Productivity in the U.S. unexpectedly posted the first decline in almost four years and labor costs accelerated, suggesting a pickup in efficiency earlier this year was more of a temporary shift.
Nonfarm business employee output per hour decreased at a 0.3% annualized rate in the third quarter, according to Labor Department figures Wednesday.
From a year earlier, productivity rose 1.4%, down from 1.8% in the prior period. Unit labor costs were up 3.1% year-over-year -- the fastest since early 2014 -- which could be a sign that a tight job market is filtering through to what companies are spending on wages.
Read the full story, "U.S. productivity unexpectedly posts first drop since 2015," at bloomberg.com.