Labor productivity statistics in the pulp and paper sector have steadily increased over the last 10 years. Employment at pulp and paper mills declined dramatically in the 1990s due to consolidations, mergers, and mill closings. In the 1992 to 1998 period alone, pulp and paper mills lost close to 21,600 jobs, an 11% decline in employment. On average, paper and paperboard production has increased at an annual growth rate of less than 1% over the past five years, less than U.S. gross domestic product growth of 3.5%. U.S. paper makers have been facing increased competition from overseas producers which have affected export shipments. As a result, paper companies have been consolidating to eliminate excess production capacity. Technological improvements in the wood products sector have not been as pronounced as in other sectors. As a result, labor productivity statistics in the lumber and wood products sector have been declining during the 1989-1999 time frame. [Miller Freeman 1998, BIS 2002]

Labor Productivity
(Labor output per hour, indexed to 1996)

Source: BLS 2001