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August 10, 2010

Q2 Productivity Dips 0.9%

By Matthew L. Brown

Labor productivity decreased at a 0.9 percent annual rate during the second quarter, according to the U.S. Bureau of Labor Statistics.

The decline was the first for productivity in more than a year.

Worker output increased 2.6 percent while hours worked increased 3.6 percent.

The decline in output per hour follows five quarters of strong productivity growth. The gain in hours worked was the largest since the first quarter of 2006 when hours rose 4.1 percent.

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