1994 International Comparisons of Manufacturing Productivity and Unit Labor Cost Trends — 1995-09-08

The Bureau of Labor Statistics of the U.S. Department of Labor today reported on 1994 developments in manufacturing labor productivity (output per hour) and unit labor costs in the United States and other industrial economies. Manufacturing productivity in the United States increased 4 percent in 1994. Of the 10 foreign economies for which productivity data are available, seven had productivity increases that matched or exceeded the U.S. growth rate. Four countries -- Denmark, France, Germany (former West Germany), and the Netherlands -- had growth rates greater than 7 percent (See table A and chart 1.) U.S. manufacturing unit labor costs decreased 2.3 percent in 1994. Of the 12 foreign economies for which these data are available, only three -- Korea, Taiwan, and Norway -- recorded increases in unit labor costs in 1994. Five economies -- Denmark, France, Germany, Italy, and the Netherlands -- had declines in unit labor costs that exceeded the U.S.