Nonfarm business sector labor productivity increased at a 1.6% annual rate during the second quarter of 2012, the U.S. Bureau of Labor Statistics reported. The increase in productivity reflects increases of 2.0% in output and 0.4% in hours worked.
From the second quarter of 2011 to the second quarter of 2012, productivity increased 1.1% as output and hours worked rose 2.9% and 1.8%, respectively. Unit labor costs in nonfarm businesses increased 1.7% in the second quarter of 2012, while hourly compensation increased 3.3%.
Unit labor costs rose 0.8% over the last four quarters.