 0.4 5.3 r1.4 5.9 3.8 5.4 -4.5 4.0 

 II 3.8 4.2 0.4 2.6 r-1.5 -1.1 0.9 -0.6 1.7 -0.3 

 III 3.0 2.7 -0.4 4.0 r1.6 0.9 1.2 1.0 -12.6 -0.8 

 IV 1.2 2.1 0.9 5.0 r-0.8 3.7 3.7 3.7 -23.8 0.0 

 ANNUAL 0.7 1.4 0.7 4.1 1.2 3.4 3.2 3.3 -8.8 1.7 

2008 I -0.4 -1.4 -0.9 2.7 r-1.7 3.2 0.3 2.4 -13.6 0.5 

 II 8.5 6.0 -2.3 3.1 r-1.3 -5.0 1.2 -3.4 -7.7 -3.8 

 III 6.4 2.3 -3.9 6.1 r-0.1 -0.3 5.4 1.2 26.5 3.8 

 IV -3.9 -10.5 -6.9 5.4 15.0 9.6 11.7 10.2 -28.8 5.0 

 ANNUAL 2.8 1.3 -1.5 3.9 0.1 1.1 2.6 1.5 -10.4 0.0 

---------------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

2006 I 2.9 5.7 2.7 4.0 0.3 1.1 1.6 1.2 17.3 3.2 

 II 1.2 3.6 2.3 3.6 -0.3 2.4 3.0 2.6 10.1 3.5 

 III 2.6 4.8 2.2 2.7 r-0.7 0.1 -0.9 -0.2 27.3 3.0 

 IV 0.5 2.2 1.8 4.1 2.1 3.6 3.1 3.5 -1.6 2.8 

 ANNUAL 1.8 4.1 2.2 3.6 0.3 1.8 1.7 1.8 12.6 3.1 

2007 I -0.4 0.7 1.1 3.5 1.1 4.0 4.1 4.0 -5.6 2.7 

 II 0.7 1.6 0.9 4.1 1.4 3.4 2.9 3.2 -5.6 2.0 

 III 0.8 1.2 0.4 4.6 r2.3 3.8 3.2 3.7 -13.5 1.2 

 IV 1.9 2.2 0.3 4.2 0.2 2.3 2.4 2.3 -10.3 0.7 

 ANNUAL 0.7 1.4 0.7 4.1 1.2 3.4 3.2 3.3 -8.8 1.7 

2008 I 1.9 1.9 0.0 3.6 -0.6 1.6 1.5 1.6 -12.5 -0.2 

 II 3.0 2.3 -0.7 3.7 r-0.6 0.6 1.6 0.9 -14.6 -1.1 

 III 3.9 2.2 -1.6 4.2 -1.0 0.3 2.6 1.0 -6.4 0.1 

 IV 2.5 -1.1 -3.5 4.3 2.7 1.7 4.5 2.5 -7.9 1.3 

 ANNUAL 2.8 1.3 -1.5 3.9 0.1 1.1 2.6 1.5 -10.4 0.0 

---------------------------------------------------------------------------------------------------------- 

See footnotes following Table 6. May 7, 2009 

r=revised Source: Bureau of Labor Statistics 
15 

SOURCES: Output data are from the Bureau of Economic Analysis and the Census Bureau of the U.S. 

Department of Commerce; the Bureau of Labor Statistics, U.S. Department of Labor; and the Federal 

Reserve Board. Compensation and hours data are from the Bureau of Labor Statistics 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 within 40 days of the close of the reference period; 

revisions appear 30 days later, and second revisions after an additional 60 days. In the business sector, the 

third publication (second revision) of a quarterly index of output per hour of all persons has differed from the 

initial value by between –1.5 and +1.3 index points approximately 95 percent of the time. This interval is 

based on the performance of this measure between the fourth quarter of 1995 and the fourth quarter of 2008. 

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) The change for recent quarters is based on the Consumer Price Index for all urban consumers 

(CPI-U). The trend from 1978-2008 is based on the Consumer Price Index research series 

(CPI-U-RS). 

(3) Unit nonlabor payments include profits, consumption of fixed capital, taxes on production and imports 

less subsidies, net interest and miscellaneous payments, business current transfer payments, rental 

income of persons, and the current surplus of government enterprises. 

(4) Current dollar output divided by the output index. 

(5) Quarterly changes: Percent change compounded at annual rate is calculated using index numbers to 

three decimal places. Indexes published in the news release are rounded to one decimal place for 

convenience. Annual changes: Percent change is calculated using annual average indexes to three 

decimal places. 

(6) Unit nonlabor costs include consumption of fixed capital, taxes on production and imports less subsidies, 

net interest and miscellaneous payments, and business current transfer payments. 

(7) Total unit costs are the sum of unit labor and nonlabor costs. 

(8) Unit profits include corporate profits before tax with inventory valuation and capital consumption 

adjustments. 
16 

 

Appendix table 1. Manufacturing sector: Revised 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 1992=100 

 2004 I r161.8 r138.5 85.6 156.8 r120.3 r96.9 

 II r163.0 r138.9 85.3 159.9 121.7 r98.1 

 III r164.2 r139.9 85.2 163.7 r123.8 r99.7 

 IV r167.1 r141.7 84.8 165.8 r124.0 r99.2 

 ANNUAL 164.0 139.7 85.2 161.5 122.5 98.5 

 2005 I r170.0 r143.8 84.6 162.1 r120.6 r95.3 

 II r172.0 r144.5 84.0 164.1 121.4 r95.4 

 III r172.6 r144.5 83.7 166.4 r121.3 r96.4 

 IV r173.0 r146.6 84.7 165.4 r119.2 r95.6 

 ANNUAL 171.9 144.8 84.3 164.5 120.7 95.7 

 2006 I r172.6 r147.4 85.4 170.7 r122.5 r98.9 

 II r172.5 r147.4 85.4 169.4 r120.6 r98.2 

 III r174.4 r147.9 84.8 170.4 r120.2 r97.7 

 IV r175.3 r147.4 84.1 174.4 r123.4 r99.5 

 ANNUAL 173.7 147.5 84.9 171.2 121.6 98.6 

 ------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

 2004 I r-1.0 r0.5 1.5 -11.6 r-14.6 r-10.7 

 II r3.0 r1.4 -1.6 8.0 4.8 r4.8 

 III r3.0 r2.7 -0.3 10.0 r7.1 r6.8 

 IV r7.2 r5.2 -1.8 5.2 r0.8 -1.9 

 ANNUAL 2.3 1.7 -0.5 2.1 -0.6 -0.2 

 2005 I r7.3 r6.3 -1.0 -8.7 r-10.5 r-14.9 

 II r4.7 r1.9 -2.7 5.2 r2.6 r0.5 

 III r1.6 r0.0 -1.5 5.7 r-0.2 r4.1 

 IV r0.7 r5.8 5.1 -2.6 r-6.8 r-3.2 

 ANNUAL 4.8 3.7 -1.1 1.8 -1.5 -2.8 

 2006 I r-0.9 r2.2 3.2 13.4 r11.2 r14.5 

 II r-0.1 r0.1 0.1 -2.9 r-5.9 r-2.8 

 III r4.4 r1.3 -3.0 2.3 r-1.4 r-2.0 

 IV r2.0 r-1.4 -3.3 9.8 r11.0 r7.6 

 ANNUAL 1.0 1.8 0.8 4.1 0.8 3.0 

 ------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

 2004 I 2.7 r0.8 -1.9 1.5 r-0.4 -1.2 

 II 2.3 1.7 -0.6 1.7 -1.1 -0.6 

 III r1.0 r2.0 1.0 2.7 r0.0 r1.6 

 IV r3.0 r2.4 -0.6 2.5 r-0.9 r-0.5 

 ANNUAL 2.3 1.7 -0.5 2.1 -0.6 -0.2 

 2005 I 5.1 3.9 -1.2 3.4 r0.3 -1.7 

 II 5.5 4.0 -1.4 2.7 -0.2 -2.7 

 III 5.2 r3.3 -1.8 1.7 -2.0 r-3.3 

 IV 3.5 r3.5 -0.1 -0.3 r-3.9 r-3.7 

 ANNUAL 4.8 3.7 -1.1 1.8 -1.5 -2.8 

 2006 I r1.5 r2.5 1.0 5.3 1.5 3.8 

 II r0.3 r2.0 1.7 3.2 r-0.6 2.9 

 III 1.0 2.3 1.3 2.4 -1.0 1.4 

 IV r1.3 r0.5 -0.8 5.5 3.5 4.1 

 ANNUAL 1.0 1.8 0.8 4.1 0.8 3.0 

 ------------------------------------------------------------------------------------------------- 

 See footnotes following Table 6. May 7, 2009 

 r=revised Source: Bureau of Labor Statistics 
 

17

Appendix table 2. Durable manufacturing sector: Revised 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 1992=100 

 2004 I r184.7 r164.8 89.2 152.3 r116.8 r82.4 

 II r185.1 r164.7 88.9 155.7 118.5 r84.1 

 III r185.9 r166.0 89.3 159.8 r120.8 r85.9 

 IV r189.3 r168.3 88.9 161.3 r120.6 r85.2 

 ANNUAL 186.3 165.9 89.1 157.3 119.2 84.4 

 2005 I r192.6 r171.5 89.0 158.1 r117.7 r82.1 

 II r195.1 r172.7 88.5 159.6 118.1 r81.8 

 III r196.9 r174.4 88.6 162.2 r118.2 r82.3 

 IV r199.9 r179.5 89.8 160.8 r116.0 r80.5 

 ANNUAL 196.2 174.5 89.0 160.2 117.5 81.7 

 2006 I r198.9 r179.9 90.4 165.8 r118.9 r83.3 

 II r198.8 r180.5 90.8 164.5 r117.1 r82.7 

 III r201.7 r180.9 89.7 165.4 r116.6 r82.0 

 IV r202.0 r179.9 89.0 170.1 r120.3 r84.2 

 ANNUAL 200.4 180.3 90.0 166.4 118.2 83.1 

 ------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

 2004 I r-2.3 r1.5 3.9 -18.6 -21.3 r-16.6 

 II r0.8 r-0.5 -1.3 9.2 5.9 r8.3 

 III r1.8 r3.3 1.5 10.9 r8.0 r9.0 

 IV r7.3 r5.6 -1.6 3.7 r-0.6 r-3.3 

 ANNUAL 1.7 2.3 0.6 0.3 -2.4 -1.4 

 2005 I r7.3 r7.9 0.5 -7.6 r-9.4 r-13.9 

 II r5.3 r2.9 -2.2 3.9 r1.3 -1.3 

 III r3.8 r4.0 0.2 6.4 r0.5 r2.6 

 IV r6.2 r12.0 5.5 -3.2 r-7.4 r-8.9 

 ANNUAL 5.3 5.2 -0.1 1.9 -1.4 -3.3 

 2006 I r-1.9 r1.0 3.0 12.9 r10.7 r15.1 

 II r-0.2 r1.3 1.5 -3.0 r-6.0 r-2.8 

 III r5.9 r0.9 -4.7 2.1 r-1.7 r-3.6 

 IV r0.7 r-2.3 -2.9 12.0 r13.2 r11.3 

 ANNUAL 2.1 3.3 1.1 3.9 0.6 1.7 

 ------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

 2004 I r3.0 r1.9 -1.1 -0.5 -2.3 -3.4 

 II 2.1 2.5 0.4 0.0 -2.7 -2.1 

 III r-0.2 r2.4 2.6 1.0 r-1.6 r1.2 

 IV r1.8 r2.5 0.6 0.6 -2.7 r-1.2 

 ANNUAL 1.7 2.3 0.6 0.3 -2.4 -1.4 

 2005 I 4.3 r4.0 -0.2 3.8 r0.7 r-0.4 

 II 5.4 4.9 -0.5 2.5 -0.4 -2.7 

 III r5.9 r5.1 -0.8 1.5 -2.2 r-4.2 

 IV r5.6 r6.6 1.0 -0.3 -3.9 r-5.6 

 ANNUAL 5.3 5.2 -0.1 1.9 -1.4 -3.3 

 2006 I r3.3 r4.9 1.6 4.8 1.1 r1.5 

 II r1.9 r4.5 2.6 3.0 -0.8 1.1 

 III r2.4 r3.7 1.3 2.0 -1.4 -0.4 

 IV r1.1 r0.2 -0.8 5.8 3.7 r4.7 

 ANNUAL 2.1 3.3 1.1 3.9 0.6 1.7 

 ------------------------------------------------------------------------------------------------- 

 See footnotes following Table 6. May 7, 2009 

 r=revised Source: Bureau of Labor Statistics 
 

18

Appendix table 3. Nondurable manufacturing sector: Revised 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 1992=100 

 2004 I r138.6 r111.0 80.1 163.8 r125.6 r118.2 

 II r140.7 r112.1 79.7 166.1 126.4 r118.1 

 III r142.6 r112.7 79.0 169.2 r128.0 r118.7 

 IV r145.1 r114.0 78.6 172.5 r129.1 r118.9 

 ANNUAL 141.7 112.4 79.4 167.9 127.3 118.5 

 2005 I r147.9 r115.2 77.9 167.6 r124.7 r113.3 

 II r149.4 r115.4 77.2 170.6 126.2 r114.2 

 III r149.6 r114.2 76.4 172.3 r125.6 r115.2 

 IV r147.8 r114.0 77.2 171.8 r123.9 r116.3 

 ANNUAL 148.6 114.7 77.2 170.6 125.1 114.8 

 2006 I r147.9 r115.1 77.8 177.7 r127.5 r120.2 

 II r148.3 r114.7 77.4 176.5 r125.6 r119.0 

 III r148.9 r115.3 77.4 177.9 r125.4 r119.4 

 IV r150.3 r115.2 76.6 180.3 r127.5 r119.9 

 ANNUAL 148.9 115.1 77.3 178.1 126.5 119.6 

 ------------------------------------------------------------------------------------------------- 

 Percent change from previous quarter at annual rate(5) 

 2004 I r2.0 r-0.4 -2.4 2.8 -0.7 r0.7 

 II r6.2 r3.8 -2.3 5.8 r2.7 r-0.4 

 III r5.5 r2.1 -3.3 7.8 r5.0 r2.2 

 IV r7.2 r4.9 -2.1 8.0 r3.5 r0.8 

 ANNUAL 3.6 1.2 -2.4 5.4 2.6 1.7 

 2005 I r7.9 r4.3 -3.3 -11.0 r-12.8 r-17.6 

 II r4.3 r0.6 -3.5 7.5 r4.8 r3.1 

 III r0.4 r-4.1 -4.5 4.1 r-1.8 r3.7 

 IV r-4.7 r-0.6 4.3 -1.3 r-5.5 r3.6 

 ANNUAL 4.9 2.0 -2.8 1.6 -1.7 -3.1 

 2006 I r0.4 r3.8 3.4 14.6 r12.4 r14.1 

 II r1.0 r-1.2 -2.3 -2.8 r-5.8 r-3.8 

 III r1.7 r1.9 0.1 3.1 r-0.6 r1.4 

 IV r3.9 r-0.3 -4.0 5.6 r6.7 r1.7 

 ANNUAL 0.1 0.3 0.2 4.4 1.1 4.3 

 ------------------------------------------------------------------------------------------------- 

 Percent change from corresponding quarter of previous year 

 2004 I 2.8 -0.5 -3.2 5.1 3.2 2.3 

 II r3.1 0.9 -2.1 4.7 1.9 1.5 

 III 3.4 r1.6 -1.7 5.5 2.7 2.0 

 IV 5.2 2.6 -2.5 6.1 2.6 0.8 

 ANNUAL 3.6 1.2 -2.4 5.4 2.6 1.7 

 2005 I 6.7 3.8 -2.8 2.3 r-0.7 -4.1 

 II 6.2 3.0 -3.1 2.7 -0.2 -3.3 

 III 4.9 1.4 -3.4 1.8 r-1.8 -2.9 

 IV r1.9 0.0 -1.8 -0.4 -4.0 -2.2 

 ANNUAL 4.9 2.0 -2.8 1.6 -1.7 -3.1 

 2006 I r0.0 -0.1 -0.2 6.1 2.3 6.0 

 II r-0.8 -0.6 0.2 3.4 -0.5 4.2 

 III -0.4 r0.9 1.4 3.2 -0.2 3.6 

 IV r1.8 r1.0 -0.7 5.0 2.9 r3.1 

 ANNUAL 0.1 0.3 0.2 4.4 1.1 4.3 

 ------------------------------------------------------------------------------------------------- 

 See footnotes following Table 6. May 7, 2009 

 r=revised Source: Bureau of Labor Statistics