June 2, 2000 (The Editor’s Desk is updated each business day.)

Productivity rose fastest in computer factories

Output per hour increased during the 1987-97 period in 108 of 120 manufacturing industries analyzed by the Bureau of Labor Statistics. Labor productivity advanced 6.0 percent per year or more in seven industries.

[Chart data—TXT]

Computer and office equipment posted the largest increase in labor productivity, on average, 25.1 percent per year between 1987 and 1997. Unit labor costs declined by an average of 17.2 percent per year for this industry.

Annual productivity increases and unit labor cost reductions in the electronic components and accessories industry also averaged in the double digits from 1987 through 1997. Productivity increases averaged 19.8 percent per year and unit labor cost declines averaged 13.0 percent.

The data on productivity and unit labor costs for specific manufacturing industries are a product of the Industry Productivity program. Data are subject to revision. Labor productivity is measured by output per hour. Labor productivity for the manufacturing sector as a whole increased by an average of 3.0 percent per year between 1987 and 1997, according to a separate analysis. Find out more in news release USDL 00-155, "Productivity and Costs: Manufacturing Industries, 1987-1997."