Material Is Embargoed — 2003-11-06

The Bureau of Labor Statistics of the U.S. Department of Labor today reported preliminary productivity data--as measured by output per hour of all persons--for the third quarter of 2003. The preliminary seasonally-adjusted annual rates of productivity growth in the third quarter were: 7.4 percent in the business sector and 8.1 percent in the nonfarm business sector. Productivity increased 7.4 percent in the business sector, as output grew 8.8 percent and hours increased 1.3 percent. The 8.1 percent increase in nonfarm business productivity also reflected an 8.8 percent growth in output, with a 0.7 percent rise in nonfarm business hours (table A). 8.6 percent in manufacturing, 14.7 percent in durable goods manufacturing, and 2.3 percent in nondurable goods manufacturing. The increase in manufacturing productivity compares with a 3.1-percent rise reported for the previous quarter (as revised). Output and hours in manufacturing, which includes about 15 percent of U.S.