Unit labor costs in the US nonfarm business sector rose by 1.3% in Q2 2026, matching the revised Q1 pace, but missing market forecasts of 2.1%, preliminary data showed. This reflected a 2.7% increase in hourly compensation, up from 2.1% in Q1, alongside a 1.4% rise in productivity, up from 0.8% in the prior quarter. In the manufacturing sector, unit labor costs were unchanged, as a 1.9% increase in hourly compensation was offset by a 1.9% increase in productivity. On an annual basis, nonfarm labor costs rose by 1.4%, while manufacturing unit labor costs advanced 3.5%. source: U.S. Bureau of Labor Statistics

Unit Labour Costs QoQ in the United States remained unchanged at 1.30 percent in the second quarter of 2026 from 1.30 percent in the first quarter of 2026. Unit Labour Costs QoQ in the United States averaged 2.82 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 August of 2026.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-06-04 12:30 PM
Unit Labour Costs QoQ Final
Q1 1.8% 2.1% 2.5% 2.3%
2026-08-06 12:30 PM
Unit Labour Costs QoQ Prel
Q2 1.3% 1.3% 2.1% 2.0%
2026-09-03 12:30 PM
Unit Labour Costs QoQ Final
Q2 1.8%



Components Last Previous Unit Reference
Nonfarm Productivity 1.40 0.80 percent Jun 2026

Related Last Previous Unit Reference
ADP Employment Change 44.00 95.00 Thousand Jul 2026
Average Hourly Earnings MoM 0.10 0.30 percent Jul 2026
Average Hourly Earnings YoY 3.20 3.40 percent Jul 2026
Average Weekly Hours 34.30 34.30 Hours Jul 2026
Challenger Job Cuts 33429.00 45849.00 Persons Jul 2026
Continuing Jobless Claims 1799.00 1781.00 Thousand Aug 2026
Employed Persons 162177.00 162264.00 Thousand Jul 2026
Employment Cost Index 0.90 0.90 percent Jun 2026
Employment Cost - Benefits 1.00 1.20 percent Jun 2026
Employment Cost - Wages 0.90 0.80 percent Jun 2026
Employment Rate 58.90 59.00 percent Jul 2026
Full Time Employment 133553.00 133659.00 Thousand Jul 2026
Government Payrolls -53.00 -10.00 Thousand Jul 2026
Challenger Hiring Plans 16095.00 10933.00 Persons Jul 2026
Initial Jobless Claims 206.00 212.00 Thousand Aug 2026
Job Layoffs and Discharges 1766.00 1761.00 Thousand Jun 2026
JOLTs Job Openings 7359.00 7537.00 Thousand Jun 2026
JOLTs Job Quits 3232.00 3153.00 Thousand Jun 2026
Job Quits Rate 2.00 2.00 Percent Jun 2026
Job Openings 7140.00 7500.00 Thousand Jun 2026
Jobless Claims 4-week Average 204.00 199.75 Thousand Aug 2026
Participation Rate 61.40 61.50 percent Jul 2026
Labour Costs 123.78 123.22 points Mar 2026
Long Term Unemployment Rate 1.05 1.14 percent Jul 2026
Manufacturing Payrolls 5.00 11.00 Thousand Jul 2026
Minimum Wages 7.25 7.25 USD/Hour Dec 2026
Non Farm Payrolls -23.00 20.00 Thousand Jul 2026
Nonfarm Payrolls Private 30.00 30.00 Thousand Jul 2026
Part Time Employment 28764.00 28626.00 Thousand Jul 2026
Population 342.28 340.97 Million Dec 2025
Productivity 120.02 119.59 points Jun 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 7.90 7.90 percent Jul 2026
Unemployed Persons 6916.00 7094.00 Thousand Jul 2026
Unemployment Rate 4.10 4.20 percent Jul 2026
Unit Labour Costs 1.30 1.30 percent Jun 2026
Wage Growth 3.47 4.17 percent Jul 2026
Wages 32.40 32.36 USD/Hour Jul 2026
Wages in Manufacturing 30.35 30.32 USD/Hour Jul 2026
Youth Unemployment Rate 8.50 9.20 percent Jul 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
1.30 1.30 27.30 -14.30 1947 - 2026 percent Quarterly
SA

News Stream
US Labor Costs Rise Less than Anticipated
Unit labor costs in the US nonfarm business sector rose by 1.3% in Q2 2026, matching the revised Q1 pace, but missing market forecasts of 2.1%, preliminary data showed. This reflected a 2.7% increase in hourly compensation, up from 2.1% in Q1, alongside a 1.4% rise in productivity, up from 0.8% in the prior quarter. In the manufacturing sector, unit labor costs were unchanged, as a 1.9% increase in hourly compensation was offset by a 1.9% increase in productivity. On an annual basis, nonfarm labor costs rose by 1.4%, while manufacturing unit labor costs advanced 3.5%.
2026-08-06
US Labor Costs Rise Less Than Initially Thought
Unit labor costs in the US nonfarm business sector rose by 1.8% in Q1 2026, slowing from a downwardly revised 2.1% increase in Q4 2025 and falling short of the preliminary estimate of 2.3%. The deceleration reflected a 2.1% rise in hourly compensation, down from 3.7% in the previous quarter, while productivity grew by just 0.3%, compared to a 1.6% increase in Q4. In the manufacturing sector, unit labor costs increased by 2.2%, driven by a 5.5% surge in hourly compensation and a 3.2% rise in productivity. On an annual basis, labor costs edged up by 0.5%.
2026-06-04
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