Transmission of material in this release is embargoed until USDL 21-0815

8:30 a.m. (ET) Thursday, May 6, 2021

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

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

PRODUCTIVITY AND COSTS 

First Quarter 2021, Preliminary

(NOTE: This release was reissued on July 20, 2021, due to errors in the first quarter 2021 

estimates of hours worked for the business, manufacturing, and nonfinancial corporate sectors. 

The error in hours worked resulted in errors to related measures, including labor productivity. 

Estimates in this news release will not be corrected. Corrected data are available at 

www.bls.gov/bls/errata/corrected-hours-worked-and-labor-productivity-for-labor-productivityand-costs-2021-Q1.htm.)

Nonfarm business sector labor productivity increased 5.4 percent in the first quarter of 2021, the U.S. 

Bureau of Labor Statistics reported today, as output increased 8.4 percent and hours worked increased 

2.9 percent. (All quarterly percent changes in this release are seasonally adjusted annual rates.) From the 

first quarter of 2020 to the first quarter of 2021, nonfarm business sector labor productivity increased 4.1

percent, reflecting a 1.1-percent increase in output and a 2.9-percent decline in hours worked. (See chart 

1 and table A1.)

Unit labor costs in the nonfarm business sector decreased at an annual rate of 0.3 percent in the first 

quarter of 2021, the combined effect of a 5.1-percent increase in hourly compensation and a 5.4-percent 

increase in productivity. Unit labor costs increased 1.6 percent over the last four quarters, as hourly 

compensation increased 5.8 percent and productivity increased 4.1 percent. (See chart 2 and table A1.)

BLS calculates unit labor costs as the ratio of hourly compensation to labor productivity. Increases in 
-2-

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

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 first 

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

following historic declines in those measures in the second quarter of 2020. With the 2.9-percent 

increase in the first quarter of 2021, the hours worked index is 4.3 percent lower than it was in the fourth 

quarter of 2019, the last quarter not affected by the COVID-19 pandemic. Output, however, with the 

8.4-percent increase in the first quarter of 2021, is now only 0.6 percent below the level seen in the 

fourth quarter of 2019. (See chart 3 and table 2.)

Manufacturing sector labor productivity increased 0.1 percent in the first quarter of 2021, as output 

increased 2.4 percent and hours worked increased 2.3 percent. Manufacturing productivity increased 2.2 

percent from the same quarter a year ago. (See tables A1 and 3.)

Unit labor costs in the total manufacturing sector increased 4.6 percent in the first quarter of 2021, 

reflecting a 4.6-percent increase in hourly compensation and a 0.1-percent increase in productivity. 

Manufacturing unit labor costs increased 0.1 percent from the same quarter a year ago. (See tables A1 

and 3.)

Following strong growth in the fourth quarter of 2020, manufacturing output and hours worked saw 

more modest growth rates in the first quarter of 2021. As such, these measures have not yet fully 

recovered from the historic declines of the second quarter of 2020; output and hours remain 2.0 percent

and 4.6 percent below their fourth-quarter 2019 levels, respectively. (See chart 4 and table 3.)
-3-

Durable goods manufacturing productivity increased 0.7 percent in the first quarter of 2021, reflecting a 

4.6-percent increase in output and a 3.9-percent increase in hours worked. Nondurable goods 

manufacturing productivity increased 0.3 percent in the first quarter of 2021, as output increased 0.1 

percent and hours worked decreased 0.2 percent. (See tables A1, 4, and 5.)

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 7.)

Preliminary fourth-quarter and annual 2020 measures were announced today for the nonfinancial 

corporate sector. Productivity increased 11.6 percent in the fourth quarter of 2020 as output increased 

23.1 percent and hours worked increased 10.3 percent. The 11.6-percent increase is the largest quarterly 

increase in nonfinancial corporate sector productivity since the second quarter of 1975 when the 

measure increased 11.7 percent. Nonfinancial corporate sector productivity increased 3.9 percent over 

the last four quarters. Annual average productivity increased 1.8 percent from 2019 to 2020. (See tables 

A2, C1, and 6.)

Revised measures

Hours and related measures for all sectors were revised to incorporate updated ratios of hours worked to 

hours paid by detailed industry, provided by the BLS National Compensation Survey. Indexes were 

subject to revision back to 1996; resulting revisions to percent changes were small. Measures of real 

hourly compensation for all sectors also were revised from 2016 forward due to the incorporation of the 

revised Consumer Price Index Retroactive Series.

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

business, and manufacturing sectors for the fourth quarter of 2020.
-4-

In the fourth quarter of 2020, nonfarm business sector productivity was revised up 0.4 percentage 

point to a decrease of 3.8 percent, reflecting a 0.3-percentage point upward revision to output and a 0.1-

percentage point downward revision to hours worked. Conversely, nonfarm business unit labor costs 

were revised down 0.4 percentage point to an increase of 5.6 percent. Total manufacturing sector 

productivity was revised down to an increase of 4.5 percent in the fourth quarter of 2020, reflecting a 

0.6-percentage point downward revision to output. Unit labor costs in the manufacturing sector were 

revised up 0.6 percentage point to a decrease of 8.2 percent during the fourth quarter of 2020. Labor 

productivity was revised down 0.9 percentage point in the durable manufacturing sector to an increase of 

5.5 percent, and was also revised down 0.4 percentage point in the nondurable manufacturing sector to 

an increase of 2.4 percent. (See table B1.)

Annual average rates of productivity growth in the nonfarm business and manufacturing sectors were 

not revised for 2020, and remain at 2.5 percent and 0.3 percent, respectively. (See tables 2 and 3.)

Quarterly and annual data for all sectors for recent years appear in tables 1-6. Full historical annual and 

quarterly measures can be found at www.bls.gov/lpc/#data.

______________

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

on Thursday, June 3, 2021 at 8:30 a.m. (ET).
-5-

Table A1. Labor productivity growth and related measures - preliminary first-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 5.4 8.4 2.9 5.1 1.3 -0.3

A year ago 4.1 1.1 -2.9 5.8 3.8 1.6

Business Previous quarter 5.4 8.3 2.8 5.1 1.3 -0.2

A year ago 4.0 1.1 -2.8 5.7 3.7 1.7

Manufacturing Previous quarter 0.1 2.4 2.3 4.6 0.9 4.6

A year ago 2.2 -0.6 -2.8 2.4 0.5 0.1

Durable 

manufacturing

Previous quarter 0.7 4.6 3.9 6.2 2.4 5.5

A year ago 3.9 0.1 -3.7 1.4 -0.5 -2.4

Nondurable 

manufacturing

Previous quarter 0.3 0.1 -0.2 1.6 -2.1 1.2

A year ago 0.1 -1.4 -1.4 4.4 2.5 4.4

Table A2. Labor productivity growth and related measures - preliminary fourth-quarter 2020

(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

Nonfinancial 

corporate

Previous quarter 11.6 23.1 10.3 0.3 -2.1 -10.1

A year ago 3.9 -1.0 -4.7 7.6 6.3 3.5

Table B1. Labor productivity growth and related measures - revised fourth-quarter 2020

(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 -3.8 5.8 10.0 1.6 -0.8 5.6

Previously published -4.2 5.5 10.1 1.5 -0.9 6.0

Business Revised -4.5 5.8 10.8 0.8 -1.6 5.6

Previously published -4.9 5.5 10.9 0.8 -1.6 6.0

Manufacturing Revised 4.5 12.4 7.6 -4.1 -6.4 -8.2

Previously published 5.0 13.0 7.6 -4.2 -6.5 -8.8

Durable 

manufacturing

Revised 5.5 11.8 6.0 -6.0 -8.2 -10.9

Previously published 6.4 12.8 6.0 -6.0 -8.2 -11.7

Nondurable 

manufacturing

Revised 2.4 13.0 10.3 -0.4 -2.8 -2.8

Previously published 2.8 13.1 10.1 -0.5 -2.9 -3.2
-6-

Table C1. Labor productivity growth and related measures - annual average changes: 2016-2020

Sector Year

Labor 

productivity Output

Hours 

worked

Hourly 

compensation

Real hourly 

compensation

Unit labor 

costs

Nonfinancial 

corporate

2020 1.8 -4.5 -6.3 7.0 5.7 5.1

2019 0.7 1.6 0.9 3.8 1.9 3.1

2018 0.6 2.6 2.0 3.5 1.0 2.8

2017 0.9 2.6 1.7 3.3 1.2 2.4

2016 -1.2 0.2 1.5 1.1 -0.2 2.4
-7-

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 78 percent of the value of GDP in 2019. Nonfarm 

business, which excludes farming, accounted for about 77 percent of GDP in 2019.

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 50 percent of the value of GDP in 2019.
-8-

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.
 -9-

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 I 5.4 8.3 2.8 5.1 1.3 -0.2 11.1 4.4 

2020 ANNUAL 2.5 -4.1 -6.5 r 6.4 r 5.1 r 3.7 -3.4 r 0.6 

2020 IV -4.5 r 5.8 r 10.8 r 0.8 -1.6 5.6 r -3.1 r 1.9 r

 III 5.5 44.2 36.7 -4.8 -9.1 -9.7 29.2 4.6 

 II 10.2 r -36.8 -42.6 23.7 r 27.6 r 12.3 -23.8 -4.3 

 I -0.3 r -6.0 -5.7 8.9 r 7.8 r 9.3 -9.5 0.8 

2019 ANNUAL 1.7 2.4 0.7 3.7 1.8 1.9 0.9 1.5 

2019 IV 1.5 r 2.8 1.3 r 3.4 r 0.7 r 1.9 0.4 1.2 

 III 0.3 2.9 2.6 -0.2 -1.5 r -0.5 3.2 1.1 

 II 2.0 1.3 -0.7 1.3 -2.1 r -0.7 8.0 3.0 

 I 3.8 3.6 -0.2 9.5 8.7 r 5.5 -6.0 0.4 

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

 Percent change from corresponding quarter of previous year

2021 I 4.0 1.1 -2.8 5.7 3.7 1.7 1.5 1.6 

2020 ANNUAL 2.5 -4.1 -6.5 r 6.4 r 5.1 r 3.7 -3.4 r 0.6 

2020 IV 2.5 r -2.5 -4.9 r 6.6 5.4 r 4.0 r -3.6 r 0.7 

 III 4.1 -3.1 -7.0 r 7.3 r 6.0 r 3.1 -2.8 r 0.5 

 II 2.8 -11.0 -13.4 8.6 r 8.1 r 5.6 -8.1 -0.3 

 I 0.9 r 0.2 -0.7 3.3 r 1.2 r 2.4 0.3 1.5 

2019 ANNUAL 1.7 2.4 0.7 3.7 1.8 1.9 0.9 1.5 

2019 IV 1.9 2.6 0.7 r 3.4 1.4 r 1.5 1.3 1.4 

 III 1.7 2.3 0.6 2.9 1.2 1.3 1.7 1.5 

 II 1.8 2.2 0.4 4.2 2.3 2.4 0.3 1.5 

 I 1.5 r 2.6 1.0 4.2 2.5 2.6 0.4 1.6 

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

 Indexes 2012=100

2021 I 113.0 122.1 108.1 130.7 113.7 115.7 108.9 112.7 

2020 ANNUAL 111.0 r 116.6 r 105.0 r 127.9 r 113.2 r 115.2 r 105.3 r 110.9 r

2020 IV 111.5 r 119.7 r 107.4 r 129.1 r 113.4 r 115.8 r 106.1 r 111.5 r

 III 112.8 r 118.1 104.7 r 128.8 r 113.8 r 114.2 r 106.9 r 111.0 

 II 111.3 r 107.7 96.8 r 130.4 r 116.5 r 117.2 r 100.3 r 109.8 

 I 108.6 r 120.8 111.2 r 123.7 r 109.6 r 113.8 r 107.4 r 111.0 

2019 ANNUAL 108.3 r 121.6 112.3 r 120.3 r 107.8 r 111.1 109.1 110.2 

2019 IV 108.7 r 122.7 112.9 r 121.1 r 107.6 r 111.3 r 110.1 r 110.8 

 III 108.3 121.9 112.5 r 120.1 107.4 r 110.8 110.0 110.4 

 II 108.3 r 121.0 111.8 r 120.1 r 107.8 r 111.0 r 109.1 r 110.2 

 I 107.7 r 120.6 112.0 r 119.7 r 108.4 r 111.2 r 107.0 r 109.4 

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

See footnotes following Table 6. May 6, 2021

r=revised Source: Bureau of Labor Statistics
 -10-

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 I 5.4 8.4 2.9 5.1 1.3 -0.3 10.7 4.1 

2020 ANNUAL 2.5 -4.2 -6.6 r 6.4 5.1 r 3.8 -3.4 0.7 

2020 IV -3.8 r 5.8 r 10.0 r 1.6 r -0.8 r 5.6 r -4.4 r 1.3 r

 III 4.2 44.1 38.2 r -5.8 -10.0 -9.6 28.2 4.3 

 II 11.2 r -36.8 -43.2 24.4 r 28.4 r 11.9 -22.3 -3.6 

 I -0.8 -6.4 -5.6 9.0 r 7.9 r 9.8 -10.1 0.8 

2019 ANNUAL 1.8 2.5 0.7 3.7 1.8 1.9 1.1 1.5 

2019 IV 1.6 r 2.8 1.2 r 3.5 0.9 r 1.9 0.3 1.2 

 III 0.5 2.9 2.4 -0.1 r -1.4 r -0.6 3.1 r 1.0 

 II 1.9 1.2 -0.7 1.2 -2.2 r -0.7 8.2 3.0 

 I 3.9 3.8 0.0 9.3 8.4 r 5.2 -5.7 0.4 

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

 Percent change from corresponding quarter of previous year

2021 I 4.1 1.1 -2.9 5.8 3.8 1.6 1.3 1.5 

2020 ANNUAL 2.5 -4.2 -6.6 r 6.4 5.1 r 3.8 -3.4 0.7 

2020 IV 2.6 r -2.6 -5.0 r 6.7 5.4 r 4.1 r -3.8 0.7 

 III 4.0 r -3.2 -6.9 7.2 5.9 r 3.1 -2.6 0.6 

 II 3.0 -11.1 -13.7 r 8.8 r 8.3 r 5.6 -7.8 -0.2 

 I 0.8 0.1 -0.7 3.3 1.2 r 2.5 0.2 1.5 

2019 ANNUAL 1.8 2.5 0.7 3.7 1.8 1.9 1.1 1.5 

2019 IV 2.0 r 2.7 0.7 3.4 1.3 1.4 1.4 1.4 

 III 1.7 2.3 0.7 2.9 1.1 1.2 1.8 1.4 

 II 1.8 r 2.2 0.3 4.2 2.3 r 2.3 0.6 1.6 

 I 1.6 2.6 1.1 4.2 2.5 2.6 0.5 1.7 

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

 Indexes 2012=100

2021 I 112.7 121.8 108.0 131.0 114.0 116.2 109.5 113.3 

2020 ANNUAL 110.7 r 116.2 r 105.0 r 128.2 r 113.5 r 115.8 r 106.2 r 111.6 r

2020 IV 111.3 r 119.4 r 107.3 r 129.4 r 113.6 r 116.3 r 106.8 r 112.2 r

 III 112.3 r 117.7 104.8 r 128.9 r 113.9 r 114.7 r 108.0 r 111.8 

 II 111.2 r 107.4 96.6 r 130.8 r 116.9 r 117.7 r 101.5 r 110.6 

 I 108.3 r 120.5 111.3 r 123.9 r 109.8 r 114.4 r 108.1 r 111.7 

2019 ANNUAL 108.0 121.3 112.4 120.4 r 107.9 111.5 110.0 110.8 

2019 IV 108.5 r 122.5 112.9 r 121.2 r 107.8 r 111.8 r 111.0 r 111.4 

 III 108.1 121.6 112.6 r 120.2 r 107.5 r 111.3 110.9 111.1 

 II 107.9 r 120.8 111.9 r 120.3 r 107.9 r 111.4 110.1 r 110.8 

 I 107.4 r 120.4 112.1 r 119.9 r 108.5 r 111.6 r 107.9 r 110.0 

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

See footnotes following Table 6. May 6, 2021

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

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 I 0.1 2.4 2.3 4.6 0.9 4.6 

2020 ANNUAL 0.3 -6.4 r -6.6 4.7 r 3.4 4.5 r

2020 IV 4.5 r 12.4 r 7.6 -4.1 r -6.4 r -8.2 r

 III 20.7 57.9 r 30.8 -12.4 -16.3 -27.4 

 II -13.4 r -46.4 -38.1 25.0 29.0 44.3 

 I 1.8 -5.5 -7.2 6.1 r 5.1 r 4.3 

2019 ANNUAL 0.2 r 0.0 -0.2 r 3.1 1.2 r 2.8 

2019 IV -0.3 -0.2 0.1 5.6 r 2.9 r 6.0 

 III -0.1 0.9 1.1 r -1.5 -2.8 r -1.4 

 II -1.8 r -3.1 -1.4 2.0 -1.5 r 3.8 

 I 1.4 r -1.7 -3.1 r 7.0 6.2 r 5.5 

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

 Percent change from corresponding quarter of previous year

2021 I 2.2 -0.6 -2.8 2.4 0.5 0.1 

2020 ANNUAL 0.3 -6.4 r -6.6 4.7 r 3.4 4.5 r

2020 IV 2.7 r -2.6 r -5.2 2.7 1.5 r 0.1 r

 III 1.5 -5.5 -6.8 r 5.3 3.9 3.7 

 II -3.2 -15.5 -12.7 8.4 7.9 r 12.0 

 I -0.1 -2.0 -1.9 3.0 0.9 3.1 

2019 ANNUAL 0.2 r 0.0 -0.2 r 3.1 1.2 r 2.8 

2019 IV -0.2 -1.1 -0.8 r 3.2 r 1.2 3.4 

 III 0.0 r -0.6 -0.7 2.6 0.8 r 2.5 

 II 0.2 0.1 -0.1 4.0 2.1 3.8 

 I 1.0 1.6 0.6 2.5 0.9 1.6 

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

 Indexes 2012=100

2021 I 101.4 102.8 101.4 121.4 105.6 119.7 

2020 ANNUAL 99.2 r 98.4 r 99.2 r 121.2 r 107.3 r 122.2 r

2020 IV 101.4 r 102.2 r 100.8 r 120.0 r 105.4 r 118.4 r

 III 100.3 r 99.2 r 99.0 r 121.3 r 107.1 r 120.9 r

 II 95.7 r 88.5 92.5 r 125.4 r 112.0 r 131.0 r

 I 99.2 r 103.5 104.3 r 118.6 r 105.1 r 119.5 r

2019 ANNUAL 98.9 r 105.1 106.2 r 115.7 r 103.7 r 117.0 r

2019 IV 98.7 r 104.9 106.3 r 116.8 r 103.8 r 118.3 r

 III 98.8 r 105.0 106.2 r 115.2 r 103.1 r 116.6 r

 II 98.9 r 104.7 105.9 r 115.7 r 103.8 r 117.0 

 I 99.3 r 105.6 106.3 r 115.1 r 104.2 r 115.9 

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

See footnotes following Table 6. May 6, 2021

r=revised Source: Bureau of Labor Statistics
 -12-

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 I 0.7 4.6 3.9 6.2 2.4 5.5 

2020 ANNUAL -0.8 r -8.7 r -8.0 4.3 3.0 r 5.1 r

2020 IV 5.5 r 11.8 r 6.0 -6.0 -8.2 -10.9 r

 III 48.1 r 102.8 36.9 r -16.5 -20.3 r -43.7 

 II -26.0 -57.7 -42.8 26.9 31.0 71.6 

 I -2.4 r -9.8 -7.6 r 4.8 3.7 r 7.3 

2019 ANNUAL 0.8 r 0.8 0.0 r 2.6 0.7 r 1.7 

2019 IV -0.4 -1.5 -1.1 8.8 6.0 r 9.2 

 III 0.7 r 1.5 0.8 r -2.9 r -4.1 r -3.6 

 II 0.1 r -2.3 -2.4 r 1.2 r -2.2 r 1.2 

 I 0.2 r -2.7 -2.9 r 6.8 r 6.0 r 6.6 

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

 Percent change from corresponding quarter of previous year

2021 I 3.9 0.1 -3.7 1.4 -0.5 -2.4 

2020 ANNUAL -0.8 r -8.7 r -8.0 4.3 3.0 r 5.1 r

2020 IV 3.1 r -3.6 r -6.4 r 1.1 -0.2 -1.9 r

 III 1.6 -6.6 -8.0 r 4.8 r 3.5 3.2 

 II -7.8 r -21.4 -14.8 r 8.9 8.4 r 18.0 

 I -0.5 r -3.1 -2.6 r 2.9 0.8 3.4 

2019 ANNUAL 0.8 r 0.8 0.0 r 2.6 0.7 r 1.7 

2019 IV 0.2 -1.3 -1.4 r 3.4 1.3 r 3.2 

 III 0.7 r 0.3 -0.4 r 1.6 r -0.2 r 0.9 

 II 1.2 1.4 0.3 r 3.2 r 1.3 r 2.0 

 I 1.3 2.7 1.4 2.1 0.5 0.8 

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

 Indexes 2012=100

2021 I 104.1 104.4 100.2 120.9 105.2 116.1 

2020 ANNUAL 100.1 r 98.0 r 97.9 r 121.2 r 107.3 r 121.2 r

2020 IV 104.0 r 103.2 r 99.3 r 119.1 r 104.5 r 114.5 r

 III 102.6 r 100.4 r 97.8 r 120.9 r 106.8 r 117.9 r

 II 93.0 r 84.1 90.5 r 126.5 r 113.0 r 136.1 r

 I 100.3 r 104.3 104.0 r 119.2 r 105.7 r 118.9 r

2019 ANNUAL 100.9 r 107.3 106.4 r 116.3 r 104.3 r 115.3 r

2019 IV 100.9 r 107.0 106.1 r 117.8 r 104.7 r 116.8 r

 III 101.0 r 107.4 106.4 r 115.4 r 103.2 r 114.2 r

 II 100.8 r 107.0 106.2 r 116.2 r 104.3 r 115.3 r

 I 100.8 r 107.7 106.8 r 115.9 r 104.9 r 115.0 

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

See footnotes following Table 6. May 6, 2021

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

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 I 0.3 0.1 -0.2 1.6 -2.1 1.2 

2020 ANNUAL 0.5 -3.9 -4.3 r 6.0 4.7 r 5.5 

2020 IV 2.4 r 13.0 r 10.3 r -0.4 r -2.8 r -2.8 r

 III 1.5 r 23.3 21.5 -5.1 r -9.4 -6.6 r

 II -3.9 r -32.1 -29.4 23.9 r 27.9 r 29.0 

 I 6.2 -0.7 -6.4 9.1 7.9 r 2.7 

2019 ANNUAL -0.3 -0.9 -0.6 4.0 2.2 r 4.3 

2019 IV -1.0 1.2 2.3 r 0.1 -2.5 r 1.1 

 III -1.3 r 0.2 1.5 1.2 -0.1 r 2.5 

 II -4.4 -4.0 0.5 3.7 0.2 r 8.5 

 I 2.9 -0.7 -3.5 7.4 r 6.6 r 4.3 

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

 Percent change from corresponding quarter of previous year

2021 I 0.1 -1.4 -1.4 4.4 2.5 4.4 

2020 ANNUAL 0.5 -3.9 -4.3 r 6.0 4.7 r 5.5 

2020 IV 1.5 r -1.6 r -3.0 r 6.3 5.0 r 4.7 r

 III 0.6 -4.2 -4.8 6.4 5.1 5.8 

 II -0.1 r -9.1 -9.0 8.1 r 7.7 r 8.2 

 I -0.2 -0.8 -0.6 3.4 1.3 3.6 

2019 ANNUAL -0.3 -0.9 -0.6 4.0 2.2 r 4.3 

2019 IV -1.0 -0.8 0.2 r 3.0 1.0 4.0 

 III -0.5 -1.6 -1.1 4.5 2.7 5.0 

 II -0.6 -1.3 -0.7 5.4 3.5 6.1 

 I 1.0 0.3 -0.7 3.1 1.5 2.1 

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

 Indexes 2012=100

2021 I 98.8 102.1 103.3 122.7 106.7 124.1 

2020 ANNUAL 98.4 r 99.6 r 101.3 r 121.4 r 107.5 r 123.4 r

2020 IV 98.8 r 102.0 r 103.3 r 122.2 r 107.3 r 123.7 r

 III 98.2 r 99.0 r 100.8 r 122.3 r 108.1 r 124.6 r

 II 97.8 r 93.9 96.0 r 123.9 r 110.8 r 126.7 

 I 98.8 103.5 104.8 117.5 104.1 r 118.9 

2019 ANNUAL 97.9 r 103.6 105.9 r 114.5 r 102.7 r 117.0 

2019 IV 97.3 103.7 106.5 115.0 102.2 r 118.1 

 III 97.5 r 103.3 105.9 r 114.9 r 102.8 r 117.8 

 II 97.9 r 103.3 105.5 r 114.6 r 102.9 r 117.1 

 I 99.0 r 104.3 105.4 r 113.6 r 102.8 r 114.8 

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

See footnotes following Table 6. May 6, 2021

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

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)

2020 ANNUAL 1.8 -4.5 -6.3 7.0 5.7 5.1 -9.0 0.7 0.2 0.6 

2020 IV 11.6 23.1 10.3 0.3 -2.1 -10.1 69.7 6.9 -29.2 1.1 

 III -0.6 32.0 32.8 -5.9 -10.1 -5.3 -24.9 -10.9 228.3 4.8 

 II 4.9 r -38.3 -41.2 30.8 r 35.0 r 24.7 -49.2 -4.0 -6.7 -4.3 

 I 0.3 -4.0 -4.3 8.3 r 7.2 r 7.9 10.3 8.7 -44.1 0.6 

2019 ANNUAL 0.7 1.6 0.9 3.8 1.9 3.1 1.9 2.7 -3.3 1.9 

2019 IV 1.4 2.6 1.1 r 2.6 r 0.0 r 1.2 -2.3 0.1 12.4 1.5 

 III -0.8 -0.1 0.6 r 0.1 -1.2 r 0.9 6.6 2.6 -5.3 1.6 

 II 0.8 r 1.0 0.3 1.1 r -2.3 r 0.3 1.5 0.7 16.1 2.4 

 I 2.2 2.9 0.7 11.9 11.1 r 9.5 3.3 7.5 -30.8 1.7 

2018 ANNUAL 0.6 2.6 2.0 3.5 1.0 2.8 -1.0 1.6 6.2 2.2 

2018 IV -0.8 0.2 1.0 r 0.8 r -0.7 r 1.7 2.4 1.9 2.2 1.9 

 III 2.6 3.7 1.1 3.2 1.6 r 0.6 -1.9 -0.2 15.1 1.7 

 II -2.5 0.2 2.8 -0.2 -2.7 r 2.4 -0.2 1.6 15.2 3.2 

 I 4.9 6.7 1.7 8.7 5.4 r 3.7 -4.2 1.1 8.0 1.9 

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

 Percent change from corresponding quarter of previous year

2020 ANNUAL 1.8 -4.5 -6.3 7.0 5.7 5.1 -9.0 0.7 0.2 0.6 

2020 IV 3.9 -1.0 -4.7 7.6 6.3 3.5 -8.1 -0.1 4.9 0.5 

 III 1.5 r -5.4 -6.8 r 8.2 r 6.8 r 6.6 -19.9 -1.8 17.8 0.6 

 II 1.4 -11.8 -13.0 9.8 9.4 r 8.3 -12.6 1.7 -13.7 -0.2 

 I 0.4 -0.2 -0.6 3.0 r 0.8 r 2.5 3.9 3.0 -8.9 1.5 

2019 ANNUAL 0.7 1.6 0.9 3.8 1.9 3.1 1.9 2.7 -3.3 1.9 

2019 IV 0.9 1.6 0.7 3.8 1.7 2.9 2.2 2.7 -3.9 1.8 

 III 0.3 1.0 0.7 3.4 1.6 3.0 3.4 3.1 -6.1 1.9 

 II 1.2 1.9 0.8 4.2 2.3 2.9 1.3 2.4 -1.4 1.9 

 I 0.3 1.7 1.4 3.8 2.2 3.5 0.9 2.7 -1.6 2.1 

2018 ANNUAL 0.6 2.6 2.0 3.5 1.0 2.8 -1.0 1.6 6.2 2.2 

2018 IV 1.0 2.6 1.6 3.1 0.8 r 2.1 -1.0 1.1 10.0 2.2 

 III 1.0 3.0 2.0 3.6 1.0 2.6 -1.8 1.2 10.1 2.3 

 II -0.2 1.9 2.1 3.5 0.8 3.7 -0.8 2.2 3.2 2.4 

 I 0.7 2.9 2.2 3.7 1.4 3.0 -0.3 1.9 1.4 1.9 

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

 Indexes 2012=100

2020 ANNUAL 104.6 111.4 106.5 128.7 114.0 123.1 97.5 114.6 95.6 111.9 

2020 IV 106.9 116.2 108.6 130.1 114.2 121.7 98.9 114.1 102.6 112.4 

 III 104.1 r 110.3 106.0 r 130.0 r 114.8 r 124.9 86.7 112.2 111.8 112.1 

 II 104.2 r 102.9 98.7 r 132.0 r 117.9 r 126.6 93.1 115.5 83.1 110.8 

 I 103.0 r 116.1 112.8 r 123.4 r 109.4 r 119.8 110.3 116.7 84.5 112.1 

2019 ANNUAL 102.7 116.7 113.7 120.3 107.8 117.2 107.1 113.8 95.4 111.2 

2019 IV 102.9 r 117.3 114.0 r 121.0 r 107.5 r 117.6 107.6 114.3 97.8 111.9 

 III 102.5 r 116.6 113.7 r 120.2 r 107.5 r 117.2 108.2 114.2 95.0 111.5 

 II 102.7 r 116.6 113.5 r 120.2 r 107.8 r 117.0 106.5 113.5 96.3 111.0 

 I 102.5 r 116.3 113.4 r 119.8 r 108.5 r 116.9 106.1 113.3 92.7 110.4 

2018 ANNUAL 102.0 114.9 112.7 115.9 105.8 113.7 105.1 110.8 98.7 109.1 

2018 IV 102.0 r 115.5 113.2 r 116.5 r 105.7 r 114.3 105.3 111.3 101.7 109.9 

 III 102.2 115.4 113.0 116.3 105.8 r 113.8 104.7 110.8 101.1 109.4 

 II 101.5 r 114.4 112.7 r 115.4 r 105.4 r 113.6 105.2 110.8 97.6 108.9 

 I 102.2 r 114.3 111.9 r 115.4 r 106.2 r 112.9 105.2 110.4 94.2 108.1 

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

See footnotes following Table 6. May 6, 2021

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. 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 fourth quarter of 2020. 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.