December 2018 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 0.7 percent, seasonally adjusted, for the 3-month period ending in December 2018, the U.S. Bureau of Labor Statistics reported today. Wages and salaries (which make up about 70 percent of compensation costs) increased 0.6 percent and benefit costs (which make up the remaining 30 percent of compensation) increased 0.7 percent from September 2018. (See tables A, 1, 2, and 3.)

Civilian Workers

Compensation costs for civilian workers increased 2.9 percent for the 12-month period ending in December 2018 compared with a compensation costs increase of 2.6 percent in December 2017. Wages and salaries increased 3.1 percent for the 12-month period ending in December 2018 and increased 2.5 percent for the 12-month period ending in December 2017. Benefit costs increased 2.8 percent for the 12-month period ending in December 2018. In December 2017, the increase was 2.5 percent. (See tables A, 4, 8, and 12.)

Private Industry Workers

Compensation costs for private industry workers increased 3.0 percent over the year compared with an increase of 2.6 percent in December 2017. Wages and salaries increased 3.1 percent for the 12-month period ending in December 2018 and increased 2.8 percent in December 2017. The cost of benefits rose 2.6 percent for the 12-month period ending in December 2018 and increased 2.3 percent in December 2017. (See tables A, 5, 9, and 12.)

Employer costs for health benefits increased 1.8 percent for the 12-month period ending in December 2018. (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 2018 ranged from 2.5 percent for both management, professional, and related occupations and natural resources, construction, and maintenance occupations to 3.8 percent for sales and office occupations. (See table 5.)

Among industry supersectors, compensation cost increases for private industry workers for the 12-month period ending in December 2018 ranged from 2.1 percent for manufacturing to 4.6 percent for information. (See table 5.)

State and Local Government Workers

Compensation costs for state and local government workers increased 2.6 percent for the 12-month period ending in December 2018. In December 2017, the increase was 2.5 percent. Wages and salaries increased 2.4 percent for the 12-month period ending in December 2018, compared with 2.1 percent a year ago. Benefit costs increased 3.1 percent for the 12-month period ending in December 2018. The prior year increase was 3.2 percent. (See tables A, 7, 11, and 12.)

Area Definitions and Seasonal Factors

Area definitions have been updated with this release based on Office of Management and Budget Bulletin No. 13-01, dated February 28, 2013. For more information on metropolitan area definitions, see www.census.gov/programs-surveys/metro-micro.html.

The 2019 seasonal factors for directly adjusted series and revised seasonally adjusted series for the past five years are scheduled for release with the March 2019 Employment Cost Index (ECI) on April 30, 2019 at 8:30 a.m. (EDT), see www.bls.gov/ncs/ect/ectsfact.htm.

The Employment Cost Index for March 2019 is scheduled for release on April 30, 2019, at 8:30 a.m. (EDT).

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

For videos and information graphics explaining the Employment Cost Index and how it is used, see www.bls.gov/eci/videos.htm.

For highlights of recent National Compensation Survey data that you might otherwise have missed, see The Economics Daily at www.bls.gov/opub/ted/national-compensation-survey.htm.

For links to an overview of available BLS compensation measures and an interactive guide on choosing among them, see the BLS Commissioner’s Corner on “Making it Easier to Find Data on Pay and Benefits” at blogs.bls.gov/blog/2018/10/24/making-it-easier-to-find-data-on-pay-and-benefits.