Productivity in the non-farm businesssector increased at a revised seasonally adjusted annual rate
of 0.5 pct in the January-March first quarter, the Labor
Department said.
    The department previously reported a 1.7 pct increase in
the quarter and said productivity fell 1.5 pct in the fourth
quarter of 1986.
    The department said output rose 4.3 pct and hours of
employees and all others gained 3.8 pct in the first quarter.
Hourly compensation was unchanged from the fourth quarter.
    Hourly compensation after adjusting for inflation fell 5.0
pct in the nonfarm sector in the first quarter, the largest
decline since 1951, the Labor Department said.
    Unit labor costs dropped 0.5 pct for the first quarterly
decline in a year. Costs rose 4.2 pct in the fourth quarter of
1986.
    The implicit price deflator for nonfarm businesses rose 4.2
pct, the largest increase since 1982, after declining 0.3 pct
in the fourth quarter.
    Business productivity including farms rose 0.6 pct in the
first quarter after a 2.0 pct drop in the fourth quarter.
 Reuter
