December 2016 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.

Compensation costs for civilian workers increased 0.5 percent, seasonally adjusted, for the 3-month period ending in December 2016, the U.S. Bureau of Labor Statistics reported today. Wages and salaries (which make up about 70 percent of compensation costs) increased 0.5 percent, and benefits (which make up the remaining 30 percent of compensation) increased 0.4 percent. (See chart 1 and tables A, 1, 2, and 3.)

Civilian Workers

Compensation costs for civilian workers increased 2.2 percent for the 12-month period ending in December 2016. In December 2015, compensation costs increased 2.0 percent. Wages and salaries increased 2.3 percent for the current 12-month period, and increased 2.1 percent for the 12-month period ending in December 2015. Benefit costs increased 2.1 percent for the 12-month period ending in December 2016. In December 2015, the increase was 1.7 percent. (See chart 2 and tables A, 4, 8, and 12.)

Private Industry Workers

Compensation costs for private industry workers increased 2.2 percent over the year. In December 2015, the increase was 1.9 percent. Wages and salaries increased 2.3 percent for the current 12- month period. In December 2015, the increase was 2.1 percent. The cost of benefits rose 1.8 percent for the 12-month period ending in December 2016, higher than the 1.3 percent increase in December 2015. (See charts 3 and 4 and tables A, 5, 9, and 12.)

Employer costs for health benefits increased 2.7 percent for the 12-month period ending in December 2016. (For further information, see www.bls.gov/web/eci/echealth.pdf.)

Among occupational groups, compensation cost increases for private industry workers for the 12-month period ending in December 2016 ranged from 1.7 percent for management, professional, and related occupations to 3.2 percent for service occupations. (See table 5.)

Among industry supersectors, compensation cost increases for private industry workers for the current 12-month period ranged from 1.2 percent for professional and business services to 3.3 percent for leisure and hospitality. (See table 5.)

State and Local Government Workers

Compensation costs for state and local government workers increased 2.4 percent for the 12-month period ending in December 2016. In December 2015, the increase was 2.5 percent. Wages and salaries increased 2.1 percent for the 12-month period ending in December 2016, higher than the December 2015 increase of 1.8 percent. Benefit costs increased 3.1 percent for the 12-month period ending in December 2016. The prior year’s increase was 3.5 percent. (See chart 5 and tables A, 7, 11, and 12.)

Category 3-month, 12-month, seasonally adjusted not seasonally adjusted Sept. Dec. Dec. Mar. June Sept. Dec. 2016 2016 2015 2016 2016 2016 2016

CIVILIAN WORKERS[1]

PRIVATE INDUSTRY

STATE AND LOCAL GOVERNMENT

[1] Includes private industry and State and local government. [2] Includes wages and salaries and benefits.

The Employment Cost Index for March 2017 is scheduled for release on Friday, April 28, 2017, at 8:30 a.m. (EDT).

BLS news releases, including the ECI, are available through an email subscription service at www.bls.gov/bls/list.htm.