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Nonfarm productivity down 4.2 percent in the fourth quarter of 2020
March 08, 2021
Nonfarm business labor productivity decreased 4.2 percent in the fourth quarter of 2020, as output increased 5.5 percent and hours worked increased 10.1 percent.
Percent change from previous quarter (at annual rate) in labor productivity, output, and hours worked in nonfarm business, first quarter 2010 to fourth quarter 2020
Quarter
Productivity (output per hour)
Output
Hours worked
Q1 2010
1.9%
1.9%
0.0%
Q2 2010
0.7
4.6
3.8
Q3 2010
2.1
4.5
2.3
Q4 2010
1.7
3.1
1.4
Q1 2011
-2.7
-2.1
0.6
Q2 2011
0.4
4.2
3.7
Q3 2011
-1.5
0.0
1.5
Q4 2011
2.7
5.8
3.0
Q1 2012
1.6
4.8
3.2
Q2 2012
1.5
2.5
0.9
Q3 2012
-0.7
0.9
1.6
Q4 2012
-1.4
0.7
2.1
Q1 2013
2.5
4.1
1.6
Q2 2013
-1.5
0.0
1.6
Q3 2013
1.7
4.1
2.3
Q4 2013
3.2
4.6
1.3
Q1 2014
-3.7
-1.9
1.9
Q2 2014
4.1
7.0
2.8
Q3 2014
3.7
6.5
2.7
Q4 2014
-1.8
2.7
4.6
Q1 2015
4.1
4.6
0.5
Q2 2015
1.6
3.4
1.8
Q3 2015
0.0
1.4
1.4
Q4 2015
-1.6
0.4
2.0
Q1 2016
1.2
2.5
1.3
Q2 2016
-0.4
1.1
1.5
Q3 2016
1.3
2.4
1.2
Q4 2016
3.0
3.4
0.4
Q1 2017
0.8
2.4
1.6
Q2 2017
-1.0
2.1
3.0
Q3 2017
3.2
3.8
0.6
Q4 2017
1.8
4.7
2.9
Q1 2018
1.9
4.3
2.4
Q2 2018
0.7
3.0
2.2
Q3 2018
1.2
2.3
1.1
Q4 2018
0.4
1.4
1.0
Q1 2019
3.9
3.8
0.0
Q2 2019
1.9
1.2
-0.7
Q3 2019
0.5
2.9
2.4
Q4 2019
1.5
2.8
1.3
Q1 2020
-0.8
-6.4
-5.6
Q2 2020
11.1
-36.8
-43.2
Q3 2020
4.2
44.1
38.3
Q4 2020
-4.2
5.5
10.1
Note: Percent changes are seasonally adjusted annual rates. Data are subject to revision.
The fourth quarter of 2020 is the second consecutive quarter with increases in both output and hours, following historic declines in those measures in the second quarter of 2020. Although output increased 5.5 percent and hours worked increased 10.1 percent in the fourth quarter of 2020, output and hours remain below their fourth-quarter 2019 levels.
From the fourth quarter of 2019 to the fourth quarter of 2020, nonfarm business labor productivity increased 2.4 percent, reflecting a 2.6-percent decline in output and a 4.9-percent decline in hours worked.
United States Department of Labor
