20
Table 15, PRIVATE INDUSTRY HEALTH SERVICES BY OCCUPATIONAL CATEGORIES; Employer costs per hour worked for employee

compensation, and costs as a percent of total compensation, March 1997
Benefit costs
Total Wages
Series compen- a 4 ‘Supple- Retirement} Legally Other ‘
sation | salaries Pai mental and required - 1
Total | eave | "pay. | 'nseance | savings | benefits benefits! |
Cost per hour worked
Health services $13.55 | $477] $1.35] $0.41 $1.00 $0.52 $1.49 (2)
Professional specialty and technical occupations 25.67 | 19.07 | 660] 192 68 1.26 7 2.02 (?)
Professional occupations .. 29.26 | 2165 | 7.61] 2.34 83 1.36 85 223 (?)
Nurses .. 28.07 20.36 771 2.27 1,05 1.38 73 2.27 (2)
‘Technical occupations .. 19.84 | 1487] 496] 1.25 45 1.40 60 1.67 (2)
Administrative support, including clerical occupations 1479 | 1054 | 425] 1.18 25 1.07 60 143 (2)
Service occupations 10.81 ais | 268 62 a 63 19 1.02 (2)
Hospitals 00 21,60 15.33 6.27 1,82 Pal 1.51 55 1.67 (2)
Professional specialty and technical occupations .. 26.77 19.16 7.61 2.23 1.04 1,60 65 2.08 (2)
Professional occupations 2936 | 2145 | 821} 242] 120 1.59 wl 2.28 (2)
Nurses 29.51 | 21.04 | 847] 245] 142 1.57 70 2.82 (?)
Technical occup: 20.24 | 1444] 6410} 1.75 64 1.63 ‘St 186 (2)
Administrative support, including cleri 15.36 | 1065) 470| 1.32 30 4.48 44 1.15 (2)
Service occupations 12.96 8e2.| 4.14] 1.00 42 137 3t 1.04 (2) |
Nursing homes .. 12.26 921 | 3.06 7 24 62 13 1.29 (?) |
Professional specialty and technical occupations .. 18.14 | 1378 | 4.36) 1.12 42 8&7 21 1.94 (2)
Professional occupations ..... 2036 | 1663} 473) 1.25 38 72 25 2.43 (2)
Technical occupations 1616 | 1213 | 4.03) 1.00 45 62 AT 178 (2) |
Service occupations 9.82 729 | 253 59 20 57 ai 4.07 (?)
Percent of total compensation
Health services .....00 100.0 739 | 264 74 22 5.6 28 84 (?)
Professional specialty and technical occupations 100.0 743 | 25.7 78 27 49 28 79 (2) i
Professional occupations .. 100.0 740 | 26.0 8.0 28 47 29 76 (2)
Nurses ssn 100.0 725 | 278 8.4 37 49 26 81 (2)
Technical occupations... 100.0 750 | 250] 63 22 55 25 84 (2)
Administrative support, including clerical occupations... 100.0 na | 27} 80 17 72 44 cha (2)
Service occupations .. 100.0 752 | 248 5.8 20 59 17 94 (2)
Hospitals 100.0 71.0 | 290] 84 33 10 25 7 (2)
Professional specialty and technical occupations .. 100.0 716 | 284] 83 39 6.0 24 78 (2)
Professional occupations te 100.0 720 | 280| 82 41 54 24 78 (2)
Nurses 100.0 13 28.7 83 48 53 24 78 (?)
Technic: Ip 100.0 69.9 } 301 86 32 8.0 25 7 (2) i
Administrative support, including clerical occupations. 100.0 69.4 30.6 86 2.0 97 29 75 (2) i
Service occupations .... 100.0 61 | 319) 7.7 3.3 10.6 24. 8.0 (2)
Nursing homes snsnmenee 100.0 71 | 249) 63 20 5.0 14 10.5 (2)
Professional specialty and technical occupations 100.0 760 | 240) 62 23 37 14 107 (2)
Professional occupations 100.0 768 23.2 62 19 35 12 10.4 (2)
Technical occupations 100.0 751 | 24.9 62 28 38 11 11.0 {?)
‘Service occupations 100.0 74.2 25.8 6.0 20 5.8 Wa 10.9 (?)
1 Includes severanes pay and supplemental unemployment benefits. i
2 Cost per hour worked is $0.01 or less. i
|
|



14 ,
Table 9. PRIVATE INDUSTRY BY FULL-TIME AND PART-TIME STATUS: Employer costs per hour worked for employee compensation,
and costs as a percent of total compensation, March 1997
Benefit costs
Total | Wages
Series compen- | and Supple- Retirement] Legally | oto,
sation | salaries Paid | mental and | required 4
Total | eave | pay | surance | stings | benefits | Penefis
Cost per hour worked
All full-time workers In private industry ... $20.37 | $1455 | $5.82 $oe2 | $133 | $066 $1.79 $0.03

White-collar occupations 24.04 | 1753 | 6.51 66 1.42 77 1.82 04
Sales occupations... 19.52 | 1507 | 4.44 48 98 46 1.55 02
Administrative support, including clerical 15.99 | 1137 | 4.62 36 1.92 50 1.25 02

Blue-collar occupations 1802 | 1229] 5.73 70 1.39 66 1.93 04

Service occupations... 11.10 ai2| 298 22 1 20 1.18 (?)

Goods-producing industries? 22i2 | 1507 | 7.05] 1.48 84 1.67 87 2.42 07
Construction 21.78 | 1531 | 647/71 59 1.39 1.07 272 (?)

Manufacturing . 22.10 | 1494} 7.146] 1.69 89 1.74 80 1.94 08 |

Service-producing industries* 1961 | 1492} 528] 1.34 53 118 87 1.64 02 |
Wholesale trade 2077 | 15.09] 568] 1.31 58 137 61 1.79 02 i
Retail trade 12.87 9.95 2.92 60 27 62 18 1.25 (2) i
Finance, insurance, and real estate 2415 | 1721 | 695] 1.83 86 1.61 93 1.67 05 |
Service industries ... 19.80 | 1459] S.2t} 1.42 52 1.40 53 1.63 02 |

All part-time workers in private industry 9.60 775.| 1.85 27 a4 28 13 1.04 (?) j

White-collar occupations 11.89 9.64 | 2.25 42 a9 32 AT 145 (2) i
Sales occupations .. 7.68 625 | 1.42 AB 12 22 10 80 (2) i
Administrative support, including clerical . 10.98 882 | 2.16 3 16 34 a7 1.05 (2)

Blus-collar occupations 9.66 732 | 2.35 22 23 42 31 4.17 (2)

Service occupations 6.94 573] 121 13 06 At 03 88 (?)

Goods-producing industries? 12.07 928 | 2.79 29 30 28 13 1.79 (2)

Sorvice-producing industries . 9.53 771 | 182) 27 14 25 413 4.02 (2)

Retail trade ... 6.99 5.68 | 131 13 08 19 07 82 (2)
Service industries 12.13 988} 226] 41 19 28 15 1.22 (?) j
|
Percent of total compensation i
Ail full-time workers in private industry 100.0 714 | 26] ~68 3.0 65 3.3 88 02

White-collar occupations 100.0 729 | 274 15 27 59 32 76 2
Sales occupations... 100.0 72) 228] 50 24 49 23 79 a
Administrative support, including clerical . 100.0 714] 209] 7.4 23 82 a4 78 a

Blue-collar occupations . 100.0 682 | 318 39 77 36 107 2

Service occupations ... 100.0 73.2 268 2.0 68 18 10.6 (7)

Goods-producing industries$ 100.0 681} 319] 67 38 76 3.9 96 3
Construction 100.0 70.3 | 297] 32 27 64 49 125 (2)

Manutacturing 100.0 676 | 324] 76 40 79 3.6 88 e

Service-producing industries 100.0 73.4 | 269} 68 27 6.0 29 |. 34 A
Wholesale trade 100.0 726} 274) 63 28 66 2.9 86 1
Retail trade 100.0 73 | 227] 46 24 48 14 97 (?)

Finance, insurance, and real estate 100.0 712 | 288] 76 36 67 3.9 69 2
Service industries 100.0 737 | 263] 72 2.6 55 27 82 1
All part-time workers in private industry ... 100.0 gos | 192] 28 15 26 14 10.9 (2)

White-collar occupations 100.0 aii | i189] 35 16 27 14 97 (2) i
Sales occupations 100.0 314] 126] 23 15 29 1.3 105 (?) |
Administrative support, including clerical .. 100.0 aos | 197] 39 14 a4 16 96 (?) |

Blue-collar occupations 100.0 72 | 243] 22 24 44 32 12.4 (2) |

‘Service occupations ... 100.0 826 | 17.4 18 9 16 5 126 (2) |

|

Goods-producing industries? 100.0 232} 24 25 24 1.0 148 (2) |

Service-producing industries* we 100.0 191 29 14 27 14 10.7 (2)

Retal trade .. 100.0 187 19 12 27 11 18 (2)
Service industries 100.0 136| 34 15 23 12 10.4 (2)

’ Includes severance pay and supplemental unemployment benefits. retail trade; finance, insurance, and real estate; and service industries.

2 Cost per hour worked is $0.01 or less. NOTE: Estimates for transportation and public utilities, which have been
3 Includes mining, construction, and manufacturing. published in previous years, are not available for 1997 due to industrial coding

4 Includes transportation, communication, and public utilities; wholesale and changes. See Explanatory Notes for further information.



Table A3. Employer Costs for Employee Compensation: Civilian workers by occupational and industry
group and private Industry, full-time workers In manufacturing, corrected data for March 1996

As originally published Corrected Difference
Total ~ Wages Total ‘Wages Total Wages
Series jcompen- and Total |compen- and Total |compen- and Total
sation salaries benefits| sation salaries benefits| sation salaries benefits
Civilian workers..... $18.82 $13.48 $5.34) $18.68 $13.36 $5.32) -$0.14 -$0.12 -$0.02
Occupational group
White-collar occupations... 22.52 16.43 6.09] 22.52 16.40 6.12) 0.00 = -0.03 0.03
Professional specialty and. technical 30.09 22.10 7.99] 30.82 22.55 8.27] 0.73 0.45 0.28
Professional 31.14 23.00 8,14) 32.60 23,95 8.65 1.46 0.95 0.51
Nurses. 29.16 21.10 8.07| 28.69 20.87 7.82! 0.47 -0.23 0.25
Teacher: 31.46 23.94 7.52] 35.50 26.82 8.68 4,04 2.88 1.16
Technical 24.94 17.69 7.25, 24.24 17.36 6.88 -0.70 -0.33 -0.37
Executive, administrative,
and managerial... 32,90 23.71 9.20] 33.05 23,81 9.24) 0.15 0.10 0.04
Adminstrative support,
including clerical 15.17 10.72 445) 15.17 10.73 4.44) 0.00 0.01 -0.01
Blue-collar occupations... 17.28 11.72 5.56] 17.28 = 11.73 5.56} 0.00 0.01 0.00
Service occupations .... 10.17 7.37 2.80] 10.17 7.38 2.79) 0.00 0.01 -0.01
Industry group
Services...... 19.90 14,67 5.23} 19.54 14.37 5.16] -0.36 0.30 -0,07
Health services. 20.04 14.14 5.91 18.34 = 13.21 5.12 1.70 -0.93 -0.79
Hospitals... 21.71 15.10 6.61 21.71 15.10 6.61 0.00 0.00 0.00
Educational service: 25.57 18.95 6.62) 27.70 20.34 7.37 2.13 1.39 0.75
Elementary and secondary
education 24.80 18.45 6.35} 27.33 20.12 7.21 2.53 1.67 0.86
Higher educatio 29.29 = 21.38 7.91 29.29 21.38 7.91 0.00 0.00 0.00
Private industry
Full-time workers
Manufacturing... 20.00 13.46 6.54) 21.25 14.28 6.97] 1.25 0.82 0.43



5

Table of Contents:
" Table 1. Civilian workers by broad occupational categories
Table 2. Civilian workers by occupational and industry group
Table 3. State and local government by broad occupational and industry categories
Table 4. State and local government by occupational and industry group
Table 5. Private industry by broad industry categories
Table 6. Private industry by broad occupational categories
Table 7. Private industry by region and bargaining status
Table 8. Private industry by establishment employment size
Table 9. Private industry by full-time and part-time status
Table 10. Private industry by occupational and industry categories
Table 11. Private goods-producing and service-producing industries
Table 12. Private manufacturing and nonmanufacturing industries
Table 13. Private industry union and nonunion workers
Table 14. Private industry by establishment employment size
Table 15. Private industry health services by occupational categories

Table 16. Special industries

Corrections for Employer Costs for Employee Compensation

Table Al. Civilian workers by occupational and industry group, corrected data for March 1994
Table A2. Civilian workers by occupational and industry group, corrected data for March 1995
Table A3. Civilian workers by occupational and industry group and private industry,

full-time workers in manufacturing, corrected data for March 1996
Explanatory notes

Appendix table. Employer costs per hour worked for components of compensation, and relative
standard errors (in percent), by major industry and occupational categories, March 1997

22
23

24

25

28



21

Table 16. SPECIAL INDUSTRIES: Employer costs for employee compensation, and costs as a percent of total compensation, March
1997

Benefit costs
Total Wages

Series compen- | and Supple- Retirement} Legally | other
sation | salaries Paid | mental and required 1

Total | cave | pay” | insurance | cctings | benefits | benefits

Cost per hour worked
‘Transportation equipment manutacturing (SIC 37) $31.08 | $19.00] $12.06 $1.75] $2.92 $1.56 $2.79 $0.97
White-collar occupations 36.48 | 24.74] 11.74 a1 2.66 158 279 23
Professional specialty and technical 4159 | 2867] 1292 82 2.84 1.79 3.16 24
Executive, administrative, managerial 4015 | 27.42) 12.73 1.05 261 171 291 20
Blue-collar occupations 2a22 | 1610] 1213 2.15 3.05 1.54 277 42
Service occupations 32.93 | 17.06 | 1526 2.93 38.25 2.04 3.27 1.00
Alreraft manufacturing (SIC 3721) 33.98 | 2263] 11.95 1.05 2.75 1.58 281 09
White-collar occupations 36.92 | 2483] 1150] .3.43 72 2.66 171 2.90 08
Blue-collar occupations 30.14 | 19.04] 1110] “248] 1.64 291 1:37 2.66 05
Pubile utilities (SIC’s 48, 49) 26.73 | 1862] 810} 231 73 2.07 92 199 07
White-collar occupations 26.54 | 1874] 780| 227 60 2.00 89 1:96 08
Blue-collar occupations 27.58 18.67 691 247 1,02 2.27 1,00 2.10 05
Communications (SIC 48) 24,22 17.20 7.02 1.93 64 1,87 69 1.83 .06
White-colfar occupations 23.81 17.07] 674) 1.89 56 177 64 1.81 7
Blve-collar occupations 26.10 17.97 8.13 217 31 2.25 85 1.91 04
Electric, gas, and sanitary services (SIC 49) ... 30.64 | 2084] sso] 291 88 2.39 1.28 2.25 09
White-collar occupations 32.44 22.35 10.08 3.09 70 2.49 1.42 227 12
Blue-collar occupations 28.82 19,26 9.56 2.72 1.10 2.29 1.13 2.25 06
Percent of total compensation

Transportation equipment manufacturing (SIC 37) 100.9 61.2 | 388 8.6 5.6 94 5.0 9.0 12
White-collar occupations. 100.0 678 | 322 9.8 25 73 43 76 6
Professional specialty and technical 100.0 639 | 31.4 9.8 20 68 43 76 6
Executive, administrative, managerial 100.0 683 | 317| 106 26 65 42 72 5
Blue-collar occupations .. 100.0 $7.0 43.0 78 76 10.8 55 9.8 15
Service occupations 100.0 528] 472 86 94 104 63 10.1 at
Aircraft manufacturing (SIC 3721) 100.0 666 | 334 2.0 34 84 46 83 38
White-collar occupations 100.0 684] 31.6 9.4 2.0 73 47 8.0 2
Blue-collar occupations 100.0 63.2 | 368 82 54 97 45 88 2
Public utilities (SIC's 48, 49) 100.0 697 | 303 a7 27 77 84 75 3
White-collar occupations 100.0 706 | 29.4 85 23 75 33 7.4 3
Blue-collar occupations .. 100.0 677 | 323 9.0 37 82 36 76 2
Communications (SIC 48) .... 100.0 71.0 29.0 8.0 26 77 28 75 2
White-collar occupations 100.0 717 1 283 79 24 74 a7 76 3
Blue-collar occupations 100.0 688 | 312 83 35 86 32 73 a
Electric, gas, and sanitary services (SIC 49) .. 100.0 68.0 | 32.0 95 29 78 42 74 3
White-collar occupations 400.0 68.9 | 314 95 24 72 44 7.0 4
Blue-collar occupations 100.0 66.8 | 332 94 38 8.0 39 78 2

1 Includes severance pay and supplemental unemployment benefits.



27

interviews, computer edits of the data, and systematic professional review of the reports on which the data are
tecorded. Extensive training of field economists also is conducted to maintain high standards in data collection.

Comparing Private and Public Sector Data

Aggregate compensation cost levels in state and local governments should not be compared directly with
those in private industry. Differences between the two sectors stem from a number of factors, particularly the
variation in work activities and occupational structures. Manufacturing and sales, for example, make up a large
part of private industry work activities, but are rarely found in state and local governments. White-collar
occupations account for two-thirds of the state and local government workforce (largely professional
occupations including teachers), compared with one-half in private industry.

An article examining in more detail differences in compensation levels between private industry and state
and local governments, "Cost of employee compensation in public and private sectors," was in the May 1993
issue of the BLS publication, Monthly Labor Review.



23

Table A2. Employer Costs for Employee Compensation: Civilian workers by occupational and industry

group, corrected data for March 1995

As originally published Corrected Difference
Total Wages Total Wages Total Wages
Series lcompen- ° and Total |compen- and Total |compen- and Total
sation salaries benefits} sation salaries benefits| sation salaries benefits
Civilian workers $18.38 $13.12 $5.26] $18.21 $12.98 $5.24) -$0.17 -$0.14 -$0.02
Occupational group
White-collar occupations...... 21.87 = 15.94 5.93} 21.83 15.87 5.97 ~0.04 -0.07 0.04
Professional specialty and technical 29.07 21.42 7.65) 29.77 21.83 7.93 0.70 0.41 0.28
Professional 30.17 22.36 7.81 31.59 23.28 8.31 1.42 0.92 0.50
Nurses... 28.00 20.34 7.67) 27.58 20.12 7.46) 0.42 0.22 0.21
Teachers. 30.26 23.06 7.20) | 34.07 = 25.72 8.35) 3.81 2.66 1.15
Technical 23,87 16.97 6.90] 23.29 16.71 6.58 0.58 -0.26 -0.32
Executive, administrative,
and managerial 32.34 23.14 9.20) 32.32 23.12 9.21 -0.02 -0.02 0.01
Adminstrative support,
including clerical... 14.86 10.51 4.36] 14.84 10.48 4.36 -0.02 -0.03 0.00
Blue-collar occupations... 16.92 11.39 5.53] 16.91 11.39 5.53) -0.01 0.00 0.00
Service occupation: 9.98 7.21 2.77 9.98 7.22 2.76) 0.00 0.01 -0.01
Industry group
Services 19.53 14.38 5.15) 19.10 14.01 5.09) 0.43 -0.37 -0.06
Health services. 19.59 13.90 5.69) 18.01 13.00 5.00} 1.58 -0.90 -0.69
Hospitals... 21.14 = 14.83 6.31 21.14 14.83 6.31 0.00 0.00 0.00
Educational services. 24.99 18.51 6.48) 26.64 19.50 7.14] 1.65 0.99 0.66
Elementary and secondary :
education... 24.57 = 18.27 6.30} 26.37 19.36 7.01 1.80 1.09 0.71
Higher education 28.11 20.43 7.68) 28.11 20.43 7.68) 0.00 0.00 0.00

|
|
'
|
:
.



18

Table 13, PRIVATE INDUSTRY UNION AND NONUNION WORKERS: Employer costs per hour worked for employee compensation, and
costs as a percent of total compensation, March 1997

Benefit costs
Total Wages
Series compen- | and Supple- Retirement] Legally | one,
sation | salaries Paid | mental and required Fel
Total | joave | pay. | "surance | savings | benefits | benefits
Cost per hour worked
All union workers, private industry $23.48 $15.13 $8.34 | $1.56 $0.91 $2.19 $1.33 $2.27 $0.08
Blue-collar occupations 24.07 15.16 8.91 1.51 1.06 2.35 1.48 2.42 AO
Goods-producing industries 24.65 15.44 9.21 1.50 1S 2.46 1.48 2.49 AB
Service-producing industries .. 22,28 14.83 745 1.61 67 1.92 17 2.06 03
Manufacturing .. 21,87 13.54 8.33 1.64 1.26 2.20 1.00 2.08 16
Blue-collar occupations 21.63 13.31 8.33 1,59 1.29 2.20 1.01 2.07 16
Nonmanufacturing ... 24.48 16.13 8.35 1,51 69 2.19 1,53 2.40 03
All nonunion workers, private industry 17.21 12.75 4.46 1.08 46 94 44 1,53 02
Blue-collar occupations 14.75 10.60 414 73 51 3t 32 1.66 (?)
Goods-producing industries 20.91 14.74 6.17 1.43 Pal 1.36 64 1,99 04
Service-producing industries .. 1625 | 1223 | 4.02 99 39 83 39] + 1.41 (?)
Manufacturing .. 21.82 15.22 6.61 1.66 75 1.54 ral 1.89 05
Blue-collar occupations 16.55 11.27 5.28 1.05 74 1.33 46 1.67 03
Nonmanufacturing .. 16.35 | 1229 | 407} 97 At 83 39 44s | (2)
Percent of total compensation
All union workers, privat 100.0 64.5 35.5 66 3.9 9.3 57 a7 03
Blue-collar occupations 100.0 63.0 37.0 63 44 9.8 62 10.0 4
Goods-producing industries. 100.0 62.6 37.4 6.1 47 10.0 6.0 10.4 5
Service-producing industries .. 100.0 66.5 33.5 72 3.0 86 5.3 92 A
Manufacturing ... 100.0 61.9 38.1 75 58 10.0 46 95 7
Blue-collar occupations 100.0 61.5 38.5 74 59 10.2 47 96 8
Nonmanufacturing ... 100.0 65.9 34.1 6.2 28 89 63 98 A
Ail nonunion workers, private industry 100.0 744 25.9 6.3. 27 5.4 25 89 A
Blue-collar occupations 100.0 719 | 284 5.0 35 62 24 113 | (2)
Goods-producing industries 100.0 70.5 29.5 6.9 34 65 3.0 95 2
Service-producing industries 400.0 753 | 247| 641 24 54 24, a7 (2)
Manufacturing ... oo 100.0 69.7 30.3 76 34 7.0 33 87 2
Blue-collar occupations 100.0 68.1 31.9 63 44 84 28 10.1 2
Nonmanufacturing .. 100.0 751] 249] 69 25 54 24 89 (2)
1 Includes severance pay and supplemental unemployment benefits,

2 Cost per hour worked is $0.01 or less.



10

Table 5. PRIVATE INDUSTRY BY BROAD INDUSTRY CATEGORIES: Employer costs per hour worked for employee compensation, and costs |
as a percent of total compensation, March 1997

All workers in : Sant i 2 P +
Compensation private industry Goods-producing! | Service-producing Manutacturing Nonmanutacturing
‘component
Cost Percent Cost Percent Cost Percent Cost Percent Cost Percent
Total compensation ... $17.97 | 100.0 | $21.86 | 1000 | $1673 | 1000 | $2184 | 1000 | $17.10 | 1000
Wages and salaries .. 13.04 72.5 14.92 68.2 12.44 743 14,79 677 12.64 732
Total benefits 4.94 275 6.94 318 429 257 7.05 323 4.46 261
Paid leave .. 4.44 63 1.45 66 1.04 6.2 1.66 76 4.02 6.0
Vacation pay .. 37 32 76 35 50 3.0 85 39 50 29
Holiday pay ... 39 2.2 53 24 35 24 1 28 34 20
Sick leave .. 13 a a 5 14 8 12 & AB 8
Other leave pay 05 3 05 2 05 3 a7 3 04 3
‘Supplemental pay St 29 82 38 42 25 8B 40 43 25
Premium pay 21 1 45 24 3 By AB 24 AS a
Shift pay 05 3 7 3 04 2 08 4 04 2 |
Nonproduction bonuses 26 14 30 14 26 15 33 15 24 14
Insurance 1.09 641 1.64 75 92 55 1,70 78 95 56 i
Life insurance 05 3 7 3 04 2 07 3 04 2
Health insurance 99 55 149 68 83 49 1.55 7A 86 5.0 H
‘Sickness and accident insurance 03 2 06 3 03 2 07 3 03 2 |
Long-term disability insurance 02 1 02 a 02 A 02 a 02 A |
Retirement and savings 55 30 85 39 45 27 19 3.6 49 29 |
Defined benefit plans 26 14 Ao 2.2 9 al AG 20 22 13
Defined contribution plans .. 29 16 36 17 26 16 35 16 a7 16
Legally required benefits .. 1.62 9.0 241 97 1.46 87 1.94 8a 1,55 91 |
Social Security 1.08 6.0 1.27 58 1.03 641 1.27 58 1.04 61 |
oasol 8? 48 102 47 B2 49 1.03 az 83 49 |
Medicare mal 1.2 25 Ww 20 1.2 25 1 ral 12
Federal unemployment insure 03 2 03 A 03 2 03 aj 03 2
State unemployment insurance .. V2 & 14 a a & AS & aM a
Workers’ compensation .. 3g 22 68 34 30 18 St 24 36 24
Other benefits4 .. 03 A 07 3 (8) a) 08 4 (8) (8)
1 Includes mining, construction, and manufacturing. The total employer's cost for Social Security is comprised of an OASDI portion and
2 Includes transportation, communication, and public utilities; wholesale and a medicare portion.
retail trade; finance, insurance, and real estate; and service industries. 4 Includes severance pay and supplemental unemployment benefits.

3 OASDI is the abbreviation for Old-Age, Survivors, and Disability Insurance. 5 Cost per hour worked is $0.01 or less.



7

Table 2. CIVILIAN WORKERS BY OCCUPATIONAL AND INDUSTRY GROUP: Employer costs per hour worked for employee
compensation, and costs as a percent of total compensation, by occupational and industry group, March 1997

Benefit costs
Total | Wages
Series compen- | and Supple- Retirement], Legally | other
sation | salaries | 74. | Paid | mental | io, and required | ots!
leave pay ‘ance | savings | benefits
Cost per hour worked
Civilian workers .. $i9.22 | $1385 | $5.37] $1.27| $0.47 |. $1.23 $0.75 $1.62 $0.03
Occupational group
White-collar occupations .. 23.10 16.95 616} 1.64 48 1.38 92 1.70 03
Professional specialty and technical 31.08 | 2287 a21| 214 62 175 1.48 2.48 05
Professional 83.14 2448 | B63] 224 64 1.85 1.61 224 05
Nurses 28.41 2054 | 787] 2392 97 1.42 85 2.31 (?)
Teachers 35.37 | 2679] 358] 178 06 219 2.40 2.09 06
Technical 23.80 1709 | 671] 1.78 52 1.42 1.01 1.94 05
Executive, administrative, and managerial $3.42 | 2404 | 907] 287 7 1.72 1.33 2.32 05
Administrative support, including clerical 15.44 woos | 445] 1.13 29 1.27 5B 1.19 02
Blue-collar occupations . 17.46 11.93 553} 1.00 64 1.34 68 1.84 03
Service occupations 10.69 7.82, 2.87 60 19 64 38 1.08 (4)
Industry group
Services 20.27 15.03 | 624) 1.33 36 1.18 80 1.55 02
Health services 1858 | 13.55 5.03] 1.44 43 1.08 57 1.50 (?)
Hospitals . 2179 | 1528 | 652] 1.93 67 1.55 68 1.66 ()
Educational services .... 2857 | 21.03 754| 4.77 09 2.04 1,90 1.70 04
Elementary and secondary 2826 | 2084] 743] 158 06 2.21 1.91 1.61 06
Higher education . 3018 | 2214] 804] 217 15 1.80 2.01 191 (7)
Percent of total compensation
Civilian workers... 100.0 72.0 | 28.0 66 24 64 3.9 84 on
Occupational group
Whita-collar occupations ... 100.0 73.4 | 266 7a 24 6.0 49 73 a
Professional specialty and technical 100.0 736 | 26.4 69 20 56 48 70 2
Professional 100.0 739 | 26.4 68 19 5.6 49 68 2
Nurses 100.0 723 | 27.7 82 3.4 5.0 3.0 a4 (7)
Teachers 100.0 75.8 24.2 5.0 2 62 6.8 5.9 2
Technical 100.0 71.8 | 282 75 22 6.0 43 84 2
Executive, administrative, and managerial 100.0 726 | 274 87 23 52 40 7.0 2
Administrative support, including clerical 100.0 n2| 28 73 19 82 36 77 A
Blus-collar occupations ... 100.0 68.3 317 57 3.6 77 39 10.5 2
Service occupations ... 100.0 73.2 26.8 5.6 18 6.0 3.5 99 (7)
Industry group
Services 100.0 742 | 258 66 18 58 40 76 a
Health services 100.0 729 era 78 23 58 34 84 (2)
Hospitals .. 100.0 70.4 29 8.9 34 7A 3.4 7.6 (7)
Educational services . 100.0 736 | 26.4 62 3 7A 66 60 A
Elementary and secondary education . 100.0 737 | 26.3 56 2 78 67 57 2
Higher education .. 100.0 734 | 266 72 5 6.0 67 63 (7)

1 Includes severance pay and supplemental unemployment benefits.

2 Cost per hour worked is $0.01 or less.



6

Table 1. CIVILIAN WORKERS BY BROAD OCCUPATIONAL CATEGORIES: Employer costs per hour worked for employee
compensation and costs as a percent of total compensation, March 1997

Compensation Civilian workers White-collar Blue-collar Service
component
Gost__| Percent | Cost} Percent | Cost | Percent | Cost | Percent
Total compensation . $19.22 100.0 | $23.10 100.0 | $17.46 100.0 | $10.69 100.0
Wages and salaries ... 13.85 72.0 16.95 73.4 11.93 68.3 7.82 73.2
Total benefits .... 5.37 28.0 6.16 26.6 5.53 317 287 268
Paid leave ... 1.27 66 1.64 TA 1,00 57 60 56
Vacation pay .. 58 3.0 73 32 52 3.0 27 25
Holiday pay 43 22 56 24 35 2.0 19 18
Sick leave . 19 1.0 27 12 09 5 11 1.0
Other leave pay 08 3 09 4 04 2 03 3
‘Supplemental pay AT 48 24 64 36 19 18
Premium pay 19 10 4 42 24 10 9
Shift pay .. 05 04 2 06 4 04 4
Nonproduction bonuses . 23 34 15 15 8 05 5
Insurance .. 1.23 1.38 6.0 77 84 6.0
Life insurance 105 06 2 3 02 a
Health insurance 1.13 1.26 55 7A 60 5.6
Sickness and accident insurance 03 03 A 02 2
Long-term disability insurance .. 02 03 a (4) () Q)
Retirement and savings 75 3.9 92 40 68 3.9 38 35
Defined benefit plans 49 25 55 24 47 27 32 3.0
Defined contribution plans .. 27 1.4 37 16 21 12 06 5
Legally required benefits . 1.62 1.70 73 1.84 10.5 1.06 99
Social Security 111 1.32 57 1.01 58 85 61
OASDI? .. 88 1.05 45 82 47 53 49
Medicare 22 2 12 19 14 13 12
Federal unemployment insurance 03 03 a 03 2 03 3
State unemployment insurance Mt a 6 12 7 09 8
Workers’ compensation .. 38 25 14 68 3.9 29
Other benefits? .. 03 a 03 a 03 2 (ty) (4)
1 Gost per hour worked is $0.01 or less. an OASDI portion and a medicare portion.
? OASDI is the abbreviation for Old-Age, Survivors, and Disability $ includes severance pay and supplemental unemployment benefits,

Insurance. The total employer's cost for Social Security is comprised of



19

Table 14. PRIVATE INDUSTRY BY ESTABLISHMENT EMPLOYMENT SIZE: Employer costs per hour worked for employee
compensation, and costs as a percent of total compensation, March 1997

Benefit costs
Industry and occupational group, Total Wages
and employment size compen- and ‘Supple- Retirement al, Other |
sation salaries Total Paid leave | mental pay} Insurance savings benefits benefits
Cost per hour worked
Ail workers in private Industry .. $17.97 | $13.04 $4.94 $1.14 $0.51 $1.09 $0.55 $1.62 $0.03
1-99 workers 15.37 11.54 3.82 0.78 0.39 079 0.35 1.50 (?)
400 of more workers .. 20.61 14.55 6.06 1.50 0.64 1.39 0.74 1.75 0.05
100-499 workers. 16.97 12.29 4.68 1.06 0.46 1,08 0.51 1.56 0.02
500 or more workers. 24.78 17.42 7.63 2.00 0.83 174 1.01 1.97 0.08
‘Goods-producing industries 21.86 14.92 6.94 1.45 0.82 1.64 0.85 2a 0.07
1-99 workers .. 18.48 13.16 5.32 0.81 0.50 1.16 0.64 2.18 (?)
100 or more workers 23.91 15.98 7.93 1.84 1,02 1.92 0.98 2.07 0.10
400-499 workers 19.91 13.56 6.36 1.28 0.78 1.59 076 1.92 0.02
500 or more workers 27.81 18.34 9.47 2.38 1.25 2.25 1.19 2.23 0.18
‘Service-producing Industries 4 16.73 12.44 4.29 1,04 0.42 0.92 0.45 1.46 (2)
1-99 workers .. 14.68 11.18 3.49 0.78 0.37 0.71 0.29 1.34 (?)
100 or more workers 19.18 13.93 5.25 1.35 0.47 1:16 0.64 1.61 0.02
100-493 workers 15.83 11,80 4.03 0.97 0.34 0.88 0.41 1.42 0.02
500 or more workers 23.25 16.52 6.73 1.81 0.63 1.50 0.91 1.84 0.03
White-collar occupations 21.60 15.94 5.66 1.53 0.56 1.20 0.65 1.69 0.03
1-99 workers .. 18.29 13.88 4.41 1.10 0.49 0.92 0.42 1.48 (7)
100 or more workers 24.89 18.00 6.89 4.96 0.63 1.48 0.88 1.69 0.05
100-499 workers 20.62 15.26 5.36 1.41 0.48 117 0.63 1.65 0.03
500 or more workers .. 28.70 20.44 8.26 2.44 0.77 1.76 iH 241 0.07
Blue-collar occupations . 17.19 11.80 5.39 0.93 0.65 1.29 0.62 1.86 9,04
1-99 workers .. 15.81 11.36 4.45 0.65 0.45 0.99 0.45 1.91 (*)
400 of more workers 18.47 12.19 6.27 1.20 0.84 1.57 0.78 1.81 9,06
100-489 workers 16.27 11.14 5.12 0.94 0.61 1.29 0.58 1.70 (?)
500 or more workers 21.46 13.63, 7.84 1.56 4.16 1.96 1.06 1.96 0.13
Percent of total compensation
All. workers in private industry .. 100.0 725 27.5 63 29 6.1 3.0 2.0 0.4
1-99 workers 100.0 75.4 24.9 51 268 5.2 23 97 (?)
100 or more wi 100.0 70.6 29.4 73 31 67 3.6 85 0.2
100-499 workers . 100.0 724 27.6 62 27 6.4 3.0 92 0.1
500 or more workers . 100.0 69.2 30.8 81 3.4 70 44 79 03
Goods-producing industies 2 100.0 68.2 31.8 66 3.8 75 3.9 97 0.3
4-99 workers 100.0 71.2 28.8 44 27 63 35 11.8 (7)
400 or more: 100.0 66.8 33.2 77 43 8.0 44 a7 04
100-499 workers 100.0 68.1 31.9 65 3.9 8.0 38 96 o.1
‘500 of more workers 100.0 66.0 34.0 86 45 84 43 Ex) 0.6
‘Service-producing Industries 4 100.0 74.3 25.7 62 25 55 27 87 (2)
4-98 workers... 100.0 762 23.8 53 25. 48 2.0 92 (2)
100 or more workers 100.0 728 27.4 7.0 25 6.0 3.3 84 O41
100-499 workers 100.0 745 25.5 61 a4 5.6 28 89 0.1
500 or more workers 100.0 TA 28.9 78 27 64 3.9 73 O4
‘White-collar occupations 100.0 73.8 26.2 7A 5.6 3.0 78 ot
1-99 workers ... 100.0 75.9 24.1 60 5.0 23 84 (4)
100 of more workers 100.0 723 277 79 5.9 35 76 02
100-493 workers 100.0 74.0 26.0 68 57 3.0 8.0 ot
500 or more workers 100.0 ne 28.8 a5 64 3.9 73 02
Biue-collar occupations 400.0 68.6 31.4 5.4 3.8 75 36 10.8 02
1-99 workers ... 100.0 719 28.1 4t 28 62 28 124 (7)
100 or more workers 100.0 66.0 34.0 65 46 8s 42 98 0.8
100-499 workers 100.0 68.5 31.5 58 37 79 3.6 10.4 (2)
500 or more workers. 100.0 63.5 36.5 73 | 54 9.4 49 ot 06

1 tncludes severance pay and supplemental unemployment benefits.

2 Cost per hour worked Is $0.01 or less.

2 includes mining, construction, and manufacturing.

4 Includes transportation, communication, and public utllities; wholesale
and retail trade; finance, insurance, and real estate; and service industries.

|



9

Table 4. STATE AND LOCAL GOVERNMENT BY OCCUPATIONAL AND INDUSTRY GROUP: Employer costs per hour worked for
employee compensation, and costs as a percent of total compensation, by occupational and industry group, March 1997

Benefit costs
Total | Wages
Series compen- | and ‘Supple- Retirement] Legally | Oper
sation | salaries Paid | mental and | required 1
Total | cave | “pay” | Insurance| ovings | benefits | Benefits
Cost per hour worked
State and local government workers $26.58 | $1861 | $7.97| $2.06] $0.23 | $2.09 $1.95 $1.61 $0.04
Occupational group
White-collar occupations . 2954 | 21.21 883] 2t4bo 14 2.20 2.08 1.73 04
Professional specialty and technical . 3492 | 2578 | 914] 212 15 2.33 2.49 1.99 06
Professional .. 3625 | 2689 | 936] 213 13 2.40 2.69 2.08 06
Teachers .. 3ags | 2920] 966] 197 06 254 2.89 2.13 07
Executive, administrative, and managerial 33.78 | 23.43 | 1035] 3.40 18 224 2.48 2.03 (?)
Administrative support, including clerical 17.04 | 1128 | 576| 1.55 “09 1.93 1.09 1.08 02
Biue-collar occupations 2150 | 1393 | 757] 203 38 2.03 1.58 1.53 03
Service occupations .. 1950 | 1251 699] 1,78 A4 1.74 1.76 4.24 03
Industry group
Services 27.e8 | 2015 | 7.73| 187 15 241 1.93 1.63 04
Health services 2199 | 1467 | 732]. 228 58 174 114 1.59 03
Hospitals 2253 | 15.10 | 7.43] 235 56 1.68 119 1.62 03
Educational services 2o21 | 2137 | 784] 1:79 09 217 2.09 1.66 05
Elementary and secondary education 2a94 | 2129] 766] 1.63 06 2.28 2.02 1.61 06
Higher education . 3053 | 2210 | 843] 223 17 4.90 231 1.81 (?)
Public administration 24.07 | 15.73 | 833] 240 133 1.99 2.10 1.49 03
Percent of total compensation
State and local government workers 100.0 70.0 | 30.0 77 09 79 74 61 O41
Occupational group
White-collar occupations ... 100.0 71.8 | 282 73 z) 75 7.0 59 a
Professional specialty and technical . 100.0 738 | 262 61 4 67 7A 57 2
Professional 100.0 742 | 258 59 4 66 7 57 2
Teachers 100.9 75.1 24.9 51 A 65 74 55 2
Executive, administrative, and managerial .. 100.9 69.4 | 306] 101 5 66 73 60 (?)
Administrative support, including clerical 100.0 662 | 338 21 5 11.3 64 63 a
Biue-collar occupations 100.0 eg | 352 9.4 7 94 738 7A A
‘Service occupations ... 100.0 64.1 | 35.9 94 238 89 9.0 64 2
Industry group
Services ... 100.0 723 | 277 67 5 76 63 58 2
Health services 100.0 667 | 333] 104 26 78 52 72 a
Hospitals 100.0 670 | 330] 104 25 75 53 72 4
Educational services 100.0 732 | 268 6.1 3 7.4 7A 57 2
Elementary and seco! 100.0 735 | 265 56 2 73 7.0 5.6 2
Higher education 100.0 724 | 276 73 6 62 76 59 (?)
Public administration .. 100.0 65.4] 346] 100 14 83 87 62 a

7 Includes severance pay and supplemental unemployment benefits.

2 Cost per hour worked is $0.01 or less.

|

|
|
}
|



25
EXPLANATORY NOTES

Employer Costs for Employee Compensation is a measure of the average cost per employee hour worked
to employers for wages and salaries and benefits.

Wages and salaries are defined as the hourly straight-time wage rate or, for workers not paid on an hourly
basis, straight-time earnings divided by the corresponding hours. Straight-time wage and salary rates are total
earnings before payroll deductions, excluding premium pay for overtime and for work on weekends and holidays,
shift differentials, nonproduction bonuses, and lump-sum payments provided in lieu of wage increases.
Production bonuses, incentive earnings, commission payments, and cost-of-living adjustments are included in
straight-time wage and salary rates.

Benefits covered are: paid leave--paid vacations, holidays, sick leave, and other leave; supplemental
pay-premium pay for overtime and work on weekends and holidays, shift differentials, nonproduction bonuses,
and lump-sum payments provided in lieu of wage increases; insurance benefits--life, health, sickness and accident
insurance and long-term disability insurance; retirement and savings benefits--defined benefit and defined
contribution plans; legally required benefits--Social Security (OASDI and Medicare), federal and state
unemployment insurance, workers' compensation, and other benefits required by law, such as state temporary
disability insurance; and other benefits--severance pay and supplemental unemployment plans.

The Survey

Employer Costs for Employee Compensation covers all occupations in private industry and state and
local governments, but excludes farms and households. These cost levels are published once a year with the
payroll period including March 12” as the reference period.

The cost levels published in this release are based on a sample of about 18,300 occupations within 4,200
sample establishments in private industry and about 4,500 occupations within 850 establishments in state and
local governments. The sample establishments are classified in industry categories based on the 1987 Standard
Industrial Classification (SIC) manual, as defined by the U.S. Office of Management and Budget. Within an
establishment, specific job categories are selected to represent broader major occupational groups such as
professional specialty and technical occupations.

The cost levels are calculated with current employment weights each year. The March 1997
compensation cost levels were calculated using the March 1997 employment counts from the Bureau of Labor
Statistics Current Employment Statistics (CES) program benchmarked to the 1996 universe of all private
nonfarm establishments. For private industry, in most cases, the employment counts used were total employment
estimates for 2-digit major industry groups (such as primary metal manufacturing or food stores) as defined by
the SIC manual. For the aerospace industries, employment estimates for 4-digit industries such as aircraft
manufacturing were used. In transportation and public utilities, Standard Industrial Classification (SIC) coding
changes that were introduced with the 1996 CES benchmark were not incorporated into these estimates. Rather,
the employment estimates used reflect the employment counts as they would have been if the SIC coding changes
had not been made. This was done so that the employment counts would be consistent with the weighted costs
(which could not be converted to the new coding structure this year) used in the calculation of these costs levels.
Because of the potential impact on the 1997 estimate for the transportation and public utilities series, that series
was not published this year. However, these data were used in the calculation of higher level series—service-
producing industries, nonmanufacturing, and all workers. In the future, these estimates will conform to the CES
SIC coding scheme. For more information on the SIC coding changes, see “BLS Establishment Estimates :
Revised to Incorporate March 1996 Benchmarks” in the June 1997 issue of Employment and Earnings. For state
and local governments, the employment counts used ranged from those for 3-digit industries, such as hospitals,
to those for major industry divisions, such as public administration.



i . United States E
: ; Department ; wy
of Labor

Bureau of Labor Statistics Washington, D.C. 20212

Technical contact: (202) 606-6199 USDL: 97-371

Media contact: (202) 606-5902 FOR RELEASE: 10:00 A.M. EDT
Tuesday, October 21, 1997
http://stats.bis.gov/ecthome.htm

Employer Costs for Employee Compensation - March 1997

In March 1997, employer costs for employee compensation for civilian workers (private industry and
state and local government) in the United States averaged $19.22 per hour worked, the U.S. Department of
Labor’s Bureau of Labor Statistics reported today. Straight-time wages and salaries, which averaged $13.85,
accounted for 72 percent of these costs, while benefits, which averaged $5.37, accounted for the remaining 28
percent. (See table 1.)

Among the benefit categories, employer costs per hour worked were highest for legally required benefits,
which averaged $1.62, or 8.4 percent of total compensation. Paid leave benefits averaged $1.27 (6.6 percent),
insurance benefits averaged $1.23 (6.4 percent), and retirement and savings benefits averaged 75 cents per hour
worked (3.9 percent).

Private industry

In March 1997, private industry employer compensation costs averaged $17.97 per hour worked. Wages
and salaries averaged $13.04 per hour worked (72.5 percent), while benefits averaged $4.94 (27.5 percent).
(See table 5.)

Average employer compensation costs were $21.86 in goods-producing industries and $16.73 in service-
producing industries. Among the published industry series, compensation costs ranged from $9.92 in retail trade
to $23.49 in durable goods manufacturing. (See table 10.)

Average compensation costs were $21.60 for white-collar occupations, $17.19 for blue-collar
occupations, and $9.04 for service occupations. Benefits accounted for a greater proportion of compensation
costs for blue-collar occupations (31.4 percent) than for white-collar (26.2 percent) and service occupations
(23.3 percent). (See table 6.) .

In March 1997, average employer compensation costs were $23.48 for union workers and $17.21 for -
nonunion workers. Benefits represented a greater proportion of compensation costs for union workers (35.5
percent) than for nonunion workers (25.9 percent). (See table 7.) These compensation cost differences reflect,
in part, variation in the distribution of union and nonunion workers among occupations, industries, and
establishment size.

Some historical data for 1994-96 are being corrected with this release. See page 3 for further information.



12

Table 7. PRIVATE INDUSTRY BY REGION AND BARGAINING STATUS: Employer costs per hour worked for employee compensation, and
costs as a percent of total compensation, March 1997

Region! Bargaining status
Compensation - - ,
‘component Northeast South Midwest West Union Nonunion
Cost | Percent} Cost | Percent} Cost | Percent] Cost | Percent} Cost | Percent) Cost | Percent
Total compensation .. $20.27 | 100.0 | $15.79 | 100.0 | $17.33 } 100.0 | $19.68 | 100.0 | $23.48 | 100.0] $17.21] 1000 |

Wages and salaries 14.52 71.6) 11.61 735) 1233 Ti] 14.57 74.0 | 15.13 64.5} 12.75 744

Total benelits 5.75 28.4 4.18 26.5 5.00 28.9 5.11 26.0 8.34 35.5 4.46 25.9
Paid leave .. 1.43 7A 92 58 1.08 62 1.23 62 1.56 66 1.08 63
Vacation pay 68 34 AT 29 56 3.2 61 34 86 37 53 34 |

Holiday pay 49| 24] 31) 20] 37] 22] 42] 21] 4a] 21] 3a] 22 |

Sick leave . 19 ge] oat 7] 10 6] AB B] 44 8| 43 3B i

Other leave 06 3] 04 2] 04 3] 05 3] 06 3] 05 3 \
‘Supplemental pay $3] 26] 28] 24] 7] 39] as] 25] 1] 39} ae] 27

Premium pay 20| 10] 19] 12] 26] 15] 18 S| sof 25) 45 2 i

Shift pay 05 8] .04 2| 06 SB] 05 2] 48 6] 04 2 i

Nonproduction bonuses 2) 14] 16} 10] 36} 21} 26] 18} 19 8] 27] 16 |

Insurance 1.30 6.4 95 6.0 442 65 1.03 52 2.19 93 94 54
Life insurance 05 3 04 3 05 a 04 2 08 4 04 2
Health insurance 117 5.8 86 54 1.02 59 95 48 2.01 85 85 49
Sickness and accident insurance .. 05 3 03 2 04 2 02 A 08 3 03 2
Long-term disability insurance 02 a 02 a 02 a 02 a 02 A 02 a

Retirement and savings
Defined benefit plans
Defined contribution plans

3 34 AB 29 58 34 54 28 1.33 57 Ad 25
a 14 22 14 28 17 24 12 1.06 45 AB 2
17 24 15 29 W7 at 16 26 nt 2 17.

29
34
84 94 1.46 9.2 1.51 87 1.80 94 2.27 97 1.53 89 i
20
96
2

Legally required benefits i

Social Security 1 so] 97} 62] 1.04] 60} 149] 60] 130] 56] 1.05} 64
OASDIz ‘ aT 78 50 34 48 85 48 1,06 45 84 43
Medicare ..

24 1.2 19 12 20 12 24 12 25 Wi 2h 1.2
03 2 03 2 03 2 03 2 03 a 03 2
18 Ey 07 4 10 & AS 7 AB 6 a &
42 24 38 24 4 2.0 43 22 ag 34 34 2.0

Federal unemployment insurance
State unemployment insurance
Workers’ compensation ann

Other benefits? . 03 a 02 a 04 2 02 a 08 3 02 a

1 The regional coverage is as follows: Northeast—Connecticut, Maine, West—Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada,
Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode New Mexico, Oregon, Utah, Washington, and Wyoming.
Island, and Vermont; South—Alabama, Arkansas, Delaware, District of 2 OASDI is the abbreviation for Old-Age, Survivors, and Disability Insurance.
Columbia, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, North The total employer's cost for Social Security is comprised of an OASD! portion
Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, and West and a medicare portion.
Virginia; Midwest—lllinois, Indiana, lowa, Kansas, Michigan, Minnesota, 8 Includes severance pay and supplemental unemployment benefits.
Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin; and



i

Table 6. PRIVATE INDUSTRY BY BROAD OCCUPATIONAL CATEGORIES: Employer costs per hour worked for employee
compensation, and costs as a percent of total compensation, March 1997

All workers in , .
Compensation private industy White-collar Blue-collar Service
component
Cost Percent | Cost Percent | Cost Percent Cost | Percent |
Total compensation ... $17.97 100.0 | $21.60 100.0 | $17.19 100.0 $9.04 100.0
Wages and salaries .... 18.04 72.5 15.94 73.8 11.80 68.6 6.94 76.7 /
Total benefits .. 4.94 27.5 5.66 26.2 5.39 314 2.10 23.3 |
Paid leave 1.14 63 1.53 7A 93 5.4 37 44
Vacation pay 57 32 75 35 ‘50 29 18 2.0
Holiday pay . 39 22 182 24 34 19 12 13
Sick leave 13 7 19 re) 07 4 06 7
Other leave pay 105 3 07 3 208 2 02 2
Supplemental pay 54 29 56 26 65 38 14 1.6
Premium pay. 21 4 12 5 43 25 .07 8
Shift pay. 05 3 04 2 08 4 03 3
Nonproduction bonuses .. . 26 14 40 19 5 ze) 04 5
Insurance .... 1,09 6.4 4.20 56 1.29 75 Ad 48
Life insurance 05 3 106 3 05 3 ) Q)
Health insuranc 99 55 1.07 5.0 1.19 69 40 45 :
Sickness and accident insurance . 03 2 04 2 04 2 02 2
Long-term disability insurance .... 02 a 03 at @) (as) Q) Q)
Retirement and savings 55 3.0 65 3.0 62 36 12 13
Defined benefit plans 126 14 24 1 “40 24 06 6
Defined contribution plans 129 16 4 19 122 13 06 6
Legally required benefits 1.62 9.0 1.69 78 1.86 108 1.03 11.4 |
Social Security 1.08 6.0 1.29 6.0 1.01 5.9 63 6.9 i
OASDI? 87 48 1.03 48 82 48 51 5.6 i
Medicare 24 12 126 12 119 4 12 13
Federal unemployment insurance 203 2 103 a 103 2 203 4
State unemployment insurance .. 12 6 12 5 12 7 209 1.0
Workers’ compensation .. 39 22 125 14 70 at 27 3.0
Other benefits? . 038 4 03 A 04 2 Q) Q)
1 Cost per hour worked is $0.01 or less. of an OASDI portion and a medicare portion.
2 OASDI is the abbreviation for Old-Age, Survivors, and Disability 3 Includes severance pay and supplemental unemployment

Insurance. The total employer's cost for Social Security is comprised benefits.



8

Table 3. STATE AND LOCAL GOVERNMENT BY BROAD OCCUPATIONAL AND INDUSTRY CATEGORIES: Employer costs
per hour worked for employee compensation, and costs as a percent of total compensation, March 1997

All workers in State and A A . sa induetr
Compensation local governments | White-collar occupations | Service occupations Service industries
component
Cost Percent Cost Percent Cost Percent Cost Percent
Total compensation .. $26.58 100.0 $29.54 100.0 $19.50 100.0 $27.88 100.0
Wages and salaries ... 18.61 70.0 24.21 18 12.51 64:1 20.15 723
Total benefits 7.97 30.0 8.33 28.2 6.99 35.9 7.73 27.7
Paid leave .. 2.06 7.7 2.44 73 1.78 94 1.87 67
Vacation pay 70 26 66 22 75 3.9 52 19
Holiday pay 67 25 71 24 57 29 63 23
Sickleave . 52 2.0 59 2.0 34 18 55 2.0
Other leave pay 16 6 18 ‘6 12 & 17 6
Supplemental pay .. 23 9 14 5 44 23 AS 5
Premium pay 1 4 04 at 23 1.2 05 2
Shift pay . 105 2 04 a] M1 6 05 2
Nonproduction bonuses 06 2 08 2 10 5 05 2
Insurance . 2.09 79 2.20 75 1.74 8.9 241 76
Life insurance 05 2 05 2 04 2 05 2
Health insurance . 1.99 7.5 2.10 7A 1.65 85 2.01 72
Sickness and accident insurance 02 1 02 A 02 1 02 1 |
Long-term disability insurance . 03 1 03 a 02 1 03 1 /
Retirement and savings 1,95 74 2.08 7.0 1.76 9.0 1.93 69 {
Defined benefit plans . 1.82 6.8 1.91 65 1.70 87 1.77 63
Defined contribution plans 14 5 A7 & 05 3 16 &
Legally required benefits . 1.61 64 173 | ~ 59. 1,24 64 1.63 58
Social Security .. 1.25 47 1.42 48 80 41 1.35 48 |
OASDI* 98 37 111 38 62 32 4.05 38
Medicare 27 1.0 31 14 AB 9 29 14
Federal unemployment insurance (7) (7) (7) (7) (?) (7) (7) (?)
State unemployment insurance 05 2 05 2 05 3 05 2 i
Workers’ compensation . 30 14 25 9 39 20 23 8 H
Other benefits? 04 + 04 a 03 2 04 2 |
1 OASDI is the abbreviation for Old-Age, Survivors, and Disability 2 Cost per hour worked is $0.01 or fess.
Insurance. The total employer's cost for Social Security is comprised of 3 Includes severance pay and supplemental unemployment benefits.

an OASDI portion and a medicare portion.



22

Table A1. Employer Costs for Employee Compensation: Civilian workers by occupational and industry

group, corrected data for March 1994

As originally published Corrected Difference
Total Wages Total Wages Total Wages
Series compen- and Total |compen- and Total jcompen- and Total
sation salaries benefits} sation salaries benefits} sation salaries benefits
Civilian workers ...... $18.43 $13.06 $5.37) $18.30 $12.95 $5.35) -$0.13 -$0.11 -$0.02
Occupational group
White-collar occupations... wee 21.86 15.85 6.01 21.87 15.82 6.05} 0.01 -0.03 0.04
Professional specialty and technical 29.15 21.37 7.77; 30.02 21.91 8.11 0.87 0.54 0.34
Professional 30.23 22.30 7.93] 31.91 23.40 8.51 1.68 4.10 0.58
Nurses... 27.46 19.80 7.66] 27.17 19.65 7.52 0.29 -0.15 0.14
Teachers 30.71 23.31 7.40) 34.76 26.16 8.61 4.05 2.85 1.21
Technical 24.13 17.07 7.06] 23.42 16.71 6.71 0.71 -0.36 -0.35
Executive, administrative,
and managerial 31.28 22.44 8.84) 31.24 22.41 8.83] 0.04 -0.03 -0.01
Adminstrative support,
including clerical...... 14.90 10.41 4.49] 14.87 10.38 4.49 -0.03 0.03 0.00
Blue-collar occupations... 17.09 11.38 5.70) 17.08 = 11.38 5.70} -0.01 0.00 0.00
Service occupations .. 10,00 7.18 2.82 9.96 7A7 2.79) 0.04 -0.01 -0.03
Industry group
Services. 19.68 14.39 5.29) 19.36 14.11 5.24) -0.32 -0.28 0.05
Health services, 19.29 13.64 5.66] 17.99 12.95 5.04} -1.30 0.69 0.62
Hospitals... 20.57 14.37 6.20} 20.57 14.37 6.20 0.00 0.00 0.00
Educational service: 25.62 18.87 6.75] 27.73 20.19 7.54 2.11 1.32 0.79
Elementary and secondary
education ... 25.52 18.80 6.72] 28.10 20.40 7.70 2.58 1.60 0.98
Higher educatior 28.14 20.60 7.54) 28.14 20.60 7.54} 0.00 0.00 0.00



28

Appendix. Employer costs per hour worked for components of compensation, and realtive standard errors,’ by major
industry and occupation categories, March 1997

Benefit costs
i Total Wages
Industry or occupation compen- and Retirement] Legally
category sation salaries Total | Paid leave ne pa Insurance and required be onelts?
mental pay savings | benefits ene!

Civilian workers

Cost per hour worked $19.22 $13.85 $5.37 $1.27 $0.47 $1.23 $0.75 $1,62 $0.03

Relative error ..... 8% 8% 1.2% 1.5% 6.5% 1.3% 2.3% 8% 10.7%
State and local

government workers

Cost per hour worked $26.58 $18.61 $7.97 $2.06 $.23 $2.09 $1.95 $1.61 $.04

Relative error eusseneennevecs 14% 1.4% 1.8% 1.7% 6.9% 21% 2.8% 2.0% 22.0%
Private industry workers

Cost per hour worked $17.97 $13.04 $4.94 $1.14 |]. $.51 $1.09 $.55 $1.62 $.03

Relative error ..... 1.0% 1.0% 1.4% 1.9% 7.0% 1.7% 3.4% 8% 11.7%
Goods-producing industries

Cost per hour worked $21.86 $14.92 $6.94 $1.45 $.82 $1.64 $.85 $2.11 $.07

Relative error .. 1.7% 1.6% 2.3% 2.4% 4.9% 3.0% 5.5% 1.9% 17.2%
Service-producing industries

Cost per hour worked $16.73 | $12.44 $4.29 $1.04 $.42 $.92 $.45 $1.46} (3)

Relative error . 1.3% 1.2% 1.8% 24% 11.1% 1.9% 43% 2% a )
Manufacturing

Cost per hour worked $21.84 $14.79 $7.05 $1.66 $.88 $1.70 $.79 $1.94 $.08

Relative error ..... 21% 21% 2.6% 2.8% 5.9% 3.0% 6.6% 21% 18.0%
Nonmanufacturing industries

Cost per hour worked $17.10 $12.64 $4.46 $1.02 $.43. $.95 $.49 $1.55 (3)

Relative error .. 1.2% 1.1% 1.8% 2.4% 10.0% 2.0% 4.0% 2% ( 3 )
White-collar workers

Cost per hour worked $21.60 $15.94 $5.66 $1.53 $.56 $1.20 $.65 $1.69 $.03

Relative error .. 1.3% 1.3% 1.8% 2.3% 12.4% 1.8% 3.8% 9% 14.0%
Blue-collar workers

Cost per hour worked $17.19 $11.80 $5.39 $.93 $.65 $1.29 $.62 $1.86 $.04

Relative error . 1.4% 1.2% 2.2% 2.6% 3.3% 2.9% 5.8% 16% 13.7%
Service workers

Cost per hour worked $9.04 $6.94 $2.10 $.37 $.14 $.44 $.12 $1.03 (3)

Relative error . 1.5% 1.3% 27% 49% 5.8% 5.2% 6.0% 49% | (3)

1 The relative error is the standard error expressed as a percent of
the cost. One can be 95-percent confident that the interval around the
cost estimate bounded by two times plus and two times minus the

standard error contains the "true" cost.

2 Includes severance pay and supplemental unemployment benefits.

3 Cost per hour worked is $0.01 or less.



Chart A. Relative importance of employer costs || Chart B. Employer costs for retirement and |
for employee compensation, March 1997 | | savings benefits, private industry, March 1997}

Civilian |State and locall Private] Defined Defined
Iworkers| government |industry EY Benefit Contribution
ages and salaries |72.0%| 70.0% |72.5%| Category
Benefits 28.0 | 30.0 27.5 All workers
: : Goods-producin
Paid leave 6.6 7.7 6.3 Service producing
Supplemental pay | 2.4 0.9 2.9 White collar
: Blue collar
Insurances 6.4 7.9 6.1 _ | Service occupations
E Union |
Health benefits | 5.9 75 5.5 E Non-union
i : Northeast |
Retiremenvsavings| 3.9 7.4 3.0 : sont |
Defined Benefit | 2.5 68 14 E “West
fined Contrib. | 4. ; ; ) 1-99 employees
Defined Contri 1.4 0.5 1.6 || 100-499 employees |
Legally required 8.4 6.1 9.0 500+ employees se |
$0.00 $0.50 $1.00
Other benefits 0.1 0.1 0.4 Cost per hour worked

Chart C. Employer costs for employee compensation, private industry, March 1997

|
|

HE Wages & salaries Benefits

Category

All workers §

Goods-producing i
Service-producing

White collar
. Blue collar
Service occupations §

Union §
Non-union J

Northeast #
South

Midwest
West |

1-99 employees I
100-499 employees
500+ employees I

Full time

Part tie aS 2077777)

$0 $3 $6 $9 $12 $15 $18 $21 $24
Cost per hour worked

Bureau of Labor Statistics OCLT/SDAP 202.606.6199 ocltinfo@bls.gov http://stats.bls.gov/ecthome.htm 10/9



15

Table 10. PRIVATE INDUSTRY BY OCCUPATIONAL AND INDUSTRY CATEGORIES: Employer costs per hour worked for employee
compensation, and costs as a percent of total compensation, March 1997

Bon
Total | wages
Series compon- | and Supple- Legally | other
sation | salaries Paid | montal requirod 1
Total | eave | pay | surance | savings | benafits | benefits’
Cost per hour worked
All workers in private industry... sssmenennennennn| $17.97 | $13.04 | $4.94] $1.14] $0.51 $1.09 $0.55 $1.62 $0.03

Occupational group

‘White-collar occupations 21.60 1594 | 566| 1.53 56 1.20 65 1.69 03
Professional speci 2ato | 2133] 7.771 215 87 1.47 95 2.27 05

Professional 31.01 2204 | 817| 231 99 1.50 96 2.36 04

Technical 24.15 1743 | 6.72] 1.76 55 1.40 93 2.02 05
Executive, administrative, managerial . s298 | 2417] 381] 277 89 1.62 1.08 2.38 “08
Sales occupations .. 14.79 | 1155 | 3.24 66 33 67 32 1.25 ()
Administrative support, including clerical . 15.14 | 1094] 421] 1.05 33 1.15 44 1.21 ‘

Blue-collar occupations . — 719 | 1180 | 5.39 93 65 1.29 62 1.86 04
Precision production, cratt, and repair ...... 22.93 15.41 692] 1.27 75 1.57 88 2.39 05
Machine operators, assemblers, and Inspectors... 16.00 | 1061 5.39] 1.00 82 141 St 1.60 06
‘Transportation and material moving 1688 | 11.71 5.17 83 56 125 ‘60 1.92 (?)
Handlers, equipment cleaners, helpers, and laborers 12.42 872 | 3.70 53 42 86 43 1.44 (?)

Service occupations... sooseneeneenanenseeeenee 9.04 6.94 2.10 37 14 a4 12 1.03 (7)

Industry group

‘Goods-producing industries? 21.86 14.92 6.94 1.45, 82 1.64 BS 241 07
Construction 21.47 15.13 6.34 63 58 1.35 1.04 2.69 (?)
Manufacturing Industries 21.84 | 1479 | 7.05} 1.66 88 1.70 79 1.94 08

DUPABIOS seernrnsnese 2349 | 1568 | 7.81] 1.82] 1.04 1.88 85 2.10 13
Nondurable 19.48 1352 | 5.96| 1.43 65 1.46 69 171 02

‘Service-producing industries 1673 | 1244 | 429] 1.04 42 92 45 1.46 (2)
‘Wholesale trade .. 19.98 1458 | s40| 1.23 55 1.29 57 1.73 02
Retail trade ... 9.92 7.81 241 a7 18 40 13 1,03 (7)
Finance, insuranco, and real estate 23.01 4650 | 651] 1.69 ‘80 1.49 86 1.62 04
‘Services .. ptsoeorevaneresot 17.84 13,39 4.46 1.16 43 89 A4 1.52 (7)

Percent of total compensation
All workers In private industry... 100.0 72.5 | 27.5 63 29 61 3.0 9.0 01

Cccupational group

White-coliar occupations 100.0 73.8 | 262 7A 26 5.6 3.0 78 a
Professional specialty and tech: 100.0 73.3 | 26.7 74 3.0 51 3.3 78 2

Professional 100.0 736 | 26.4 74 32 48 3.4 78 a

‘Technical 100.0 72.2 | 27.8 73 23 58 3.9 84 2
Executive, administrative, managerial ... 100.0 73.3 | 267 8.4 27 49 3.3 72 2
Sales occupations ....... 100.0 78.1 219 45 23 45 24 85 (7)
Administrative support, including clerical 100.0 722 | 278 7.0 22 76 29 8.0 a

Blue-collar occupations .. 100.0 686 | 31.4 5.4 38 75 3.6 10.8 2
Precision production, craft, and repair seseeseneenees| 10,0 69.0 | 31.0 5.7 34 7 3.9 107 2
Machine operators, assemblers, and iNSPECtOFS surenenn| 100.0 66.3 | 337 62 51 88 32 10.0 4
‘Transportation and material MOVING ....sssssssssessssesveessesenes 100.0 69.4 30.6 4.9 3.3 74 3.6 14 (2)
Handlers, equipment cleaners, helpers, and laborers 100.0 702 | 298 43 34 69 35 11.6 (2)

Service OCCUPALIONS ..eeniesnrsmenenennnsenensnnenracneene| — 100.0 767 | 23.3 44 16 48 1.3 114 (?)

Industry group’

‘Goods-producing industries? ...jcmessen 100.0 682] 318 66 38 75 39 97 3
Constru 100.0 705 | 295 32|- 27 63 48 12.5 (7)
‘Manufacturing industries 100.0 677 | 323 76 40 78 36 89 4

‘Durables .. 100.0 668 | 33.2 77 44 8.0 36 89 8
Nondurables ..... event 100.0 634 | 306 73 33 78 3.6 a8 a

‘Service-producing industries? .......... 100.0 74.3 25.7 6.2 25 55 27 a7 (@)
Wholesale trade wssrsunsnientnnneinenenente 100.0 73.0 | 27.0 62 27 65 29 a7 aA
Retail trade 100.0 78.7 213 37 18 41 1.3 10.4 (?)
Finance, insurance, and real estate 100.0 717 |° 283 74 35 65 37 74 2
Sorvices .. 100.0 75.0 | 250} +65 24 5.0 24 85 @)

1 Includes severance pay and supplemental unemployment benetits.

2 Cost per hour worked is $0.01 or less.
2 Includes mining, construction, and manufacturing.

4 includes transportation, communication, and public utilities; wholesale and

retail trade; finance, insurance, and real estate; and service Industries.
utilities, which have been

NOTE: Estimates for transportation and put

published in previous years, are not available for 1997 due to industrial coding

changes. See Explanatory Notes for further information.



17

Table 12. PRIVATE MANUFACTURING AND NONMANUFACTURING INDUSTRIES: Employer costs per hour worked for employee |
compensation, and costs as a percent of total compensation, March 1997

Benefit costs
Total | Wagos
Series compen- | and ‘Supple- Retirement} Legally
sation | salaries Paid | mental and | required
Total | teave | pay | Insurance? | savings | benefits
Cost per hour worked
Atl workers, manufacturing industries $14.79 | $7.05] $1.66] $088 | $1.70 $0.79 $1.94 $0.08
‘White-collar occupations... 2110 | s68] 260 78 1.88 1.09 224 10
Professional specialty an 2500 | 1025] 3.27 83 17 1.21 2.63 15
Professional 27.18 10.88 3.56 82 2.24 1,31 2.81 14
Technical .. 18.62 B.4T 2.39 89 1.95 93 2.09 17 |
Executive, administrative, managerial 2a95 | 11.80| 368] 1.12 2.47 1.86 285 13 !
Administrative support, including clerical 1685 | 11.75 | 509] 1.24 51 1.41 °50 1.41 03 i
‘Blue-collar occupations 1828 | 1196 | 6392] 1.23 92 1.63 65 1.81 07 |
Precision production, craft, and repaic 2375 | 1546 | 929] tas] 1.15 2.00 92 227 13
Machine operators, assemblers, and inspectors 1es4 | 14.02 | 592] (1.10 1 1.58 58 1.68 07
Transportation and material moving 1745 | 11.78 | 567] 1.01 77 1.41 54 1.92 (?)
Handlers, equipment cleaners, helpers, and laborers 13.96 936 | 4.60 7 62 1.25 ‘50 144 |
Service occupations... 1695 | 11.05 | 590] 1.16 89 1.56 50 172 03 |
|
All workers, nonmanufacturing industries: 17.10 12.64 446 1.02 43 95 49 1.55 (?) |
‘White-collar occupations zoss | 1529] 527] 1.99 53 1.62 02
Professional specialty and technical 27as | 2059] 727| 193 2.20 03
Professional 29.53 21.93 7.61 2.05 1.03 227 02
Technical 2363 | 1722 | 641) 1.64 49 2.01 03
Executive, administrative, managerial 31.63 | 2327] 825| 260 85 229 “05
Sales workers .. 1458 | 1141 | 3.17 64 33 1.23 (7)
Administrative support, including clerical 14.93 10.83, 4.09 1,03 30 119 02
Bluo-collar occupations 1647 | 1169 | 478 74 AT 1.07 60 1.89 )
Pracision production, craft, and ropai 2is9 | 1539 | 630] 1.01 57 1.38 87 2.45 2)
Transportation and material moving 1673 | 11.69 | 5.04 79 50 1.21 61 1:92 (2)
Handlers, equipment cleaners, help 12.02 B55 | 3.47 47 37 76 A2 1.45 ca
Service occupations 8.87 6.85 2.02 36 AS Al a 1,01 (7)
Percent of total compensation
Ail workers, manufacturing industries 100.0 677 92.3 76 40 7.8 36 89 0.4 |
‘White-collar occupations 100.0 708 29.2 8.7 26 6.3 a7 75 3 |
Professional specialty and technical 400.0 7o3 | 29.1 93 24 6.1 34 75 4
Professional 100.0° 71.4 28.6 94 21 5.9 34 74 A
100.0 689 | 31.4 88 33 72 34 77 6
100.0 71.0 23.0 9.0 27 5.3 46 7.0 3
100.0 69.8 30.2 7.3 3.0 8.4 29 84 2
100.0 654 | 346] 67 5.0 39 36 99 4 i
Precision production, craft, and repair 100.0 651 | 34.9 77 43 84 39 95 5 i
‘Machine operators, assemblers, and inspectors 100.0 651 | 349] 65 54 93 34 99 4 i
‘Transportation and-material moving 100.0 67.5 | 325 58 44 84 34 11.0 (7)
Handlers, equipment cleaners, helpers, and laborers 100.0 67.1 | 92.9 55 44 9.0 36 103 2
Service occupations 100.0 2] 38] 68 52 92 29 10.1 5
All workers, nonmanufacturing industries 100.0 739 | 264 60 25 56 29 a4 ()
White-collar occupations 100.0 743 | 25.7 68 26 54 29 79 4
Profassional specialty and technical 100.0 739 | 26.4 69 32 48 32 73 1
Professional 100.0 742 | 258 69 35 46 3.0 17 4
Technical 100.0 729) 2A 69 24 58 39 a5 1
Executive, administrative, managerial 400.0 738 | 262 82 27 48 3.0 73 2
Sales workers 100.0 732 | 218 44 22 45 24 85 @)
‘Administrative support, . 100.0 728 | 274 639 20 78 29 80 4
‘Biue-collar occupations 100.0 71.0 29.0 AS 29 65 a7 115 2)
Precision production, 100.0 710 | 29.0 47 26 64 40 118 2)
‘Transportation and material moving .. se . 2)
Handlers, equipmont cleaners, helpers, and laborers 100.0 711 | 289 39 34 63 35 120 2)
‘Service occupations 100.0 72| 28| “40 14 Az 12 114

1 Includes severance pay and supplemental unemployment benefits, 2 Cost per hour worked is $0.01 or less.

3
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3
of total compensation, with establishment size. Establishments with fewer than 100 employees averaged 72 cents
(4.7 percent), those with 100-499 employees averaged 98 cents (5.8 percent), and those with 500 or more
employees averaged $1.57 (6.3 percent). (See table 8.)

Retirement and savings benefit costs in private industry

In March 1997, the average cost for retirement and savings was 55 cents per hour worked in private
industry (3.0 percent of total compensation). Included in this amount are employer costs for defined benefit
plans, which averaged 26 cents (1.4 percent), and defined contribution plans, which averaged 29 cents (1.6
percent). Defined benefit plans specify a formula for determining future benefits, while defined contribution
plans specify employer and employee contributions but do not guarantee future benefits.

Retirement and savings costs were higher in goods-producing (85 cents per hour worked and 3.9 percent
of total compensation) than in service-producing industries (45 cents per hour worked and 2.7 percent of total
compensation). Defined benefit plan costs represented a greater proportion of employer costs (relative to
defined contribution plans) in goods-producing than in service-producing industries. (See table 5.)

The average cost per hour worked for retirement and savings was 65 cents for white-collar occupations,
62 cents for blue-collar occupations, and 12 cents for service occupations. Although white-collar occupations
had the highest average cost among the occupational categories, blue-collar occupations had a slightly higher
proportion of retirement and savings costs as a percent of total compensation (3.6 percent). Retirement and
savings costs represented 3.0 percent of total compensation for white-collar occupations and 1.3 percent for
service occupations. (See table 6.)

Retirement and savings costs were higher, both in average dollar amounts and as a proportion of total
compensation, for union workers ($1.33 and 5.7 percent of total compensation) than for nonunion workers (44
cents and 2.5 percent of total compensation). Defined benefit plan costs represented a greater proportion of
employer costs (relative to defined contribution plans) for union workers than for nonunion workers. (See table
7)

Retirement and savings costs ranged from 46 cents per hour worked in the South to 63 cents in the
Northeast. The proportion of total compensation represented by retirement and savings varied slightly among
regions. (See table 7.)

Retirement and savings costs increased, both in average dollar amount and as a proportion of total
compensation, with establishment size. Establishments with fewer than 100 employees averaged 35 cents (2.3
percent), establishments with 100-499 employees averaged 51 cents (3.0 percent), and establishments with 500
or more employees averaged $1.01 (4.1 percent). Defined benefit plan costs accounted for a greater proportion
of total retirement and savings costs as establishment size increased. (See table 8.)

NOTE

In conjunction with this release, corrected data for civilian workers for 1994-1996 and for full-time
workers in manufacturing (private industry) for 1996 are being issued. Other private industry series were not
affected. Tables A1-A3 show original estimates, corrected estimates, and differences for total compensation,
wages and salaries, and benefits for the affected series. Corrections for individual benefits are available upon
request or from http://stats.bls.gov/ecthome.htm.



26
The employment data from these 2-digit, 3-digit, or 4-digit industries were distributed to major

occupational groups (such as executives, administrators, and managers or machine operators, assemblers, and n

inspectors) using the relative importance of the groups as estimated by the Employment Cost Index (ECI)
sample. Because the ECI establishment sample is completely replaced over a period of several years, the major
occupational group employment counts from the ECI are affected by the age of the sample. However,
differences of a few years in the age of the occupational employment data within industries are likely to have only
a small impact on the estimates.

In contrast, the ECI, which measures the change in employer, costs for employee compensation, is
calculated with fixed 1990 employment counts to prevent employmen: shifts among occupations and industries
from influencing the changes. Therefore, year-to-year changes in the cost levels will differ from those in the ECI.

More information on the.cost levels, including how the costs are calculated, appears in the article
“Analyzing employers’ costs for wages, salaries, and benefits" in the October 1987 issue of the Monthly Labor
Review. The published cost levels for March 1987 also appear in that article.

An annual bulletin is issued from the ECI program. The most recent bulletin, Employment Cost Indexes
and Levels--1975-95 (Bulletin 2466) with an Errata dated October 1995, provides historical data on ECI indexes
as well as employer costs for employee compensation data for March 1993, March 1994, and March 1995.
Measures of the precision of both the Employment Cost Index and the employer costs for employee
compensation, an explanation of survey methods, and a discussion of the published information also are included.
Please note that Tables 14, 15, 30, and 31 in the bulletin contain the incorrect data that is corrected in tables Al
and A2 of this news release. ~

Copies of articles, bulletins, and other information can be obtained by calling (202) 606-6199, e-mailing
olctinfo@bls.gov, or visiting http://stats.bls.gov/ecthome.htm.

The Relative Standard Errors

Because the data are based on a sample survey, the compensation cost estimates probably differ from the
figures that would be obtained from all units covered by the survey. To determine the precision of each cost
level estimate, a standard error was calculated.

The standard error defines a range (confidence interval) around the cost estimate. The approximate 95-
percent confidence interval is the estimate plus or minus twice the standard error. The standard error also can be
expressed as a percent of the cost estimate, or the relative standard error. For example, the 95-percent
confidence interval for a cost estimate of $10 with a relative standard error of 1.0 percent would be $10.00 plus
or minus 2.0 percent (2 times 1.0 percent) or $9.80 to $10.20. One can be 95 percent confident that the "true"
cost falls within the confidence interval. The relative standard error is shown with the cost estimates for some
series in the appendix. Relative standard errors for all published estimates are available upon request. For a
fuller explanation of the relative standard errors, see "Analyzing employers’ costs for wages, salaries, and
benefits," in the October 1987 issue of the Monthly Labor Review.

Standard errors relate to differences that occur from sampling errors, but not from nonsampling errors.
Sampling errors are differences that occur between the results computed from a sample of observations and those
computed from all observations in the population. Nonsampling errors are not measured. They include such
things as survey nonresponse, data collection errors, and processing errors. Survey nonresponse is due to sample
members that are unable or unwilling to participate in the survey; data collection errors include incorrect data
provided by the respondent or definitional difficulties; and processing errors include errors in recording, coding,
and entering data. Although nonsampling error is not measured, many procedures for reducing such errors are in
place, through several quality assurance programs. These include data collection reinterviews, observed



2
Among the four census regions, private industry compensation costs ranged from an average of $15.79
per hour worked in the South to $20.27 per hour worked in the Northeast. The proportion of compensation
represented by benefits ranged from 26.0 percent in the West to 28.9 percent in the Midwest. (See table 7.)

Compensation costs increased with establishment size. Establishments with fewer than 100 employees
averaged $15.37, establishments with 100-499 employees averaged $16.97, and establishments with 500 or more
employees averaged $24.75. The proportion of compensation represented by benefits also increased with
employment size. For establishments with fewer than 100 employees, benefits represented 24.9 percent of total
compensation; for establishments with 100-499 employees, benefits represented 27.6 percent; and, for
establishments with 500 or more employees, benefits represented 30.8:percent of total compensation. (See table
8.)

Compensation costs for full-time workers averaged $20.37 per hour worked compared with $9.60 for
part-time workers. Benefit costs represented a greater proportion of compensation costs for full-time workers
than for part-time workers (28.6 percent compared with 19.2 percent). (See table 9.) Workers are classified as
full time or part time according to the practices of the surveyed establishments. Part-time employees are typically
scheduled to work fewer hours than full-time employees in the same work activity.

State and local government

In March 1997, employer costs in state and local governments averaged $26.58 per hour worked. Wages
and salaries, which accounted for 70 percent of the total, averaged $18.61, while benefits, which accounted for
the remaining 30 percent, averaged $7.97. (See table 3.)

Average compensation costs in state and local governments were higher for white-collar occupations
($29.54) than for blue-collar occupations ($21.50) and service occupations ($19.50). (See table 4.) Service
occupations include police and firefighters, as well as janitors, cooks, and nursing aides. Benefits accounted for
similar proportions of total compensation in service occupations (35.9 percent) and blue-collar occupations (35.2
percent); for white-collar occupations, benefits represented 28.2 percent of total compensation.

Among industry groups, compensation costs were higher in services (e.g., health services and educational
services) than in public administration ($27.88 compared with $24.07). Benefits represented a greater
proportion of total compensation in public administration (34.6 percent) than in services (27.7 percent).

Health benefit costs in private industry

In March 1997, private industry health benefit costs averaged 99 cents per hour worked, or 5.5 percent of
total compensation. Among the benefits, only Social Security, at $1.08 (6.0 percent), had a higher cost.

In goods-producing industries, health benefit costs were $1.49 (6.8 percent) compared with 83 cents (4.9
percent) for service-producing industries. (See table 5.)

Employer costs for health benefits were highest, in average dollar amount and proportion of
compensation, for blue-collar occupations ($1.19 per hour worked and 6.9 percent of total compensation) and
lowest for service occupations (40 cents per hour worked and 4.5 percent of total compensation). White-collar
occupations averaged $1.07 (5.0 percent). (See table 6.)

Employer costs for health benefits were higher for union workers, averaging $2.01 (8.5 percent), than for
nonunion workers, averaging 85 cents (4.9 percent). (See table 7.)

Among the four census regions, costs for health benefits ranged from 86 cents in the South to $1.17 in
the Northeast. (See table 7.) Health benefit costs increased, both in average dollar amount and as a proportion



. 13

Table 8. PRIVATE INDUSTRY BY ESTABLISHMENT EMPLOYMENT SIZE: Employer costs per hour worked for employee compensation,
** and costs as a percent of total compensation, March 1997

All workers in 1-99
private industry workers 100 or more workers
Compensation
‘component Total yee 500 or more workers
Cost Percent Cost Percent
Cost | Percent | Cost _| Percent | Cost | Percent
Total compensation ... $17.97 | 100.0 | $15.37 | 100.0 | $20.61 | 1000 -| $1697 | 100.0 | $24.75 | 1000
Wages and salaries .. 1304 | 725 | 1154] 754 1455] 706 | 1229] 724 | 17.12] 692
Total benefits .. 494 | 275 382] 249 6.06 | 29.4 46a | 276 763 | 308
Paid leave 144 63 0.78 54 1.50 73 1.06 62 2.00 at
Vacation pay .. 057 32 0.38 25 0.75 37 0.52 3.4 1.02 4a
Holiday pay 0.39 22 028 1.8 0.50 24 0.36 24 0.66 27
Sick leave 0.13 07 0.09 os 0.18 09 0.13 o7 0.24 1.0
Other leave pay 0.05 03 0.03 02 0.07 03 0.05 03 0.09 04
‘Supplementat pay . 0.51 29 039 26 0.64 34 0.46 27 0.83 3.4
Premium pay 0.21 11 0.14 09 0.27 13 0.23 13 0.32 13
Shift pay 0.05 o3 | (1) ab) 0.09 04 0.04 03 0.14 06
Nonproduction bonuses .. 026 14 024 16 0.28 13 0.19 1A 0.38 15
Insurance .. 1.09 64 0.79 52 1.39 67 1.08 6.4 1.74 7.0 |
Life insurance 0.05 03 0.04 02 0.08 03 0.04 03 0.07 03 |
Health insurance 0.99 55 0.72 47 1.26 6.1 0.98 5.8 157 63
Sickness and accident insurance 0.03 02 0.02 0.1 0.05 02 0.04 02 0.06 03
Long-term disability insurance .. 0.02 on () @) 0.03 O41 0.02 O41 0.04 02
Retirement and savings 0.55 3.0 0.35 23 0.74 36 0.51 3.0 1.01 44
Defined benefit plans 0.26 14 0.14 09 0.38 19 0.22 13 0.58 23
Defined contribution plans 0.29 16 0.22 1.4 0.36 17 0.29 17 0.43 7
Legally required benefits 1.62 9.0 1.50 97 1.75 85 1.56 92 1.97 79
Social Security 1.08 6.0 0.96 62 1.21 5.9 1.02 6.0 1.43 58
OasDIz 0.87 48 0.77 5.0 0.97 47 0.82 48 1.15 46 i
Medicare 021 12 0.19 1.2 0.24 12 0.20 12 0.29 12 |
Federal unemployment insurance 0.03 02 0.03 02 0.03 01 0.03 a2 0.03 0.4
State unemployment insurance 0.12 0.6 o.11 07 0.12 06 0.12 07 O11 05
Workers’ compensation .. 0.39 22 0.39 26 0.39 19 0.38 23 0.39 16
Other benefits? ... 0.03 0.1 @) Q) 0.05 02 0.02 O41 0.08 03
1 Cost per hour worked is $0.01 or less. and a medicare portion.
2 OASDI is the abbreviation for Old-Age, Survivors, and Disability Insurance, 3 Includes severance pay and supplemental unemployment benefits.

The total employer's cost for Sociat Security is comprised of an OASDI portion



16

Table 11. PRIVATE GOODS-PRODUCING AND SERVICE-PRODUCING INDUSTRIES: Employer costs per hour worked for employee
compensation, and costs as a percent of total compensation, March 1997

i
Benefit costs
Total Wages
Series compen- | and Supple. Retirement Legally Other
sation | salaries Paid | ment and | requir °
Total | jeave | “pay | insurance} 21 ings | benefits | benefits!
‘Cost per hour worked
All workers, goods-producing industries? .. $14.92 | $6.94} $1.45 $0.82 $1.64 $0.85 $2.11 $0.07
White-collar occupations .. 29.26 20.78 8.47 2.46 WT 1.83 1.06 09
Professional specialty and technical 95.21 24.98 10,23 3.23 84 2.44 1.23 AS
Professional 38.21 27.28 10.93 3.56 83 2.22 1.35 14
Technical 26.65 18.41 8.23 2.31 87 1.90 1 16
Executive, administrative, managerial 39.62 28.19 11.43 3.40 1.10 2.13 1.73 WW
Administrative support, including eleri 16.52 14.60 491 1.15 51 1.38 47 1.39 03
Blue-collar occupations 19.09 12.71 6.38 1.06 84 1.56 78 2.07 06
Precision production, craft, and repair .. 23.68 15.93 7.75 1.27 89 1.77 1.08 2.66 07 i
Machine operators, assemblers, and inspectors 17.04 | 11.09 | 595] 1.09 93 1.59 59 1.69 07 j
Transportation and material moving .. 1813 | 1207] 605 92 85 1.48 a” 2.09 (3) |
Handlers, equipment cleaners, helpers, an 14.21 973 | 447 59 53 1.09 57 1.68 (3) |
Service occupations .. 16.03 | 1059 | 544] 1.05 80 1.42 45 1.63 08 i
All workers, service-producing industries* 1673 | 1244] 4209] 1.04 42 92 45 1.46 (3)
White-collar occupations 20.44. 15.21 5.23 1.39 53 1.10 59 1.60 02
Professional specialty and technic 27.77 20.54 7.24 1.92 88 1.33 89 2419 .02
Professional 29.40 21.85 756 2.03 1.03 1.34 88 2.26 02
Technical 23.66 17.24 6.42 1.64 49 1.31 93 2.02 03
Executive, administrative, managerial 31.30 23.15 8415 2.61 84 1,49 93. 2.23 05 |
‘Sales workers. 14.51 11.36 3.16 64 33 65 at 1.23 (3) |
Administrative support, 14.93 10.83 4.10 1.04 30 1.12 44 1.19 .02
Blue-collar occupations ... 1485 | 4067 | 418 78 42 95 43 159 (3)
Precision production, craft, and repair 20.01 1452 | 549] 126 St 1.23 53 1.94 (3) |
‘Transportation and material moving .. 1638 | 1156 | 482 80 44 1.16 56 1.86 3) i
Handlers, equipment cleaners, helpers, and laborers 11.50 820 | 3.30 50 37 74 36 1:32 (3) i
Service occupations 887 685 | 202 36 13 At M1 4.01 (3)
Percent of total compensation
All workers, goods-producing Industries? ... 100.0 68.2 318 66 38 75 3.9 97 0.3
White-collar occupations ... 100.0 71.0 29.0 84 26 63 36 77 3
Professional specialty and technical 100.0 71.0 29.0 92 24 61 35 75 4
Professional .. 100.0 714 28.6 9.3 22 58 35 74 4
Technical .. 100.0 69.1 30.9 87 33 7A 34 78 &
Executive, administrati 100.0 712 28.8 86 28 5.4 44 75 3
Administrative support, including clerical 100.0 70.3 29.7 69 34 83 28 84 2
Blue-collar occupations .. 100.0 66.6 33.4 56 44 82 at 10.9 3
Precision production, craft, and repair 100.0 67.3 32.7 5.4 38 75 46 | 12 3
Machine operators, assemblers, and inspectors .. 100.0 65.1 34.9 64 54 9.3 35 9.9 4
Transportation and material moving ... 100.0 666 | 334 54 47 8.4 39 115 (3)
Handlers, equipment cleaners, helpers, and laborers 100.0 68.5 315 41 37 77 40 11.8 (3)
Service occupations 100.0 66.4 33.9 65 5.0 8.9 28 10.2 5 !
All workers, service-producing industries 100.0 743 | 257 62 25 5S 27 87 (3) |
White-collar occupations .... 100.0 74.4 25.6 68 26 54 29 78 1 {
Professional specialty and technical 100.0 73.9 26.1 6.9 32 48 32 79 a
Si 400.0 743 25.7 69 35 46 3.0 77 a
Technical 100.0 729 27.1 70 24 55 40 85 4
i 100.0 74.0 26.0 83 27 48 3.0 7A 2 |
100.0 783 | 247 44 23 48 24 85 (3) j
Administrative support, including clerical 100.0 726 27.4 7.0 20 75 29 8.0 a |
Blue-collar occupations 100.0 718 | 282 52 28 64 29 107 (3) i
Precision production, craft, and repair 100.0 726 | 274 63 26 62 27 97 () H
Transportation and material moving 100.0 706 29.4 49 27 cA! 34 11.3 (3)
Handlers, equipment cleaners, helpers, ar 100.0 713 28.7 43 32 65 32 115 (3)
Service occupations .... 100.0 721 28 40 14 47 12 14 (3)
1 Includes severance pay and supplemental unemployment benefits: 4 Includes transportation, communication, and public utilities; wholesale and
2 Includes mining, construction, and manufacturing. retail trade; finance, insurance, and real estate; and service industries.

3 Cost per hour worked is $0.01 or less,