Productivity surges in the second quarter

[cal04]

Rises at fastest rate in six years; labor costs tumble
http://www.msnbc.msn.com/id/32370052/ns/business-stocks_and_economy/

Productivity surged by the fastest rate in almost 6 years in the spring and labor costs dropped as businesses worked to hold down costs in the face of the worst recession to hit the country in the post World War II period.

The Labor Department said non-farm productivity rose at a 6.4 percent annual rate, the biggest gain since the third quarter of 2003, from a revised 0.3 percent gain in the first quarter. Productivity for the January-March quarter was previously reported as a 1.6 percent gain.

Economists surveyed by Thomson Reutershad expected productivity to grow at an annual rate of 5.3 percent in the April-June quarter.



(snip)
http://www.marketwatch.com/story/us-productivity-rises-64-fastest-in-6-years-2009-08-11
The report shows why corporate profits have boomed: While output fell just 1.7% annualized, hours worked declined at a 7.6% annual rate and hourly earnings barely increased.

[dotymed]

1. WE HAVE TO UNIONIZE EVERYWHERE

This is so obviously slave labor, yet Obama refused to
re-negotiate NAFTA. That was one of his main campaign
promises. It was right up there with government transparency
and Medicare for all.......Now is the time to organize a
VIABLE third party. It is either that or a Revolution.

[Loge23]

2. More juice in the lemon

Even the WSJ pretty much wrote off this news saying that productivity only increased due to businesses squeezing labor costs.
Consumer confidence continues to fall despite, as the WSJ notes, "the party in (the) stock markets".
The biggest head-scratcher for me is why the American workers continue to tolerate this blatant money-grab from corporations.
There has to be a backlash somewhere, somehow, or nothing will ever change.

[ThomWV]

3. So, are you suggesting that the continued increases in unemployment are a good thing?

So, the more people that get laid off every month the higher factory productivity goes?

[madrchsod]

5. yup....that`s the way it is.

[madrchsod]

4. meaningless productivity figures .....

there`s not going to be any real recovery in years.