Preliminary data released by the Labor Department on Tuesday showed labor productivity in the U.S. increased by much less than expected in the second quarter.
The Labor Department said labor productivity jumped by 2.3 percent in the second quarter after soaring by a downwardly revised 4.3 percent in the first quarter.
Economists had expected productivity to surge up by 3.5 percent compared to the 5.4 percent spike that had been reported for the previous quarter.
The report also showed unit labor costs climbed by 1.0 percent in the second quarter, just shy of economist estimates for an increase of 1.1 percent.
Meanwhile, the 1.7 percent jump in labor costs previously reported for the first quarter was revised to a 2.8 percent decrease.