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The Employment Cost Index (not seasonally adjusted) for September 2000 was 149.5 (June 1989=100), an increase of 4.3 percent from September 1999, 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 0.9 percent during the June-September 2000 period, following a gain of 1.0 percent in March-June 2000. Wages and salaries increased 0.8 percent during the June-September period, following a 1.0 percent increase in the previous 3-month period. Benefit costs rose 1.0 percent during the September quarter, following a 1.1 percent increase in the June quarter.
The 3-month increase in compensation costs for private industry workers was 1.0 percent during the June-September 2000 period. The gain in wages and salaries was 0.9 percent in the quarter ended in September; in the June quarter, it was 1.0 percent. Benefit costs showed a 3-month rise of 1.1 percent during the September quarter, compared with a 1.2 percent gain during the June quarter. (See tables A and 1.)
Compensation costs for State and local government workers increased 0.6 percent during the June-September 2000 period; in the June period, it was 0.8 percent. Wages and salaries rose 0.8 percent in the quarter ended in September, the same increase as the previous quarter. Benefit costs changed 0.1 percent in the September quarter; this was down from the gain of 0.5 percent in the June quarter.
Over-the-year changes, not seasonally adjusted
Compensation costs for civilian workers (not seasonally adjusted) increased 4.3 percent for the 12 months ended in September 2000. This compares with over-the-year increases of 3.1 percent in September 1999 and 3.7 percent in September 1998. Compensation costs in private industry rose 4.6 percent in the year ended September 2000, compared with increases of 3.1 percent in September 1999 and 3.8 percent in September 1998. In State and local government, compensation costs increased 3.3 percent for the year ended September 2000; over-the-year increases were 2.9 percent in September 1999 and 3.0 percent in September 1998. (See tables B, 2, and 3.)
Nonfarm private industry
In private industry, wages and salaries rose 4.1 percent for the year ended September 2000, after increasing 3.2 percent in the year ended September 1999. (See tables B and 6.) Benefit costs for private industry workers increased 6.0 percent for the year ended in September 2000, a significant increase from 2.8 percent in September 1999. (See chart A and tables B and 8.)
In private industry, over-the-year compensation cost increases were 4.8 percent for white-collar occupations, 4.4 percent for blue-collar occupations, and 4.0 percent for service occupations. Among the occupational groups, increases in compensation costs ranged from 4.0 percent for service workers to 5.0 percent for administrative support, including clerical occupations. (See table 3.)
For the year ended September 2000, the compensation cost increase was 4.8 percent for goods-producing industries, significantly higher than the 2.9 percent increase for the year ended September 1999. The over-the-year increase in compensation costs for service-producing industries was 4.5 percent, compared with an increase of 3.2 percent for the year ended September 1999. Among service-producing industry divisions, September 1999-to-September 2000 increases ranged from 3.0 percent in transportation to 7.1 percent in insurance. (See table 3.)
Compensation costs for nonunion workers rose 4.7 percent over-the- year, compared with 4.2 percent for union workers. In service-producing industries, nonunion compensation increased 4.7 percent, compared with a 3.0 percent increase for union workers. In contrast, in goods-producing industries, the increase for union workers was 5.5 percent, compared with a 4.7 percent gain for nonunion workers. Compensation in blue-collar occupations rose 4.7 percent for union workers and 4.1 percent for nonunion workers. (See table 4.)
State and local government
In State and local government, the September 2000 over-the-year increase in wages and salaries was 3.5 percent, compared with a 3.3 percent increase recorded for September 1999. The 12-month increase in benefit costs for September 2000 was 2.8 percent; in September 1999, the increase was 2.0 percent. (See tables 5 and 8.)
The June 2000 ECI introduced an expanded definition of nonproduction bonuses designed to improve the ECI's representation of the compensation packages offered to employees. In addition to the traditional types of nonproduction bonuses such as attendance bonuses and lump sum payments, the ECI now includes hiring and referral bonuses. A fact sheet has been prepared with additional information on this change and its effect on the ECI. This information can be obtained directly from the BLS Internet site (http://stats.bls.gov/ecthome.htm), by e-mail request (ocltinfo@bls.gov), or by telephone (202)-691-6199.
As part of its ongoing research program, the Bureau of Labor Statistics recently published the results of a pilot survey on the incidence of stock option plans across all industries and occupations. The next phase of this research will examine the feasibility of collecting cost data on stock options. The results of the pilot survey and a fact sheet with additional information on the stock option research program can be obtained directly from the Internet site (http://stats.bls.gov/comhome.htm) or upon request.
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).
The ECI news release is now available through an e-mail subscription service. See the subscription link on (http://stats.bls.gov/ecthome.htm) or (http://stats.bls.gov/newsrels.htm).
News releases and other information are available from the BLS fax-on- demand service. To request a document fax, call (202) 691-6325. To request a catalog of available documents, select option 2 at the initial voice prompt. To request data found in this news release, enter the following codes:
Source: U.S. Bureau of Labor Statistics · Original release Oct 26, 2000.
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