United States Productivity

Nonfarm business sector labor productivity in the United States increased 3.0 percent in the fourth quarter of 2022, following an upwardly revised 1.4 percent advance in the previous three-month period and beating market expectations of 2.4 percent, a preliminary estimate showed. Output grew 3.5 percent (vs 3.6 percent in Q3) and hours worked were up 0.5 percent (vs 2.3 percent in Q3). On a yearly basis, productivity decreased 1.5 percent in the final three months of 2022, reflecting a 0.8 percent expansion in output and a 2.3 percent advance in hours worked. Considering 2022 full year, annual average productivity decreased 1.3 percent, the largest decline since 1974, when productivity decreased 1.7 percent.