BLS report: Multifactor productivity decreases 0.2% in 2016, first decline since 2009

[mahatmakanejeeves]

Multifactor productivity decreases 0.2% in 2016, first decline since 2009

Economic News Release USDL-17-0375

Multifactor productivity trends, 2016

For release 10:00 am (EDT) March 30, 2017
Technical information: [phone] • [e-mail] • www.bls.gov/mfp
Media contact: [phone] • [e-mail]

MULTIFACTOR PRODUCTIVITY TRENDS – 2016

Private nonfarm business sector multifactor productivity decreased at a 0.2-percent annual rate in 2016, the U.S. Bureau of Labor Statistics reported today. (See chart 1, table A.) This 2016 decline reflected a 1.7-percent increase in output and a 1.9-percent increase in the combined inputs of capital and labor. Capital services grew by 2.4 percent and labor input–which is the combined effect of hours worked and labor composition–grew by 1.6 percent. This was the first decline in multifactor productivity growth since 2009. (See table 1.)

Multifactor productivity is calculated by dividing an index of real output by an index of combined units of labor input and capital services. Multifactor productivity annual measures differ from BLS quarterly labor productivity (output per hour worked) measures because the former also includes the influences of capital services and shifts in the composition of the workforce. Measures for the most recent year of this release are preliminary estimates. See the Technical Notes for additional information.

Private business sector multifactor productivity decreased at a 0.1-percent annual rate in 2016. A 1.8-percent increase in output and a 1.9-percent increase in the combined inputs of capital and labor resulted in the multifactor productivity decline in 2016. (See table 2, table A.)

[center]Facilities for Sensory Impaired[/center]

Information from this release will be made available to sensory impaired individuals upon request. Voice phone: [phone], Federal Relay Services: 1-800-877-8339.

[rock]

1. Thanks Obama!

Er... Oh no, I mean Thanks Trump!!