Unit labor costs in the US nonfarm business sector increased by 2.3% in Q1 2026, less than market expectations of 2.6% and after an upwardly revised 4.6% rise in Q4, preliminary estimates showed. It reflects a 31% increase in hourly compensation and a 0.8% increase in productivity. In the manufacturing sector, unit labor costs rose 2.4%, reflecting a 6.1% increase in hourly compensation and a 3.6% increase in productivity. On an annual basis, nonfarm unit labor costs rose 1.2%, while manufacturing unit labor costs advanced 3.7%. source: U.S. Bureau of Labor Statistics

Unit Labour Costs QoQ in the United States decreased to 2.30 percent in the first quarter of 2026 from 4.60 percent in the fourth quarter of 2025. Unit Labour Costs QoQ in the United States averaged 2.83 percent from 1947 until 2026, reaching an all time high of 27.30 percent in the third quarter of 1947 and a record low of -14.30 percent in the first quarter of 2009. This page includes a chart with historical data for the United States Unit Labor Costs QoQ. United States Nonfarm Unit Labor Costs QoQ - data, historical chart, forecasts and calendar of releases - was last updated on May of 2026.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-03-24 12:30 PM
Unit Labour Costs QoQ Final
Q4 4.4% 1% 3.5% 2.8%
2026-05-07 12:30 PM
Unit Labour Costs QoQ Prel
Q1 2.3% 4.6% 2.6% 3.0%
2026-06-04 12:30 PM
Unit Labour Costs QoQ Final
Q1 4.4%



Components Last Previous Unit Reference
Nonfarm Productivity 0.80 1.60 percent Mar 2026

Related Last Previous Unit Reference
ADP Employment Change 109.00 61.00 Thousand Apr 2026
Average Hourly Earnings MoM 0.20 0.20 percent Apr 2026
Average Hourly Earnings YoY 3.60 3.40 percent Apr 2026
Average Weekly Hours 34.30 34.20 Hours Apr 2026
Challenger Job Cuts 83387.00 60620.00 Persons Apr 2026
Continuing Jobless Claims 1766.00 1776.00 Thousand Apr 2026
Employed Persons 162622.00 162848.00 Thousand Apr 2026
Employment Cost Index 0.90 0.70 percent Mar 2026
Employment Cost - Benefits 1.20 0.80 percent Mar 2026
Employment Cost - Wages 0.80 0.70 percent Mar 2026
Employment Rate 59.10 59.20 percent Apr 2026
Full Time Employment 134252.00 134676.00 Thousand Apr 2026
Government Payrolls -8.00 -5.00 Thousand Apr 2026
Challenger Hiring Plans 10049.00 32826.00 Persons Apr 2026
Initial Jobless Claims 200.00 190.00 Thousand May 2026
Job Layoffs and Discharges 1867.00 1714.00 Thousand Mar 2026
JOLTs Job Openings 6866.00 6922.00 Thousand Mar 2026
JOLTs Job Quits 3171.00 3046.00 Thousand Mar 2026
Job Quits Rate 2.00 1.90 Percent Mar 2026
Job Openings 6685.00 6679.00 Thousand Mar 2026
Jobless Claims 4-week Average 203.25 207.75 Thousand May 2026
Participation Rate 61.80 61.90 percent Apr 2026
Labour Costs 122.55 121.72 points Dec 2025
Long Term Unemployment Rate 1.08 1.07 percent Apr 2026
Manufacturing Payrolls -2.00 15.00 Thousand Apr 2026
Minimum Wages 7.25 7.25 USD/Hour Dec 2025
Non Farm Payrolls 115.00 185.00 Thousand Apr 2026
Nonfarm Payrolls Private 123.00 190.00 Thousand Apr 2026
Part Time Employment 28413.00 28290.00 Thousand Apr 2026
Population 342.28 340.97 Million Dec 2025
Productivity 119.58 119.35 points Mar 2026
Retirement Age Men 67.00 66.83 Years Dec 2026
Retirement Age Women 67.00 66.83 Years Dec 2026
U-6 Unemployment Rate 8.20 8.00 percent Apr 2026
Unemployed Persons 7373.00 7239.00 Thousand Apr 2026
Unemployment Rate 4.30 4.30 percent Apr 2026
Unit Labour Costs 2.30 4.60 percent Mar 2026
Wage Growth 4.10 4.23 percent Mar 2026
Wages 32.23 32.12 USD/Hour Apr 2026
Wages in Manufacturing 30.10 29.97 USD/Hour Apr 2026
Youth Unemployment Rate 9.50 8.50 percent Apr 2026


United States Nonfarm Unit Labor Costs QoQ
Labor Costs refers to the relationship between compensation per hour and labor productivity, or real output per hour, and can be used as an indicator of inflationary pressure on producers.
Actual Previous Highest Lowest Dates Unit Frequency
2.30 4.60 27.30 -14.30 1947 - 2026 percent Quarterly
SA

News Stream
US Labor Costs Rise Less than Expected
Unit labor costs in the US nonfarm business sector increased by 2.3% in Q1 2026, less than market expectations of 2.6% and after an upwardly revised 4.6% rise in Q4, preliminary estimates showed. It reflects a 31% increase in hourly compensation and a 0.8% increase in productivity. In the manufacturing sector, unit labor costs rose 2.4%, reflecting a 6.1% increase in hourly compensation and a 3.6% increase in productivity. On an annual basis, nonfarm unit labor costs rose 1.2%, while manufacturing unit labor costs advanced 3.7%.
2026-05-07
US Labor Costs Rise More than Thought
Unit labor costs in the US nonfarm business sector rose by 4.4% in Q4 2025, more than earlier estimates of 2.8% and after a 1% increase in Q3. It reflects a 6.3% increase in hourly compensation and a 1.8% increase in productivity. In the manufacturing sector, unit labor costs rose 9.1%, the most since the third quarter of 2022, reflecting a 6.3% increase in hourly compensation and a 2.5 decrease in productivity. On an annual basis, nonfarm unit labor costs rose 2.4%, while manufacturing unit labor costs advanced 2.9%. For 2025, unit labour costs rose 2.3% in the nonfarm business sector and 2.4% in the manufacturing sector.
2026-03-24
US Labor Costs Rise More than Expected
Unit labor costs in the US nonfarm business sector rose by 2.8% in Q4 2025, more than market expectations of 2% and after a 1.8% fall in Q3, preliminary estimates showed. It reflects a 5.7% increase in hourly compensation and a 2.8% increase in productivity. In the manufacturing sector, unit labor costs rose 8.3%, the most since the third quarter of 2022, reflecting a 6.2% increase in hourly compensation and a 1.9 decrease in productivity. On an annual basis, nonfarm unit labor costs rose 1.3%, while manufacturing unit labor costs advanced 2.6%. For 2025, unit labour costs rose 1.9% in the nonfarm business sector and 2.3% in the manufacturing sector.
2026-03-05