Average Weekly Hours of Production
Returns the average weekly hours worked by production and nonsupervisory workers in the private sector. This is a key economic indicator tracked by the Bureau of Labor Statistics.
Understanding the Metric
This measures:
- Hours worked (not earnings)
- Production and nonsupervisory employees only
- Private sector workers
- Weekly average
It's a leading economic indicator:
- Rising hours often precedes hiring (businesses extend hours before adding staff)
- Falling hours often precedes layoffs (businesses cut hours before laying off)
Data Source
Bureau of Labor Statistics (BLS) - Current Employment Statistics (CES)
Historical Context
| Period | Typical Range |
|---|---|
| Expansion | 34-35 hours |
| Recession | 33-34 hours |
| Recovery | Rising toward 34+ |
Examples
=IF(HoursOfProduction()<33.5,"Warning","OK")When to Use
- Monitoring labor market health
- Economic cycle analysis
- Forecasting hiring/layoffs
- Industrial production trends
- Leading indicator tracking
When NOT to Use
| Scenario | Use Instead |
|---|---|
| Need hourly wage data | HourlyEarnings() |
| Need employment count | Employment functions |
| Need unemployment rate | Unemployment functions |
| Need specific industry data | Industry-specific functions |
Common Issues & FAQ
Q: Why is this a leading indicator? A: Businesses typically adjust hours before adjusting headcount. Rising hours signal potential hiring; falling hours signal potential layoffs.
Q: What's a concerning level? A: Sustained readings below 33.5 hours often indicate economic weakness. The metric dropped to ~33.1 hours during the 2008-2009 recession.
Q: How often is this data updated? A: The BLS releases this monthly as part of the Employment Situation report, typically on the first Friday of each month.
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