Material Is Embargoed — 2004-08-10

The Bureau of Labor Statistics of the U.S. Department of Labor reported preliminary productivity data--as measured by output per hour of all persons- -for the second quarter of 2004. The preliminary seasonally adjusted annual rates of productivity change in the second quarter were: 1.9 percent in the business sector and 2.9 percent in the nonfarm business sector. Productivity growth in the business sector reflected increases of 3.5 percent in output and 1.5 percent in hours. Output per hour increased more in the nonfarm business sector because output grew more, 3.8 percent, and hours rose less, 0.8 percent, than in the business sector. 7.5 percent in manufacturing, 5.7 percent in durable goods manufacturing, and 10.7 percent in nondurable goods manufacturing. Manufacturing productivity grew 7.5 percent in the second quarter as output increased 6.6 percent and hours declined 0.9 percent (seasonally adjusted annual rates). Output and hours in manufacturing, which includes about 13 percent of U.S.