Bureau of Labor Statistics Washington, D.C. 20212 

Technical Contact: USDL: 05-1434 

(202) 691-6199 ocltinfo@bls.gov 

Media Contact: TRANSMISSION OF MATERIAL 

(202) 691-5902 IN THIS RELEASE IS EMBARGOED 

Internet address: UNTIL 8:30 A.M. (EDT), 

http://www.bls.gov/ncs/ect/home.htm FRIDAY, JULY 29, 2005

EMPLOYMENT COST INDEX—JUNE 2005 

Total compensation costs for civilian workers increased 0.7 percent from March to June 2005, 

seasonally adjusted, the same increase as occurred between December 2004 and March 2005, the Bureau of 

Labor Statistics of the U.S. Department of Labor reported today. Benefit costs between March and June rose 

0.8 percent, compared with the gain for wages and salaries of 0.6 percent. The Employment Cost Index (ECI), 

a component of the National Compensation Survey, measures quarterly changes in compensation costs, which 

include wages, salaries, and employer costs for employee benefits for civilian workers (nonfarm private and 

State and local government). 

Increases in benefit costs accounted for over 35 percent of the rise in compensation costs for civilian 

workers from March to June 2005. Among private industry workers, benefit costs contributed nearly 35 

percent of compensation gains during the quarter; compared with nearly 60 percent from December 2004 to 

March 2005. Health insurance costs constituted about 10 percent of the compensation gains during the 

quarter. Among State and local government workers, benefit costs comprised nearly one-half of compensation 

cost gains during the March to June period, virtually unchanged from the December to March quarter. Health 

insurance costs represented nearly one-third of the gain in compensation costs from March to June 2005. 

Quarterly changes, seasonally adjusted

Compensation costs for the private sector rose 0.6 percent from March to June 2005, identical to the gain 

in the prior quarter. For State and local government workers, compensation costs rose 0.7 percent in June, 

compared with a gain of 1.0 percent for the quarter ended in March. (See tables A and 1.) 

Benefit costs advanced 0.8 percent for civilian workers in the June 2005 quarter, moderating from the 

gain of 1.2 percent in the March quarter. Private sector benefit costs rose 0.8 percent for the June quarter, 

following the 1.1 percent gain in the previous quarter. Benefit costs for State and local government workers 

increased 1.2 percent in the June quarter, compared with a 1.5 percent gain in the prior quarter. 

United States 

Department News of Labor 

NOTE

The Employment Cost Index will convert to the 2002 North American Industry Classification System and 

the 2000 Standard Occupational Classification System with the release of the March 2006 estimates. In 

addition, several computational changes will be introduced, including rebasing all series to December 

2005=100 from June 1989=100, as well as the initiation of new employment weights and seasonal 

adjustment factors. See page 4 for details.
2

Wages and salaries for civilian and private industry workers increased 0.6 percent during the June 2005 

quarter, the same as in the first quarter of the year. Wages and salaries in State and local government advanced 

0.5 percent during the March to June 2005 period, following an increase of 0.8 percent in the previous quarter. 

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

Sep. Dec. Mar. June Sep. Dec. Mar. June

Compensation Component 2003 2003 2004 2004 2004 2004 2005 2005

Civilian workers

Compensation costs 1.0 0.8 1.1 0.9 0.9 0.8 0.7 0.7 

 Wages and salaries 0.7 0.5 0.6 0.6 0.7 0.5 0.6 0.6 

 Benefit costs 1.7 1.5 2.2 1.6 1.4 1.6 1.2 0.8 

 Private industry

Compensation costs 1.1 0.8 1.1 0.9 1.0 0.8 0.6 0.6 

 Wages and salaries 0.8 0.6 0.6 0.6 0.7 0.4 0.6 0.6 

 Benefit costs 1.7 1.5 2.2 1.7 1.3 1.6 1.1 0.8 

 State and local government Compensation costs 0.8 0.7 0.9 0.9 0.8 0.9 1.0 0.7 

 Wages and salaries 0.3 0.5 0.6 0.5 0.4 0.6 0.8 0.5 

 Benefit costs 1.9 1.3 1.6 1.8 1.6 1.5 1.5 1.2 

Over-the-year changes, not seasonally adjusted

Annual compensation cost increases slowed for civilian and private industry workers for the year ended 

June 2005 compared with over-the-year increases for June 2004. Compensation costs for civilian and private 

industry workers each increased 3.2 percent for the year ended June 2005, compared with a 3.9 percent and 4.0 

percent gain, respectively, for June 2004. Compensation costs increased 3.6 percent for State and local 

governments for the year ended June 2005, compared with an over-the-year gain of 3.4 percent in June 2004. 

(See tables B, 2, and 3.) 

The components of compensation showed differences in the rate of change. While increases in wages 

and salaries continued at a moderate pace, the sharp increases in benefit costs began to moderate. For civilian 

workers, wages and salaries rose 2.4 percent in the year ended June 2005, nearly identical with a gain of 2.5 

percent in June 2004. Benefit costs gained 5.1 percent for civilian workers for the period ended June 2005, 

slowing dramatically from an increase of 7.2 percent for the year ended June 2004. (See tables B, 5, 6, and 8.) 

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

 June June June June June June

Compensation Component 2000 2001 2002 2003 2004 2005

Civilian workers

Compensation costs 4.4 3.9 4.0 3.7 3.9 3.2 

 Wages and salaries 4.0 3.7 3.5 2.7 2.5 2.4 

 Benefit costs 5.3 4.5 5.0 6.3 7.2 5.1 

 Private industry

Compensation costs 4.6 4.0 4.0 3.5 4.0 3.2 

 Wages and salaries 4.1 3.8 3.6 2.6 2.6 2.4 

 Benefit costs 5.7 4.8 5.1 6.1 7.3 4.9 

 State and local government

Compensation costs 3.5 3.6 3.6 4.1 3.4 3.6 

 Wages and salaries 3.7 3.7 3.2 3.1 1.9 2.4 

 Benefit costs 3.1 3.4 4.6 6.8 6.6 6.0 

Nonfarm private industry

For the year ended June 2005, compensation costs in private industry increased 3.9 percent for goodsproducing industries, compared with an advance of 4.4 percent for the year ended June 2004. Compensation 

costs for manufacturing advanced 3.7 percent in June 2005, compared with the 4.7 percent gain in June 2004. 

Compensation costs for construction rose 3.1 percent in June 2005, nearly identical to the 3.0 percent rise in 

June 2004. (See table 3.) 
3

The over-the-year increase in compensation for service-producing industries was 2.8 percent, declining 

from the 3.8 percent gain for the year ended June 2004. Among service-producing industries, compensation 

costs rose modestly for wholesale trade and transportation and public utilities, increasing 1.9 percent in June 

2005. (See table 3.) 

Over-the-year compensation cost increases were 3.4 percent for white-collar occupations, 2.9 percent for 

blue-collar occupations, and 2.2 percent for service occupations for the year ended June 2005. Among whitecollar occupational groups, compensation cost changes ranged from 1.9 percent for sales workers to 3.9 

percent for professional specialty and technical employees. Among blue-collar occupational groups, 

compensation cost increases ranged from 1.9 percent for machine operators, assemblers, and inspectors to 3.4 

percent for precision production, craft, and repair occupations. (See table 3.) 

Compensation costs for union workers advanced 2.9 percent over the year ended June 2005, falling 

sharply from the 6.0 percent gain for the year ended June 2004. For nonunion workers compensation costs 

rose 3.2 percent for the year ended June 2005, compared with the gain of 3.5 percent for June 2004. Benefit 

costs for union workers rose 4.1 percent for the year ended June 2005, decelerating sharply compared with the 

gain of 11.3 percent in June 2004. Benefit costs for nonunion workers advanced 5.1 percent over the year 

ended June 2005, compared with an increase of 6.3 percent in June 2004. Wages and salaries for union 

workers rose 2.1 percent for the 12 months ended in June 2005, compared with an over-the-year increase of 

2.4 percent for nonunion workers. (See tables C, 4, 7, and 8.) 

Among blue-collar workers, compensation costs advanced 3.2 percent for union workers, compared with 

the gain of 2.8 percent for nonunion workers for the 12 months ended in June 2005. In manufacturing 

industries, compensation cost gains for union workers slowed sharply, rising 2.7 percent for year ended June 

2005, significantly less than the 8.1 percent increase for the year-ended June 2004. For nonunion workers in 

manufacturing, compensation costs rose 4.1 percent for the year ended June 2005, compared with an over-the 

year gain of 3.7 percent in June 2004. (See table 4.) 

Table C. 12-month percent changes in Employment Cost Index, private industry workers, 

not seasonally adjusted 

June June June June June June

Compensation Component 2000 2001 2002 2003 2004 2005

 Union workers

Compensation costs 3.9 3.5 4.5 5.0 6.0 2.9 

 Wages and salaries 2.8 3.8 4.2 3.0 2.9 2.1 

 Benefit costs 5.9 3.0 5.0 8.7 11.3 4.1 

 Nonunion workers

Compensation costs 4.6 4.2 3.9 3.3 3.5 3.2 

 Wages and salaries 4.3 3.7 3.5 2.5 2.5 2.4 

 Benefit costs 5.7 5.3 5.1 5.5 6.3 5.1 

Among the four geographic regions, increases in compensation costs ranged from 2.7 percent in the 

Midwest to 3.7 percent in the West for the year ended June 2005. Compensation costs rose 3.1 percent in the 

Northeast and 3.3 percent in the South. In the Northeast, gains in wages and salaries slowed to 2.3 percent for 

the year ended June 2005, significantly less than the 3.3 percent gain for the year ended June 2004. Among the 

remaining regions, wages and salaries rose 2.1 percent in the Midwest, 2.4 percent in the West, and 2.7 percent 

in the South for the year ended June 2005. (See tables 4 and 7.) 

State and local government

Wages and salaries for State and local government workers rose 2.4 percent in the year ended June 2005, 

greater than the gain of 1.9 percent for June 2004. Benefit costs rose 6.0 percent for the year ended June 2005, 

slower than the gain of 6.6 percent for the year ended June 2004. (See tables B, 5, and 8.) 
4

For the year ended June 2005, compensation costs increased 3.3 percent for educational services, 

compared with a 2.6 percent increase for the year ended June 2004. Within educational services, 

compensation increases were 3.5 percent for elementary and secondary schools and 2.7 percent for colleges 

and universities. Among occupational groups, compensation costs of service workers rose 4.4 percent for the 

year ended June 2005, compared with gains of 3.3 percent for white-collar workers and 3.8 percent for bluecollar workers. (See table 2.) 

________________________________________________________________________________________ 

NOTE: 

The ECI for September 2005 is scheduled to be released Friday, October 28, 2005, at 8:30 a.m. (EDT). 

Beginning with the release of the March 2006 estimates, the ECI will publish industry categories based 

on the 2002 North American Industry Classification System (NAICS) and classify jobs into occupational 

categories according to the 2000 Standard Occupational Classification (SOC) Manual. These systems will 

replace the 1987 Standard Industrial Classification (SIC) Manual and the Occupational Classification System 

(OCS) currently being used in the ECI. Broad categories, such as civilian workers and private industry 

workers, are comparable for both the old and new classification systems; however, some detailed occupational 

and industry classifications (even with the same title) may not be comparable. Some new series will be 

introduced while others will be dropped. For more detailed information on NAICS and SOC, including 

background and comparability criteria, see the BLS websites: http://www.bls.gov/bls/naics.htm and 

http://www.bls.gov/soc/home.htm. 

In addition, several computational changes will be introduced, including rebasing all series to December 

2005=100 from June 1989=100, and the initiation of new employment weights and seasonal adjustment 

factors. At the same time, an improved process for imputing costs for missing values will be introduced. 

ECI data are available on the Compensation Cost Trends page at http://www.bls.gov/ncs/ect/home.htm. 

To access data using Anonymous FTP, use the Internet address ftp://ftp.bls.gov.

For technical assistance in using the BLS Internet site, send e-mail to webmaster@bls.gov. For ECI data 

requests, send e-mail to ocltinfo@bls.gov.

The ECI news release is available through an e-mail subscription service. See the subscription link on 

http://www.bls.gov/ncs/ect/home.htm or http://www.bls.gov/bls/newsrels.htm. 

Information in this release will be made available to sensory impaired individuals upon request. Voice 

phone: (202) 691-5200; Federal Relay Service Number: 1-800-877-8339. 

________________________________________________________________________________________ 
5

0

2

4

6

8

10

12

14

80 82 84 86 88 90 92 94 96 98 00 02 04 06

0

2

4

6

8

10

12

14

80 82 84 86 88 90 92 94 96 98 00 02 04 06

0

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80 82 84 86 88 90 92 94 96 98 00 02 04 06

Chart A. Changes in wages and salaries and in benefit costs, private industry, 1980-2005

12-month percent change

Wages and salaries

Benefits

Chart B. Changes in wages and salaries, by goods- and service-producing industries,

private industry, 1980-2005

12-month percent change

Chart C. Changes in wages and salaries, by bargaining status, private industry, 1980-2005

12-month percent change

______ Goods-producing

-- - - Service-producing

_____ Union

-- - - Nonunion
6

Table 1. Employment Cost Index for total compensation1, wages and salaries, and benefit costs by industry and

occupational group 

(Seasonally adjusted data)

Industry and occupational group

Indexes (June

1989=100) Percent changes for 3-months ended–

Mar.

2005

Jun.

2005

Sep.

2003

Dec.

2003

Mar.

2004

Jun.

2004

Sep.

2004

Dec.

2004

Mar.

2005

Jun.

2005

TOTAL COMPENSATION

Civilian workers .............................................. 176.7 177.9 1.0 0.8 1.1 0.9 0.9 0.8 0.7 0.7

State and local government .......................... 174.3 175.6 .8 .7 .9 .9 .8 .9 1.0 .7

Private industry ............................................. 177.3 178.4 1.1 .8 1.1 .9 1.0 .8 .6 .6

Industry

Goods producing2 .................................... 177.1 178.9 1.1 .7 1.7 1.0 1.3 1.0 .5 1.0

Construction ......................................... 169.3 170.8 .8 .8 .8 .5 .7 .4 1.1 .9

Manufacturing ....................................... 177.3 179.1 .9 1.1 1.6 1.1 1.2 1.0 .4 1.0

Durables ........................................... 178.6 180.7 1.0 1.1 1.7 1.2 1.3 1.1 .4 1.2

Nondurables ..................................... 175.2 176.4 .9 1.0 1.3 .9 1.1 .9 .3 .7

Service producing3 ................................... 177.3 178.2 1.1 .9 .8 .9 .8 .7 .6 .5

Transportation and public utilities ......... 174.7 175.2 .8 .9 1.4 1.1 .8 .6 .2 .3

Wholesale trade .................................... 179.3 178.5 .8 .6 .6 .6 1.4 .1 1.0 -.4

Retail trade ........................................... 166.1 167.1 1.6 1.1 .4 .9 .3 .7 .6 .6

Finance, insurance, and real estate4 .... 188.9 190.9 1.1 .4 .9 .6 .7 .6 1.6 1.1

Services ................................................ 179.6 180.6 1.1 .9 .9 1.0 .9 1.0 .7 .6

Nonmanufacturing .................................... 176.4 177.4 1.0 .9 .8 .9 .8 .8 .7 .6

Occupational group

White collar ............................................... 180.3 181.4 1.1 .9 .9 .8 .9 .9 .9 .6

Blue collar ................................................. 172.0 173.3 1.0 1.0 1.5 1.0 1.0 .9 .2 .8

Service ...................................................... 170.8 171.9 .9 .9 .9 .9 .5 .7 .2 .6

WAGES AND SALARIES

Civilian workers .............................................. 167.2 168.2 .7 .5 .6 .6 .7 .5 .6 .6

State and local government .......................... 166.4 167.3 .3 .5 .6 .5 .4 .6 .8 .5

Private industry ............................................. 167.4 168.4 .8 .6 .6 .6 .7 .4 .6 .6

Industry

Goods producing2,4 .................................. 163.6 164.8 .6 .3 .8 .6 .9 .1 .7 .7

Construction ......................................... 157.8 159.1 .7 .6 .6 .4 .6 .3 .3 .8

Manufacturing4 ..................................... 165.3 166.4 .4 .3 .7 .7 .9 .1 .8 .7

Durables4 ......................................... 165.9 167.1 .6 .2 .6 .6 1.0 .1 .7 .7

Nondurables ..................................... 164.3 165.1 .4 .6 .7 .7 .8 .4 .6 .5

Service producing3 ................................... 169.1 169.9 .9 .7 .5 .5 .7 .6 .5 .5

Transportation and public utilities4 ....... 159.8 161.1 .3 .3 .7 1.0 .8 .1 -.4 .8

Wholesale trade .................................... 169.6 168.5 .6 .7 .2 .4 1.6 -.8 .8 -.6

Retail trade ........................................... 160.4 161.3 1.6 .4 .4 .6 .1 .6 .6 .6

Finance, insurance, and real estate4 .... 179.2 181.2 1.0 .2 .4 .1 .7 .7 .8 1.1

Services ................................................ 173.4 174.3 .9 .8 .7 .8 .8 .8 .7 .5

Nonmanufacturing .................................... 167.8 168.6 .9 .7 .6 .5 .7 .6 .5 .5

See footnotes at end of table.
7

Table 1. Employment Cost Index for total compensation1, wages and salaries, and benefit costs by industry and

occupational group — Continued

(Seasonally adjusted data)

Industry and occupational group

Indexes (June

1989=100) Percent changes for 3-months ended–

Mar.

2005

Jun.

2005

Sep.

2003

Dec.

2003

Mar.

2004

Jun.

2004

Sep.

2004

Dec.

2004

Mar.

2005

Jun.

2005

WAGES AND SALARIES–Continued

Occupational group

White collar ............................................... 171.3 172.2 0.9 0.7 0.5 0.6 0.8 0.6 0.5 0.5

Blue collar4 ............................................... 160.8 162.1 .6 .3 .7 .7 .8 .3 .6 .8

Service4 .................................................... 161.4 162.3 .6 .4 .4 .6 .3 .5 .5 .6

BENEFIT COSTS

Civilian workers .............................................. 200.3 202.0 1.7 1.5 2.2 1.6 1.4 1.6 1.2 .8

State and local government .......................... 193.0 195.4 1.9 1.3 1.6 1.8 1.6 1.5 1.5 1.2

Private industry ............................................. 202.0 203.6 1.7 1.5 2.2 1.7 1.3 1.6 1.1 .8

Industry

Goods producing2 .................................... 205.3 208.2 2.0 1.5 3.4 1.5 2.0 2.3 .9 1.4

Manufacturing ....................................... 204.4 207.4 2.1 1.8 3.9 1.8 2.1 1.9 .4 1.5

Service producing3 ................................... 200.1 200.9 1.5 1.5 1.5 1.7 .9 1.2 1.2 .4

Nonmanufacturing .................................... 201.1 202.3 1.5 1.4 1.5 1.7 1.0 1.5 1.2 .6

Occupational group

White collar ............................................... 205.9 207.7 1.6 1.4 1.6 1.5 1.4 1.6 1.7 .9

Blue collar ................................................. 196.7 198.3 1.9 1.6 3.1 1.9 1.6 1.6 -.1 .8

Service ...................................................... 199.5 201.2 1.5 2.0 2.2 1.7 1.2 1.2 -.3 .9

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; and service industries. 4 No identifiable seasonality was found for this series.
8

Table 2. Employment Cost Index for total compensation1 for civilian and State and local government workers by

industry and occupational group 

(Not seasonally adjusted data)

Industry and occupational group

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Civilian workers ............................................ 172.2 176.6 177.7 0.9 1.1 0.6 3.9 3.5 3.2

Excluding sales occupations .................. 172.3 176.9 178.0 .9 1.1 .6 3.9 3.6 3.3

Industry

Goods producing2 ...................................... 171.9 177.0 178.5 .9 1.5 .8 4.4 3.9 3.8

Manufacturing ......................................... 173.2 178.2 179.6 .9 1.6 .8 4.7 3.8 3.7

Service producing3 ..................................... 172.3 176.5 177.4 .9 1.0 .5 3.7 3.3 3.0

Services .................................................. 172.3 177.0 177.8 .6 .9 .5 3.6 3.4 3.2

Health services ................................... 174.4 179.9 181.1 .8 1.2 .7 4.1 4.0 3.8

Hospitals ......................................... 178.2 184.3 185.5 .8 1.4 .7 4.3 4.2 4.1

Educational services ........................... 168.9 173.9 174.5 .2 .6 .3 2.9 3.2 3.3

Public administration4 ............................. 171.4 177.6 178.3 .8 1.3 .4 4.3 4.4 4.0

Nonmanufacturing ...................................... 171.8 176.1 177.1 .8 1.0 .6 3.6 3.3 3.1

Occupational group

White collar ................................................. 174.0 178.8 179.9 .8 1.2 .6 3.6 3.5 3.4

Excluding sales ................................... 174.4 179.6 180.6 .8 1.2 .6 3.6 3.8 3.6

Professional specialty and technical ....... 171.2 176.8 177.6 .6 1.2 .5 3.8 3.9 3.7

Executive, administrative, and

managerial ............................................ 177.1 182.0 183.1 .7 1.4 .6 3.0 3.5 3.4

Administrative support, including

clerical .................................................. 177.2 182.0 183.3 1.1 1.1 .7 4.2 3.8 3.4

Blue collar ................................................... 168.8 172.4 173.8 1.1 .9 .8 4.6 3.3 3.0

Service ........................................................ 170.9 174.9 175.9 .7 .7 .6 3.6 3.1 2.9

State and local government ......................... 168.7 174.1 174.7 .4 .9 .3 3.4 3.6 3.6

Industry

Services .................................................. 166.8 171.8 172.4 .2 .6 .3 2.8 3.2 3.4

Excluding schools ........................... 170.1 175.6 176.4 .4 1.0 .5 3.6 3.7 3.7

Health services ................................... 172.9 178.9 179.6 .4 1.2 .4 3.7 3.9 3.9

Hospitals ......................................... 173.2 179.1 179.8 .5 1.0 .4 3.5 3.9 3.8

Educational services ........................... 165.9 170.9 171.4 .1 .6 .3 2.6 3.1 3.3

Schools ........................................... 166.3 171.2 171.7 .2 .5 .3 2.7 3.1 3.2

Elementary and secondary ......... 164.6 169.8 170.3 .1 .4 .3 2.9 3.3 3.5

Colleges and universities ............ 171.0 175.1 175.6 .2 1.1 .3 2.1 2.6 2.7

Public administration4 ............................. 171.4 177.6 178.3 .8 1.3 .4 4.3 4.4 4.0

Occupational group

White collar ................................................. 167.5 172.6 173.1 .4 .8 .3 3.3 3.5 3.3

Professional specialty and technical ....... 165.6 170.4 171.1 .3 .6 .4 3.0 3.2 3.3

Executive, administrative, and

managerial ............................................ 171.0 176.7 176.5 .5 1.4 -.1 3.2 3.9 3.2

Administrative support, including

clerical .................................................. 171.8 177.2 177.7 .8 1.0 .3 4.5 4.0 3.4

Blue collar ................................................... 167.5 172.6 173.8 .5 .9 .7 3.6 3.5 3.8

Service ........................................................ 175.3 182.0 183.0 .5 .8 .5 3.8 4.3 4.4

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 governments, SICs 91 through 96.
9

Table 3. Employment Cost Index for total compensation1 for private industry workers, by industry and

occupational group 

(Not seasonally adjusted data)

Industry and occupational group

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Private industry workers .............................. 173.0 177.2 178.5 0.9 1.1 0.7 4.0 3.4 3.2

Excluding sales occupations .................. 173.2 177.7 178.9 .9 1.2 .7 4.0 3.6 3.3

Industry

Goods producing2 .................................... 171.8 176.9 178.5 .9 1.5 .9 4.4 3.9 3.9

Excluding sales ................................... 171.2 176.3 177.9 .8 1.5 .9 4.5 3.8 3.9

White collar ............................................. 174.7 182.2 184.2 .7 2.5 1.1 3.3 5.0 5.4

Excluding sales ................................... 173.3 180.9 183.0 .6 2.6 1.2 3.5 5.1 5.6

Blue collar ............................................... 169.8 173.4 174.7 1.0 .8 .7 5.1 3.2 2.9

Construction ........................................... 165.9 169.1 171.0 .8 1.1 1.1 3.0 2.7 3.1

Manufacturing ......................................... 173.2 178.2 179.6 .9 1.6 .8 4.7 3.8 3.7

White collar ......................................... 174.6 181.4 183.4 .8 2.7 1.1 3.5 4.7 5.0

Excluding sales ............................... 172.6 179.4 181.5 .8 2.7 1.2 3.7 4.7 5.2

Blue collar ........................................... 172.0 175.8 176.7 .9 .9 .5 5.7 3.2 2.7

Durables ............................................. 174.0 179.5 181.2 .9 1.8 .9 5.1 4.1 4.1

Aircraft manufacturing (SIC 3721) .. 200.9 234.1 234.5 1.0 15.9 .2 9.4 17.7 16.7

White collar ................................. 194.9 227.8 228.4 .5 16.6 .3 9.9 17.5 17.2

Blue collar ................................... 208.3 242.5 242.6 1.9 14.5 .0 8.3 18.6 16.5

Nondurables ....................................... 171.7 175.8 176.8 .8 1.3 .6 4.1 3.2 3.0

Service producing3 .................................. 173.3 177.1 178.1 1.0 1.0 .6 3.8 3.2 2.8

Excluding sales ................................... 174.2 178.4 179.4 1.0 1.1 .6 3.7 3.4 3.0

White collar ............................................. 175.7 179.7 180.7 .9 1.1 .6 3.8 3.2 2.8

Excluding sales ................................... 177.8 182.4 183.2 .9 1.1 .4 3.8 3.5 3.0

Blue collar ............................................... 166.4 169.9 171.5 1.4 1.1 .9 3.5 3.5 3.1

Service .................................................... 167.4 170.1 171.1 .8 .7 .6 3.3 2.4 2.2

Transportation and public utilities ........... 172.5 174.5 175.8 1.6 .6 .7 4.3 2.8 1.9

Transportation .................................... 164.7 165.5 166.1 1.7 -.4 .4 3.7 2.2 .9

Public utilities ...................................... 183.1 186.9 189.2 1.5 1.9 1.2 5.1 3.6 3.3

Communications ............................. 183.6 186.0 188.4 .8 1.4 1.3 4.6 2.1 2.6

Electric, gas, and sanitary

services ........................................ 182.4 188.0 190.2 2.4 2.6 1.2 5.7 5.5 4.3

Wholesale and retail trade ...................... 168.1 170.9 171.7 1.1 1.1 .5 3.4 2.8 2.1

Excluding sales ............................... 168.6 172.3 173.1 .7 1.1 .5 3.6 2.9 2.7

Wholesale trade .................................. 175.9 179.1 179.3 1.2 1.4 .1 2.7 3.0 1.9

Excluding sales ............................... 174.0 179.2 179.5 .2 1.6 .2 2.4 3.2 3.2

Retail trade ......................................... 163.7 166.2 167.3 1.0 .9 .7 4.0 2.5 2.2

General merchandise stores .......... 166.2 172.3 172.1 .2 1.7 -.1 4.4 3.9 3.5

Food stores ..................................... 163.5 165.0 165.9 .9 .6 .5 3.1 1.8 1.5

Finance, insurance, and real estate ....... 183.6 188.9 190.9 .6 1.6 1.1 3.0 3.5 4.0

Excluding sales ............................... 188.7 194.3 196.1 1.1 1.6 .9 2.6 4.1 3.9

Banking, savings and loan, and other

credit agencies ................................. 208.9 213.7 217.3 .8 .7 1.7 1.3 3.1 4.0

Insurance ............................................ 180.5 186.3 188.8 1.5 1.5 1.3 3.8 4.8 4.6

Excluding sales ............................... 178.1 183.0 185.0 1.5 1.5 1.1 3.7 4.3 3.9

Services .................................................. 175.1 179.7 180.6 .9 1.0 .5 4.0 3.6 3.1

Business services ............................... 176.9 180.1 181.0 1.2 .6 .5 4.6 3.0 2.3

Health services ................................... 174.8 180.3 181.5 .9 1.3 .7 4.1 4.0 3.8

Hospitals ......................................... 179.7 185.8 187.3 .9 1.4 .8 4.5 4.3 4.2

Nursing homes ............................... – – – .7 .6 .9 3.3 2.4 2.6

Educational services ........................... 184.2 190.0 190.9 .6 .8 .5 4.0 3.8 3.6

Colleges and universities ................ 182.5 187.6 188.6 .7 .8 .5 4.0 3.5 3.3

See footnotes at end of table.
10

Table 3. Employment Cost Index for total compensation1 for private industry workers, by industry and

occupational group — Continued

(Not seasonally adjusted data)

Industry and occupational group

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Industry–Continued

Nonmanufacturing industries ................. 172.5 176.5 177.6 0.9 1.0 0.6 3.7 3.3 3.0

White collar ............................................. 175.7 180.0 181.0 .9 1.1 .6 3.8 3.4 3.0

Excluding sales ................................... 177.7 182.7 183.6 .9 1.2 .5 3.7 3.7 3.3

Blue collar ............................................... 165.5 168.8 170.6 1.3 .9 1.1 3.6 3.3 3.1

Service .................................................... 167.3 170.1 171.0 .8 .7 .5 3.3 2.5 2.2

Occupational group

White collar ............................................... 175.7 180.4 181.6 .9 1.3 .7 3.7 3.6 3.4

Excluding sales ................................... 176.7 182.0 183.2 .8 1.4 .7 3.7 3.8 3.7

Professional specialty and technical ....... 174.7 180.8 181.6 .7 1.5 .4 4.2 4.3 3.9

Executive, administrative, and

managerial ............................................ 178.1 183.0 184.2 .7 1.6 .7 2.9 3.5 3.4

Sales ....................................................... 171.2 173.1 174.4 1.2 1.0 .8 3.7 2.3 1.9

Administrative support, including

clerical .................................................. 178.1 182.8 184.3 1.1 1.2 .8 4.2 3.8 3.5

Blue collar ................................................. 168.8 172.3 173.7 1.1 .9 .8 4.6 3.2 2.9

Precision production, craft, and repair .... 169.1 173.1 174.9 1.2 1.1 1.0 4.4 3.6 3.4

Machine operators, assemblers, and

inspectors ............................................. 170.5 173.3 173.8 1.1 .5 .3 5.8 2.7 1.9

Transportation and material moving ....... 160.6 163.7 165.7 1.3 .9 1.2 3.5 3.3 3.2

Handlers, equipment cleaners, helpers,

and laborers .......................................... 173.2 176.9 177.9 .9 .9 .6 3.8 3.0 2.7

Service ....................................................... 168.2 170.9 171.9 .8 .7 .6 3.4 2.4 2.2

Production and nonsupervisory

occupations4 ........................................... 171.0 174.6 175.8 1.0 .9 .7 4.2 3.1 2.8

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; and service

industries.

4 This series has the same industry and occupational coverage as the

Hourly Earnings Index, which was discontinued in January 1989.

NOTE: Dashes indicate data not available.
11

Table 4. Employment Cost Index for total compensation1 for private industry workers, by bargaining status,

region, and area 

(Not seasonally adjusted data)

Bargaining status, region, and area

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Bargaining status

Union ........................................................... 173.9 177.5 179.0 1.5 0.7 0.8 6.0 3.6 2.9

Blue-collar occupations ........................ 171.2 174.9 176.6 1.3 .8 1.0 6.1 3.5 3.2

Goods-producing industries2 .................... 174.6 178.2 179.8 1.3 .8 .9 6.9 3.4 3.0

Service-producing industries3 .................. 172.9 176.6 177.9 1.6 .7 .7 5.0 3.8 2.9

Manufacturing ........................................... 177.0 180.6 181.7 1.1 1.0 .6 8.1 3.2 2.7

Blue-collar occupations ........................ 175.9 178.6 179.5 1.2 .4 .5 8.2 2.8 2.0

Nonmanufacturing .................................... 171.6 175.2 176.9 1.7 .6 1.0 4.8 3.8 3.1

Nonunion ..................................................... 172.7 177.1 178.3 .8 1.3 .7 3.5 3.4 3.2

Blue-collar occupations ........................ 167.4 170.8 172.1 1.0 .9 .8 3.8 3.1 2.8

Goods-producing industries2 .................... 170.9 176.5 178.0 .7 1.7 .8 3.6 4.0 4.2

Service-producing industries3 .................. 173.2 177.0 178.0 .9 1.1 .6 3.6 3.1 2.8

Manufacturing ........................................... 172.0 177.5 179.0 .8 1.8 .8 3.7 4.0 4.1

Blue-collar occupations ........................ 169.3 173.8 174.7 .7 1.1 .5 4.1 3.4 3.2

Nonmanufacturing .................................... 172.6 176.6 177.7 .9 1.1 .6 3.5 3.2 3.0

Region4

Northeast ...................................................... 172.3 176.1 177.6 1.2 1.1 .9 4.3 3.5 3.1

South ............................................................ 167.9 172.5 173.4 .9 1.1 .5 3.9 3.7 3.3

Midwest ........................................................ 176.2 180.0 180.9 .9 1.2 .5 3.4 3.0 2.7

West ............................................................. 176.8 181.4 183.3 .9 1.3 1.0 4.3 3.5 3.7

Area

Metropolitan .................................................. 173.1 177.4 178.6 .9 1.2 .7 3.9 3.4 3.2

Other ............................................................. 172.1 176.4 177.3 1.1 1.2 .5 4.3 3.6 3.0

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; and service

industries.

4 The regional coverage is as follows: Northeast: Connecticut, Maine,

Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania,

Rhode Island, 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, Iowa, Kansas, Michigan,

Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and

Wisconsin; and West: Alaska, Arizona, California, 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.
12

Table 5. Employment Cost Index for wages and salaries for civilian and State and local government workers, by

industry and occupational group 

(Not seasonally adjusted data)

Industry and occupational group

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Civilian workers ............................................ 164.3 167.3 168.2 0.6 0.7 0.5 2.5 2.4 2.4

Excluding sales occupations .................. 164.2 167.4 168.3 .6 .7 .5 2.4 2.5 2.5

Industry

Goods producing1 ...................................... 161.0 163.6 164.9 .7 .7 .8 2.2 2.3 2.4

Manufacturing ......................................... 162.4 165.3 166.4 .7 .8 .7 2.1 2.5 2.5

Service producing2 ..................................... 165.5 168.6 169.5 .5 .7 .5 2.5 2.4 2.4

Services .................................................. 167.4 171.2 171.9 .5 .6 .4 2.8 2.8 2.7

Health services ................................... 168.6 173.2 174.3 .5 .9 .6 3.3 3.3 3.4

Hospitals ......................................... 169.9 174.7 175.7 .5 .9 .6 3.3 3.4 3.4

Educational services ........................... 163.8 167.5 167.9 .1 .4 .2 1.9 2.4 2.5

Public administration3 ............................. 161.4 165.0 165.6 .2 .9 .4 2.2 2.4 2.6

Nonmanufacturing ...................................... 164.6 167.6 168.5 .5 .7 .5 2.6 2.4 2.4

Occupational group

White collar ................................................. 167.1 170.3 171.1 .6 .7 .5 2.6 2.5 2.4

Excluding sales ................................... 167.6 171.1 172.0 .5 .7 .5 2.5 2.6 2.6

Professional specialty and technical ....... 164.4 168.1 168.7 .4 .7 .4 2.7 2.6 2.6

Executive, administrative, and

managerial ............................................ 172.4 175.9 176.9 .6 .9 .6 2.0 2.6 2.6

Administrative support, including

clerical .................................................. 167.5 170.9 172.0 .7 .7 .6 2.7 2.8 2.7

Blue collar ................................................... 158.4 161.0 162.2 .7 .6 .7 2.3 2.4 2.4

Service ........................................................ 161.9 164.4 165.3 .4 .5 .5 2.0 2.0 2.1

State and local government ......................... 162.8 166.3 166.7 .2 .6 .2 1.9 2.3 2.4

Industry

Services .................................................. 162.7 166.2 166.6 .1 .4 .2 1.8 2.2 2.4

Excluding schools ........................... 165.6 169.4 170.1 .3 .7 .4 2.3 2.6 2.7

Health services ................................... 167.8 171.9 172.6 .2 .7 .4 2.6 2.7 2.9

Hospitals ......................................... 167.9 172.0 172.5 .3 .6 .3 2.5 2.7 2.7

Educational services ........................... 162.1 165.5 165.8 .1 .4 .2 1.8 2.2 2.3

Schools ........................................... 162.3 165.6 166.0 .1 .4 .2 1.8 2.2 2.3

Elementary and secondary ......... 161.5 164.8 165.1 .1 .2 .2 1.9 2.2 2.2

Colleges and universities ............ 164.4 167.9 168.2 .1 1.0 .2 1.4 2.2 2.3

Public administration3 ............................. 161.4 165.0 165.6 .2 .9 .4 2.2 2.4 2.6

Occupational group

White collar ................................................. 162.4 165.9 166.2 .2 .6 .2 2.0 2.3 2.3

Professional specialty and technical ....... 162.3 165.7 166.2 .1 .4 .3 2.0 2.2 2.4

Executive, administrative, and

managerial ............................................ 163.8 168.2 168.0 .2 1.3 -.1 1.7 2.9 2.6

Administrative support, including

clerical .................................................. 160.8 163.9 164.0 .2 .6 .1 2.3 2.2 2.0

Blue collar ................................................... 159.2 162.4 163.2 .2 .6 .5 1.7 2.2 2.5

Service ........................................................ 167.0 170.4 171.2 .2 .6 .5 2.0 2.2 2.5

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. 3 Includes executive, legislative, judicial, administrative, and regulatory

activities of State and local governments, SICs 91 through 96.
13

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

occupational group 

(Not seasonally adjusted data)

Industry and occupational group

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Private industry workers .............................. 164.5 167.4 168.4 0.7 0.7 0.6 2.6 2.4 2.4

Excluding sales occupations .................. 164.5 167.6 168.7 .6 .7 .7 2.5 2.5 2.6

Industry

Goods producing1 .................................... 160.9 163.6 164.8 .6 .7 .7 2.2 2.3 2.4

Excluding sales ................................... 160.2 162.8 164.0 .6 .7 .7 2.4 2.3 2.4

White collar ............................................. 164.5 167.3 168.5 .8 .8 .7 1.9 2.5 2.4

Excluding sales ................................... 162.7 165.3 166.7 .7 .7 .8 2.2 2.4 2.5

Blue collar ............................................... 158.6 161.2 162.4 .6 .7 .7 2.5 2.2 2.4

Construction ........................................... 155.9 157.7 159.2 .5 .4 1.0 2.3 1.7 2.1

Manufacturing ......................................... 162.4 165.3 166.4 .7 .8 .7 2.1 2.5 2.5

White collar ......................................... 164.7 167.6 168.7 .9 .9 .7 1.9 2.6 2.4

Excluding sales ............................... 162.5 165.1 166.5 .8 .7 .8 2.3 2.4 2.5

Blue collar ........................................... 160.6 163.6 164.7 .5 .7 .7 2.4 2.4 2.6

Durables ............................................. 162.9 165.9 167.1 .6 .7 .7 2.0 2.5 2.6

Aircraft manufacturing (SIC 3721) .. 171.9 175.6 176.1 .8 1.7 .3 3.0 2.9 2.4

White collar ................................. 165.5 170.1 170.4 .5 2.5 .2 3.3 3.3 3.0

Blue collar ................................... 180.7 183.9 184.8 1.3 .3 .5 2.4 3.1 2.3

Nondurables ....................................... 161.6 164.5 165.3 .7 1.0 .5 2.4 2.6 2.3

Service producing2 .................................. 166.1 169.0 170.0 .7 .7 .6 2.7 2.4 2.3

Excluding sales ................................... 167.1 170.4 171.4 .7 .6 .6 2.6 2.7 2.6

White collar ............................................. 168.9 172.1 173.0 .7 .8 .5 2.9 2.6 2.4

Excluding sales ................................... 171.2 175.0 175.9 .6 .8 .5 2.8 2.8 2.7

Blue collar ............................................... 157.8 160.1 161.5 1.0 .4 .9 2.3 2.5 2.3

Service .................................................... 158.8 160.9 161.8 .5 .4 .6 2.1 1.8 1.9

Transportation and public utilities ........... 159.1 159.8 161.1 1.0 -.4 .8 2.2 1.4 1.3

Transportation .................................... 153.4 153.4 154.6 1.1 -1.1 .8 1.9 1.1 .8

Public utilities ...................................... 166.4 168.2 169.9 .7 .4 1.0 2.7 1.8 2.1

Communications ............................. 167.5 168.4 170.3 .3 .1 1.1 2.5 .8 1.7

Electric, gas, and sanitary

services ........................................ 165.1 167.9 169.2 1.1 .8 .8 2.9 2.8 2.5

Wholesale and retail trade ...................... 161.6 163.4 164.1 .8 .8 .4 2.6 1.9 1.5

Excluding sales ............................... 162.9 165.5 166.3 .4 .9 .5 2.6 2.0 2.1

Wholesale trade .................................. 167.8 169.5 169.4 1.0 1.2 -.1 1.9 2.0 1.0

Excluding sales ............................... 167.6 171.5 171.5 -.1 1.5 .0 1.5 2.2 2.3

Retail trade ......................................... 158.4 160.3 161.4 .7 .6 .7 3.0 1.9 1.9

General merchandise stores .......... 154.9 159.3 159.0 .5 .8 -.2 1.9 3.4 2.6

Food stores ..................................... 154.3 155.8 156.7 .3 .5 .6 1.8 1.3 1.6

Finance, insurance, and real estate ....... 175.3 179.2 181.2 .1 .8 1.1 1.7 2.3 3.4

Excluding sales ............................... 180.5 184.6 186.5 .7 .9 1.0 1.1 3.0 3.3

Banking, savings and loan, and other

credit agencies ................................. 207.6 210.7 215.4 .4 -.3 2.2 -.5 1.9 3.8

Insurance ............................................ 167.2 171.7 173.7 1.3 .8 1.2 2.6 4.0 3.9

Excluding sales ............................... 163.7 167.1 168.5 1.2 1.0 .8 2.6 3.3 2.9

Services .................................................. 169.3 173.4 174.2 .7 .8 .5 3.2 3.2 2.9

Business services ............................... 172.7 175.5 176.5 1.0 .3 .6 3.8 2.6 2.2

Health services ................................... 168.8 173.4 174.6 .6 .9 .7 3.4 3.3 3.4

Hospitals ......................................... 170.5 175.4 176.7 .6 .9 .7 3.6 3.5 3.6

Nursing homes ............................... – – – .6 .8 .9 2.6 2.5 2.8

Educational services ........................... 172.6 177.9 178.6 .4 .6 .4 2.9 3.5 3.5

Colleges and universities ................ 170.0 174.6 175.5 .3 .6 .5 3.0 3.0 3.2

See footnotes at end of table.
14

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

occupational group — Continued

(Not seasonally adjusted data)

Industry and occupational group

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Industry–Continued

Nonmanufacturing industries ................. 164.8 167.7 168.7 0.7 0.7 0.6 2.7 2.4 2.4

White collar ............................................. 168.6 171.7 172.7 .7 .7 .6 2.9 2.5 2.4

Excluding sales ................................... 170.7 174.4 175.4 .6 .8 .6 2.8 2.8 2.8

Blue collar ............................................... 156.1 158.2 159.7 .9 .4 .9 2.4 2.3 2.3

Service .................................................... 158.7 160.8 161.7 .5 .4 .6 2.1 1.8 1.9

Occupational group

White collar ............................................... 168.2 171.3 172.3 .7 .8 .6 2.7 2.5 2.4

Excluding sales ................................... 169.2 172.7 173.7 .7 .8 .6 2.7 2.7 2.7

Professional specialty and technical ....... 165.5 169.4 170.0 .5 .8 .4 3.1 2.9 2.7

Executive, administrative, and

managerial ............................................ 173.9 177.2 178.4 .7 .9 .7 2.1 2.6 2.6

Sales ....................................................... 163.9 164.9 166.0 .8 .5 .7 2.9 1.4 1.3

Administrative support, including

clerical .................................................. 168.6 172.0 173.3 .8 .7 .8 2.8 2.9 2.8

Blue collar ................................................. 158.3 160.8 162.1 .7 .6 .8 2.4 2.3 2.4

Precision production, craft, and repair .... 158.3 160.4 162.0 .8 .4 1.0 2.3 2.1 2.3

Machine operators, assemblers, and

inspectors ............................................. 159.8 162.6 163.7 .8 .6 .7 2.9 2.5 2.4

Transportation and material moving ....... 151.8 154.4 156.0 .9 .7 1.0 1.9 2.7 2.8

Handlers, equipment cleaners, helpers,

and laborers .......................................... 162.7 165.6 165.9 .6 .7 .2 2.3 2.3 2.0

Service ....................................................... 159.3 161.4 162.3 .6 .5 .6 2.0 1.9 1.9

Production and nonsupervisory

occupations3 ........................................... 161.7 164.5 165.5 .6 .7 .6 2.7 2.4 2.4

1 Includes mining, construction, and manufacturing. 2 Includes transportation, communication, and public utilities;

wholesale and retail trade; finance, insurance, and real estate; and service

industries.

3 This series has the same industry and occupational coverage as the

Hourly Earnings Index, which was discontinued in January 1989.

NOTE: Dashes indicate data not available.
15

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

region, and area 

(Not seasonally adjusted data)

Bargaining status, region, and area

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Bargaining status

Union ........................................................... 158.7 160.8 162.1 1.0 0.1 0.8 2.9 2.3 2.1

Blue-collar occupations ........................ 155.5 157.8 159.3 .8 .4 1.0 2.6 2.3 2.4

Goods-producing industries1 .................... 157.5 159.6 161.1 .8 .4 .9 2.3 2.1 2.3

Service-producing industries2 .................. 160.3 162.3 163.6 1.1 -.2 .8 3.4 2.4 2.1

Manufacturing ........................................... 159.2 161.5 162.8 .7 .5 .8 2.1 2.2 2.3

Blue-collar occupations ........................ 157.8 160.0 161.3 .7 .5 .8 2.2 2.1 2.2

Nonmanufacturing .................................... 158.4 160.3 161.7 1.1 -.1 .9 3.2 2.4 2.1

Nonunion ..................................................... 165.6 168.6 169.6 .6 .8 .6 2.5 2.4 2.4

Blue-collar occupations ........................ 160.2 162.7 164.0 .8 .6 .8 2.4 2.3 2.4

Goods-producing industries1 .................... 162.4 165.2 166.4 .6 .8 .7 2.2 2.4 2.5

Service-producing industries2 .................. 166.6 169.7 170.7 .6 .8 .6 2.6 2.5 2.5

Manufacturing ........................................... 163.7 166.8 167.8 .7 .9 .6 2.2 2.6 2.5

Blue-collar occupations ........................ 162.6 166.0 166.9 .4 .9 .5 2.5 2.5 2.6

Nonmanufacturing .................................... 165.7 168.7 169.7 .6 .7 .6 2.6 2.4 2.4

Region3

Northeast ...................................................... 163.6 166.0 167.3 1.0 .6 .8 3.3 2.5 2.3

South ............................................................ 160.1 163.6 164.4 .6 .8 .5 2.6 2.8 2.7

Midwest ........................................................ 167.7 170.6 171.3 .5 .8 .4 1.6 2.2 2.1

West ............................................................. 167.9 170.3 171.9 .7 .5 .9 2.9 2.1 2.4

Area

Metropolitan .................................................. 164.9 167.7 168.8 .7 .7 .7 2.6 2.4 2.4

Other ............................................................. 162.1 165.1 166.3 .8 .8 .7 2.6 2.7 2.6

1 Includes mining, construction, and manufacturing. 2 Includes transportation, communication, and public utilities;

wholesale and retail trade; finance, insurance, and real estate; and service

industries.

3 The regional coverage is as follows: Northeast: Connecticut, Maine,

Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania,

Rhode Island, 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, Iowa, Kansas, Michigan,

Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and

Wisconsin; and West: Alaska, Arizona, California, 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.
16

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)

Industry, occupational group, and

bargaining status

Indexes (June 1989=100) Percent changes for–

Jun.

2004

Mar.

2005

Jun.

2005

3 months ended– 12 months ended–

Jun.

2004

Mar.

2005

Jun.

2005

Jun.

2004

Mar.

2005

Jun.

2005

Civilian workers .......................................... 192.9 201.3 202.8 1.5 2.2 0.7 7.2 5.9 5.1

State and local government ........................ 183.0 193.0 194.0 1.0 1.4 .5 6.6 6.6 6.0

Private industry ........................................... 195.3 203.3 204.9 1.6 2.3 .8 7.3 5.8 4.9

Industry

Goods producing1 .................................. 196.2 207.0 209.4 1.3 2.9 1.2 8.9 6.9 6.7

Service producing2 ................................. 194.1 200.5 201.6 1.8 2.0 .5 6.5 5.2 3.9

Manufacturing ......................................... 196.9 206.7 208.8 1.3 3.1 1.0 10.0 6.3 6.0

Aircraft manufacturing (SIC 3721) ...... 264.0 361.9 362.1 1.3 36.1 .1 19.8 38.9 37.2

White collar ..................................... 265.3 367.0 368.3 .5 38.0 .4 21.5 39.0 38.8

Blue collar ....................................... 259.9 351.8 350.5 2.7 32.8 -.4 17.2 39.0 34.9

Nonmanufacturing .................................. 194.3 201.6 203.0 1.8 2.0 .7 6.3 5.6 4.5

Occupational group

White collar ............................................. 197.4 206.8 208.5 1.5 2.8 .8 6.4 6.4 5.6

Blue collar ............................................... 191.8 197.8 199.4 1.9 1.5 .8 8.9 5.0 4.0

Service .................................................... 196.1 200.9 202.0 1.4 1.4 .5 7.7 3.9 3.0

Bargaining status

Union ...................................................... 203.3 210.0 211.7 2.3 1.7 .8 11.3 5.6 4.1

Nonunion ................................................ 193.0 201.3 202.9 1.5 2.4 .8 6.3 5.8 5.1

1 Includes mining, construction, and manufacturing. 2 Includes transportation, communication, and public utilities; 

 

wholesale and retail trade; finance, insurance, and real estate; and service

industries. 
17

EXPLANATORY NOTE

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 ECI 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 referral bonuses and lumpsum 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, Medicare, 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 nonfarm economy 

excluding households and the public sector excluding 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 41,000 occupational 

observations within about 9,500 sample establishments in private industry and approximately 3,500

occupations within about 800 sample establishments in State and local governments. Data are collected for the 

pay period including the 12th day of the survey months of March, June, September, and December. 

The sampled establishments are classified by industry categories based on the 1987 Standard Industrial 

Classification (SIC), as defined by the U.S. Office of Management and Budget. Details on the sample design 

are included in the bulletin, Employment Cost Indexes, 1975-99, (Bulletin 2532). Within an establishment, 

specific job categories are selected and classified into about 500 occupational classifications according to the 

1990 Census of Population. Individual occupations are combined into broader occupational groups. Fixed 

employment weights are used each quarter to calculate the most aggregate series—civilian, private, and State 

and local government. These fixed weights are also used to derive all of the industry and occupation series 

indexes. Since March 1995, 1990 employment counts, primarily from the Bureau’s Occupational Employment 

Statistics survey, have been used. For more information on these topics, see the articles, “Introducing New 

Weights for the Employment Cost Index,” in the June 1985 issue of the Monthly Labor Review and 

“Introducing 1990 Weights for the Employment Cost Index” in the June 1995 issue of Compensation and 

Working Conditions. 

For the series based on bargaining status, region, and 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 

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 ECI 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 identify. For more information on the methodology 

used to seasonally adjust ECI series, see the bulletin, Employment Cost Indexes, 1975-99, (Bulletin 2532). 

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 
18

the newly estimated factors. The seasonal factors for 2005 and revised seasonally adjusted indexes for the past 

five years are available on the Internet site (http://www.bls.gov/ncs/ect/home.htm) or upon request. 

The ECI sample is rotated over approximately five years, which makes the sample more representative 

of the economy and reduces respondent burden. The sample is replaced on a cross-area, cross-industry basis. 

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 one 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 

result 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. 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. To assist users in ascertaining the reliability of series, the fiveyear moving average of standard errors for all estimates (excluding seasonally adjusted series) will be available 

on the Internet site (http://www.bls.gov/ncs/ect/home.htm) shortly after publication of the news release. 

When determining data to be used in contract negotiations, it is important to note that differences by 

bargaining status may be due to factors other than union 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. An important consideration when choosing a 

series for escalation is the number of workers covered. Series with smaller numbers of workers may have 

larger sampling errors or be dominated by a smaller number of employers. For more information, see the web 

site: (http://www.bls.gov/ect/escalator.htm). 

More detailed information on the ECI is available from several sources. These include an historical 

bulletin—Employment Cost Indexes, 1975-99, (Bulletin 2532), a chapter, “National Compensation Measures,” 

in the BLS Handbook of Methods (Bulletin 2490), and several articles published in the Monthly Labor Review

and Compensation and Working Conditions. Orders for bulletins should be made to the Bureau of Labor 

Statistics, Publication Sales Center, Room 960, 230 South Dearborn Street, Chicago, IL 60604, (312) 353-

1880. Reprints of the articles and other descriptive pieces are available upon request by calling (202) 691-

6199 or sending e-mail to (ocltinfo@bls.gov). 

Historical data series are available, beginning with some wage and salary series begun in 1975. In 

addition, constant-dollar ECI series derived from the Consumer Price Index for All Urban Consumers (CPI-U) 

are available. Supplemental data from the ECI, providing 12-month percent changes in employer costs for 

health insurance in private industry beginning with June 1982 are also available. This information is available 

at the Internet site (http://www.bls.gov/ect/home.htm) or upon request. 

The costs per hour worked of compensation components, based on data from the ECI, were recently 

published in a separate news release titled "Employer Costs for Employee Compensation–March 2005." 

Beginning with the March 2004 estimates, industry estimates are based on the 2002 North American Industry 

Classification (NAICS) system and the occupational categories are classified according to the 2000 Standard 

Occupational (SOC) system. These systems replace the 1987 Standard Industrial Classification System (SIC) 

and the Occupational Classification System (OCS). The release and information on the transition to the new 

industry and occupational classification systems are available by e-mail request at ocltinfo@bls.gov, on the 

Internet site http://www.bls.gov/ect/home.htm, or by telephone (202) 691-6199. Historical data and related 

articles are included in the bulletin, Employer Costs for Employee Compensation, 1986-99, (Bulletin 2526). 

Also available on the Internet site (http://www.bls.gov/ncs/ect/home.htm) or upon request is an annual 

historical summary from March 1986 through March 2002. Data on a quarterly basis beginning with June 

2002 are also available. 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 usually differ 

from those in the ECI.