US Worker Productivity Falls

Posted August 9th, 2011 at 10:40 am (UTC-5)
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The productivity of U.S. workers dropped at a three-tenths of a percent annual rate in April, May, and June.

Tuesday's report from the Labor Department says it is the second quarter in a row for falling productivity.

The data measures how much an individual worker turns out in one hour.

Businesses watch productivity closely because labor is often a company's largest expense.

Another key economic report is scheduled Friday when experts publish data on retail sales in June. Economists interviewed by news agencies predict that sales will rise a bit. Investors watch retail sales closely because consumer demand drives most U.S. economic activity.