04.09.202512:51:02UTC+00US Productivity Posts Strongest Gain Since 2023

In the second quarter of 2025, labor productivity within the nonfarm business sector in the United States experienced a significant rise of 3.3%. This positive shift comes after a 1.8% decline in the previous quarter and surpasses the initial estimate of 2.4%. It represents the most robust growth since the fourth quarter of 2023. During this period, output grew by 4.4%, recovering from a 0.6% contraction in the first quarter, while hours worked increased by 1.1%, slightly less than the 1.2% rise observed in the preceding period. Within the manufacturing sector, labor productivity improved by 2.5% in the second quarter, as output saw a 2.4% increase and hours worked decreased by 0.1%. When compared year-over-year, productivity showed a growth of 1.5%, following a 1.2% rise in the previous quarter.