US Productivity Drops for First Time Since 2022 as Output Fell

US Productivity Drops for First Time Since 2022 as Output Fell

US labor productivity fell in the first quarter for the first time in nearly three years as economic output declined, snapping a streak of efficiency gains that have helped temper the inflationary impact from employment costs.

The hourly output of non-agricultural employees decreased at an annualized rate of 0.8 per cent after a revised increase of 1.7 per cent in the fourth quarter, according to data from the Bureau of Labor Statistics. Read more

U.S. Productivity Drops for First Time in 3 Years, Labor Costs Soar as Tariffs Squeeze Businesses

U.S. worker productivity dropped in the first quarter for the first time in nearly three years, resulting in a surge in labor costs that could squeeze margins for businesses at a time when they are facing rising costs from tariffs. Nonfarm productivity, which measures hourly output per worker, fell at a 0.8% annualized rate last quarter, the Labor Department’s Bureau of Labor Statistics said on Thursday. That was the first decline since the seco…

The first decline in US labor productivity in nearly three years raises questions about the country's economic health

Labor productivity in the US fell in the first quarter, the first in almost three years. At the same time, labor costs increased significantly. This was reported on Thursday by the US Department of Labor, whose data was published by the RTTNews portal. The department announced that labor productivity in the US fell by 0.8 percent in the first quarter of this year. For comparison, in the last quarter of last year, it increased by 1.7 percent afte…

Labor productivity in the United States shrank in the first quarter for the first time in years. US government bond yields were rising.