| U.S. worker productivity slowed further in the first quarter, with nonfarm productivity ' which measures output per hour worked ' rising at an annualized rate of 0.8%, according to the Labor Department's Bureau of Labor Statistics. The fourth-quarter productivity figure was revised down to 1.6% from the previously reported 1.8%. Productivity growth has steadily cooled since the sharp 5.2% jump recorded in the third quarter. On a yearly basis, productivity was up 2.9%. Despite the slowdown, economists expect productivity to improve as businesses continue investing heavily in artificial intelligence. Meanwhile, unit labor costs ' which measure the cost of labor for each unit of output ' increased at a 2.3% annualized rate in the first quarter. The fourth-quarter unit labor costs figure was revised higher to 4.6% from the previously reported 4.4%. Powered by Commodity Insights |