Transmission of material in this release is embargoed until USDL 21-1466 

8:30 a.m. (ET) Tuesday, August 10, 2021 

Technical information: (202) 691-5606 • Productivity@bls.gov • www.bls.gov/lpc 

Media contact: (202) 691-5902 • PressOffice@bls.gov 

PRODUCTIVITY AND COSTS 

Second Quarter 2021, Preliminary

Nonfarm business sector labor productivity increased 2.3 percent in the second quarter of 2021, the 

U.S. Bureau of Labor Statistics reported today, as output increased 7.9 percent and hours worked 

increased 5.5 percent. (All quarterly percent changes in this release are seasonally adjusted annual rates.) 

From the second quarter of 2020 to the second quarter of 2021, nonfarm business sector labor 

productivity increased 1.9 percent. (See chart 1 and table A1.) 

Unit labor costs in the nonfarm business sector increased at an annual rate of 1.0 percent in the second 

quarter of 2021, the combined effect of a 3.3-percent increase in hourly compensation and a 2.3-percent 

increase in productivity. Unit labor costs increased 0.1 percent over the last four quarters, as hourly 

compensation increased 2.0 percent and productivity increased 1.9 percent. (See chart 2 and table A1.)

BLS calculates unit labor costs as the ratio of hourly compensation to labor productivity. Increases in 

hourly compensation tend to increase unit labor costs and increases in productivity tend to reduce them. 

Historical Revisions to Productivity and Costs Data 

Data in this release reflect the 2021 Annual Update of the National Income and Product Accounts 

(NIPA) released by the Bureau of Economic Analysis of the U.S. Department of Commerce on July 29, 

2021. See “Revised measures” section on page 3. 
-2- 

Labor productivity, or output per hour, is calculated by dividing an index of real output by an index of 

hours worked by all persons, including employees, proprietors, and unpaid family workers. The second 

quarter of 2021 is the fourth consecutive quarter with increases in both output and hours worked, 

following historic declines in those measures in the second quarter of 2020. Over those four quarters, 

nonfarm business sector output increased 15.8 percent and the index is now 1.2 percent above the level 

seen in the fourth quarter of 2019, the last quarter not affected by the COVID-19 pandemic. Hours 

worked increased 13.6 percent from the second quarter of 2020 to the second quarter of 2021; the hours 

worked index remains below its fourth quarter of 2019 level by 2.8 percent. (See chart 3 and tables A1 

and 2.) 

Manufacturing sector labor productivity increased 6.9 percent in the second quarter of 2021, as 

output increased 3.8 percent and hours worked decreased 2.9 percent. Although productivity also 

increased in both manufacturing subsectors, these gains reflected different underlying conditions. In the 

durable manufacturing sector, productivity increased 4.6 percent as a 1.4-percent decrease in output was 

outpaced by a 5.7-percent decrease in hours worked. In contrast, nondurable manufacturing sector 

productivity increased 7.8 percent as output (9.9 percent) grew faster than hours worked (2.0 percent). 

Manufacturing productivity increased 6.8 percent from the same quarter a year ago. (See tables A1, 3, 4, 

and 5.) 

Unit labor costs in the total manufacturing sector decreased 1.9 percent in the second quarter of 2021, 

reflecting a 4.9-percent increase in hourly compensation and a 6.9-percent increase in productivity. 

Manufacturing unit labor costs decreased 5.8 percent from the same quarter a year ago. (See tables A1 

and 3.) 

Manufacturing sector output increased 16.5 percent over the last four quarters and is now just 0.8 

percent below its level in the fourth quarter of 2019, the last quarter not affected by the COVID-19 

pandemic. Hours worked in manufacturing declined in the second quarter of 2021, prolonging the 

recovery in that measure, which stands 5.0 percent below the fourth-quarter 2019 level. (See chart 4 and 

tables A1 and 3.) 
-3- 

The concepts, sources, and methods used for the manufacturing output series differ from those used in 

the business and nonfarm business output series; these output measures are not directly comparable. See 

the Technical Notes for a more detailed explanation. (See page 8.) 

Revised measures 

Measures of output for the business, nonfarm business, and nonfinancial corporate sectors, and measures 

of compensation for all sectors, incorporate revised National Income and Product Accounts (NIPA) data 

released on July 29 by the Bureau of Economic Analysis, U.S. Department of Commerce. As a result, all 

measures incorporating output, including labor productivity and unit labor costs, were revised back to 

1947 for the business, nonfarm business, and nonfinancial corporate sectors; prior to 1998, revisions 

were due primarily to revisions to output in the index base year of 2012, therefore revisions to percent 

changes are small. Quarterly and annual measures incorporating compensation were subject to revision 

back to 1999 for the business sectors, and back to 2016 for the manufacturing sectors and the 

nonfinancial corporate sector. Profits and related measures for the nonfinancial corporate sector were 

also revised beginning in 2016. 

Quarterly measures of manufacturing output and all related measures—including labor productivity—

were revised historically to incorporate revised monthly Indexes of Industrial Production (IIP) published 

by the Board of Governors of the Federal Reserve System on May 28, 2021. Annual manufacturing 

output measures for 1987 to 2019 were not revised; the annual average percent change for 2020 reflects 

changes in IIP. 

Measures of hours worked for all sectors incorporate regular updates and corrections to source data for 

the first quarter of 2021. Hours worked and related measures for the business and nonfarm business 

sectors were revised back to 2014 due to revised NIPA data on government enterprises employment and 

on the proportion of industry compensation paid to employees of nonprofit institutions. Hours worked 

and related measures for the nonfinancial corporate sector were subject to revision back to 2016 due to 

the incorporation of revised NIPA data on the proportion of industry compensation paid to employees of 
-4- 

corporations. 

Table B1 presents revised and previous labor productivity and related measures for the nonfarm 

business, business, and manufacturing sectors for the first quarter of 2021. Table A2 presents these 

measures for the nonfinancial corporate sector. 

Nonfarm business sector productivity was revised down to an increase of 4.3 percent in the first 

quarter of 2021, as output was revised down slightly to an increase of 8.4 percent and hours worked 

increased 4.0 percent rather than increasing 3.0 percent as reported June 3. (See table B1.) A downward 

revision to first-quarter unit labor costs—from an increase of 1.7 percent to a decrease of 2.8 percent—

reflected a large downward revision to hourly compensation that was partially offset by a smaller 

downward revision to productivity. Hourly compensation increased at a 1.4-percent annual rate in the 

first quarter of 2021, and real hourly compensation decreased 2.2 percent. 

Manufacturing sector productivity was revised upward 0.4 percentage point to a decline of 1.3 

percent in the first quarter of 2021, as output was revised up by more than hours worked. Productivity 

was revised down in the durable manufacturing subsector and up in the nondurable manufacturing 

subsector. In the first quarter of 2021, total manufacturing unit labor costs increased 1.9 percent rather 

than increasing 10.7 percent as reported June 3, reflecting both an 8.3-percentage point downward 

revision to hourly compensation and a 0.4-percentage point upward revision to productivity. (See table 

B1.) 

Nonfinancial corporate sector productivity grew 5.0 percent in the first quarter of 2021, slower than 

the previously published estimate of 5.8 percent, as a result of a 0.9-percentage point upward revision to 

hours worked and a 0.1-percentage point upward revision to output. Productivity in nonfinancial 

corporations increased 5.9 percent from the first quarter of 2020 to the first quarter of 2021. Unit labor 

costs in the nonfinancial corporate sector were revised down from a 0.8-percent increase to a decline of 

4.8 percent in the first quarter of 2021, as a large downward revision to hourly compensation was 

partially offset by a downward revision to productivity. (See table A2.) Unit labor costs increased 0.2 

percent from the same quarter last year. Unit profits were revised up dramatically, and increased at a 

30.0-percent annual rate in first-quarter 2021. (See table 6.) 

Annual averages 

Table C1 presents annual data for the nonfarm business, total manufacturing, and nonfinancial corporate 

sectors from 2018 to 2020. Annual average percent changes compare average annual indexes from one 

year to the next. 

Annual average productivity in the nonfarm business sector was revised down to a 2.4-percent increase 

in 2020, as output decreased 4.4 percent and hours worked decreased 6.6 percent. Productivity increased 

2.0 percent in 2019 and 1.5 percent in 2018. The average annual rate of productivity growth from 2007 

to 2019 —representing the previous business cycle—was unchanged at 1.4 percent. Unit labor costs 

were revised up 0.2 percentage point to an increase of 4.5 percent in 2020. The 7.0-percent increase in 

hourly compensation in 2020 was the largest annual gain since 2000, when the measure also increased 

7.0 percent. (See table C1.) 

Annual average manufacturing sector productivity grew 0.3 percent in 2020, rather than decreasing 0.1 

percent as previously reported. Output decreased 6.4 percent and hours worked decreased 6.6 percent in 
-5- 

the manufacturing sector in 2020. Productivity decreased 1.4 percent in 2019 as previously reported. 

The average annual rate of manufacturing productivity growth from 2007 to 2019 was unchanged at 0.2 

percent. The 6.5-percent increase in manufacturing unit labor costs in 2020 was the largest increase in 

the annual series which begins in 1987. (See table C1.) 

Annual average productivity in the nonfinancial corporate sector was revised up to a 2.2-percent 

increase in 2020, as output decreased 4.2 percent and hours worked decreased 6.3 percent. Productivity 

was revised up significantly in both 2019 and 2018, from a 0.7-percent increase to a 1.4-percent increase 

in 2019, and from a 0.6-percent increase to a 1.2-percent increase in 2018. (See tables C1 and 6.) The 

average annual rate of productivity growth in the nonfinancial corporate sector from 2007 to 2019 was 

revised up from 0.8 percent to 0.9 percent. 

Complete quarterly and annual data series can be found on the Productivity and Costs home page: 

www.bls.gov/lpc/#data. 

______________ 

The revised Productivity and Costs news release for second-quarter 2021 is scheduled to be 

released on Thursday, September 2, 2021 at 8:30 a.m. (ET). 
-6- 

Table A1. Labor productivity growth and related measures - preliminary second-quarter 2021 

(percent change from previous quarter at annual rate and from same quarter a year ago) 

Sector Percent change from: 

Labor 

productivity Output 

Hours 

worked 

Hourly 

compensation 

Real hourly 

compensation 

Unit labor 

costs 

Nonfarm business Previous quarter 2.3 7.9 5.5 3.3 -4.8 1.0 

A year ago 1.9 15.8 13.6 2.0 -2.7 0.1 

Business Previous quarter 2.7 7.8 5.0 3.7 -4.4 0.9 

A year ago 2.1 15.7 13.3 2.2 -2.5 0.1 

Manufacturing Previous quarter 6.9 3.8 -2.9 4.9 -3.3 -1.9 

A year ago 6.8 16.5 9.1 0.6 -4.0 -5.8 

Durable 

manufacturing 

Previous quarter 4.6 -1.4 -5.7 5.4 -2.8 0.7 

A year ago 12.4 23.2 9.6 0.2 -4.3 -10.8 

Nondurable 

manufacturing 

Previous quarter 7.8 9.9 2.0 4.8 -3.4 -2.8 

A year ago 1.3 9.8 8.4 1.2 -3.4 -0.1 

Table A2. Labor productivity growth and related measures - revised and previously published first-quarter 2021 

(percent change from previous quarter at annual rate) 

Sector 

Labor 

productivity Output 

Hours 

worked 

Hourly 

compensation 

Real hourly 

compensation 

Unit labor 

costs 

Nonfinancial 

corporate 

Revised 5.0 8.9 3.7 0.0 -3.6 -4.8 

Previously published 5.8 8.8 2.8 6.7 2.8 0.8 

Table B1. Labor productivity growth and related measures - revised and previously published first-quarter 2021 

(percent change from previous quarter at annual rate) 

Sector 

Labor 

productivity Output 

Hours 

worked 

Hourly 

compensation 

Real hourly 

compensation 

Unit labor 

costs 

Nonfarm business Revised 4.3 8.4 4.0 1.4 -2.2 -2.8 

Previously published 5.4 8.6 3.0 7.2 3.3 1.7 

Business Revised 4.2 8.2 3.8 1.5 -2.1 -2.6 

Previously published 5.2 8.3 2.9 7.3 3.4 1.9 

Manufacturing Revised -1.3 2.4 3.8 0.6 -3.1 1.9 

Previously published -1.7 1.4 3.1 8.9 5.0 10.7 

Durable 

manufacturing 

Revised 0.8 6.3 5.5 1.8 -1.9 1.0 

Previously published 1.1 5.7 4.6 11.7 7.6 10.4 

Nondurable 

manufacturing 

Revised -2.7 -1.7 1.0 -2.1 -5.6 0.6 

Previously published -3.7 -3.0 0.7 3.6 -0.1 7.6 
-7- 

Table C1. Labor productivity growth and related measures - revised and previous annual average changes: 2018-2020 

Sector Year 

Labor 

productivity Output 

Hours 

worked 

Hourly 

compensation 

Real hourly 

compensation 

Unit labor 

costs 

Nonfarm 

business 

2020 Revised 2.4 -4.4 -6.6 7.0 5.6 4.5 

Previously 

published 

2.5 -4.2 -6.6 7.0 5.6 4.3 

 2019 Revised 2.0 2.7 0.7 3.8 2.0 1.8 

Previously 

published 

1.8 2.5 0.7 3.7 1.8 1.9 

 2018 Revised 1.5 3.5 2.0 3.4 0.9 1.9 

Previously 

published 

1.4 3.5 2.0 3.3 0.9 1.9 

Manufacturing 2020 Revised 0.3 -6.4 -6.6 6.8 5.4 6.5 

Previously 

published 

-0.1 -6.8 -6.6 5.6 4.3 5.8 

 2019 Revised -1.4 -1.7 -0.2 2.8 1.0 4.3 

Previously 

published 

-1.4 -1.7 -0.2 3.1 1.2 4.6 

 2018 Revised -0.1 1.8 1.9 2.2 -0.2 2.3 

Previously 

published 

-0.1 1.8 1.9 2.1 -0.3 2.2 

Nonfinancial 

corporate 

2020 Revised 2.2 -4.2 -6.3 6.9 5.6 4.6 

Previously 

published 

2.1 -4.3 -6.3 7.5 6.2 5.3 

 2019 Revised 1.4 2.3 0.9 3.9 2.1 2.5 

Previously 

published 

0.7 1.6 0.9 3.8 1.9 3.1 

 2018 Revised 1.2 3.2 2.0 3.5 1.1 2.3 

Previously 

published 

0.6 2.6 2.0 3.5 1.0 2.8 
-8- 

TECHNICAL NOTES

Labor Hours 

Hours worked data for the labor productivity and cost measures include hours worked 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, counting a person who is employed by two or more establishments at each 

place of employment. The CES also provides average weekly paid hours of production and 

nonsupervisory workers in these establishments. Weekly paid hours are adjusted to hours worked using 

data from the National Compensation Survey (NCS) for 1996 forward and data from the BLS Hours at 

Work survey, conducted for this purpose, prior to 1990. Between 1990 and 1995, weekly paid hours are 

adjusted to hours at work using a combination of NCS and Hours at Work survey data. 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 to estimate hours worked for farm labor, nonfarm proprietors, and nonfarm 

unpaid family workers. Using CPS information on employment and hours worked at primary jobs and 

all other jobs, separately, the BLS productivity measures assign all hours worked to the appropriate 

industrial sector. Hours 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. 

Detailed hours data are presented in the table “Hours Worked in Total U.S. Economy and Subsectors” 

on the BLS website (www.bls.gov/lpc/special_requests/us_total_hrs_emp.xlsx). 

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 hours 

worked. Business output accounted for about 75 percent of the value of GDP in 2020. Nonfarm 

business, which excludes farming, accounted for about 74 percent of GDP in 2020. 

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 Index 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 indexes 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. 

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 companies, offices of other 

holding companies, or offices in the finance and insurance sector. Nonfinancial corporations accounted 

for about 49 percent of the value of GDP in 2020. 
-9- 

Labor Productivity 

The measure describes the relationship between real output and the labor time involved in its production. 

Measures of labor productivity growth show the changes from period to period in the amount of goods 

and services produced per hour worked. 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 

The measure includes accrued wages and salaries, supplements, employer contributions to employee 

benefit plans, and taxes. 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 employees in domestic 

industries 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 

These measures describe the relationship between compensation per hour and labor 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 percent changes from the previous 

quarter presented at a compound annual rate, as percent changes from the corresponding quarter of the 

previous year, and as index number series where 2012=100. 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. A complete historical series of these index numbers are available 

at the BLS web site, www.bls.gov/data/home.htm, or by contacting the BLS Division of Major Sector 

Productivity (Telephone 202-691-5606 or email productivity@bls.gov). 

For a more detailed explanation of methodology see "Technical Information About the Major Sector 

Productivity and Costs Methods" at www.bls.gov/lpc/lpcmethods.pdf. 

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

phone: 202-691-5200; Federal Relay Service number: 1-800-877-8339. 
 -10- 

Table 1. Business sector: Labor productivity, hourly compensation, unit labor costs, and prices, 

seasonally adjusted. 

 Real 

 Hourly hourly Unit Implicit 

Year Labor compen- compen- Unit nonlabor price 

and produc- Hours sation sation labor payments deflator 

quarter tivity Output worked (1) (2) costs (3) (4) 

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

 Percent change from previous quarter at annual rate (5) 

2021 II 2.7 7.8 5.0 3.7 -4.4 0.9 16.5 7.2 

 I 4.2 r 8.2 r 3.8 r 1.5 r -2.1 r -2.6 r 17.3 r 5.1 r 

2020 ANNUAL 2.4 r -4.2 r -6.5 6.8 r 5.5 r 4.3 r -4.8 r 0.4 r 

2020 IV -4.2 r 6.1 r 10.8 8.6 r 6.0 r 13.4 r -13.3 r 1.6 r 

 III 5.9 r 44.7 r 36.7 -4.7 r -9.0 r -10.0 r 31.7 r 5.1 r 

 II 10.2 -36.8 -42.7 r 21.9 r 25.8 r 10.6 r -23.2 r -4.6 r 

 I -1.1 r -6.8 r -5.8 r 9.2 r 8.1 r 10.5 r -12.6 r 0.0 r 

2019 ANNUAL 1.9 r 2.6 r 0.7 3.8 r 2.0 r 1.8 r 1.1 r 1.5 

2019 IV 0.5 r 1.8 r 1.3 3.9 r 1.3 r 3.4 r -1.2 r 1.4 r 

 III 0.6 r 3.1 r 2.5 r 0.1 r -1.2 r -0.4 r 2.5 r 0.8 r 

 II 4.3 r 3.5 r -0.7 1.4 r -2.0 r -2.7 r 10.3 r 2.7 r 

 I 3.2 r 3.1 r -0.2 9.4 r 8.6 r 5.9 r -5.9 r 0.7 r 

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

 Percent change from corresponding quarter of previous year 

2021 II 2.1 15.7 13.3 2.2 -2.5 0.1 11.8 4.7 

 I 3.9 r 1.2 r -2.6 r 6.4 r 4.4 r 2.4 r 0.7 r 1.7 r 

2020 ANNUAL 2.4 r -4.2 r -6.5 6.8 r 5.5 r 4.3 r -4.8 r 0.4 r 

2020 IV 2.5 -2.5 -4.9 8.3 r 7.0 r 5.7 r -6.4 r 0.5 r 

 III 3.8 r -3.5 r -7.0 7.2 r 5.8 r 3.3 r -3.3 r 0.4 r 

 II 2.5 r -11.3 r -13.5 r 8.5 r 8.0 r 5.9 r -9.2 r -0.6 r 

 I 1.1 r 0.3 r -0.7 3.6 r 1.5 r 2.5 r -0.6 r 1.2 r 

2019 ANNUAL 1.9 r 2.6 r 0.7 3.8 r 2.0 r 1.8 r 1.1 r 1.5 

2019 IV 2.1 r 2.9 r 0.7 3.7 r 1.6 r 1.5 1.3 1.4 

 III 2.0 r 2.7 r 0.6 3.1 r 1.3 r 1.0 r 2.0 r 1.5 

 II 2.0 r 2.4 r 0.4 4.2 2.4 r 2.2 r 0.5 r 1.5 

 I 1.5 2.5 r 1.0 4.2 2.6 r 2.7 r 0.4 1.7 r 

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

 Indexes 2012=100 

2021 II 113.0 124.0 109.7 133.4 113.7 118.0 110.3 114.6 

 I 112.3 r 121.6 r 108.3 r 132.2 r 115.0 r 117.7 r 106.2 r 112.6 r 

2020 ANNUAL 110.5 r 116.0 r 105.0 r 128.8 r 114.0 r 116.5 r 103.0 r 110.6 r 

2020 IV 111.1 r 119.3 r 107.3 r 131.7 r 115.6 r 118.5 r 102.0 r 111.3 r 

 III 112.3 r 117.5 r 104.6 r 129.0 r 113.9 r 114.8 r 105.7 r 110.8 r 

 II 110.7 r 107.2 r 96.8 r 130.6 r 116.7 r 117.9 r 98.7 r 109.5 r 

 I 108.1 r 120.2 r 111.2 r 124.2 r 110.1 r 115.0 r 105.4 r 110.8 r 

2019 ANNUAL 107.9 r 121.2 r 112.3 120.5 r 108.0 r 111.7 r 108.3 r 110.2 r 

2019 IV 108.4 r 122.3 r 112.9 r 121.5 r 108.0 r 112.1 r 109.0 r 110.8 r 

 III 108.2 r 121.8 r 112.5 r 120.4 r 107.7 r 111.2 r 109.3 r 110.4 r 

 II 108.1 r 120.8 r 111.8 r 120.3 r 108.0 r 111.3 r 108.6 r 110.2 r 

 I 106.9 r 119.8 r 112.0 r 119.9 r 108.5 r 112.1 r 106.0 r 109.4 r 

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

See footnotes following Table 6. August 10, 2021 

r=revised Source: Bureau of Labor Statistics 
 -11- 

Table 2. Nonfarm business sector: Labor productivity, hourly compensation, unit labor costs, and 

prices, seasonally adjusted. 

 Real 

 Hourly hourly Unit Implicit 

Year Labor compen- compen- Unit nonlabor price 

and produc- Hours sation sation labor payments deflator 

quarter tivity Output worked (1) (2) costs (3) (4) 

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

 Percent change from previous quarter at annual rate (5) 

2021 II 2.3 7.9 5.5 3.3 -4.8 1.0 13.9 6.1 

 I 4.3 r 8.4 r 4.0 r 1.4 r -2.2 r -2.8 r 16.6 r 4.6 r 

2020 ANNUAL 2.4 r -4.4 r -6.6 7.0 5.6 4.5 r -4.9 r 0.4 r 

2020 IV -3.4 r 6.2 r 9.9 r 9.4 r 6.8 r 13.3 r -14.8 r 0.9 r 

 III 4.6 r 44.6 r 38.2 -5.7 r -10.0 -9.9 r 30.5 r 4.7 r 

 II 11.2 -36.9 r -43.2 22.7 r 26.6 r 10.3 r -21.7 r -3.9 r 

 I -1.8 r -7.4 r -5.7 r 9.3 r 8.2 r 11.3 r -13.2 r 0.2 r 

2019 ANNUAL 2.0 r 2.7 r 0.7 3.8 r 2.0 r 1.8 r 1.2 r 1.5 

2019 IV 0.6 r 1.8 r 1.2 4.1 r 1.5 r 3.5 r -1.5 r 1.3 r 

 III 0.8 r 3.2 r 2.4 0.2 r -1.1 r -0.5 r 2.4 r 0.7 r 

 II 4.3 r 3.6 r -0.7 1.4 r -2.0 r -2.8 r 10.6 r 2.7 r 

 I 3.4 r 3.4 r 0.0 9.2 r 8.4 5.6 r -5.5 r 0.7 r 

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

 Percent change from corresponding quarter of previous year 

2021 II 1.9 15.8 13.6 2.0 -2.7 0.1 10.2 4.1 

 I 4.1 1.3 r -2.7 r 6.4 r 4.5 r 2.3 r 0.4 r 1.5 

2020 ANNUAL 2.4 r -4.4 r -6.6 7.0 5.6 4.5 r -4.9 r 0.4 r 

2020 IV 2.5 r -2.7 r -5.0 8.5 r 7.2 r 5.8 r -6.8 r 0.4 r 

 III 3.6 r -3.7 r -7.0 r 7.1 r 5.8 r 3.4 r -3.3 r 0.5 r 

 II 2.6 r -11.5 r -13.7 8.8 8.3 6.0 r -9.0 r -0.4 r 

 I 1.0 r 0.2 r -0.8 r 3.7 r 1.6 r 2.7 r -0.8 r 1.2 r 

2019 ANNUAL 2.0 r 2.7 r 0.7 3.8 r 2.0 r 1.8 r 1.2 r 1.5 

2019 IV 2.3 r 3.0 r 0.7 3.7 r 1.6 r 1.4 1.4 1.4 

 III 2.1 r 2.8 r 0.6 r 3.1 r 1.3 r 0.9 r 2.1 r 1.4 

 II 2.2 r 2.6 r 0.3 4.3 r 2.4 r 2.1 r 0.8 r 1.5 r 

 I 1.6 2.6 1.1 4.3 r 2.6 r 2.7 r 0.6 r 1.8 r 

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

 Indexes 2012=100 

2021 II 112.7 123.7 109.7 133.6 113.9 118.5 110.0 114.8 

 I 112.1 r 121.4 r 108.3 r 132.5 r 115.3 r 118.2 r 106.5 r 113.1 r 

2020 ANNUAL 110.2 r 115.7 r 105.0 r 129.1 r 114.3 r 117.1 r 103.8 r 111.3 r 

2020 IV 110.9 r 118.9 r 107.2 r 132.1 r 116.0 r 119.1 r 102.5 r 111.8 r 

 III 111.9 r 117.2 r 104.7 r 129.1 r 114.1 r 115.4 r 106.6 r 111.6 r 

 II 110.6 r 106.9 r 96.6 r 131.0 r 117.1 r 118.4 r 99.8 r 110.3 r 

 I 107.7 r 119.9 r 111.3 r 124.5 r 110.4 r 115.6 r 106.1 r 111.4 r 

2019 ANNUAL 107.7 r 121.0 r 112.4 120.7 r 108.2 r 112.1 r 109.2 r 110.8 r 

2019 IV 108.2 r 122.2 r 112.9 r 121.8 r 108.2 r 112.5 r 109.9 r 111.4 r 

 III 108.1 r 121.6 r 112.6 120.5 r 107.8 r 111.6 r 110.3 r 111.0 r 

 II 107.8 r 120.7 r 111.9 r 120.5 r 108.1 r 111.7 r 109.7 r 110.8 r 

 I 106.7 r 119.6 r 112.1 r 120.1 r 108.7 r 112.5 r 106.9 r 110.1 r 

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

See footnotes following Table 6. August 10, 2021 

r=revised Source: Bureau of Labor Statistics 

 
 -12- 

Table 3. Manufacturing sector: Labor productivity, hourly compensation, and unit labor costs, 

seasonally adjusted. 

 Real 

Year Labor Hourly hourly Unit 

and produc- Hours compensa- compensa- labor 

quarter tivity Output worked tion (1) tion (2) costs 

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

 Percent change from previous quarter at annual rate (5) 

2021 II 6.9 3.8 -2.9 4.9 -3.3 -1.9 

 I -1.3 r 2.4 r 3.8 r 0.6 r -3.1 r 1.9 r 

2020 ANNUAL 0.3 r -6.4 r -6.6 6.8 r 5.4 r 6.5 r 

2020 IV 3.1 r 11.0 r 7.6 10.5 r 7.9 r 7.2 r 

 III 19.4 r 56.2 r 30.8 -12.0 r -16.0 r -26.3 r 

 II -10.3 r -44.5 r -38.1 27.2 r 31.3 r 41.9 r 

 I 1.8 -5.5 -7.2 7.8 r 6.7 r 6.0 r 

2019 ANNUAL -1.4 -1.7 -0.2 2.8 r 1.0 r 4.3 r 

2019 IV -1.6 r -1.5 r 0.1 6.7 r 4.0 r 8.5 r 

 III -1.3 r -0.2 r 1.1 -1.1 r -2.4 r 0.2 r 

 II -2.0 r -3.3 r -1.4 1.7 r -1.7 r 3.8 r 

 I -1.1 -4.2 -3.1 6.2 r 5.4 r 7.4 r 

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

 Percent change from corresponding quarter of previous year 

2021 II 6.8 16.5 9.1 0.6 -4.0 -5.8 

 I 2.2 r -0.4 r -2.5 r 5.6 r 3.7 r 3.4 r 

2020 ANNUAL 0.3 r -6.4 r -6.6 6.8 r 5.4 r 6.5 r 

2020 IV 3.0 r -2.4 r -5.2 7.5 r 6.2 r 4.4 r 

 III 1.7 r -5.2 r -6.8 6.5 r 5.2 r 4.7 r 

 II -3.0 r -15.3 r -12.7 9.7 r 9.2 r 13.1 r 

 I -0.8 r -2.7 r -1.9 3.7 r 1.6 r 4.6 r 

2019 ANNUAL -1.4 -1.7 -0.2 2.8 r 1.0 r 4.3 r 

2019 IV -1.5 r -2.3 r -0.8 3.3 r 1.3 r 4.9 r 

 III -1.8 -2.5 -0.7 2.3 r 0.5 r 4.2 r 

 II -1.7 r -1.8 r -0.1 3.5 r 1.6 r 5.4 r 

 I -0.7 r -0.1 r 0.6 2.1 r 0.5 r 2.9 r 

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

 Indexes 2012=100 

2021 II 99.5 100.5 101.0 127.2 108.5 127.8 

 I 97.9 r 99.6 r 101.7 r 125.7 r 109.4 r 128.4 r 

2020 ANNUAL 96.2 r 95.4 r 99.2 123.2 r 109.1 r 128.1 r 

2020 IV 98.2 r 99.0 r 100.8 125.5 r 110.2 r 127.8 r 

 III 97.4 r 96.4 r 99.0 122.4 r 108.1 r 125.6 r 

 II 93.2 r 86.2 r 92.5 126.4 r 113.0 r 135.6 r 

 I 95.8 r 99.9 r 104.3 119.0 r 105.5 r 124.3 r 

2019 ANNUAL 95.9 101.9 106.2 115.4 r 103.5 r 120.3 r 

2019 IV 95.4 r 101.3 r 106.3 116.8 r 103.8 r 122.5 r 

 III 95.8 r 101.7 r 106.2 114.9 r 102.8 r 120.0 r 

 II 96.1 r 101.8 r 105.9 115.2 r 103.4 r 119.9 r 

 I 96.6 r 102.7 r 106.3 114.7 r 103.9 r 118.8 r 

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

See footnotes following Table 6. August 10, 2021 

r=revised Source: Bureau of Labor Statistics 
 -13- 

Table 4. Durable manufacturing sector: Labor productivity, hourly compensation, and unit labor 

costs, seasonally adjusted. 

 Real 

Year Labor Hourly hourly Unit 

and produc- Hours compensa- compensa- labor 

quarter tivity Output worked tion (1) tion (2) costs 

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

 Percent change from previous quarter at annual rate (5) 

2021 II 4.6 -1.4 -5.7 5.4 -2.8 0.7 

 I 0.8 r 6.3 r 5.5 r 1.8 r -1.9 r 1.0 r 

2020 ANNUAL -0.2 r -8.1 r -8.0 6.8 r 5.5 r 7.0 r 

2020 IV 4.8 r 11.0 r 6.0 12.3 r 9.6 r 7.2 r 

 III 44.6 r 97.9 r 36.9 -16.1 r -19.9 r -42.0 r 

 II -20.3 r -54.4 r -42.8 29.7 r 33.9 r 62.7 r 

 I -2.6 r -10.0 r -7.6 6.9 r 5.8 r 9.7 r 

2019 ANNUAL -1.7 -1.8 0.0 2.3 r 0.4 r 4.1 r 

2019 IV -1.0 r -2.0 r -1.1 10.2 r 7.4 r 11.3 r 

 III -1.0 -0.2 r 0.8 -2.4 r -3.6 r -1.4 r 

 II -1.0 r -3.3 r -2.4 0.9 r -2.4 r 1.9 r 

 I -2.9 r -5.7 r -2.9 5.8 r 5.0 r 8.9 r 

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

 Percent change from corresponding quarter of previous year 

2021 II 12.4 23.2 9.6 0.2 -4.3 -10.8 

 I 5.0 r 1.6 r -3.3 r 5.6 r 3.6 r 0.5 r 

2020 ANNUAL -0.2 r -8.1 r -8.0 6.8 r 5.5 r 7.0 r 

2020 IV 4.1 r -2.6 r -6.4 6.9 r 5.6 r 2.6 r 

 III 2.7 r -5.6 r -8.0 6.4 r 5.1 r 3.6 r 

 II -6.6 r -20.4 r -14.8 10.5 r 10.1 r 18.3 r 

 I -1.4 r -4.0 r -2.6 3.8 r 1.7 r 5.3 r 

2019 ANNUAL -1.7 -1.8 0.0 2.3 r 0.4 r 4.1 r 

2019 IV -1.5 r -2.9 r -1.4 3.5 r 1.5 r 5.1 r 

 III -2.0 -2.4 -0.4 1.3 r -0.5 r 3.4 r 

 II -2.0 r -1.7 r 0.3 2.6 r 0.8 r 4.7 r 

 I -1.5 r -0.1 r 1.4 1.6 r 0.0 r 3.1 r 

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

 Indexes 2012=100 

2021 II 101.5 100.6 99.1 128.2 109.3 126.3 

 I 100.4 r 101.0 r 100.6 r 126.5 r 110.1 r 126.0 r 

2020 ANNUAL 96.4 r 94.4 r 97.9 123.8 r 109.6 r 128.5 r 

2020 IV 100.2 r 99.5 r 99.3 126.0 r 110.6 r 125.7 r 

 III 99.0 r 96.9 r 97.8 122.4 r 108.1 r 123.5 r 

 II 90.3 r 81.7 r 90.5 127.9 r 114.3 r 141.6 r 

 I 95.6 r 99.4 r 104.0 119.8 r 106.2 r 125.3 r 

2019 ANNUAL 96.6 102.7 106.4 116.0 r 104.0 r 120.1 r 

2019 IV 96.2 r 102.1 r 106.1 117.8 r 104.7 r 122.5 r 

 III 96.4 r 102.6 r 106.4 115.0 r 102.9 r 119.2 r 

 II 96.7 r 102.7 r 106.2 115.7 r 103.8 r 119.6 r 

 I 96.9 r 103.5 r 106.8 115.4 r 104.5 r 119.1 r 

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

See footnotes following Table 6. August 10, 2021 

r=revised Source: Bureau of Labor Statistics 
 -14- 

Table 5. Nondurable manufacturing sector: Labor productivity, hourly compensation, and unit labor 

costs, seasonally adjusted. 

 Real 

Year Labor Hourly hourly Unit 

and produc- Hours compensa- compensa- labor 

quarter tivity Output worked tion (1) tion (2) costs 

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

 Percent change from previous quarter at annual rate (5) 

2021 II 7.8 9.9 2.0 4.8 -3.4 -2.8 

 I -2.7 r -1.7 r 1.0 r -2.1 r -5.6 r 0.6 r 

2020 ANNUAL -0.1 r -4.4 r -4.3 7.1 r 5.8 r 7.2 r 

2020 IV 0.5 r 10.9 r 10.3 7.6 r 5.1 r 7.1 r 

 III -0.1 r 21.4 r 21.5 -4.8 r -9.1 r -4.8 r 

 II -3.3 r -31.7 r -29.4 25.2 r 29.3 r 29.5 r 

 I 6.6 r -0.3 r -6.4 9.8 r 8.7 r 3.1 r 

2019 ANNUAL -1.0 -1.6 -0.6 3.9 r 2.0 r 4.9 r 

2019 IV -3.1 r -0.9 r 2.3 0.5 r -2.0 r 3.7 r 

 III -1.7 r -0.2 r 1.5 1.4 r 0.1 r 3.2 

 II -3.8 r -3.3 r 0.5 3.6 r 0.1 r 7.6 r 

 I 1.0 r -2.5 r -3.5 6.9 r 6.1 r 5.8 

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

 Percent change from corresponding quarter of previous year 

2021 II 1.3 9.8 8.4 1.2 -3.4 -0.1 

 I -1.4 r -2.5 r -1.1 r 5.9 r 3.9 r 7.4 r 

2020 ANNUAL -0.1 r -4.4 r -4.3 7.1 r 5.8 r 7.2 r 

2020 IV 0.9 r -2.2 r -3.0 9.0 r 7.6 r 8.0 r 

 III -0.1 r -4.9 r -4.8 7.1 r 5.8 r 7.2 r 

 II -0.5 r -9.4 r -9.0 8.8 r 8.3 r 9.3 r 

 I -0.6 r -1.2 r -0.6 3.8 r 1.6 r 4.4 r 

2019 ANNUAL -1.0 -1.6 -0.6 3.9 r 2.0 r 4.9 r 

2019 IV -1.9 -1.8 r 0.2 3.1 r 1.0 5.1 r 

 III -1.4 r -2.5 r -1.1 4.3 r 2.5 r 5.8 r 

 II -1.3 r -1.9 r -0.7 5.2 r 3.3 r 6.6 r 

 I 0.6 r -0.1 r -0.7 3.0 r 1.3 r 2.4 r 

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

 Indexes 2012=100 

2021 II 97.5 101.5 104.1 125.9 107.4 129.1 

 I 95.7 r 99.2 r 103.6 r 124.5 r 108.3 r 130.0 r 

2020 ANNUAL 96.5 r 97.7 r 101.3 122.4 r 108.4 r 126.9 r 

2020 IV 96.4 r 99.6 r 103.3 125.1 r 109.9 r 129.8 r 

 III 96.2 r 97.0 r 100.8 122.9 r 108.5 r 127.7 r 

 II 96.3 r 92.5 r 96.0 124.4 r 111.2 r 129.2 r 

 I 97.1 r 101.7 r 104.8 117.6 r 104.2 r 121.1 r 

2019 ANNUAL 96.5 102.2 105.9 114.3 r 102.5 r 118.4 r 

2019 IV 95.5 r 101.8 r 106.5 114.9 r 102.1 r 120.2 r 

 III 96.3 r 102.0 r 105.9 114.7 r 102.6 r 119.1 r 

 II 96.7 r 102.1 r 105.5 114.3 r 102.6 r 118.2 r 

 I 97.7 r 102.9 r 105.4 113.3 r 102.6 r 116.0 r 

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

See footnotes following Table 6. August 10, 2021 

r=revised Source: Bureau of Labor Statistics 
 -15- 

Table 6. Nonfinancial corporate sector: Labor productivity, hourly compensation, unit labor costs, 

unit profits, and prices, seasonally adjusted. 

 Real 

 Hourly hourly Unit Total Implicit 

Year Labor compen- compen- Unit nonlabor unit Unit price 

and produc- Hours sation sation labor costs costs profits deflator 

quarter tivity Output worked (1) (2) costs (6) (7) (8) (4) 

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

 Percent change from previous quarter at annual rate (5) 

2021 I 5.0 r 8.9 r 3.7 r 0.0 r -3.6 r -4.8 r 18.7 r 1.6 r 30.0 r 5.1 

2020 ANNUAL 2.2 r -4.2 r -6.3 6.9 r 5.6 r 4.6 r -10.6 r -0.2 r 2.4 r 0.1 r 

2020 IV 16.3 r 28.4 r 10.3 7.7 r 5.2 r -7.4 r 53.3 r 6.3 r -31.4 r -0.2 r 

 III -0.8 r 31.7 r 32.8 -5.7 r -9.9 r -4.9 r -21.4 r -9.6 r 206.1 r 6.2 r 

 II 3.8 r -39.0 r -41.2 25.0 r 29.1 r 20.5 r -49.3 r -6.5 r -9.1 r -6.8 r 

 I 1.1 r -3.3 r -4.3 7.8 r 6.7 r 6.6 r 4.2 r 5.8 r -35.4 r -0.4 r 

2019 ANNUAL 1.4 r 2.3 r 0.9 3.9 r 2.1 r 2.5 r 1.9 2.3 r -1.2 r 1.9 

2019 IV 1.1 r 2.2 r 1.1 3.6 r 1.0 r 2.6 r -2.7 r 0.8 r 8.8 r 1.8 r 

 III 0.5 r 1.1 r 0.6 1.0 r -0.4 r 0.5 r 5.3 r 2.0 r 2.6 r 2.1 r 

 II 1.3 r 1.6 r 0.3 2.3 r -1.2 r 1.0 r 1.7 r 1.2 r 13.3 r 2.6 r 

 I 2.7 r 3.4 r 0.7 8.0 r 7.2 r 5.2 r 3.2 r 4.6 r -31.2 r -1.0 r 

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

 Percent change from corresponding quarter of previous year 

2021 I 5.9 r 3.0 r -2.8 r 6.2 r 4.2 r 0.2 r -7.7 r -2.3 r 25.5 r 1.0 r 

2020 ANNUAL 2.2 r -4.2 r -6.3 6.9 r 5.6 r 4.6 r -10.6 r -0.2 r 2.4 r 0.1 r 

2020 IV 4.9 r -0.1 r -4.7 8.2 r 6.9 r 3.1 r -10.7 r -1.2 r 5.4 r -0.4 r 

 III 1.3 r -5.6 r -6.8 7.1 r 5.8 r 5.8 r -20.3 r -2.5 r 18.3 r 0.1 r 

 II 1.6 r -11.6 r -13.0 9.0 r 8.5 r 7.3 r -14.2 r 0.4 r -10.0 r -0.9 r 

 I 1.0 r 0.4 r -0.6 3.6 r 1.5 r 2.6 r 2.1 r 2.4 r -4.9 r 1.5 

2019 ANNUAL 1.4 r 2.3 r 0.9 3.9 r 2.1 r 2.5 r 1.9 2.3 r -1.2 r 1.9 

2019 IV 1.4 r 2.1 r 0.7 3.7 r 1.6 r 2.3 r 1.8 r 2.1 r -3.4 r 1.4 r 

 III 1.1 r 1.7 r 0.7 3.5 r 1.7 r 2.4 r 3.2 r 2.6 r -2.4 r 2.0 r 

 II 2.2 r 3.0 r 0.8 4.5 r 2.6 r 2.2 r 1.1 r 1.9 r 0.8 r 1.7 r 

 I 0.9 r 2.3 r 1.4 4.1 r 2.5 r 3.2 r 1.4 r 2.6 r 0.6 r 2.3 r 

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

 Indexes 2012=100 

2021 I 111.3 r 122.0 r 109.6 r 131.6 r 114.5 r 118.3 r 100.7 r 112.4 r 113.8 r 112.6 r 

2020 ANNUAL 106.7 r 113.7 r 106.5 r 128.9 r 114.1 r 120.8 r 96.3 r 112.6 r 100.9 r 111.0 r 

2020 IV 109.9 r 119.4 r 108.6 r 131.6 r 115.6 r 119.8 r 96.5 r 112.0 r 106.6 r 111.2 r 

 III 105.8 r 112.2 r 106.0 r 129.2 r 114.1 r 122.1 r 86.7 r 110.3 r 117.2 r 111.3 r 

 II 106.1 r 104.7 r 98.7 r 131.1 r 117.2 r 123.6 r 92.1 r 113.1 r 88.6 r 109.6 r 

 I 105.1 r 118.5 r 112.8 r 124.0 r 109.9 r 118.0 r 109.1 r 115.0 r 90.7 r 111.6 r 

2019 ANNUAL 104.4 r 118.7 r 113.7 r 120.6 r 108.1 r 115.5 r 107.7 r 112.9 r 98.5 r 110.8 r 

2019 IV 104.8 r 119.5 r 114.0 121.7 r 108.1 r 116.1 r 108.0 r 113.4 r 101.2 r 111.7 r 

 III 104.5 r 118.8 r 113.7 r 120.6 r 107.9 r 115.4 r 108.7 r 113.2 r 99.1 r 111.2 r 

 II 104.4 r 118.5 r 113.5 r 120.3 r 108.0 r 115.3 r 107.3 r 112.6 r 98.4 r 110.6 r 

 I 104.0 r 118.0 r 113.4 119.6 r 108.3 r 115.0 r 106.9 r 112.3 r 95.4 r 109.9 r 

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

See footnotes following Table 6. August 10, 2021 

r=revised Source: Bureau of Labor Statistics 

 
 -16- 

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. Hours and compensation data are from the Bureau of Labor Statistics and the Bureau of 

Economic Analysis. 

SIZE OF REVISIONS: Productivity and cost measures are revised on a regular schedule as more 

complete data become available. The first estimate is published within 40 days of the close of the 

reference quarter, the second estimate approximately 30 days later, and the third estimate approximately 

60 days after the second estimate. Based on past revisions, the third estimate of nonfarm business sector 

quarterly labor productivity growth has differed from the first estimate by -1.0 to +1.4 percentage point 

about 80 percent of the time. This interval is based on estimates for reference quarters from the first 

quarter of 2001 to the first quarter of 2021. For more about revisions to labor productivity growth see 

“How large are revisions to estimates of quarterly labor productivity growth?” at 

www.bls.gov/osmr/research-papers/2021/ec210040.htm. 

Table Footnotes

(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 1978-2020 is based on the Consumer Price Index Retroactive series (CPI-URS). 

(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 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 

adjustment.