2007 Fourth Quarter (Revised) Productivity and Costs — 2008-03-05

The Bureau of Labor Statistics of the U.S. Department of Labor today reported revised fourth-quarter seasonally-adjusted annual rates of productivity change--as measured by output per hour of all persons--and revised changes for calendar year 2007. Percent changes in business and nonfarm business productivity were: Productivity growth for the fourth quarter of 2007 was revised up by 0.4 percentage points in the business sector from the estimates published February 6, due primarily to a downward revision to hours. Nonfarm business productivity was revised up by 0.1 percentage points, with small downward revisions to both output and hours. Unit labor costs also were revised up, to 2.7 percent in the business sector and 2.6 percent in nonfarm businesses, reflecting upward revisions in hourly compensation that more than offset the productivity increases. Productivity growth during calendar year 2007 also was higher than previously reported in both sectors.