Low Productivity in American Coal Mining: Causes and Cures

In order to reduce the Nations's reliance on imported oil, national energy policy calls for greater use of coal. The Nation's ability to make this transition to coal depends on the coal industry's ability to meet future coal production needs. Given the importance which labor productivity plays in the quantity of coal produced, productivity is crucial to meeting national energy goals. Between 1947 and 1969, the coal industry experienced a threefold increase in productivity. However, since 1969, overall coal industry productivity has declined 26 percent with a 43-percent decline in underground mine production. GAO evaluated the major factors determining productivity in the coal industry and identified those mainly responsible for the decline in labor productivity. The review is based on an analysis of a large coal mine database, interviews with mining personnel at 44 mines, and discussions with Government and private officials.