June 1999 Employment Cost Index

Historical release narrative reproduced from the official public-domain source. Statistical tables, standard technical appendices, administrative material and attendance rosters are omitted; formatting is adapted for reading. Figures retain the release's historical context and may have been revised. Consult the linked source for the complete document.

The Employment Cost Index (not seasonally adjusted) for June 1999 was 141.8 (June 1989=100), an increase of 3.2 percent from June 1998, the U.S. Department of Labor's Bureau of Labor Statistics reported today. The Employment Cost Index (ECI) measures changes in compensation costs, which include wages, salaries, and employer costs for employee benefits.

Quarterly changes, seasonally adjusted

On a seasonally adjusted basis, the 3-month increase in compensation costs for civilian workers (nonfarm private industry plus State and local government) was 1.1 percent during the March-June 1999 period, following a gain of 0.4 percent in March. The increase in wages and salaries was 1.2 percent during the March-June 1999 period, following a 0.5 percent increase in the previous 3-month period. Benefit costs rose 0.9 percent during the June 1999 quarter and 0.3 percent in the December 1998-March 1999 quarter.

The 3-month increase in compensation costs for private industry workers was 1.2 percent during the March-June 1999 period. The gain in wages and salaries also was 1.2 percent in June; in March, it was 0.4 percent. Benefit costs showed a 3-month rise of 1.0 percent during the June quarter and 0.2 percent during the March period. The quarterly increase in benefits was due, in part, to increases in employer costs for Social Security and paid leave benefits. (See tables A and 1.)

Compensation costs for State and local government workers increased 0.8 percent during the June 1999 period, following a gain of 0.6 percent in the previous quarter. Wages and salaries rose 1.0 percent in June; in March, the increase was 0.6 percent. Benefit costs increased 0.6 percent in the June quarter, the same increase reported in the prior two quarters. (See tables A and 1.)

Over-the-year changes, not seasonally adjusted

Compensation costs for civilian workers (not seasonally adjusted) increased 3.2 percent for the year ended June 1999. This compares with over-the-year increases of 3.5 percent in June 1998 and 2.8 percent in June 1997. Compensation costs in private industry rose 3.3 percent in June 1999, following increases of 3.5 percent in June 1998 and 2.9 percent in June 1997. Compensation costs for State and local government increased 3.0 percent for the year ended June 1999. The over-the-year increase was 2.7 percent in June 1998, and 2.4 percent in June 1997. (See tables B, 2, and 3.)

Nonfarm private industry

In private industry, wages and salaries rose 3.6 percent for the year ended June 1999. Wages and salaries increased 4.0 percent in June 1998. (See tables B and 6.) Benefit costs for private industry workers increased 2.5 percent for the year ended in June 1999, compared with 2.6 percent in June 1998. (See chart A and tables B and 8.)

In private industry, over-the-year compensation cost increases were 3.4 percent for white-collar occupations, 2.9 percent for blue-collar occupations, and 3.4 percent for service occupations. Among the occupational groups, increases in compensation costs ranged from 2.7 percent for machine operators, assemblers, and inspectors to 4.1 percent for executive, administrative, and managerial occupations. (See table 3.)

For the year ended June 1999, the compensation cost increase was higher for service-producing industries, 3.6 percent, than for goods- producing industries, 2.7 percent. For the year ended in June 1998, compensation costs rose 4.0 percent in service-producing industries and 2.6 percent in goods-producing industries. Among industry divisions, over- the-year increases ranged from 2.7 percent in manufacturing to 5.3 percent in finance, insurance, and real estate. (See table 3.)

Compensation cost changes for nonunion workers in private industry were 3.4 percent, while the changes for union workers were 2.7 percent. In service-producing industries, union compensation increased 2.6 percent, and nonunion compensation increased 3.6 percent. In contrast, in goods- producing industries, the increase for union workers was 2.9 percent, and the increase for nonunion workers was 2.6 percent. Compensation in blue- collar occupations increased 2.6 percent for union workers and 3.2 percent for nonunion workers. (See table 4.)

State and local government

In State and local government, the June 1999 over-the-year increase in wages and salaries was 3.1 percent, similar to the 3.0 percent increase in June 1998. Benefit costs for June 1999 increased 2.6 percent. In June 1998, the increase was 2.1 percent. (See tables 5 and 8.)

Aircraft manufacturing data for December 1998 and March 1999 were suppressed in the March 1999 release. Corrected data were made available on May 18, 1999. Tables showing all updated aircraft manufacturing data are available in the Employment Cost Index Historical Listing located on the Internet at http://stats.bls.gov/ecthome.htm or by calling (202) 606- 6199.

ECI data are available on the ECI home page (http://stats.bls.gov/ecthome.htm). To access data using Anonymous FTP, use the Internet address (ftp://ftp.bls.gov).

For technical assistance in using the BLS Internet site, send e-mail to (labstat.helpdesk@bls.gov). For ECI data requests, send e-mail to (ocltinfo@bls.gov).

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