[Analysis: U.S. Q4 Productivity Growth Exceeds Expectations, Cost Control Helps Cool Inflation] Odaily Planet Daily News – U.S. labor productivity in the fourth quarter of 2025 grew more than expected, further proving that companies are striving to improve efficiency to control costs. Data released by the Bureau of Labor Statistics on Thursday showed that after being revised up to a 5.2% increase in the third quarter, fourth-quarter productivity (output per hour in the nonfarm sector) grew at an annualized rate of 2.8%. Economists surveyed had a median forecast of 1.9% growth. The recent trend of productivity improvement helps ensure wage pressures are kept in check and supports Federal Reserve officials' views that the labor market is no longer a source of inflation. Labor costs are the largest expense for many businesses, prompting companies to adopt new technologies and equipment to enhance employee efficiency. Investments in technologies such as artificial intelligence (AI) have enabled some companies to operate with leaner staffing, which is one of the reasons for last year's sluggish hiring. Against the backdrop of continued enthusiasm for AI investments, economists generally expect efficiency to continue improving this year. (Jin10)