U.S. nonfarm business sector labor productivity decreased at a 2.0 percent annual rate during the fourth quarter of 2012, the U.S. Labor Department reported Thursday.

The decrease reflects increases of 0.1 percent in output and 2.2 percent in hours worked, during the October-December period last year.

Unit labor costs, the ratio of hourly compensation to labor productivity, rose 4.5 percent in the fourth quarter.

Productivity measures the amount of output per hour of work. Increasing productivity can slow job creation because it means companies can get more out of their current staff without hiring more workers. Endi

Go to Forum >>0 Comment(s)