Productivity Surges to 3-Year High in Q3 on Output Gains, Slowing Labor Costs
- Productivity jumps to +5.2% in Q3, exceeding expectations and hitting 3-year high
- Output increased 6.1% while hours worked only rose 0.9%
- Unit labor costs revised down to -1.2% vs -0.9% estimate, reflecting productivity gains
- Manufacturing productivity slipped 0.8% as output fell and hours worked rose
- Economist says boosting productivity key for faster growth, strong jobs and lower inflation