OTTAWA, June 2 (Reuters) - The labor productivity of Canadian businesses rose 1.4 percent in the first quarter, the most in almost three years, in a sign the economy is continuing to recover, Statistics Canada data indicated on Friday.
The increase was the greatest since the 1.8 percent growth seen in the second quarter of 2014.
Real gross domestic product of businesses rose by 1.1 percent in the first quarter as every major industrial sector except agriculture and forestry increased production.
The number of hours worked on production in the business sector fell by 0.3 percent on declines in the service-producing industries.
Overall labor costs per unit of production dropped by 0.4 percent as the average pay per hour worked climbed by 1.0 percent.
Reporting by David Ljunggren; Editing by Chizu Nomiyama