Industry productivity in 1999

In 1999, labor productivity-as measured by output per hour-increased in 70 percent of the 119 manufacturing industries measured by the Bureau of Labor Statistics. Output rose in 61 percent of the industries, while hours of labor increased in 33 percent of the industries.

Four out of the five

largest manufacturing industries, those with more than 500,000 employees, recorded growth in output per hour in 1999. Of these, the largest productivity gain occurred in electronic components and accessories with an increase of 39.3 percent followed by a 9.0-percent increase in motor vehicles and equipment; a 5.5-percent increase in miscellaneous plastics products, not elsewhere classified; and a 4.8-percent increase in commercial printing. Labor productivity declined by 0.1 percent in meat products manufacturing.

During the same period, unit labor costs declined in 50 of the manufacturing industries measured by the Bureau of Labor Statistics. Unit labor coststhe cost of the labor input required to produce one unit of output-are computed by dividing total compensation by real output.

The largest declines in unit labor costs in 1999 were in the following industries: computer and office equipment (-24.8 percent); women's and children's undergarments (-22.9 percent); electronic components and accessories (-21.7 percent); and photographic equipment and supplies (-14.3 percent).