WASHINGTON (MNI) - First quarter nonfarm productivity was revised modestly higher to a flat reading from a 0.6% decline previously reported, while unit labor costs were revised down to a 2.2%% pace of growth from the 3.0% rise in the preliminary estimate, data released by the Bureau of Labor Statistics Monday showed.
In addition, fourth quarter unit labor cost growth was revised sharply lower to a 4.6% rate of decline from the 1.3% gain previously reported due to inclusion of QCEW data. Productivity was unrevised at a 1.8% rate of growth in the fourth quarter.
First quarter output growth was revised up to a 1.7% pace from the 1.0% preliminary estimate, while hours worked growth was revised only modestly to a 1.7% pace from the 1.6% rate in the preliminary estimate.
Compensation growth was revised down to a 2.2% growth pace, while real compensation was revised down to a 0.9% rate of decline.
The year/year pace of productivity growth was revised up slightly to a 1.2% rate from 1.1% in the preliminary estimate.
Unit labor costs now stand only 1.1% higher than they were a year ago, a sharp downward revision from the 2.8% year/year estimate in the preliminary report due to the downward revisions in the fourth and first quarter. Unit labor costs were up 0.4% year/year in the fourth quarter, so there was still an acceleration in the most recent quarter.
