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Economic Data · Employment · Manufacturing · Productivity
The Pew Research Center reveals a significant disconnect in public understanding: while 81% of Americans recognize the decline in U.S. manufacturing jobs over the past three decades, only 35% are aware that manufacturing output has simultaneously grown strongly.
This indicates a widespread misperception regarding the sector's actual performance. Manufacturing employment peaked at 19.4 million in 1979, falling to under 11.5 million by early 2010, and now represents 8.5% of the total workforce, according to the Bureau of Labor Statistics.
Conversely, the Bureau of Economic Analysis reports U.S. manufacturers produced $5.4 trillion worth of goods in 2016 (in constant 2009 dollars), with output in Q1 2017 more than 80% above its level 30 years prior. This "more with less" phenomenon is attributed to a 2.5 times higher labor productivity index since 1987, reflecting investments in advanced machinery, skilled labor, and streamlined processes.
However, productivity growth has barely budged since 2012, a global trend noted by Christine Lagarde of the International Monetary Fund.
