·
Non-farm labor productivity growth last quarter was little revised at
1.8% and about matched Consensus expectations for 2.0% growth.
· Growth in hours worked by all persons (employment times hours) was revised up to 2.4% (1.5% y/y) from 2.1% but output growth also was revised up to 4.2% (4.7% y/y), the same as in 2Q.
· Unit labor costs grew 1.8% as compensation growth was left unchanged at 3.6% (4.0% y/y).
· Productivity in the manufacturing sector was revised up to 4.6% (4.7% y/y) from 4.3%. Unit labor cost growth in the factory sector was revised down slightly to no change (-1.5% y/y).
· In the nonfinancial corporate sector
productivity growth accelerated to 4.2% (3.1% y/y) from 3.3% in 2Q. This
is the first release of figures for 3Q. Output,
a figure derived from the income side of the National Income &
Product Accounts, grew at a 5.6% (4.8% y/y) rate versus 4.2% growth in
2Q. Hours worked grew at a 1.3% rate (1.7% y/y).
· During the last ten years there has been an 86% (inverse) correlation between y/y growth in unit labor costs in the nonfinancial corporate sector and profit growth.
· From The Federal Reserve Bank of Chicago is this paper titled "The acceleration in U.S. total factor productivity after 1995: The role of information technology."