Full text of Productivity and Costs : Private Business, Nonfarm Business, and Manufacturing Sectors : First Quarter 1982

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News

Bureau of Labor Statistics
Lawrence Fulco (202) 523-9261
Kathryn Hoyle
(202) 523-1913
Charles Wallace (202) 523-1208

United States
Department
of Labor
Washington, D.C. 20212

USDL 82-154
For Release 2:00 PM EDT
Thursday, April 29, 1982
PRODUCTIVITY AND COSTS

Private Business, Nonfarm Business, and Manufacturing Sectors
First Quarter 1982

Productivity, In the business economy dec!Ined at a 1.0 percent annual rate In the
first quarter of 1982, according to preliminary measures the Bureau of Labor
Statistics reported today. The productivity decline 1n the first quarter
reflected a 4.2 percent decrease In output and a 3.3 percent decrease 1n hours
(quarterly changes at seasonally adjusted annual rate). During the fourth quarter of
1981, productivity declined 6.6 percent.
In the nonfarm business sector, output per hour of all persons Increased 0.3 percent,
reflecting a fall 1n output of 3.0 percent and an even greater decline In hours of
all persons of 3.3 percent. During the fourth quarter of 1981, productivity had
declined 6.9 percent 1n this sector.
In manufacturing, productivity decreased 5.8 percent 1n the first quarter; output
decreased 14.6 percent, and hours fell 9.3 percent. During the fourth quarter of
1981, manufacturing productivity declined 10.8 percent as output and hours fell
18.5 percent and 8.7 percent, respectively.
First quarter measures are summarized 1n table A; details are given 1n tables 1-6.
Revised annual measures for nonfinandal corporations and measures for the fourth
quarter of 1981 were also released today. (See table B.)
Private business sector
Productivity, as measured by output per hour of all persons, declined at a 1.0
percent annual rate during the first 3 months of 1982, compared with a 6.6 percent
decrease during the fourth quarter of 1981. This was the third consecutive quarter
of productivity decline 1n the private business sector. Output declined 4.2 percent
and hours decreased 3.3 percent during the first quarter. Although output has
declined for the past 4 quarters, the most recent decrease was smaller than the 6.8
percent decline recorded during the fourth quarter of 1981. On the other hand, hours
declined faster during the first quarter of 1982 than they had during the fourth
quarter of 1981.
Although the productivity measures relate output to the hours of all persons engaged
1n each sector, they do not measure the specific contributions of labor, capital,
or any other single factor of production. Rather, they reflect the1 joint effects of
many Influences, Including new technology, capital Investment, the level of output,
capacity utilization, energy use, and managerial skill, as well as the skills and
efforts of the work force.




-2Table A. Productivity and costs: percent change at annual rate
(Seasonally adjusted)

Sector

Productivity

Hourly
compensation

Unit
labor
cost

Real
hourly
compensation

Output

Hours

Preliminary
Fourth Quarter 1981 to First Quarter 1982
Private business
Nonfarm business
Manufacturing
Durable
Nondurable

-1.0
0.3
-5.8
-7.1
-4.0

8.1
8.4
10.9
10.9
11.4

9.1
8.1
17.8
19.5
16.0

4.7
5.0
7.4
7.4
7.9

-4.2
-3.0
-14.6
-16.9
-11.0

-3.3
-3.3
-9.3
-10.6
-7.3

-2.9
-3.3
-7.9
-9.1
-6.1

-1.6
-1.6
-5.1
-6.0
-3.7

First Quarter 1981 to First Quarter 1982
Private business
Nonfarm business
Manufacturing
Durable
Nondurable

-1.4
-1.8
-3.0
-3.3
-2.6

8.3
8.4
9.6
9.7
9.8

9.8
10.4
13.0
13.5
12.6

0.8
0.9
2.0
2.1
2.2

Hourly compensation, which includes wages and salaries, supplements, and
employer payments for social security and other employee benefit plans,
increased at an 8.1 percent annual rate, the smallest f i r s t - q u a r t e r gain since
1977.
First-quarter Increases in hourly compensation were larger than subsequent
quarters' gains in 7 of the past 10 years. During the fourth quarter of 1981,
hourly compensation rose 5.5 percent.
Real hourly compensation—which adjusts for changes in the Consumer Price Index
for All Urban Consumers (CPI-U)—Increased 4.7 percent in the f i r s t quarter of
1982, the f i r s t rise in this series since the second quarter of 1981 and the
largest increase since the 5.1 percent annual rate of increase during the second
quarter of 1976. The 3.3 percent increase in the CPI-U was the smallest gain 1n
this measure since the 3.2 percent Increase of the second quarter of 1976.
Unit labor cost, which reflects changes 1n productivity and hourly compensation,
Increased at a 9.1 percent annual rate during the f i r s t quarter, compared with a
13.0 percent increase during the fourth quarter of 1981. Unit nonlabor
payments—which consist of Indirect business taxes, depreciation, net interest,
and profits—declined at a 10.3 percent annual rate, compared with a 0.4 percent
Increase during the fourth quarter of 1981. This was the f i r s t decline in this
series since the 6.8 percent decrease during the f i r s t quarter of 1978, and the
largest quarterly decline since the 12.5 percent drop during the third quarter of
1959.

-3The Implicit price deflator—which measures price change 1n a specific sector
and reflects changes 1n unit labor cost and unit nonlabor payments
comb1ned--1ncreased 2.8 percent in the f i r s t quarter, compared with an 8.9
percent rise during the fourth qu-arter of 1981. This was the smallest price
rise in this sector since the 2.8 percent gain during the f i r s t quarter of
1976.
Compared with the f i r s t quarter of 1981, productivity declined 1.4 percent, as
output f e l l 2.9 percent and hours dropped 1.6 percent. Hourly compensation
rose 8.3 percent (0.8 percent after allowing for the Increase 1n the CPI-U),
unit labor cost increased 9.8 percent, nonlabor payments rose 1.1 percent, and
the I m p l i c i t price deflator Increased 7.0 percent.
Nonfarm business sector
Productivity Increased 1n the nonfarm business sector by 0.3 percent during the
f i r s t quarter, reflecting a 3JD percent decline 1n output and a 3.3 percent
decrease in hours of a l l persons. During the fourth quarter of 1981,
productivity dropped 6.9 percent, output f e l l 7.7 percent, and hours decreased
0.9 percent. The f i r s t - q u a r t e r declines marked the fourth consecutive
quarterly drop 1n output and the second in hours.
Nonfarm hourly compensation Increased 8.4 percent 1n the f i r s t quarter of 1982,
compared with a 6.3 percent rise during the fourth quarter of 1981. Real
hourly compensation Increased at a 5.0 percent annual rate during the f i r s t
quarter, compared with a 1.4 percent decline during the fourth quarter of
1981. This was the f i r s t Increase In the series since the second quarter of
1981 and the largest gain since the 5.5 percent rise In the second quarter of
1976.
Unit labor cost rose 8.1 percent during the f i r s t quarter of 1982, compared
with a 14.1 percent rise during the fourth quarter of 1981. Unit nonlabor
payments f e l l at a 10.2 percent annual r a t e , and the I m p l i c i t price deflator
rose 2.2 percent. During the preceding quarter, nonlabor payments Increased
1.8 percent and prices rose 10.1 percent 1n this sector ( a t seasonally adjusted
annual r a t e s ) .
Compared with the f i r s t quarter of 1981, productivity declined 1.8 percent,
output f e l l 3.3 percent, and hours of a l l persons declined 1.6 percent. Hourly
compensation went up 8.4 percent, unit labor cost rose 10.4 percent, and unit
nonlabor payments increased 1.2 percent. The i m p l i c i t price deflator rose 7.5
percent over the 4-quarter span.




-4Manufacturing
Productivity in the manufacturing sector f e l l at a 5.8 percent annual rate in
the f i r s t quarter of 1982, as output f e l l 14.6 percent and hours dropped 9.3
percent. During the fourth quarter of 1981, productivity declined 10.8
percent, output f e l l 18.5 percent, and hours dropped 8.7 percent (at seasonally
adjusted annual r a t e s ) . This was the third quarter of f a l l i n g or unchanged
output, and the fourth quarter of f a l l i n g hours in manufacturing. The decline
in hours in part reflects a drop in employment of about 772,000 during the past
2 quarters. Average weekly hours declined at a 1.4 percent annual rate during
the f i r s t quarter, the fourth quarter of decline in this measure.
Hourly compensation increased at a 10.9 percent annual rate during the f i r s t
quarter, compared with a 7.6 percent gain during the fourth quarter of 1981.
After allowing for the increase in the CPI-U, real hourly compensation
increased 7.4 percent during the f i r s t quarter, compared with a 0.2 percent
decline during the fourth quarter of 1981. This was the largest quarterly gain
in real hourly compensation in manufacturing since the 7.6 percent gain during
the f i r s t quarter of 1960.
Compared with the f i r s t quarter of 1981, productivity declined 3.0 percent, as
output f e l l 7.9 percent and hours dropped 5.1 percent. Hourly compensation
rose 9.6 percent ( 2 . 0 percent after allowing for the rise 1n the CPI-U), and
unit labor cost Increased 13.0 percent. Employment dropped 3.4 percent over
the 4-quarter span.
Fourth quarter measures for nonfinancial corporations
Fourth quarter 1981 productivity and cost measures were also announced today
for the nonfinancial corporate sector, together with revised annual movements.
(See table B.) Output per all-employee hour declined at a 5.5 percent annual
rate during the fourth quarter, as output declined 7.8 percent and hours f e l l
2.4 percent. This was the largest quarterly productivity decline in this
sector since the 6.5 percent drop during the f i r s t quarter of 1974. Hourly
compensation Increased 6.9 percent, and real hourly compensation declined 0.8
percent. Unit labor cost rose 13.2 percent, the largest gain since a 17.3
percent gain during the third quarter of 1974. Unit p r o f i t s declined at a 32.6
percent annual r a t e , compared with a 15.7 percent gain during the third quarter
(annual r a t e s ) . See table 3.

-6-

-5Table B. Nonfinandai corporations
Percent change 1n productivity and costs at annual rates
(Seasonally adjusted)
Third quarter 1981

Item

Output per all-employee hours
Hourly compensation
Unit labor cost
Real hourly compensation
Output
Hours
Unit profits

Productivity Measures for
Selected Industries, 1954-80
Fourth quarter 1980

to

to

fourth quarter 1981
PRELIMINARY

fourth quarter 1981
PRELIMINARY

-5.5

6.9
13.2
-0.8
-7.8
-2.4
-32.6

1981
Annual
REVISED

U.S. Department of Labor
Raymond J Donovan. Secretary
Bureau of Labor Statistics
Janet L. Norwood. Commissioner
• A p r i l 1982

2.4

0.6
9.2
8.6

10.0

-0.3

-0.3

0.7
0.1

3.4
1.0

4.5

14.9

Bulletin 2128

7.4
Productivity Measures for Selected Industries, 195U-8O, BLS Bulletin
2128, has been prepared by the Division of Industry Productivity
Studies and i s now available.

Revised measures
The productivity and cost measures contained in this release for the manufacturing
sector incorporate small revisions in the underlying output measures prepared by the Board
of Governors of the Federal Reserve System and the Bureau of Economic Analysis of the U.S.
Department of Commerce. All affected quarters are found in this release; see tables 4-6 and
appendix tables A-C.




This 228 page b u l l e t i n contains annual

indexes of output per employee hour, output and employee hours for
about 103 industries in the nonfarra sector.

The indexes are available

for most industries through 1980. Please c a l l Charles W. Ardolini,
202-523-92M for additional information.

BLS Bulletin 2128 can be

ordered from the Superintendent of Documents, U. S. Government
Printing Office, Washington, D.C. 20^02 (Stock No. 029-001-02702-8),
GPO Bookstores, or BLS Regional Offices l i s t e d below.
$7.00.

The price i s

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HOURLY

TA3L6 1.PRIVATE BUSINESS
COMPENSATION/ UNIT LABOR

CUT D UT P£R
HOUR
OF ALL PERSONS

YEAR AND
QUARTER

SECTOR/ ALL PERSONS: PRODUCTIVITY/
C O S T , AND P R I C E S / S E A S O N A L L Y A D J U S T E D
REAL
COMPENSATION PER
H0URC2)

UNIT
LABOR
COST

UNIT NONLABOR PAYMENTS(3)

IMPLICIT
PRICE
DEFLATOR

139.8
143.3
146.5
148.5

96.1
96.9
96.3
95.8

139.4
141.6
145.2
149.7

127.6
129.3
132.4
132.6R

135.4
137.5
140.9
143.9

108.5

144.6

96.3R

144.0

130.6R

139.4

107.5?

151.4P

96.9P

153.OP

129.OP

144.9P

17.1
5.3
10.1
0.4R

10.0
6.2
10.4
8.9R

OUTPUT

HOURS
OF ALL
PERSONS

100.3
101.2
100.9
99.2

109. 5
1C9.5
1C9.4
1C7.5

109.2
108.2
108.4
108.4

100.4

1 0 9 .0 R
106.3P

COMPENSATION PER
HQUR(I)

INDEXES 1977=100
1981

I
II
III
IV
ANNUAL

1982

I

93.9P

PERCENT CHANGE FROM PREVIOUS QUARTER
1981

I
II
III
IV

4.7
3.5
-1.1
-6.6R

ANNUAL
1982

7.9
-0.1
-0.3
-6.3

3.0
-3.5
0.8
-0.2

11 .9
10.4
9.3
5.5

0.5
3.2
-2.3
-2.1

6.9
6.6
10.6
13.OR

2.C

0.9

10.0

-0.3

8.8

10.4R

9.3

9.1P

-10.3P

2.8P

1 .1

I

AT ANNUAL RATE(5)

8.1P

-3.3P

-1 .OP
•

'

•

2

4.7P

O

QUARTER OF PREVIOUS
1981

I
II
III
IV

0.8
2.1
1 .5
0.0

I

SEE FOOTNOTES
R=REVISED

FOLLOWING

YEARC6)

0.0
1.7
2.0
0.0

10.6
10.1
10.1
9.3

-0.6
0.3
-0.6
-0.2

9.7
7.8
8.5
9.3R

10.8
11 .5
10.6
8.1R

10.1
9.0
9.1
8.9R

10.0

-0.3

8.8

1C.4R

9.3

1 . 1

2.0

0.9

-1 ,4P

-2.9P

-1.6P

ANNUAL
1982

0.8
3.9
3.5
0.0

8.3P

0.8P

9.8P

1 .1P

7.OP

TA8LE 6.
APRIL 29, 1982
SOURCE: BUREAU OF LAB08 STATISTICS

P=PRELIMINARY

TABLE 2. NONFARM BUSINESS SECTOR* ALL PERSONS: PRODUCTIVITY/
HOURLY COMPENSATION/ UNIT LABOR COST/ AND PRICES/ SEASONALLY ADJUSTED

YEAR AND
QUARTER

OUTPUT PER
HOUR
OF ALL PERSONS

OUTPUT

HOURS
OF ALL
PERSONS

COMPENSATION PER
HCURd)

REAL
COMPENSATION PER
HOUR(2)

UNIT
LABOR
COST

UNIT NONLABOR PAYMENTS<3)

IMPLICIT
PRICE
DEFLATOR

INDEXES 1977=100
1981

I
II
III
IV
ANNUAL

I

1982

100.0
100.4
99.9
98.2

109.7
109.4
109.0
106.9

109.7
109.0
109.1
108.9R

139.2
142.4
145.7
147.9

95.7
96.3
95.8
95.4

139.1
141.9
145.8
150.7R

127.8
128.7
132.2
132.8R

135.3
137.5
141.2
144.7R

99.7

108.8

109.1

143.9

95.9

144.3

130.4R

139.7R

98.3P

106.1P

108.OP

150.9P

96.6P

153.6P

129.2P

145.5P

20.2
3.0
11.3
1.8R

11.0
6.5
11.4
10.1R

PERCENT CHANGE FROM PREVIOUS QUARTER AT ANNUAL RATE(5)
1981

I
II
III
IV
ANNUAL

1982

I

1981

I
II
III
IV

4.4
1.4
-1 .7
-6.9R

7.9
-1 .1
-1.4
-7.7

0.9

1.9

0.3P

-3.OP

3.4
-2.5
0.4
-0.9R

11.7
9.6
9.5
6.3R

0.3
2.5
-2.2
-1.4R

1.0R

10.OR

-0.3

-3.3P

8.4P

PERCENT CHANGE

ANNUAL
1982

I

SEE FOOTNOTES FOLLOWING
R=REVISED
P=PRELIMINARY




1.2
2.3
0.9
-0.8

1 .1
4.1
3.0
-0.7

0.9

1 .9

-1.8P

-3.3P

5.OP

7.0
8.1
11.5
14.1R

9.0
a.ip

10.9R
-10.2P

9.6
2.2P

FROM CORRESPONDING QUARTER OF PREVIOUS YEAR(6)

-0.1
1.8
2.1
0.1

10.5
10.0"
10.2
9.3R

-0.7
0.3
-0.6
-0.2

1.0R

10.OR

-0.3

-1.6P

8.4P

0.9P

9.2
7.6
9.2
10.1

9.0
10.4P

12.2
11.8
10.9
8.8
10.9R
1.2P

10.1
8.9
9.7
9.7

9.6
7.5P

TABLE 6.
APRIL 29/ 1982
SOURCE: BUREAU OF LABOR

STATISTICS

TABLE 3. NONFINANCIAL. CORPORATIONS: PRODUCTIVITY/ HOURLY COMPENSATION
UNIT LA30R COST/ UNIT PROFITS/ AND PRICES/ SEASONALLY ADJUSTED
YEAR
AND
QUARTER

OUTPUT
PER ALL"
EMPLOYEE
HOUR

OUTPUT

EMPLOYEE HOURLY
REAL
HOURS COMPENSA- HOURLY
TION
COMPEN"
(1)
SATIONC2)

103. 4R
104. OR
103. 8
102. 4P

112. 8
112. 3
112. 8
110. 5P

109
108
108
108

103. 5

112. 39

10S .5

UNIT
LABOR
COST

UNIT
NONLABOR
COST(8)

TOTAL
UNIT
COST
(9)

UNIT
PROFITS
(10)

IMPLICIT
PRICE
DEFLATOR

INDEXES 1977=100
I
II
III
IV
ANNUAL

.1
.59
. 6R
.OP

139. 3R
142. 4R
145. 5
14S. OP

95 .8R
96 .39
95 .7R
95 .5P

134.7
137.0
140.2
144 .6P

139. 5
143. 6
147. 7
153. 8P

136. 0
138. 7
142. 2
147. OP

106.8
102.8
106.7
96.6P

132
134
138
141

.7
.7

143. g

95 .9

139.OR

146. 1

140. 9

103.6R

136 .7

.2
• 4P

PERCENT CHANGE FROM PREVIOUS QUARTER AT ANNUAL RATE(5)
I
II
III
IV

6.6R
2.2
-0.5
-5.5P

11.5
0.1
-0.1
-7.3P

4.6R
-2.0
0.5R
-2.4P

11 .7R
9.3
9.1R
6.9P

0.3R
2.1
-2.5
-0.8P

4.3
7.0
9.7
13.2P

2.4S

3 .4

1.09

1C.0R

-0.3

7.4

3 .2R
3 .8
2 .0
0 .6P

2.6
5.6
4. 7
0.7P

2 . 4R

3.4

7.9
12.3
11.8
17. 6?
12.2

5.6
8.4
10.3
14.4P

77.9
-13.9
15.7
-32.6P

10.4
6.2
10.7
9.6P

8.7

14.9R

9.2

PERCENT CHANGE FROM C O R R E S P O N D I N G QUARTER OF P R E V I O U S
I
II
III
IV
ANNUAL

-0 .5
1 .7R
2 .7
0 .1P
1 • OR

YEAR(6)

1C.8
1G.1
9.9R
9.2P

-0. 4R
0. 4R
-o. 3R
-o.3P

7 .4
6 .1
7 .7
8 .6P

15.4
11.1
10.4
12.3P

9.5
7.4
8.4
9.6P

11. 8
23. 3
19. 7
4. 5P

9 .7
8 .6
9 .3
9 .2P

10.OR

-o.3

7 .4

12.2

8.7

14. 9P

9 .2

SEE FOOTNOTES FOLLOWING TABLE 6.
R=REVISED
P=PRELIMINARY

APRIL 2 9 / 1982
S O U R C E : 3UREAU OF LABOR

STATISTICS

TABLE 4. M A N U F A C T U R I N G SECTOR: P R O D U C T I V I T Y / HOURLY
C O M P E N S A T I O N / UNIT LABOR COST/ SEASONALLY ADJUSTED
YEAR AND
QUARTER

CUT°UT PER
HOUR
OF ALL PERSONS

OUTPUT
(7)

HOURS
OF ALL
PERSONS
INDEXES

1981

1982

I
II
III
IV

COMPENSATION PER
HOURd )

REAL
COMPENSATION PER
HCU*(2>

UNIT
LABOR
COST

1977=100

103.6R
104.6R
105.OR
102.OR

1C6 .4R
107 .29
1C7 .2R
1C1 .9R

102.7
102.5
102.2
99.9

141 .1
144. 8
148. 0
150. 8R

ANNUAL

104.09

105 .3R

101.7

146. 2

I

100.5?

98 .OP

97.5P

97 .1
97 .9
97 .3
97 • 3R

136. 2R
138. 4R
141. OR
147. 8R

154. 7P

PERCENT CHANGE FROM PREVIOUS QUARTER AT ANNUAL RATEC5)
I
II
III
IV
ANNUAL
I

1. 9R
4. 1R
1 .2
- 1 0 . 8R

5.OR
3.3
0.C9
-18.5

2. 2R

2.19

-5. 8P

-14,6P

3.6
-0.8
-1.2
-8.7R

11.6
10.8
9.3
7.6R

-0.1

11 .1

0.7

-9.3P

10.9P

7.4P

9. 5R
6. 4R
7. 9R
20. 7

0.2
3.5
-2.4
-0.2R

8. 7R
17. SP

PERCENT CHANGE FPOM CORRESPONDING QUARTER OF PREVIOUS YEAR(6)
I
II
III
IV

1 .5S
3.3R
4.2R
-1 .1R

-1 .6R
5.53
7.49
-2.99

12.5
11 .4
10.5
9.8

1 .1
1.5
-0.2
0.3R

11.1

0.7

2.2R

2.1R

-0 .1

-3.OP

-7.9P

-5 .1P

ANNUAL
I
SEE FOOTNOTES FOLLOWING TABLE
R=REVISED
P=PRELIMINARY




-3 .0
1
3 :«
-1 .9R

9.6P

2.OP

10.9R
7.3R
6.OR
11.OR
8.7R
13.OP
APRIL 29/ 1982
SOURCE: BUREAU OF LABOR STATISTICS

TA3LE 5. DURABLE MANUFACTURING SECTOR: PRODUCTIVITY, HOURLY
COMPENSATION/ UNIT LABOR COST/ SEASONALLY A O J U S T E D ( H )

YEAR AND
QUARTER

OUTPUT *>zR
HOUR
OF ALL PERSONS

OUTPUT
(7)

HOURS
OF ALL
PERSONS
INDEXES

1981

1982

UNIT
LABOR
COST

1977=100

101.7R
103.1R
103.29
100.1R

1C5.7P
107.OR
106.7R
100.6R

103.9
103.7
103.3
100.4R

141.7
145.3
148.7
151.5R

97.4
98.3
97.7
97.7

139.3R
141.OR
144.OR
151.3R

ANNUAL

102.3R

105.19

102.8

146.9

97.9

143.6R.

I

98.3P

96.OP

155.5P

99.5P

158.2P

I
II
III

2.6R
5.6*
0.5R

6.29
5.1R
-1.2R

IV

•11 .5R

-20.9R

ANNUAL

2.6R

2.2R

I

-7.1P

-16.9P

1982

97.7P

FROM PREVIOUS QUARTER
3.4
-0.5
-1.7
-10.7R

11.8
10.7
9.5
7.8R

-0.4

11.5

I
II
III

CHANGE

8.7R
4.8R
9.OR
21.7R

0.3
3.5
-2.1

8.7R
1.0

10.9P

19.5P
7.4P

FROM CORRESPONDING

5.OR

-2.6R
6.1 R
8.8 9

-0.9R

-3.49

-4.2
1.9
3.6
-2.5

2.6R

2.2R

-0.4

-3.3P
I
SEE FOOTNOTES FOLLOWING TA3LE
R=REVISED
P=PRELIMINARY

-9.1P

1.79

4.1 R

AT ANNUAL RATEC5)

O.OR

-10.6P

PERCENT
1981

REAL
COMPENSATION PER
HOURC2)

I
II
III
IV

PERCENT CHANGE
1981

COMPENSATION PER
HCURC1)

QUARTER OF PREVIOUS YEAR(6>

13.2
11.8
10.8
9.9

1.7
1.9
0.0
0.4R

11.5

1.0

8.7R

2.1P

13. 5P

11.3R
7.4R
5.6R
10.9R

IV
ANNUAL
1982




-6.OP

9.7P

6.
APRIL 29/ 1982
SOURCE: BUREAU OF LABOR

STATISTICS

TABLE 6. NONDURABLE MANUFACTURING SECTOR: PRODUCTIVITY/ HOURLY
COMPENSATION/ UNIT LA90R COST/ SEASONALLY ADJUSTED<12)

YEAR AND
QUARTER

OUTPUT PER
HOUR
OF ALL PERSONS

OUTPUT
(7)

HOURS
OF ALL
PERSONS

COMPENSA
TION PER
HOURd)

REAL
COMPENSATION PER
HOURC2)

UNIT
LABOR
COST

INDEXES 1977=100
1981

1982

I
II
III
IV

106.5R
107.OR
107.6R
104.8R

107.4R
107.7R
108.1R
103.8R

100.9
100.6
100.5
99.1

139.7
143.3
146.4
149.2

96.1
96,9
96.2
96.3R

131.2R
133.9R
136.0R
142.4R

ANNUAL

106.6R

106.8R

100.2

144.7

96.4

135.7R

I

103.BP

100.9P

153.3P

98.1P

147.7?

97.2P

PERCENT CHANGE FROM PREVIOUS QUARTER
1981

I
II
III
IV

0.7R
OR
4R
-10.OR

ANNUAL

1.7R

4.6R
0.8R
1 .8R

3.9
-1.1
-0.6
-5.4R

11.4
10.7
8.9
8.OR

0.3

10.5

-4.OP

-7.3P

1981

CHANGE

I
II
III
IV

1 .1R
3.4R
3.2R
-1 .4R

O.OR
4.6R
5.4R
-2.2R

ANNUAL

1 .7R

2.OR

-2.6P

-6.1P

1982
SEE FOOTNOTES
R=REVISED
P=PRELIMINARY




10.6R
8.6R
6.4R
20.1R
8.7R

11.4P

16.OP

7.9P

-11.OP
PERCENT

0.0
3.5
-2.7

0.1

2.OR
I

RATEC5)

0.2R

-14.9R

1982

AT ANNUAL

FROM CORRESPONDING QUARTER OF PREVIOUS

Y£AR(6)

-1.0
1.1
2.1
-0.9R

11.7
10.5
9.8
9.8R

0.4
0.7
-0.9
0.2

10.5R
6.9R
6.4R
11.3R

0.3

10.5

0.1

8.7R

-3.7P

9.8P

2.2P

12.6P

FOLLOWING TA3LE 6,
APRIL 29/ 1982
SOURCE: BUREAU OF -LABOR

STATISTICS

F O O T N O T E S / T A 3 L E S 1-6

S O U R C E : O U T P U T DATA FROM B U R E A U OF E C O N O M I C A N A L Y S I S / U . S . D E P A R T M E N T OF C O M M E R C E / AND THE F E D E R A L R E S E R V E B O A R D .
C O M P E N S A T I O N A N D H O U R S DATA FROM THE B U R E A U OF L A B O R S T A T I S T I C S / U . S . D E P A R T M E N T OF LABOR/ AND T H E 8 U R E A U OF E C O N O M I C A N A L Y S I S .
R E L I A B I L I T Y : B A S E D ON DATA C O V E R I N G T H E P E R I O D FROM T H E FIRST Q U A R T E R OF 1 9 7 6 TO T H E F I R S T Q U A R T E R OF 1 9 8 1 / T H E P R O B A B I L I T Y
IS 0.95 T H A T T H E I N T E R V A L B E T W E E N - 2 . 0 AND 2.4 INDEX P O I N T S C O N T A I N S T H E R E V I S I O N OF T H E INDEX OF P R O D U C T I V I T Y IN T H E P R I V A T E
B U S I N E S S S E C T O R FROM T H E F I R S T TC THE T H I R D G U A R T E R L Y P U B L I C A T I O N OF THE E S T I M A T E .
(1)

W A G E S AND S A L A R I E S OF E M P L O Y E E S PLUS E M P L O Y E R S ' C O N T R I B U T I O N S FOR S O C I A L I N S U R A N C E AND P R I V A T E B E N E F I T P L A N S . E X C E P T FOR
N O N F I N A N C I A L C O R P O R A T I O N S / W H E R E T H E R E A R E NO S E L F - E M P L O Y E D / DATA A L S O I N C L U D E AN E S T I M A T E OF W A G E S / S A L A R I E S / AND
S U P P L E M E N T A L P A Y M E N T S FOR T H E S E L F - E M P L O Y E D .

(2)

C O M P E N S A T I O N PER HOUR A D J U S T E D FOR C H A N G E S IN T H E C O N S U M E R P R I C E I N D E X FOR A L L URBAN C O N S U M E R S .

(3)

N O N L A B O R P A Y M E N T S I N C L U D E P R O F I T S / D E P R E C I A T I O N / I N T E R E S T / R E N T A L I N C O M E / AND I N D I R E C T T A X E S .

(4)

C U R R E N T D O L L A R G R O S S P R O D U C T D I V I D E D BY C O N S T A N T D O L L A R G R O S S

(5)

P E R C E N T C H A N G E C O M P O U N D E D AT A N N U A L RATE FROM T H E O R I G I N A L DATA R A T H E R T H A N INDEX N U M B E R S .

(6)

C U R R E N T Q U A R T E R D I V I D E D BY C O M P A R A B L E Q U A R T E R A YEAR A G O .

(7)

Q U A R T E R L Y M E A S U R E S A D J U S T E D TO A N N U A L E S T I M A T E S OF O U T P U T (GROSS P R O D U C T O R I G I N A T I N G ) FROM T H E B U R E A U OF E C O N O M I C
U . S . D E P A R T M E N T OF C O M M E R C E .

(8)

UNIT N O N L A B O R C O S T I N C L U D E S D E P R E C I A T I O N , I N T E R E S T / AND I N D I R E C T T A X E S .

(9)

TOTAL UNIT C O S T IS T H E SUM OF L A B O R AND N O N L A B O R

PRODUCT.

ANALYSIS/

COSTS.

( 1 0 ) U N I T P R O F I T S I N C L U D E C O R P O R A T E P R O F I T AND I N V E N T O R Y V A L U A T I O N

ADJUSTMENT.

( 1 1 ) THE D U R A B L E S E C T O R I N C L U D E S THE F O L L O W I N G 2 - D I G I T SIC I N D U S T R I E S : P R I M A R Y M E T A L ; F A B R I C A T E D M E T A L P R O D U C T S ; N O N E L E C T R I C A L
MACHINERY; ELECTRICAL MACHINERY; TRANSPORTATION EQUIPMENT; INSTRUMENTS; LUMBER AND LUMBER PRODUCTS; FURNITURE AND FIXTURES;
STONE/ CLAY/ & GLASS PRODUCTS; AND MISCELLANEOUS MANUFACTURES.
(12)

THE N O N D U R A B L E SECTOR I N C L U D E S THE F O L L O W I N G 2-DIGIT SIC I N D U S T R I E S :
T E X T I L E M I L L PRODUCTS/' A P P A R E L P R O D U C T S / * L E A T H E R
A N D L E A T H E R P R O D U C T S ; P R I N T I N G A N D P U B L I S H I N G / ' C H E M I C A L S A N D C H E M I C A L P R O D U C T S ; P E T R O L E U M PRODUCTS/" R U B B E R A N D P L A S T I C
PRODUCTS; FOODS; AND TOBACCO PRODUCTS.

(13) SCHEDULING OF T H E RELEASE OF T H E N E W CONSUMER PRICE INDEX FOR A L L URBAN CONSUMERS (CPI-U) PRECLUDES T H E U S E OF REAL HOURLY
COMPENSATION (HOURLY COMPENSATION ADJUSTED FOR GUARTERLY CHANGES IN T H E CPI-U) WITH PRELIMINARY PRODUCTIVITY A N D COST
MEASURES.
THESE WILL 8 E P U B L I S H E D T O G E T H E R WITH REVISED OUTPUT A N D LABOR INPUT MEASURES WITH T H E N E X T R E G U L A R E D I T I O N OF
PRODUCTIVITY AND COSTS/ APPROXIMATELY 3 0 DAYS AFTER T H E PRELIMINARY MEASURES.
*
*
*
*
*
*
*

T H E P R O D U C T I V I T Y A N D A S S O C I A T E D COST M E A S U R E S IN T H I S P R E S S R E L E A S E D E S C R I B E T H E R E L A T I O N S H I P
B E T W E E N O U T P U T IN REAL TERMS A N D T H E LABOR TIME INVOLVED IN I T S P R O D U C T I O N .
THEY SHOW T H E
C H A N G E S FROM P E R I O D T O P E R I O D IN T H E A M O U N T O F L A B O R TIME R E Q U I R E D T O P R O D U C E A U N I T OF O U T P U T .
A L T H O U G H T H E S E M E A S U R E S R E L A T E O U T P U T TO H O U R S OF A L L P E R S O N S E N G A G E D IN A S E C T O R / T H E Y D O N O T
M E A S U R E T H E S P E C I F I C C O N T R I B U T I O N S 0 P L A B O R / C A P I T A L / OR A N Y OTHER FACTOR OF P R O D U C T I O N .
RATHER/
THEY R E F L E C T T H E J O I N T E F F E C T S OF MANY I N F L U E N C E S / I N C L U D I N G C H A N G E S IN T E C H N O L O G Y ; CAPITAL
I N V E S T M E N T ; L E V E L OF O U T P U T ; U T I L I Z A T I O N OF C A P A C I T Y ; E N E R G Y AND M A T E R I A L S ; T H E O R G A N I Z A T I O N




*
*
•
*
•
*
*

APPENDIX TA3L6 A. MANUFACTURING SECTOR: PRODUCTIVITY, HOURLY
COMPENSATION, UNIT LABOR COST/ SEASONALLY ADJUSTED

YEAR AND
QUARTER

OUTPUT PER
HOUR
OF ALL PERSONS

OUTPUT

HOURS
OF ALL
PERSONS

(7)

INDEXES
1979

I
II
III
IV
ANNUAL

1980

I
II
III
IV
ANNUAL

1930

107.7
106.1
106.4
106.0

114.5
118.6
119.8
122.3

100.2
100.7
98.5
97.2

112.9
115.9
117.5
119.8

102.0

108.6

106.5

118.8

99.2

116.5

102.1
100.5
100.7
103.1

1C8.1
101.7
99.9
104.9

105.8
100.9
99.2
101.8

125.4
130.0
133.9
137.3

96.0
96.5
97.5
97.0

122.8
129.0
133.0
133.2

101.7

103.6

101.9

131.6

96.8

129.4

CHANGE

FROM PREVIOUS

QUARTER

AT ANNUAL

RATEC5)

I
II
III
IV

'Z.2
3.5
-1.2
0.4

3.5
-2.6
-0.1
-0.8

5.8
-5.9
1.2
-1.3

11.3
15.0
4.2
3.4

0.8
2.3

13.7
11.1

-8.5
-5.1

5.6
8.0

ANNUAL

1.1

3.1

2.0

9.8

-1.3

8.6

I
II
III
IV

-0.1
-4.9
-0.3
9.8

-0.3
-21 .6
-6.3
21.8

-0.7
-17.6
-6.6
11.0

10.5
15.5
12.7
10.5

-5.1

2.1
4.6

10.7
21.5
13.0

-2.2

0.6

ANNUAL

-0.3

-4.6

-4.4

10.7

-2.5

11.0

I
II
III
IV
ANNUAL

1980

1977=1 00

109.3
108.5
108.5
108.3

°E3C.ENT CHANGE
1979

UNIT
LABOR
COST

101.4
102.3
102.0
102.1

PERCENT
1979

REAL
COMPENSATION PER
H0URC2)

COMPENSATION PER
H0URC1)

I
II
III
IV

SEE FOOTNOTES
R=REVISED
P=PRELIMINARY




FOLLOWING

QUARTER

OF PREVIOUS

YEARC6)

9.8
9.7

1.0
0.3
1.7
2.7

6.6
9.1
9.5
9.5

2.0

9.8

1.3

8.6

-1.7
-4.9
-6.3
-4.0

9.5
9.6

1.0

-1 .1
-6.3
-7.9
-3.1

11.8
12.3

4.2
4.2
1.0
0.2

8.8
11.3
13.2
11.2

-0.3

-4.6

-4.4

10.7

-2.5

11.0

2.0
1.7
0.3
0.1

7.2
3.7
1.8
0.0

-0.1

1 .1

3.1

0.6
-1 .5
-1 .3

ANNUAL

FROM CORRESPONDING

TABLE

5.1
2.0
1.5

8.7
11.0

6.
APRIL 29/ 1932
SOURCE: BUREAU OF LABOR

STATISTICS

APPENDIX TABLE 3. DURABLE MANUFACTURING SECTOR: PRODUCTIVITY/ HOURLY
COMPENSATION/ UNIT LA30R COST/ SEASONALLY ADJUSTEDC11)

YEAR AND
QUARTER

OUTPUT PER
HOUR
OF ALL PERSONS

OUTPUT

HOURS
CF ALL
PERSONS

(7)

INDEXES
1979

I
II
III
IV
ANNUAL

1980

I
II
III
IV
ANNUAL

1980

110.S
108.6
109.3
108.7

114.1
118.4
119.3
121.5

99.8
100.6
98.,1
96.6

113.3
116.6
119.2
121.1

100.7

110.2

109.3

118.4

98.8

117.5

100.0
99.0
98.4
101.0

1C8.5
100.8
98.0
104.1

108.4
101.8
99.7
103.0

125.2
130.0
134.2
137.8

95.8
96.5
97.7
97.4

125.1
131.3
136.4
136.4

99.7

102.9

103.2

131.7

96.9

132.1

CHANGE

FROM PREVIOUS QUARTER AT ANNUAL

-4.4

2.7

7.4

3.4

-7.8

0.9

-4.6
-2.9
-1.4

-2.3

ANNUAL

-0.2

2.S

I
II
III
IV

-1.4
-3-8
-2.8
11.3

ANNUAL

-1.1

ANNUAL
1980

1977=100

I
II
III
IV

I
II
III
IV

I
II
III
IV
ANNUAL

SEE FOOTNOTES FOLLOWING




UNIT
LABOR
COST

111.6
110.3
1C9.5
109.1

-5.5

11.3
16.1

RATEC5)

3.1
7.5

0.8
3.3
-9.5
-5.9

16.5
12.3
9.1
6.5

3.0

9.8

-1.3

10.1

-2.4
-25.4
-10.5
26.9

-1 .0
-22.4
-8.0
14.1

12.5
16.5
13.4
11.2

-3.4
3.0
5.2
-1.4

14.1
21.1
16.6
0.0

-6.6

-5.6

11.3

-2.0

12.5

PERCENT CHANGE
1979

REAL
COMPENSATION PER
H0UR<2)

100.7
101.6
100.1
100.4

PERCENT
1979

COMPENSATION PER
HCURC1)

2.7

FROM CORRESPONDING

QUARTER OF PREVIOUS

YEARC6)

1.4
0.5
-1.6
-1.5

S.7
3.8
0.7
-1 .6

7.3
3.3
2.4
-0.1

8.7
11.3
9.9
9.4

1.0
0.6
1.6
3.0

7.2
10.7
11.8
11.0

-0.2

2.8

3.0

9.8

1.3

10.1

-0.7
-2.5
-1.8
0.6

-2.8
-8.6
-10.5
-4.6

-2.2
-6.3
-8.8
-5.2

9.7
9.8
12.4
13.4

4.0
4.1
0.4
0.8

10.5
12.6
14.5
12.7

-1.1

-6.6

-5.6

11.3

-2.0

12.5

TA3LE

6.

APPENDIX

? € * * AfiO
QUARTER

T A 9 L E C» N O N D U R A B L E M A N U F A C T U R I N G S E C T O R :
COMPENSATION/* UNIT LA30R C O S T / S E A S O N A L L Y

OUTPUT *>£R
HOUR
OF ALL PERSONS

OUTPUT
(7)

HOURS
OF ALL
PERSONS
INDEXES

1979

1980

1980

COMPENSATION PER
HCURd )

HOURLY

REAL
COMPENSATION PER
H0URC2)

UNIT
LABOR
COST

1977=100

I
II
III
IV

102.6
103.5
105.0
104.9

105.7
105.8
107.0
107.0

103.0
102.2
101.9
102.0

114.5
118.2
119.9
122.9

100.1
100.3
98.5
97.7

111.5
114.1
114.2
117.2

ANNUAL

104.0

106.4

102.3

118.8

99.2

114.3

I
II
III
IV

105.4
103.5
104.3
106.3

107.4
102.9
102.6
106.2

102.0
99.5
98.4
99.9

125.0
129.6
133.3
136.0

95.7
96.2
97.1
96.1

118.7
125.3
127.8
127.9

ANNUAL

104.9

1C4.8

99.9

130.9

96.3

124.8

PERCENT CHANGE
1979

PRODUCTIVITY/
ADJUSTEDC12)

FROM PREVIOUS QUARTER AT ANNUAL

1 .5
3.5
5.8
-0.3

4.8
0.6
4.4
0.1

3.3
-2.8

ANNUAL

3.2

I
II
III
IV

I
II
III
IV

RATEC5V

0.4

10.7
13.5
6.0
10.6

0.3
0.9
-7.0
-3.2

9.1
9.6
0.2
10.9

3.6

0.4

9.4

-1.7

6.0

1.8
-7 0
3.2
7.9

1.5
-15.7
-1 .2
14.9

-0.3
-9.4
-4.3
6.4

7.0
15.6
11.9
8.2'

-8.2
2.2
3.8
-4.2

5.1
24.2
8.4
0.2

0.9

-1 .5

-2.4

10.2

-2.9

9.2

•1.3

i

ANNUAL

PERCENT
1979

1980

CHANGE

FROM CORRESPONDING QUARTER OF PREVIOUS

YEARC6)

II
III
IV

3.1
3.6
3.4
2.6

5.0
3.5
3.5
2.4

1.8
-0.1
0.1
-0.1

8.2
10.0
9.4
10.1

1.5
0.6
2.1
2.3

5.0
6.2
5.8
7.4

ANNUAL

3.2

3.6

0.4

9.4

1.7

6.0

I
II
III
IV

2.7
0.0
•0.6
1.4

1.6
-2.8
-4.1
-0.7

-1.0
-2.7
-3.5
-2.1

9.2
9.7
11.2
10.6

4.4
4.1
1.5
1.7

6.4
9.7
11.9
9.1

ANNUAL

0.9

-1.5

-2.4

10.2

-2.9

9.2

SEE FOOTNOTES FOLLOWING
R=REVISED
P=PRELIMINARY



TABLE

6.
APRIL 29, 1982