14

Table 7. Employment Cost Index for wages and salaries for private industry workers by bargaining status,

region, and area

(Not seasonally adjusted data)
Indexes (June 1989=100) Percent changes for—
ini i 3 months ended- 12 months ended—
Bargaining status, region, and area Sep. June Sep.
1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998
Bargaining status
Union ... 128.3 130.7 132.4 11 08 1.3 28 3.0 3.2
Blue-collar occupations... 126.0 128.5 129.9 1.0 1.0 Ww 2.6 3.0 34
Goods-producing industries! .. 126.6 129.4 131.0 1.0 1.2 1.2 28 3.2 3.5
Service-producing industries? 130.4 132.2 |° 134.1 1.2 3 14 28 26 28
Manufacturing .... 127.8 130.4 132.2 1.0 6 14 27 34 3.4
Blue-collar occupations .. 127.6 130.0 131.4 11 8 14 27 3.0 3.0
Nonmanufacturing .... 128.6 | 130.8 | 132.4 12 a 12 3.0 29 3.0
Nonunion .... 131.6 | 135.7 | 137.4 1.0 a 1.3 3.7 41 44
Blue-collar occupations 129.7 132.9 134.0 6 7 8 3.6 34 3.3
Goods-producing industries! .. 131.2 | 134.7 | 135.7 8 8 7 34 35 34
Service-producing industries? 131.6 135.9 137.9 Ww 1.0 15 3.9 44 48
Manufacturing .... 132.6 | 136.2 | 137.3 7 8 & 3.0 3.4 3.5
Blue-collar occupations 135.1 136.2 6 5 8 3.3 3.0 3.2
Nonmanufacturing .... 131.4 135.3 137.1 1 1.0 13 40 43 46
Region?
130.7 | 133.8 | 135.4 7 a) 1.2 29 34 3.6
130.6 | 1349 | 136.5 BS) 7 12 3.7 43 “45
132.2 | 136.0 | 137.5 14 1.0 Wt 42 43 4.0
130.2 134.5 | 136.7 1.0 1.2 1.6 35 43 5.0
131.1 135.1 136.9 3 1.0 1.3 35 40 44
180.4 | 133.4 | 134.7 12 7 1.0 43 36 3.3

1 Includes mining, construction, and manufacturing.

2 includes transportation, communication, and public utilities;
wholesale and retail trade; finance, insurance, and real estate; and service
indystres.

The regional coverage is as follows: Northeast: Connecticut, Maine,
Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania,
Rhode Istand, and Vermont; South: Alabama, Arkansas, Delaware, District
of Columbia, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi,
North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia,
and West Virginia; Midwest: llinois, Indiana, lowa, Kansas, Michigan,

Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and
Wisconsin; and West: Alaska, Arizona, Califomia, Colorado, Hawaii,
Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and
Wyoming.

NOTE: The indexes for these series are not strictly comparable to those
for the aggregate, occupation, and industry series.


5

Table 1. Employment Cost Index for total compensation’, wages and salaries, and benefit costs by industry and

occupational group

(Seasonally adjusted data)
Indexes (June Percent changes for 3-months ended—
1989=100) ang
Industry and occupational group
June Sep. Dec. Mar. June Sep. Dec. Mar. June Sep.
1998 1998 1996 1997 1997 1997 1997 1998 1998 1998
TOTAL COMPENSATION
Civilian workers ..... 137.3 | 138.7 0.7 0.7 08 08 1.0 0.7 0.9 1.0.
State and local government 137.5 | 138.6 7 6 5 6 6 8 7 8
Private industry .... 137.2 | 138.7 7 6 9 8 1.0 7 9 Wa
Industry
Goods producing? . 136.2 | 137.1 7 3 a 8 4 6 9 7
Construction3 132.5 | 133.1 2 6 8 7 5 7 1.2 5
Manufacturing 137.0 | 138.2 7 3 8 7 5 7 5 3
Durables . 137.3 | 138.5. 6 2 8 7 6 5 6 a
Nondurables 136.5 137.8 7 4 a 8 5 9 5 1.0
Service producing? ..... ..| 137.7 | 139.5 7 8 8 9 13 7 x) 13
Transportation and public utilities | 137.3 138.6 a3 A 7 8 1.0 1.0 13 a
Wholesale trade3 138.3 140.8 9 1.4 4 8 5 1.8 4 1.8
Retail trade .. 134.4 | 135.6 Ww ww 7 9 6 1.3 7 )
Finance, insurance, and real
138.4 | 141.0 6 24 6 9 3.4 1.6 12 1.9
140.3 | 141.8 6 7 9 1.0 1.2 4 8 14
137.2 138.8 8B 8 8 8 1.3 7 1.0 12
Occupational group
White collar 139.3 | 141.1 6 8 8 9 1.3 8 3 13
134.1 135.1 9 3 8 8 7 5 8 7
135.8 | 137.0 1.0 9 Bo) 1.6 5 1.0 7 9
WAGES AND SALARIES
Civilian workers ..... . 136.7 7 8 a) a Wa 38 BS) 12
State and local government 136.1 137.1 8 6 6 7 8 7 7 7
Private industry 134.9 | 136.6 7 a) x) 1.0 14 8 1.0 13
Industry
Goods producing2.6 134.3 6 6 14 8 5 1 2 8
Construction’ 128.2 7 11 a 8 6 1.0 13 2
136.0 5 5 9 8 7 14 7 1.0
135.9 5 5 9 8 5 V1 8 1.0
136.1 7 5 a 8 3 14 4 1.0
Service producing ..... 137.6 8 x) ) 14] 14 8 1.0 15
Transportation and public 133.0 | 134.4 8 8 8 9 8 5 8 VW
Wholesale trade3 . 139.3 2 16 2 8 5 22 2 18
Retail trade .. 135.0 14 1.0 1.0 cS) 7 Ww 1.0 1.3
Finance, insurance, and real .
estate3.6 138.1 0 1.9 6 9 3.3 15 17 24
Services 140.0 6 a 41 1.2 W 7 a 12
Nonmanufacturing ... 136.3 1.0 2 9 1.0 1.3 8 1.0 12

‘See footnotes at end of table.



18
When comparing data by bargaining status, it is important to note that differences may be due-to factors
other than bargaining status, such as occupational and industry mix. For example, union occupations tend to
be concentrated in blue-collar occupations within manufacturing industries. Thus, differences between blue-
collar and white-collar pay or differences in manufacturing versus nonmanufacturing industries could explain
such differences.

More detailed information on the ECI is available in several sources. These include an annual bulletin--
Employment Cost Indexes and Levels, 1975-97, (Bulletin 2504), a chapter in the BLS Handbook of Methods
(Bulletin 2490), "National Compensation Measures,” and several articles published in the Monthly Labor
Review and Compensation and Working Conditions. The annual bulletins are available from the
Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, or Bureau of Labor
Statistics, Publications Sales Center, P.O. Box 2145, Chicago, Illinois 60690, 312/353-1880. Reprints of the
articles and other descriptive pieces are available upon request by calling 202/606-6199 or sending email to
(ocltinfo@bls.gov). Current and historical data are available at the web site:
(http://stats.bls.gov/ecthome.htm).

Information in this release will be made available to sensory impaired individuals upon request. Voice
phone: 202/606-7828; Telecommunications Device for the Deaf (TDD)-phone: 202/606-5897, TDD Message
Referral Phone Number: 1-800/326-2577.


10

Table 4. Employment Cost Index for total compensation’ for private industry workers, by bargaining status,

region, and area

(Not seasonally adjusted data)

Indexes (June 1989=100) Percent changes for—
i q 3 months ended— 12 months ended-
Bargaining status, region, and area Sep. June Sep.
1997 | 1998 | 1998 | Sep. | June | Sep. | Sep. | June | Sep.
1997 1998 1998 1997 1998 1998
Bargaining status
- 133.2 | 135.3 | 136.8 11 1.0 Wt 24 27 27
Blue-collar occupations 131.2 | 133.3 | 134.6 1.0 V4 1.0 23 26 26
Goods-producing industries? 132.3 | 134.3 | 135.6 8 12 1.0 24 24 25
‘Service-producing industries? 134.0 136.2 138.0 1.2 7 13 23 29 3.0
Manufacturing . 133.0 | 134.6 | 136.0 1.0 7 10 25 22 23
Blue-collar occupations 132.6 | 134.2 | 135.5 9 8 1.0 24 21 22
Nonmanufacturing .. 132.9 | 135.3 | 136.9 14 1.0 1.2 23 29 3.0
Nonunion .. 133.9 | 137.8 | 139.3 8 8 11 3.2 38 4.0
Blue-collar occupations 131.8 134.7 135.5 5 7 6 3.1 27 28
Goods-producing industries? 134.0 | 136.9 | 137.7 6 7 6 28 28 28
Service-producing industries3 133.7 | 138.0 139.7 eo) 1.0 12 35 42 45
Manufacturing .. 135.1 138.0 | 138.9 5 6 7 26 27 28
Blue-collar occupations 134.2 | 136.7 | 137.4 5 5 5 3.0 24 24
Nonmanufacturing .. 133.4 | 137.5 | 139.1 3 9 12 3.5 4.0 43
Region4

134.0 | 137.0 | 138.7 7 7 12 26 29 35
132.5 | 136.4 | 137.6 8 7 9 29 37 3.8
136.2 | 139.6 | 140.9 a 9 a] 3.7 3.6 3.5
132.5 | 136.6 | 138.5 8&8 1.0 14 3.3 4.0 45
133.9 | 137.5 | 139.1 8&8 8 12 3.0 35 3.9
133.8 | 137.1 138.2 41 9 8 4.0 35 33

7 Includes wages, salaries, and employer costs for employee benefits.
Includes mining, construction, and manufacturing.

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

4 The regional coverage is as follows: Northeast: Connecticut, Maine,
Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania,
Rhode istand, and Vermont; South: Alabama, Arkansas, Delaware, District
of Columbia, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi,
North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia,

and West Virginia; Midwest: Illinois, Indiana, lowa, Kansas, Michigan,
Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and
Wisconsin; and West: Alaska, Arizona, Califomia, Colorado, Hawaii,
Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and
Wyorning.

NOTE: The indexes for these series are not strictly comparable to those
for the aggregate, occupation, and industry series.


7

Table 2. Employment Cost index for total compensation’ for civilian and State and local government workers by

industry and occupational group

(Not seasonally adjusted data)
Indexes (June 1989=100) Percent changes for—
" 3 months ended— 12 months ended—
Industry and occupational group Sep. June Sep.
1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998
in workers .. 134.1 137.4 | 139.0 1.0 0.8 1.2 3.0 35 3.7
Excluding sales occupations 134.2 | 137.4 | 138.8 BS) 7 0 28 33 3.4
Industry
Goods producing? 133.6 | 136.3 | 137.2 7 a) 7 27 27 27
Manufacturing 134.6 137.2 138.2 6 & 7 25 25 27
Service producing .. 134.2 137.7 139.6 1.0 7 1.4 3.1 3.6 4.0
Senvces .. 136.5 | 139.0 | 140.8 1.2 5 1.3 3.0 3.0 3.2
Health services 136.7 138.5 139.1 7 A 4 1.9 24 1.8
Hospitals ... 135.6 138.2 139.4 7 8 9 15 27 28
Educational services 136.5 | 137.7 | 140.2 1.7 a 1.8 25 26 27
Public administration4 134.1 137.4 138.9 8&8 7 11 26 33 3.6
Nonmanufacturing ... 133.8 | 137.3 | 139.0 1.0 8 1.2 3.4 3.6 3.9
Occupational group
White collar 135.2 138.7 140.6 1.0 7 1.4 3.0 3.6 4.0
Excluding sales 135.6 | 138.9 | 140.6 1.0 6 1.2 28 34 3.7
Professional specialty and technical 135.8 | 138.3 | 140.0 9 6 1.2 24 27 34
Executive, administrative, and managerial 135.3 | 139.7 | 141.7 1.0 4 1.4 3.2 43 47
Administrative support, including clerical 135.8 | 139.3 | 140.4 9 a9 8 29 35 3.4
131.8 | 134.3 | 135.3 7 8 7 27 26 27
134.6 | 137.9 | 139.4 14 7 Wt 3.8 39 3.6
135.0 | 136.9 | 139.0 1.3 3 15 24 27 3.0
135.4 | 136.6 | 139.0 1.6 a 1.8 23 25 27
134.4 | 136.2 | 138.7 1 a 1.8 1.9 25 3.2
136.0 | 138.0 | 140.3 8 A 17 15 23 3.2
136.3 | 138.4 | 140.7 8 oO 17 1.6 24 32
135.4 | 136.5 | 138.8 Ww a 17 23 25 25
135.7 | 136.7 | 139.1 1.6 a 1.8 23 24 25
135.5 | 136.2 | 138.8 17 1 19 22 22 24
Colleges and universities 136.3 | 138.1 140.1 1.6 a 1.4 29 3.0 28
Public administration .... 134.1 137.4 | 138.9 8 7 11 26 3.3 3.6
Occupational group

White collar .... 134.8 | 136.2 | 138.4 14 A 1.6 23 24 27
Professional specialty and technical 134.6 | 135.6 | 137.7 1.6 oO 15 23 23 23
Executive, administrative, and managerial 135.6 | 137.9 | 140.4 c:] 3 1.8 27 26 35
Administrative support, including clerical 135.3 | 137.2 | 139.5 13 2 17 27 28 34
133.3 | 135.2 | 136.8 8 A 1.2 23 22 26
137.0 | 141.0 | 143.0 1.0 Ww 14 25 4.0 44

1 Includes wages, salaries, and employer costs for employee benefits.

2 Includes mining, construction, and manufacturing.

3 Includes transportation, communication, and public utilities; wholesale
and retail trade; finance, insurance, and real estate; service industries; and
public administration.

4 Includes executive, legislative, judicial, administrative, and regulatory
activities of State and local govemments, SIC’s 91 through 96.

5 Formerly called hospitals and other services.

6 Average standard errors (SE) for the series exceed 0.3 percent for
-month changes and 0.6 percent for 12-month changes for the five years
ending December 1996. To assist users in ascertaining the reliability of the
series, SEs for estimates in this news release (excluding seasonally adjusted
series) will be available on the Internet site (http://stats.bIs.gov/ecthome.htm).
All series will continue to be published until further notice.


6

Table 1. Employment Cost Index for total compensation’, wages and salaries, and benefit costs by industry and
occupational group — Continued

(Seasonally adjusted data)

Indexes too) Percent changes for 3-months ended—
Industry and occupational group
June Sep. Dec. Mar. June Sep. Dec. Mar. June Sep.
. 1998 1998 1996 1997 1997 1997 1997 1998 1998 1998
WAGES AND SALARIES—Continued
Occupational group
White collar 137.0 139.0 07 0.9 0.9 V1 1.3 0.9 1.0 15
Blue collarS 131.3 | 132.4 6 7 1.0 8 & eS) 8 8
Service .... 133.3 | 134.4 Ww a) 1.0 1.6 7 1.0 eS) 8
BENEFIT COSTS
Civilian workers . 142.7 | 143.8 6 3 5 5 8 4 8 8
State and local government 142.0 7 4 3 3 3 8 7 1.0
Private industry ..... 143.2 | 144.2 6 a 6 5 9 3 8 7
Industry
Goods producing? 142.3 | 143.0 x) “1 6 6 2 -3 6 5
Manufacturing 142.2 142.7 a -3 8 5 A -4 5 A
Service producing? .. 143.7 | 144.9 4 “4 6 5 14 6 8 8B
Nonmanufacturing 143.9 | 145.0 5 A 6 5 Wt 6 1.0 8
Occupational group
White collar 145.5 146.4 6 A 5 3 14 5 7 &
Blue collar .. 140.3 | 140.9 7 a 4 6 2 a 8 4
Service’ .. 143.7 | 144.8 8 8 9 14 2 1 2 8
3 Includes wages, salaries, and employer costs for employee benefits. intemet site (http-/stats.bls.gov/ecthome.htm). All series will continue to be
2 Includes mining, construction, and manufacturing. Published until further notice.
Average standard errors (SE) for the unadjusted series upon which this 4 Includes transportation, communication, and public utilities; wholesale
series is based exceeded 0.3 percent for 3-month changes and 0.6 percent _and retail rade; finance, insurance, and real estate; and service industries.
for 12-month changes for the five years ending December 1996. To assist 5 Estimates for transportation and public utilities reflect the changes in

users in ascertaining the reliability of the series, SEs for estimates in this ‘SIC.coding. See Explanatory Notes for further information.
news release (excluding seasonally adjusted series) will be available on the © No identifiable ‘seasonality was found for this series.


9

Table 3. Employment Cost Index for total compensation’ for private industry workers, by industry and occupational
group — Continued

(Not seasonally adjusted data)

Indexes (June 1989=100) Percent changes for—
K 3 months ended— 12 months ended—
industry and occupational group Sep. June Sep.
1997 | 1998 | 1998 | Sep. | June | Sep. | Sep. | June | Sep.
1997 1998 1998 1997 1998 1998
Industry-Continued
Nonmanufacturing industries 133.3 137.2 138.9 0.9 0.9 1.2 3.3 3.9 4.2
White collar ... 134.9 139.2 144.1 1.0 9 1.4 3.4 42 4.6
Excluding sales 136.2 140.5 | 142.0 8 ES) 14 34 4.0 43
Blue collar .. 129.4 132.4 133.4 6 nl 8 28 3.0 3.4
Service 132.7 135.7 136.9 17 & 2 45 4.0 3.2
Occupational group
White collar .. 135.2 139.4 144.1 8 a 1.2 34 4.0 44
ir 135.9 139.9 | 141.3 8 8 1.0 3.0 3.8 4.0
136.7 140.1 141.6 6 a) 14 26 34 3.6
135.2 140.0 | 141.9 1.0 4 1.4 3.3 46 5.0
132.2 137.3 | 140.4 WW 15 2.3 43 5.0 6.2
135.9 139.6 140.6 a 1.0 7 3.0 3.6 35
Blue collar ... 131.7 | 134.3 | 135.2 7 a) 7 28 27 27
Precision production, craft, and repair 131.7 | 134.4 | 135.4 6 Wa 7 27 27 28
134.7 | 135.7 8 8 7 27 27 2.6
me moving 7 129.9 | 130.7 a) 5 6 25 24 24
Handlers, equipment cleaners, helpers, and
laborers .... 137.6 | 138.5 6 4 7 3.2 34 3.2
Service 133.1 136.0 | 137.3 17 5 1.0 45 3.9 3.2
Production and nonsupervisory
occupationss ..... 133.2 136.6 | 138.0 8 1.0 1.0 34 3.4 3.6
1 Includes wages, salaries, and employer costs for employee benefits. 4 Estimates for transportation and public utilities reflect the changes in
Includes mining, construction, and manufacturing. ‘SIC.coding. See Explanatory Notes for further information.
3 Average standard erors (SE) for the series exceed 0.3 percent for 5 ‘This series has the same industry and occupational coverage as the

3-month changes and 0.6 percent for 12-month changes for the five years Hourly Eamings Index, which was discontinued in January 1989.
ending December 1996. To assist users in ascertaining the reliability of the

series, SEs for estimates in this news release (excluding seasonally adjusted

series) will be available on the Internet site (httpy/stats.bls.gov/ecthome.htm). NOTE: Dashes indicate data not available.

All series will continue to be published until further notice.


, United States &S
; Department J
of Labor

Bureau of Labor Statistics Washington, D.C. 20212

Technical Contact: USDL-98-434
(202) 606-6199 ocltinfo@bls.gov

Media Contact: TRANSMISSION OF MATERIAL
(202) 606-5902 hoyle_k@bls.gov IN THIS RELEASE IS EMBARGOED

Internet address: UNTIL 8:30 A.M. (EST), .
http://stats.bls.gov/ecthome-htm THURSDAY, OCTOBER 29, 1998

EMPLOYMENT COST INDEX—SEPTEMBER 1998

The Employment Cost Index (ECT), not seasonally adjusted, for September 1998 was 139.0 (June
1989=100), an increase of 3.7 percent from September 1997, the U.S. Department of Labor’s Bureau of Labor
Statistics reported today. The ECI measures changes in compensation costs, which include wages, salaries,
and employer costs for employee benefits.

‘ly changes, seasonally adjusted

On a seasonally adjusted basis, compensation costs for civilian workers (private industry plus state and
local government) rose 1.0 percent during the June-September 1998 period, following a gain of 0.9 percent in
June 1998. Since September 1991, three-month increases in compensation costs have ranged from 0.6 percent
to 1.0 percent. Wages and salaries increased 1.2 percent during the June-September 1998 period. The
increase was 0.9 percent in the March-June 1998 period. Benefit costs increased 0.8 percent in the June-
September 1998 period, the same as reported in the March-June 1998 quarter.

Table A. 3-month percent changes in Employment Cost Index, seasonally adjusted

Dec. Mar. June Sep. Dec. Mar. June Sep.
Compensation Component 1996 1997 1997 __ 1997 1997 1998 1998 1998

Civilian workers
Compensation costs 0.7 0.7 0.8 0.8 1.0 0.7 0.9 1.0
Wages and salaries 0.7 0.8 0.9 0.9 11 0.8 0.9 1.2
Benefit costs 0.6 0.3 0.5 0.5 0.8 0.4 0.8 0.8
Private industry
Compensation costs 0.7 0.6 0.9 08 1.0. 0.7 0.9 1.1
Wages and salaries 0.7 0.9 0.9 10. 1.1 0.8 1.0 13
Benefit costs 0.6 0.1 0.6 0.5 0.9 0.3 0.8 0.7
State and local government
Compensation costs - 0.7 0.6 0.5 0.6 0.6 0.8 0.7 0.8
Wages and salaries 0.8 0.6 0.6 0.7 0.8 0.7 0.7 0.7
Benefit costs 0.7 0.4 0.3 0.3 03 0.8 0.7 10

Compensation costs for private industry workers increased 1.1 percent during the June-September 1998
period; in June, the increase was 0.9 percent. Wages and salaries rose 1.3 percent in September 1998; in June,
the increase was 1.0 percent. Benefit costs rose 0.7 percent in September 1998; in June, the increase was 0.8
percent. (See tables A and 1.)

ia NOTE: Please see page 17 for details on the status of the evaluation of ECI publication standards.



12

Table 6. Employment Cost Index for wages and salaries for private industry workers by industry and occupational
group

(Not seasonally adjusted data)
Indexes (June 1989=100) Percent changes for—
a 3 months ended— 12 months ended—
Industry and occupational group Sep. June Sep.
1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998
Private industry workers .. 131.0 134.9 136.6 1.0 0.9 1.3 3.6 4.0 4.3
Excluding sales occupations 131.2 134.8 136.3 1.0 8 Wt 3.5 3.8 3.9
Industry

Goods producing! 429.9 | 193.2 | 134.3 38 ) 8 3.0 3.3 3.4
Excluding sales 129.3 | 132.5 133.6 8 2g 8 29 3.3 3.3
White collar ... 132.3 136.3 | 137.4 7 1.0 8 29 37 3.9
Excluding sales 130.9 134.6 135.7 7 1.0 8 25 35 3.7
Blue collar 128.4 | 131.3 | 132.3 a 9 8 3.1 34 3.0
Construction? ... 124.7 128.1 128.5 a 17 3 3.6 3.6 3.0
Manufacturing 134.6 136.0 8 7 1.0 28 3.3 3.6
White collar 132.8 136.8 138.3 7 9 VW 25 3.7 44
Excluding sales 131.3 135.0 136.3 & a) 1.0 23 34 3.8
Blue collar 130.2 133.1 134.3 8 6 2 34 3.0 3.1
Durables 131.2 134.5 135.9 8 8 1.0 27 3.4 3.6
Aircraft 133.3 136.9 137.2 oA 13 2 24 25 2.9
White collar .. 133.7 133.9 72 19 A 25 32 3.6
140.5 141.0 +3 3 4 1.0 12 1.9
134.9 | 136.0 6 5 & 3.0 3.3 3.5
Service producing 131.5 | 135.6 137.6 44 9 15 3.8 42 46
Excluding sales 132.3 | 136.2 137.9 14 7 1.2 3.7 40 42
White collar ... 132.6 | 137.0 | 139.2 1 1.0 1.6 38 44 5.0
Excluding sales 134.2 138.4 140.2 1 8 13 3.6 43 45
Blue collar 127.9 131.1 132.4 6 7 1.0 3.3 34 3.5
Service ... 133.0 134.2 1.8 7 ao 47 43 3.4
Transportation and public utilities? 130.1 132.8 | 134.3 1.0 5 11 3.3 34 3.2
Transportation2.3 128.5 130.4 132.4 1.3 2 15 3.8 28 3.0
Public utilities 132.0 | 135.7 136.5 8 a) & 28 37 3.4
Communications 131.8 | 135.8 | 136.7 9 1.0 7 28 40 3.7
Electric, gas, and sanitary services 132.2 | 135.6 | 136.3 & 7 5 29 34 3.1
134.6 136.6 a) 1.0 15 41 3.8° 44
135.6 | 137.6 8 7 1.5 45 34 44
137.1 139.3 & 7 1.6 35 37 47
137.8 139.6 8 1.0 1.3 3.9 38 4.3
133.3 135.2 11 11 1.4 44 37 44
131.5 | 132.2 A 1.6 5 3.3 42 43
130.5 | 131.7 1.6 12 a 29 47 3.9
Finance, insurance, and real estate? 134.8 | 138.1 2 17 24 3.4 76 9.3
Excluding sales ... 137.5 139.7 9 1 1.6 26 73 8.0

Banking, savings and loan, and other
credit agencies? 128.9 143.2 | 147.0 17 16 27 17 12.9 14.0
134.8 | 138.7 5 1.3 29 26 5.3 78
135.7 | 136.6 5 7 7 28 26. 28
138.3 | 140.0 13 8 1.2 39 4.0 3.9
139.2 | 141.8 1.9 1.2 1.9 5.0 54 5.1
136.5 | 137.5 8 2 7 27 25 24
134.7 135.8 8 8 8 1.9 27 27
oa - 8 8 1.0 3.3 3.7 3.9
139.6 142.8 22 4 23 3.4 3.6 3.6
139.7 | 142.8 24 4 22 3.3 35 3.6

See footnotes at end of table.


Table 5. Employment Cost Index for wages and salaries for ci

industry and occupational group
(Not seasonally adjusted data)

ot

lian and State and local government workers, by

Industry and occupational group

Civilian workers ..
Excluding sales occupations

Industry

Goods producing!
Manufacturing
Service producing? ..
Services
Health services
Hospi o
Educational services .
Public administration ....

Nonmanufacturing ...
Occupational group

White collar
Excluding sales
Professional specialty and technical
Executive, administrative, and managerial
Administrative support, including clerical
Blue collar
Service

State and local government

Industry

Services
Excluding schools45
Health services

Hospitals ...
Educational services .. -
Schools -
Elementary and secondary ..
Colleges and universities
Public administration’ ....

Occupational group

White collar
Professional specialty and technical
Executive, administrative, and managerial
Administrative support, including clerical

Blue collar

Service

Indexes (June 1989=100) Percent changes for—
3 months ended- 12 months ended—
Sep. June Sep.
1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998
131.6 135.0 136.8 12 07 13 3.5 3.8 4.0
131.7 134.9 136.6 12 7 1.3 3.3 3.6 3.7
129.9 | 133.3 | 134.4 8 1.0 8 3.0 34 3.5
131.3 | 134.6 136.0 ~ 8 7 1.0 28 33 3.6
132.2 | 135.7 137.8 1.2 7 15 35 3.9 42
134.8 137.6 139.6 14 5 15 3.5 35 3.6
134.3 136.5 137.6 2 2 8 27 26 25
132.5 135.1 136.4 8 7 1.0 1.9 27 29
135.3 136.5 139.1 2.0 a 1.9 28 29 28
130.3 133.2 134.8 1.0 4 1.2 29 3.3 3.5
131.5 135.1 137.0 12 8 1.4 3.5 3.9 42
133.0 | 136.7 138.8 11 8 15 3.4 4.0 44
133.5 137.0 138.8 14 7 1.3 3.2 38 4.0
134.0 | 136.6 | 138.5 13 & 1.4 29 3.3 3.4
133.5 | 138.3 | 140.5 Wi 7 1.6 3.5 48 5.2
132.7 | 136.2 | 137.5 1.0 9 1.0 3.3 37 3.6
128.4 | 131.4 132.6 7 8 a) 34 34 3.3
131.5 | 134.5 136.1 17 & 1.2 42 4.0 3.5
133.6 | 135.4 137.6 1.6 2 1.6 27 3.0 3.0
134.7 | 135.9 138.4 1.9 a 1.8 27 28 27
135.5 137.8 13 a 17 25 3.0 3.4
133.9 | 136.5 138.7 1.0 a 1.6 241 29 3.6
133.7 | 136.5 138.6 1.0 a 15 24 3.1 3.7
134.8 135.8 138.4 2.0 a 1.9 27 27 27
134.9 | 136.0 | 138.5 2.0 a 1.8 27 28 27
135.3 | 136.1 138.7 2.0 - a4 1.9 25 26 25
133.6 | 135.5 | 137.7 17 2 1.6 29 34 3.1
130.3 | 133.2 | 134.8 1.0 4 1.2 29 3.3 35
133.7 | 135.2 | 137.6 17 a 1.8 26 28 29
134.4 | 135.6 137.9 18 a 17 25 27 2.6
133.1 135.6 138.0 11 _4 1.8 29 3.0 3.7
131.4 | 133.3 | 135.4 15 2 1.6 29 29 3.0
131.2 | 133.5 135.1 an 3 12 26 29 3.0
134.2 137.2 139.2 14 5 15 3.2 3.6 3.7

1 Includes mining, construction, and manufacturing.

2 Includes’ transportation, communication, and public utilities; wholesale
and retail trade; finance, insurance, and real estate; service industries; and

Public administration.

Includes executive, legislative, judicial, administrative, and regulatory
activities of State and local govemments, SIC’s 91 through 96.

Formerly called hospitals and other services.

5 Average standard enors (SE) for the series exceed 0.3 percent for
3-month changes and 0.6 percent for 12-month changes for the five years
ending December 1996. To assist users in ascertaining the reliability of the
series, SEs for estimates in this news release (excluding seasonally adjusted
series) will be available on the Intemet site (httpy/stats.bls.goviecthome.htm),
All series will continue to be published until further notice. .


8

Table 3. Employment Cost Index for total compensation! for private industry workers, by industry and occupational
group

(Not seasonally adjusted data)

Indexes (June 1989=100) Percent changes for—

3 months ended— 12 months ended—

Industry and occupational group Sep. June Sep.

1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998

Private industry workers 133.9 | 137.5 | 139.0 0.8 0g V1 3.2 3.5 3.8
Excluding sales occupations 134.1 137.5 | 138.8 8 8 a 3.0 3.4 3.5
Industry
Goods producing? 133.6 | 136.2 | 137.4 7 8 7 27 26. 2.6
Excluding sales 133.1 135.6 | 136.5 6 8 7 25 25 26
White collar .. 135.6 | 138.8 | 139.7 6 8 6 26 3.0 3.0
Excluding sales 134.5 | 137.4 | 138.3 5 38 7 23 27 28
Blue collar .... 132.4 | 134.6. | 135.5 8 8&8 7 27 24 23
Construction3 129.7 | 132.7 | 133.4 8 16 5 3.0 3.1 29
Manufacturing .. 134.6 | 137.2 | 138.2 6 & 7 25 25 27
White collar .. 135.8 | 139.1 140.1 4 7 7 2.3 29 3.2
Excluding sales 134.5 | 137.3 | 138.3 5 6 7 2.0 26 28
Blue collar 133.7 | 135.9 | 136.8 7 7 7 27 23 23
Durables .. 135.0 | 137.4 | 138.5 7 7 8 24 25 26
Aircraft manufacturing (SIC 3721) 137.8 | 138.9 | 139.3 “4 12 3 -3 A 14
White collar 134.6 | 137.1 137.4 72 18 2 & 1.6 24
Blue collar 141.8 | 140.1 140.8 7 A 5 “1.8 1.9 ~7
Nondurables 133.7 | 136.7 | 137.6 5 6 7 28 28 29
Service producing 133.8 | 137.8 | 139.6 1.0 13 3.3 4.0 43
Excluding sales 134.5 | 138.5 | 140.0 9 Ww 3.2 3.9 44
White collar ... 134.9 | 139.3 | 141.2 a 1.4 3.3 42 47
Excluding sales 136.3 | 140.6 | 142.2 3 qt 34 44 43
Blue collar 130.0 | 133.2 | 134.3 6 8 28 3.1 3.3
Service .. 132.7 | 135.8 | 137.0 1.6 a) 44 4.0 3.2
Transportation and public utilities+ 132.9 | 137.1 138.5 1 1.0 28 41 42
Transportation34 132.1 | 1349 | 136.7 13 3.0 34 35
Public utilities 7 25 5.4 5.2

Communications
Electric, gas, and

131.8 | 139.2 | 140.5 A
136.0 | 140.3 | 141.0 a

go 24 67 6.6

g
9
133.7 139.7 140.7 2
0
8 5 3.0 40 3.7

8
8
9
8
8
6
0
7
3
c)
5
Wholesale and retail trade 132.4 | 135.8 | 137.6 e:) 8 1.3 3.8 35 3.9
Excluding sales 133.0 | 136.3 | 138.1 8&8 6 1.3 3.9 33 3.8
Wholesale trade? 134.6 | 138.6 | 140.8 6 7 1.6 3.6 36 46
Excluding sales 134.5 | 138.2 | 140.0 6 9 1.3 3.5 3.4 41
Retail trade .. 131.1 134.4 | 135.9 Wa 1.0 Wi 3.9 3.6 37
General merchandise stor 128.6 | 133.0 | 133.2 7 14 2 3.2 42 36
Food stores’ .... 129.8 | 132.9 | 133.7 12 1.2 6 22 3.7 3.0
Finance, insurance, and real estate? 130.5 | 138.4 | 141.0 2 12 1.9 3.0 7.0 8.0
Excluding sales ... 133.5 | 141.3 | 143.2 & 8 13 29 67 7.3
Banking, savings and loan, and other
credit agencies 133.1 145.3 | 148.4 11 1.4 21 24 10.4 11.5
Insui 133.1 138.9 | 141.9 8 41 22 29 5A 6.6.
Excluding 137.4 | 140.9 | 141.6. 6 & 5 3.0 34 31
Services .... 137.0 | 140.3 | 141.8 1.0 7 11 3.2 34 3.5
Business services? 136.3 | 140.7 | 143.5 1.6 ) 2.0 47 48 5.3
Health services 137.0 | 138.7 | 139.0 8 4 2 21 24 15
Hospitals ... 135.4 | 138.2 | 139.1 7 11 7 15 28 27
Nursing homes - - = 6 & 1.0 27 3.0 3.3
Educational services 141.6 | 143.9 | 147.0 2.0 3 2.2 3.0 3.7 3.8
Colleges and universities 1425 | 1448 | 147.8 1.9 3 24 28 35 3.7

‘See footnotes at end of table.


4

Employment Cost Index
Chart A. Changes in wages and salaries and Chart B. Changes in wages and salaries and
benefit costs, private industry benefit costs, state and local government
Wages & salaries Benefits Wages & salaries
4 12-month percent change 4 12-month percent change
12 + : ‘ 1

0 Fa 0 pa po ee
80 . 82 . 84. 86. 88. 90. 92. 94. 96. 98 80 . 82. 84. 86. 88. 90. 92. 94. 96. 98
Chart C. Changes in compensation, Chart D. Changes in wages and salaries,
private industry and state and local private industry and state and local
government government
Private Industry - State and local gov't Private Industry _ State and local gov't

82 . 84. 86 . 88. 90. 92. 94. 96. 98 82 . 84. 86 . 88 . 90 . 92. 94. 96. 98

Bureau of Labor Statistics, Office of Compensation Levels and Trends
October 1998 ocltinfo@bls.gov 202/606-6199 http://stats.bls.gov/ecthome.htm


15

Table 8. Employment Cost Index for benefits for civilian, State and local government, and private industry
workers by industry, occupational group, and bargaining status

(Not seasonally adjusted data)
Indexes (June 1989=100) Percent changes for—
Industry, occupational group, and 3 months ended— 12 months ended—
bargaining status Sep. June Sep.
1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998
Civilian workers .... 140.3 143.0 | 144.0 0.5 0.7 0.7 19 24 26
State and local government 138.2 140.3 | 142.1 6 4 1.3 15 21 28
Private industry 140.8 | 143.7 | 144.5 5 8 6 2.0 2.6 26
Industry
Goods producing! 141.5 142.5 | 143.0 4 7 4 1.9 11 Ww
Service producing? .. 139.8 | 143.8 | 144.9 4 8 8 1.9 3.3 3.6
Manufacturing ... 141.4 | 142.4 | 142.6 3 5 a 1.9 1.0
Aircraft manufacturing (SIC 3721) .. 147.6 | 143.1 143.8 8 1.0 5 AT 3.8
White collar3 146.8 | 145.0 | 145.5 +3 15 3 3.5 1.6
Blue collar 148.2 | 1395 | 140.7 15 4 eS) 6.4 7.2
Nonmanufacturing 140.2 143.9 | 145.0 5 8 8 2.0 3.2
Occupational group
White collar 142.0 | 145.6 | 146.6 4 6 7 1.8 29 3.2
Blue collar 138.8 | 140.4 | 141.0 6 a 4 1.9 17 1.6
Service’ . 141.4 | 143.7 | 144.7 13 3 7 3.8 29 23
Bargaining status
Union ... 142.2 | 143.8 | 145.0 a 12 8 1.6 24 2.0
Nonunion. 140.2 | 143.4 | 144.2 4 6 6 2.0 26 29

1 Includes mining, construction, and manufacturing.

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

3 Average standard errors (SE) for the series exceed 0.3 percent for
‘3-month changes and 0.6 percent for 12-month changes for the five years

ending December 1996. To assist users in ascertaining the reliability of the
series, SEs for estimates in this news release (excluding seasonally
adjusted series) will be available on the Intemet site
(httpy/stats.bis.govlecthome.htm). All series will continue to be published
until further notice.


17

occupation series. A fuller explanation of the calculation of index numbers appears in an article, "Estimation
procedures for the Employment Cost Index,” in the May 1982 issue of the Monthly Labor Review.

Beginning with the March 1990 ECT release, indexes were rebased to June 1989=100. A description of
the rebasing is included in the article "Employment Cost Index Rebased to June 1989," in the April 1990 issue

of the Monthly Labor Review.

Beginning with the December 1990 ECI release, seasonally adjusted data are available for selected ECI
series. Seasonal adjustment removes the effects of events that follow a more or less regular pattern each year.
These adjustments make nonseasonal patterns easier to spot. ECI series are seasonally adjusted using either
direct or composite seasonally adjusted estimates. Industry and occupational series, such as construction and
service occupations, are adjusted directly. More aggregate series, such as civilian or private industry workers,
use composite estimates. The composite estimates could be obtained by aggregating either the industry or the
occupational components, and the. results may differ depending on which method is used. The aggregate
seasonally adjusted ECI series are estimated by aggregating the component seasonally adjusted industry series,
so they are not necessarily a weighted average of the component occupation series. The seasonal adjustment
factors are recalculated once a year. The March release contains data reflecting the newly updated seasonal
adjustment factors. The historical data for the last five years are then revised based on the newly estimated:
factors. The new factors are published in the summer issue of Compensation and Working Conditions.
Beginning in 1999, the new factors will be made available upon request shortly before the data for the first
quarter are published.

The ECI sample is rotated over approximately five years; this makes it more representative and reduces
respondent burden. The sample is replaced on a cross-area, cross-industry basis.

The costs per hour worked of compensation components, based on March 1998 data from the ECI, are
published in a separate news release titled "Employer Costs for Employee Compensation - March 1998,” and
in an annual bulletin, Employer Costs for Employee Compensation, 1986-97, (Bulletin 2505). A description
of the cost levels data (ECEC) is provided in the article "Analyzing employers’ costs for wages, salaries, and
benefits" in the October 1987 issue of the Monthly Labor Review. This article, along with other ECEC
research articles, also appears in the annual bulletin. The cost levels are calculated with current employment
weights, rather than the fixed 1990 weights used in computing the ECI. Therefore, year-to-year changes in the
cost levels will usually differ from those in the ECI.

Because the ECI is a sample survey, it is subject to sampling 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. The estimates derived from different samples selected using the same sample design may
differ from each other. A measure of the variation among these differing estimates is the standard error. It can
be used to measure the precision with which an estimate from a particular sample approximates the expected
tesult of all possible samples. The chances are about 68 out of 100 that an estimate from the survey differs
from a complete population figure by less than the standard error. The chances are about 90 out of 100 that
this difference would be less than 1.6 times the standard error. All the statements of comparisons appearing in
this publication are significant at a 1.6 standard error level or better, unless otherwise indicated. This means
that for differences cited the estimated difference is greater than 1.6 times the standard error of the difference.

Because standard errors vary from quarter to quarter, the ECI uses a five-year moving average of
standard errors to evaluate published series. Currently, in the higher level aggregate series the standard errors
for 3-month changes are generally 0.1 percent or less; for 12-month changes, standard errors are generally 0.25
percent or less. Currently, in the lower level series, standard errors are generally 0.3 percent or less for 3-
month changes and 0.6 percent or less for 12-month changes. Series found to have a higher average standard

error for the five years ending December 1996 are footnoted in the tables.

BLS is evaluating ECI publication standards as part of its overall quality improvement plan. The first
phase of this evaluation, a review of the statistical reliability of the ECI series, is complete. To improve the
quality of the ECI estimates, the sample size is being increased and other initiatives, such as revising
collection procedures, are being explored. All series will continue to be published until further notice,
although, as indicated above, standard errors for some series are large. Standard errors for all estimates
(excluding seasonally adjusted series) will now be available on the Internet site
(http://stats.bls.gov/ecthome.htm) shortly after publication of the news release.



3
The 4.0 percent over-the-year increase in compensation costs for nonunion workers in private industry
outpaced the 2.7 percent increase for union workers. The pattern was similar for service-producing industries
where nonunion compensation increased 4.5 percent and union compensation increased 3.0 percent. In goods-
producing industries, the increase for nonunion workers was 2:8 percent and for union workers was 2.5
percent. Compensation in blue-collar occupations increased 2.8 percent for nonunion workers and 2.6 percent
for union workers. (See table 4.)

State and local government

In state and local governments, the September 1998 over-the-year increase in wages and salaries was 3.0
percent, less than the 4.3 percent recorded in private industry. In September 1997, the increase was 2.7
percent. The September 1998 increase includes health services at 3.6 percent, educational services at 2.7
percent, and public administration at 3.5 percent. State and local government benefit costs for September 1998
increased 2.8 percent, up from the September 1997 increase of 1.5 percent. (See tables 5 and 8.)

NOTES:
The ECI for December 1998 is scheduled to be released Thursday, January 28, 1999, at 8:30 a.m. (EST).

ECI data, as well as other data produced by BLS, are now 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).

Send e-mail for technical assistance in using the BLS Internet site (labstat.helpdesk@bls.gov) or for
ECT data requests (ocltinfo@pbls.gov).

News releases and other information are available from the BLS fax-on-demand service. To request a
document fax, call 202-606-6325. 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:

Text 4110
Tables 1-4 : 4115
Tables 5-7 4120
Table 8 4125

Explanatory notes 4190



2
Compensation costs for workers in manufacturing increased 0.9 percent in September 1998, up from
June’s 0.5 percent increase. Over the last five years, compensation costs have ranged from 0.3 percent to 0.9 *
percent in manufacturing industries. Wages and salaries increased 1.0 percent in September 1998, following a
gain of 0.7 percent in June. Benefit costs rose 0.4 percent in September 1998; in June, the increase was 0.5
percent. (See table 1.)

Compensation costs for state and local government workers increased 0.8 percent during the June-
September 1998 period, following a gain of 0.7 percent in June. Wages and salaries increased 0.7 percent in
September, the same as in the March and June periods. Benefits increased 1.0 percent in the September
quarter; in the previous quarter, the increase was 0.7 percent. (See tables A and 1.)

Over-the-year changes. not seasonally adjusted

Compensation costs for civilian workers (not seasonally adjusted) were up 3.7 percent for the year ended
in September 1998. This compares with increases of 3.0 percent in September 1997 and 2.8 percent in
September 1996. Compensation costs in private industry rose 3.8 percent in September 1998, up from 3.2
percent in September 1997 and 2.9 percent in September 1996. Compensation costs for state and local
governments increased 3.0 percent for the year ended in September 1998. The gain for the year ended in
September 1997 was 2.4 percent, and, in September 1996, the increase was 2.5 percent. (See tables B, 2, and
3.)

Private industry

In private industry, wages and salaries rose 4.3 percent for the year ended September 1998. Wages and
salaries increased 3.6 percent in September 1997. (See tables B and 6.) Benefit costs for private industry
workers increased 2.6 percent for the year ended in September 1998, compared with 2.0 percent in September
1997. (See chart A and tables B and 8.) The over-the-year increase in September 1998 was due, in part, to
increases in employer costs for Social Security and paid leave.

In private industry, over-the-year compensation cost increases were 4.4 percent for white-collar
occupations, 2.7 percent for blue-collar occupations, and 3.2 percent for service occupations. Among the
occupational groups, increases ranged from 2.1 percent for transportation and material moving occupations to
6.2 percent for sales occupations. Executive, administrative, and managerial occupations increased 5.0
percent, contributing to the overall white-collar increase. (See table 3.)

Table B. 12-month percent changes in Employment Cost Index. not seasonally adjusted
Sep. Sep. Sep. Sep. Sep. Sep.

Compensation Component 1993 1994 1995 1996 1997 1998
Civilian workers
Compensation costs 3.6 3.2 2.7 2.8 3.0 3.7
Wages and salaries 3.0 2.9 2.8 3.2 35. 40
Benefit costs 49 3.8 2.2 1.8 1.9 2.6
Private industry
Compensation costs 3.7 3.3 26 2.9 3.2 3.8
Wages and salaries 3.1 2.9 28 3.3 3.6 43
Benefit costs 54 4.0 21 1.8 2.0 2.6
State and local government
Compensation costs 3.0 3.0 3.0 2.5 24 3.0
Wages and salaries 2.9 2.9 3.1 2.8 2.7 3.0
Benefit costs 3.2 3.2 2.5 1.9 1.5 2.8

Private industry compensation costs increased more rapidly in service-producing industries (4.3 percent)
than in goods-producing industries (2.6 percent) for the year ended September 1998. Compensation costs had
risen 3.3 percent in service-producing industries and 2.7 percent in goods-producing industries in the prior
year. Among industry divisions, September 1997-to- September 1998 increases ranged from 2.7 percent in
manufacturing to 8.0 percent in finance, insurance, and real estate. (See table 3.)


13
Table 6. Employment Cost Index for wages and salaries for private industry workers by industry and occupational
group — Continued

(Not seasonally adjusted data)

Indexes (June 1989=100) Percent changes for—
A. 3 months ended— 12 months ended—
Industry and occupational group Sep. June Sep.
1997 1998 1998 Sep. June Sep. Sep. June Sep.
1997 1998 1998 1997 1998 1998
Industry—Continued
Nonmanufacturing industries 130.7 134.7 | 136.5 14 1.0 1.3 3.8 42 44
White collar ... 132.4 136.8 138.9 14 1.0 15 3.8 44 4g
Excluding sales. 133.8 138.1 139.8 Wt x) 12 3.6 43 45
Blue collar .. .| 126.4 129.5 130.5 7 1.0, 8 3.3 3.2 3.2
Service -| 129.7 132.9 134.1 18 7 a 47 43 3.4
Occupational group .
White collar .. 132.7 | 137.0 139.0 11 1.0 15 3.7 43 47
Excluding sales 133.4 | 137.5 139.1 1 9 1.2 3.4 42 43
Professional special 133.7 137.1 138.7 1.0 B:) 1.2 3.2 35 3.7
Executive, administrative, and managerial 133.6 | 138.7 | 140.9 Ww a 1.6 3.6 5.0 5.5
Sales? 129.8 135.2 138.8 1.2 1.6 27 48 5.4 6.9
Administrative support, including
clerical .. 132.9 136.7 137.9 9 1.0 BS) 3.4 3.8 3.8
Blue collar .... 128.3 | 131.3 | 132.4 8 8 8 3.2 3.1 82
Precision production, craft, and repair 128.2 131.2 | 132.3 6 Ww 8 3.2 3.0 3.2
Machine operators, assemblers, and
inspectors -| 129.5 132.7 | 133.8 8 8 8 3.3 33 3.3
Transportation and material moving ... -| 124.1 126.4 | 127.6 a 4 eS) 26 28 28
Handlers, equipment cleaners, helpers, and
laborers .... | 130.2 133.7 | 135.1 7 4 1.0 35 34 3.8
Service ....... 129.9 133.0 134.4 18 7 Ww 47 42 3.5
Production and nonsupervisory
occupations4 130.1 133.6 | 135.2 1.0 1.0 1.2 3.6 37 3.9
1 Includes mining, construction, and manufacturing. 3 Estimates for transportation and public utilities reflect the changes in
2 Average standard errors (SE) for the series exceed 0.3 percent for SIC coding. See Explanatory Notes for further information.
‘S-month changes and_0.6 percent for 12-month changes for the five years 4 ‘This series has the same industry and occupational coverage as the

ending December 1996. To assist users in ascertaining the reliability of the Hourly Earnings Index, which was discontinued in January 1989.
series, SEs for estimates in this news release (excluding seasonally adjusted

‘Sefies) will be available on the Internet site (http-/stats.bls.gov/ecthome.htm).

All series will continue to be published until further notice. NOTE: Dashes indicate data not available.


16
EXPLANATORY NOTES

The Employment Cost Index (ECI) is a measure of the change in the cost of labor, free from the
influence of employment shifts among occupations and industries. The compensation series includes changes
in wages and salaries and employer costs for employee benefits. The wage and salary series and the benefit
cost series provide the change for the two components of compensation.

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, and nonproduction bonuses such as 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 by the EC] are: Paid leave--vacations, holidays, sick leave, and other leave;
supplemental pay--premium pay for work in addition to the regular work schedule (such as overtime,
weekends, and holidays), shift differentials, and nonproduction bonuses such as lump-sum payments provided
in lieu of wage increases); insurance benefits--life, health, short-term disability, and long-term disability;
retirement and savings benefits--defined benefit and defined contribution plans; legally required benefits--
social security, Federal and State unemployment insurance, and workers' compensation; and other benefits—-
severance pay and supplemental unemployment plans. :

The ECI provides data for the civilian economy, which includes the total private economy and the public
sector--excluding farms, households, and the Federal government. The private industry series and the state
and local government series provide data for the two sectors separately.

Data for this quarter were collected from a probability sample of approximately 18,300 occupations
within about 4,500 sample establishments in private industry and approximately 4,200 occupations within
about 800 sample establishments in state and local governments. Data are collected for the pay period
including the 12” day of the survey months of March, June, September, and December.

The sample establishments are classified in industry categories based on the 1987 Standard Industrial
Classification (SIC), as defined by the U.S. Office of Management and Budget. In 1996, some establishments
in Motor freight transportation and warehousing (SIC 42), Transportation by air (SIC 45), and Transportation
services (SIC 47) were reclassified into Air courier services (SIC 4513), which includes support
establishments. While the establishments in question were engaged in the delivery of letters, parcels, and
packages, they were operated by enterprises engaged in furnishing air delivery of individually addressed
letters, parcels, and packages. The ECI sample introduced these reclassifications with the June 1998 reference
period.

Within an establishment, specific job categories are selected to represent broader occupational groups.
From June 1986 through December 1994, the jobs were classified according to definitions used in the 1980
Census. Prior to June 1986, they were classified according to the 1970 Census. Differences between the two
classification systems are slight, as indicated in the article “Introducing new weights for the Employment Cost
Index,” in the June 1985 issue of the Monthly Labor Review. Beginning with March 1995, the jobs are
classified according to the 1990 Census, which differs little from the 1980 Census.

Fixed employment weights are used each quarter to calculate the most aggregate indexes-civilian,
private, and state and local governments. These fixed weights are also used to derive all of the industry and
occupation series indexes. Beginning in March 1995, 1990 employment counts, primarily from the Bureau's
Occupational Employment Statistics survey, were used. A description of the reweighting is included in an
article "Introducing 1990 Weights for the Employment Cost Index," published in the June 1995 issue of
Compensation and Working Conditions, and available upon request. From June 1986 through December
1994, employment counts from the 1980 Census were used as weights. Prior to June 1986, employment
counts from the 1970 Census were used.

For the series based on bargaining status, region, or area size, employment data are not available. The
employment weights are reallocated within these series each quarter based on the current ECI sample. The
indexes for these series, consequently, are not strictly comparable to those for the aggregate, industry, and