US labor costs fall at 1% rate

Labor , USA Dec 03, 2014 No Comments

US labor costs fall at 1% rateProductivity, the amount of output per hour of work, increased at an annual rate of 2.3% in the third quarter while labor costs fell at a rate of 1%, the Labor Department reported Wednesday. In the five-and-a-half years since the recession, when millions of workers lost their jobs and found it difficult to secure new ones, labor costs have remained well contained.

Over the past year, labor costs have risen 1.2%, a modest increase that is well below the long-run average of 2.8%. Productivity, the amount of output per hour of work, increased at an annual rate of 2.3% in the third quarter while labor costs fell at a rate of 1% in annual gains. That suggests that wages and salaries are not rising fast enough to spur inflation.

Via Productivity grew at 2.3% rate in 3Q – USA Today

Pascal Blanc

Pascal has implemented numerous software solutions in the areas of procurement, sourcing, spend management, supplier evaluation and performance. His clients include Fortune 500 companies in Europe, Asia and North America. He is a co-founder of Source & Procure.

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