20

Table 15. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Private industry
health services workers; by industry and occupational group, March 1998 - . |

Benefit costs
Total | Wages

Series compen- | and Supple- Retirement| Legally | oie,

sation | salaries Paid | mental and | required at

Total | eave | “pay | Msurance| sings | botene | benefits

Cost per hour worked

Health services $14.01 | sas] $1.37] $045 | $1.06 $0.48 $1.51 (2)
Professional speciaity and technical : 1936 | 654] 1.91 70 1.25 66 2.02 (2)
Professional specialty . 2951 | 2205 | 746) 228 82 1.34 76 225 (2)
Nurses 28.21 | 2072 | 748| 222] 1.04 1.33 65 224 (2)
Technical 20.08 | 15.01 | 507] 1.33 50 1.10 49 1.66 ()

Administrative suppor 1557 | 1097 | 460] 1.20 30 1.37 54 1.17 (2) |

Service occupations? 11.13 275 64 24 64 22 4.01 )
Hospitals 22.15 631] 1.85 69 1.48 S7 1.70 (2)

Professional specialty and technical 27.15 758} 2.23 99 157 69 2.09 (2)
Professional specialty 29.79 ais| 242] 1.12 156 75 2.29 (2)
Nurses 29.78 a6] 244) 1.33 154 71 2.32 (2)
Technical 20.93 625] 1.78 87 1.60 56 1.63 (7)

Administrative support, including clerical 15.69 468 | 1.37 30 1.40 43 1.18 (2) |
‘Service occupations? 13.20 9.05 | 415} 1.00 43 1.34 33 1.04 (7) |
Nursing homes 12.82 970] 312] 79 27 63 16 1.27 (2)

Professional specialty and technical 1886 | 1445 | 440] 1.14 43 73 22 1.88 (2)

Professional specialty 2085 | 16.16 | 468) 1.24 38 78 25 2.05 (2)

Technicat 1702 | 1288 | 415] 1.04 50 68 19 172 (2)

Service occupations? .. 10.19 ver | 258 60 23 58 13 1.05 (2)
Percent of total compensation

Health services .. 100.0% | 74.1% | 259%] 7.2%] 24%] 5.6% 25% 80% | (2)

Professional specialty 100.0 747 | 253 | 74 27 48 25 78 (2)

Professional specialty 100.0 747 | 253 | 77 28 45 26 76 (2) |

Nurses 100.0 734 | 265 | 79 37 47 23 79 (?) |
Technical 100.0 ma | 252 | 66 25 55 24 83 (2)
‘Administrative support, including clerical 100.0 75 | 295 | 77 19 38 35 75 ()
‘Service occupations? .. 100.0 753 | 247 58 22 5.8 20 94 (?)
Hospitals 100.0 716 | 285 | 384 67 26 77 (2)
Professional s and technical 100.0 720 | 279 | B82 58 25 77 (2)
Professional specialty 100.0 72.8 274 8.1 5.2 25 727 (7)
Nurses .. 100.0 719 | 281 82 52 24 78 (2)
Technical .. 100.0 70.4 29.9 85 76 27 78 (7)
Administrative support, including clerical 100.0 702 | 298 | 87 a9 27 75 (2)
Service occupations? 100.0 636 | 314 | 76 33 102 25 79 (?)
Nursing homes .. 100.0 757 | 243 | 62 24 49 1.2 9.9 (2)
Professional specialty and technical 100.0 766 | 233 | 60 23 39 12 10.0 (2)
Professional specialty 100.0 75 | 224 | 59 17 37 12 98 (2)
Technical .. 400.0 75.7 | 244 | 61 29 40 14 10.4 (2)
‘Service occupations’ ... 100.0 747 «| 23 | 59 23 57 13 10.3 (2)

1 Includes severance pay and supplemental unempioyment benefits.
2 Cost per hour worked is $0.01 or less. Note: The sum of individual items may not equal totals due to rounding,
3 This series may be discontinued with the March 1999 news release. :



14

Table 9. Employer costs per hour worked for employee compensation and costs as a percent of total compensation:
workers, by major occupational and industry group, and full-time and part-time status, March 1998 _

Private industry

Benefit costs
Total Wages
Series compen- | and . Suppie- Retirement] Legally | Giher
sation | salaries aid | mental and | required ot
Total | eave | “pay | surance | ings | behetts | Benefits
Cost per hour worked
Ail full-time workers in private industry . $20.95 | $15.03 | $5.93} $142] soea | si3¢ | sos7 | $1.78 | $0.03
‘White-collar occupations 2475 | 1807] 667] 1.85 73 1.44 78 1.84 04
Sales? 20.27 15.70 457 99 56 95 46 1.60 02
Administrative support, including clerical 1665 | 1189 { 476] 1.22 39 135 St 1.27 02
Biue-collar occupations 1848 | 12.70 | 577| 1.05 75 1.38 66 1.91 04
Service occupations? 11.39 8.38 3.02 63 23 77 24 1.17 (3)
Goods-producing industries* .. 2258 | 1553 | 7.05| 1.51 87 1.66 85 2.10 07
Constructioni 22.08 | 1571 | 635] - 70 1 1.32 1.05 2.68 ()
Manufacturing 2260 | 1540] 719} 1.72 93.) 1.74 78 1.93
Service-producing industries® 2026 | 1481] saa] 4.38 60 1.20 59 1.65 02
‘Transportation and public utilties® 25.33 | 1749] 784] 1.90 7 1.95 1.08 2.15 04
Wholesale trade 2163 | 1568 | 595} 137 $7 141 65 1.83 02
Retail trade 13.32 | 1033 | 299] 64 27 62 19 1.27 (3)
Finance, insurance, 25.56 | 1802} 754] 189] 1.27 1.64 97 1.73 05
Services ... 2042 | 1510 | 532] 1.46 52 1.13 55 1.64 @)
All part-time workers in private industry 10.01 ato} 190} 27 1S 2a 14. 4.08 | (3)
White-collar occupations . y2s2 | 1014 | 238| 43 20 38 18 via | (3)
Sales? .. 8.03 657 1.46 19 12 20 10 84 (3)
Administrative support, including 11.53 910 | 243} 43 21 57 18 1.05 (3)
Blue-collar occupations 9.88 754 | 292) 22] - 26 40 25 4.21 (3)
Service occupations? 741 6.15 1.26 12 06 At 05 1 @)
Goods-producing industries* 1221 952} 269] 25 30 a a2 1.74 (3)
‘Service-producing industries 9.93 806 | 1.88 27 14 27 14 1.05 (3)
Retail trade .. 7.37 604 | 1.33 13 08 a7 ‘07 37 (3)
Service industries 1247 | 1018 | 229] 40 19 33 16 1.22 (3)
Percent of total compensation
All full-time workers in private industry x 71.7% | 283%] 68%|- 32%] 64% 3.2% 8.5% 0.1%
White-collar occupations 100.0 730 | 269 | 75 29 58 32 7.4 2
Sales? 100.0 75 225 49 28 47 23 79 a
Administrative suppor, including clerical 100.0 714 | 26 | 73 23 81 31 7.6 +
Biue-coliar occupations 100.0 ee7 | 312 | 57 4a 75 36 10.3
‘Service occupations? .. 100.0 73.6 265 55 20 68 18 10.3 @)
‘Goods-producing industries . eas | 312 3.9 38 93
Construction? .. . 712 288 28 48 12.4 «)
Manufacturing .. Y a1 | 318 44 35 85 4
Service-producing industries® 100.0 731 | 269 3.0 29 a1 4
‘Transportation and public utilitias® 100.0 690 | 31.0 28 43 85 2
Wholesale trade 100.0 725 | 275 31 3.0 85 .
Retail trade ... 100.0 76 | 224: 20 14 95 (3)
Finance, insurance, and real estate 100.0 705 | 295 5.0 38 68
Services 100.0 739 26.1 25 27 8.0 (3)
All part-time workers in private industry 100.0 soo | i90 | 27 15 27 14 108 (3)
White-coltar occupations 100.0 810 | 190 | 34 16 3.0 14 94 (3)
Sales? 100.0 B18 18.2 24 15 25 12 10.5 (3)
Administrative support, including clerical 100.0 vag | 211 37 18 49 16 91 (3)
Blue-collar occupations .. 100.0 765 | 235 | 22 24 44 28 123 (3)
Service occupations? aso | 170 | 16 38 18 7 123 @)
Goods-producing industries* 100.0 78.0 22.0 20 25 22 1.0 14.3 (3)
‘Service-producing industries5 100.0 81.2 18.9 27 14 27 14 10.6 (3)
100.0 azo | 180 | 18 4 23 9 118 @)
100.0 a6 | 184 32 15 26 13 98 @)

1 Includes severance pay and supplemental unemployment benefits.

2 This series may be discontinued with the March 1999 news release.

3 Cost per hour worked is $0.01 or tess.
4 Includes mining, construction, and manufacturing.

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

& Estimates for transportation and public utilities, which were not published in
1997, are now available and refiect the changes in SIC coding. See Explanatory
Notes for further information.

Note: The sum of individual items may not equal totals due to rounding.



24
Comparing private and public sector data

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

A detailed examination of differences in compensation levels between private industry and state and
local government may be found in “Cost of Employee Compensation in Public and Private Sectors,” Monthly
Labor Review, May 1993. :

Obtaining information

Articles, bulletins, and other information may be obtained by calling (202) 606-6199, sending an e-mail
message to ocltinfo@bls.gov, or visiting the Employment Cost Trends site at
http://stats.bls.gov/ecthome.htm.



Chart A. Percent distribution of employer costs Chart B. Employer costs for retirement and
for employee compensation, March 1998 savings benefits, private industry, March 1998

Civilian |State and local | Private

Defined Defined _
workers| government | industry Benefit Contribution
|Wages and salaries |72.4%| 70.3% {72.8% Category
Benefits 27.7 29.7 27.1 All workers i
. Goods-producing =a
Paid leave 6.6 7.7 6.3 Service-producing ial
Supplemental pay | 2.6 0.8 3.0 White collar il
_ Blue collar
Insurances 6.3 7.9 5.9 Service occupations
Northeast Hal.
Health benefits 5.8 7.5 5.4 South ia =
Midwest
RetiremenUsavings| 3.8 7A 3.0 West im.
ion TT
Defined Benefit 24 6.6 1.3 Nonainien =
Defined Contrib. | 1.4 0.5 1.6 1-99 employees Mil

100-499 employees HM” ”

Legal required | 82] 60 | 8.8 500+ employees

$0.00 $0.50 $1.00
Cost per hour worked

Other benefits 0.2 0.1 0.2

Chart C. Employer costs for employee compensation, private industry, March 1998
Ml Wages & salaries Benefits

Category

All workers I

Goods-producing
Service-producing

White collar 5
____ Blue collar
Service occupations

Northeast
‘South
Midwest
West

Union
Non-union }

1-99 employees 1
100-499 employees
500+ employees 3

Full time
Part time

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

Bureau of Labor Statistics OCLT/SDAP 202.606.6199 ocltinfo@bls.gov http://stats.bis.gov/ecthome.htm 07/98

|
{


21

Table 16. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Transportation
equipment manutacturing and public utilities workers, by industry and occupational group, March1998

Benefit costs

Total | Wages
Series compen: | and Supple- Retirement] Legally | oy.
sation | salaries Paid | mental and | required 1
Total | teave | “pay | surance | sings | benefits | benefits

Cost per hour worked

‘Transportation equipment manufacturing (SIC 37) .

$32.34 | $20.23 | $1211 | $283] $1.78 | $285 $1.57 $2.76 $0.32
White-collar occupations . 2.80 19

37.68 25.95 | 11.73{ 3.72 89 2.63 1.50

Professional specialty and technical . 4258 | 2981 | 1277| 4.17 0 2.74 1.63 315 18
Executive, administrative, and managerial .. 41.90 | 2895 | 1295} 445 98 2.66 7 3.00 19
Biue-collar occupations, 29.22 | 17.02 | 1220] 230] 225 2.96 1.60 an 38
Service occupations? 3469 ] 1845 | 1624] 317] 3.27 331 216 3.40 93
Aircraft manufacturing (SIC 3721) 3427 | 2392 | 1095] 323] 1.08 2.48 1.42 2.69 04
White-collar occupations? 36.97 | 2568 | 1130] 352 7 2.48 1.61 2.88 04
Blue-coltar occupations 2956 | 1924 | 1032} 272] 1.63 2.49 4.08 2.35 05 |
Public utilities (SIC’s 48, 49) 2772 | 1911] ser! 236 3 224 1.18 1.98 08
White-collar occupations . 2757 | 1920] 837] 234 87 2.19 111 1.96 nM
Blue-collar occupations 28.46 | 19.19} 925|/ 246] 1.09 2.41 4.19 204 05
Communications (SIC 48) 25.14 | 17.64] 751] 201 69 2.04 87 1.81 09
White-collar occupations 2469 | 1744] 725] 1.97 61 1.96 ‘1 1.81 10
Blue-collar occupations 2685 | 1843 | 841] 218 93 2.35 1.06 4.85 05
Electric, gas, and sanitary services (SIC 49) .. 32.15 | 21.64} 1051] 298] 1.00 2.59 1.58 2.28 08
White-collar occupations 34.00 | 2312 | 1088] 3.17 80 2.70 1.79 2.31 a
Bive-collar occupations 30.16 | 20.01 | 1014} 277] 1.26 2.48 1.34 2.25 05
Percent of total compensation
‘Transportation equipment manufacturing (SIC 37) 100.0% | 626% | 37.4% | 98%] 55% | 8.8% 49% 8.5% 1.0%
White-collar occupations .. 100.0 68.9 | 31.4 99 24 7.0 40 TA 5
Professional specialty and technical 100.0 700 | 300 | 98 24 64 38 74 4
Executive, administrative, and managerial 100.0 61 | 309 | 106 23 63 44 72 5
Blue-collar occupations 100.0 582 | 418 | 7.9 17 10.1 55 93 13
‘Service occupations? 100.0 532 | 468 | 91 94 95 62 98 27
Aircraft manufacturing (SIC 3721) .. 100.0 eso | 320 | 94 32 72 44 78 a |
White-collar occupations? 100.0 695 | 306 | 95 24 67 44 78 a |
Blue-collar occupations 100.0 654 | 349 | 92 55 84 37 79 2 |
Public utilities (SIC’s 48, 49) . 100.0 e39 | 311 as 29 at 44 774 3 |
White-collar occupations .. 100.0 696 | 304 | 85 24 79 40 cal 4
Blue-collar occupations 100.0 675 | 325 | 86 38 as 42 72 2 i
‘Communications (SIC 48) .. 100.0 702 | 299 | 80 27 a4 35 72 4 |
White-collar occupations . 100.0 706 | 294 | 80 25 79 33 73 4
Biue-collar occupations 100.0 636 | 313 | 81 a5 as a9 69 2
Electric, gas, and sanitary services (SIC 49) 100.0 673 | 327 | 93 34 at 49 7 2
White-collar occupations... 100.0 6.0 | s20 | 93 24 79 53 68 3
Biue-collar accupations 100.0 663 | a36 | 92 42 82 44 75 2

7 Includes severance pay and supplemental unemployment benefits.
2 This series may be discontinued with the March 1999 news release.

Note: The sum of individual items may not equal totals due to rounding.



23
relative importance of the groups in the Employment Cost Index (ECI) sample. Because the ECI establishment
sample is completely replaced over a period of several years, major occupational group employment counts
from the ECI are affected by the age of the sample. However, a few years difference in the age of the
occupational data within industries is likely to have a small impact on the estimates.

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

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

Relative Standard Errors

Because the ECEC 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 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. 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.

The relative standard error is shown with the cost estimates for some series in the appendix. Relative
standard errors for all published estimates are available on request. For a more detailed explanation of relative
standard errors, see “Analyzing employer’s costs for wages, salaries, and benefits,” in the October 1987 issue of
the Monthly Labor Review. For a detailed explanation of how to use standard error data to analyze differences
in year-to-year changes, see "Analyzing Year-to-Year Changes in Employer Costs for Employee
Compensation," Compensation and Working Conditions, Spring 1998. This article supplements two articles
from the Summer 1997 issue of Compensation and Working Conditions which focus on trends in the ECI and
ECEC. "Measuring Trends in the Structure and Levels for Employer Costs for Employee Compensation"
discussed trends in the distribution of employer costs among compensation components at different points in
time. "Explaining the Differential Growth Rates of the ECI and ECEC" examined how differences in the
construction of these measures contribute to differing trends.

Standard errors relate to differences that occur from sampling errors, but not from nonsampling errors.
Sampling errors are differences between the results computed from a sample of observations and those
computed from all observations in the population. Nonsampling errors are not measured and include survey
nonresponse and data collection and processing errors. Survey nonresponse is when sample members are
unwilling or unable to participate in the survey. Data collection errors include provision of inaccurate data by
respondents and definitional difficulties. Processing errors include errors in recording, coding, and entering
data. Although nonsampling errors are not measured, BLS quality assurance programs contain procedures for
reducing such errors. These procedures include data collection reinterviews, observed interviews, computer
data edits, and systematic review of reports on which data are recorded. Extensive field economist training also
is conducted to maintain high data collection standards.



Table 13. Employer costs per hour worked for employee compensation and

18

costs as a percent of total compensation: Private industry

workers, by bargaining'status, and major industry and occupational group, March 1998. -
Benefit costs
Total | Wages
Series compen- | and ‘Supple- Retirement] Legally | Guo,
sation salaries Paid mental and required Fite 1
Total | eave | “pay | insurance} sina, | GoWeS | benefits
Cost per hour worked
All union workers, private industry . $15.38 | $8.22) $1.57| $095 | $215 | $1.29 | sate | $0.08
Blue-collar occupations .. 1875 | 912] 158] 1.15 2.35 1.54 2.40 10
Goods-producing industries 25.37 | 1601 | 936] 158] 1.22 2.46 1.80 2.46 13
Service-producing industries .. 2194 | 1478 | 7.16] 156 69 1.86 1.09 1.93 03
Manufacturing 2275 | 1420] 855] 174] 1.33 2.22 1.00 2.10 16
Blue-collar occupations 2262 | 1398 | 864) 169] 1.40 222 1.04 212 a7
Nonmanufacturing 24.10 | 1609] Bor] 147 7 2.10 1.46 2.23 03
All nonunion workers, private industry 1780 | 1321] 458] 1.11 1 96 45 1.85 02
Biue-collar occupations 1513 | 1098 | 4.17 75 54 co 3t 1.64 (?)
Goods-producing industries 2127 | 1814] 613] 143 73 1.35 6 1.97 04
Service-producing industries. 1689 | 1271 | 418] 1.02 45 85 4 1.44 (2)
Manutacturing .. 1556 | 657] 1.66 a 1.53 69 1.87 05
Blue-collar occupations 1154 | 5.19] 1.04 76 1.30 43 1.62 03
Nonmanutacturing . 1278 | 4.221 1.00 46 85 40 1.49 (?)
Percent of total compensation
All union workers, private industry 100.0% | 65.2% | 34.8%| 6.7%| 4.0%] 9.1% 5.5% 9.2% 0.3%
Blue-collar occupations . 100.0 634 | 367 | 64 46 95 62 97 4
Goods-producing industrie: 100.0 63.1 | 369 | 62 48 97 5.9 97 5
Service-producing industries 100.0 674 | 326 | 7.1 34 as 5.0 a8 a
Manufacturing 100.0 624 | 376 | 7.6 58 9.8 44 92 7
Biue-collar occupations 100.0 sie | 332 | 75 62 98 46 9.4 38
Nonmanufacturing .. 100.0 668 | 332 | 61 29 a7 61 93 a
Ail nonunion workers, private industry .. 100.0 742 | 257 | 62 29 54 25 87 3
Blue-collar occupations . 100.0 724 | 276 | 50 36 60 2.0 108 ()
Goods-producing industries. 100.0 712 | 288 | 67 34 63 29 93 2
Service-producing industries 100.0 753 | 247 | 60 27 5.0 24 85 ()
Manufacturing 100.0 73 | 207 | 75 35 69 31 85 2
Biue-coltar occupat 100.0 63.0 | 31.0 62 45 78 26 97 2
Nonmanufacturing 100.0 72 | 248 | 59 27 5.0 24 ae (?)

} Includes severance pay and supplemental unemployment benefits.

2 Cost per hour worked is $0.01 or less.

Note: The sum of individual items may not equal totals due to rounding.

|



10

Table 5. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Private industry |
workers, by major industry group, March 1998 -

All workers in private nat : a
Compensation industry Goods-producing’ | Service-producing? Manufacturing Nonmanutacturing
component
Cost_| Percent { Cost_| Percent | Cost | Percent | Cost | Percent | Cost | Percent
Total compensation $18.50 | 100.0%} $22.26 | 100.0%| $17.31 | 100.0%| $22.29 | 100.0%] $17.66 | 100.0% |
‘Wages and salaries 1347 | 728 | 1535) 690 | 1288 | 744 | 15.22 | 683 | 1309 | 741
Total benefits 5.02 | 27.1 691} 31.0 442] 255 7.07 | 317 457 | 259
Paid leave 1.16 63 1.47 66 1.07 62 168 | 75 1.05 59
58 34 76 34 52 3.0 86 39 51 29
40 22 53 24° 38 24 62 28 35 20
14 8 At 5 4 38 13 6 14 3
05 3 06 3 05 3 7 3 08 3
‘Supplemental pay 56 3.0 85 38 AT 27 a 44 48 27
Premium? 22 1.2 AT at 14 8 48 22 16 a |
Shift differential 05 3 o7 3 04 2 09 4 04 2
Nonproduction bonuses 29 16 30 13 29 17 34 15 28 18
Insurance 1.40 5.9 4.62 73 94 54 1.70 7.8 97 55
Life 04 2 08 3 04 2 06 3 04 2
Health 1.00 54 1.48 66 85 43 154 69 88 5.0
Short-term disability . 04 2 06 3 03 2 07 3 03 2
Long-term disability 02 4 02 A 02 1 02 a 02 4
Retirement and savings .. 55 3.0 82 37 46 27 76 34 50 28
Defined benefit 24 1.3 45 2.0 18 1.0 40 18 2 12
Defined contribution 30 1.8 37 7 28 16 36 16 29 F
Legally required benefits 1.63 88 2.09 94 1.48 a5 1.93 87 1.58 a8
Social SecurityS 1.12 61 1.30 58 1.07 62 1.30 58 1.08 61
OASDI 90 49 4.05 47 86 5.0 1.05 47 87 49 |
Medicare 22 12 2 14 21 12 25 1A at 12 1
Federal unemplo} 03 2 03 A 03 2 03 1 03 2
State unemployment insurance 1 6 14 8 10 6 12 5 M1 8
Workers’ compensation .. 36 19 63 28 28 16 48 22 33 19
‘Other benefits .. 03 2 07 3 (7) 7) 08 4 (7) (7)
Includes mining, construction, and manufacturing. 5 The total employer's cost for Social Security is comprised of an OASD!
2 Includes transportation, communication, and public utliies; wholesale and portion and a Medicare portion. OASDI is the abbreviation for Old-Age,
retail trade; finance, insurance, and real estate; and service industries. Survivors, and Disability Insurance.
3 includes premium pay for work in addition to the regular work schedule & Includes severance pay and supplemental unemployment benefits.
(such as overtime, weekends, and holidays). 7 Cost per hour worked is $0.01 or tess.

4 Short-term disability (previously, sickness and accident insurance)
includes all insured, self-insured, and state-wandated plans that provide Note: The sum of individual items may not equal totals due to rounding,
benefits for each disability, including unfunded plans.



Table 2. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Civilian
workers, by occupational and industry group, March 1998

Benefit costs
Total | Wages
Series compen- | and Supple- Retirement} Legally | oye,
sation | salaries Paid | mental and | required =A
Total | jeave | “pay | "surance | savings | oheine | Denefits
Cost per hour worked
Civilian workers ... $19.76 | $14.30 | $547] $1.30] sosi | $125 | so75 | $i.63 | $0.03
Occupational group
White-collar occupations ... 23.84 | 1752 | 632] 1.69 4 1.43 92 1.72 03
Professional specialty and t 31.56 | 23.34 | 822] 216 63 1.80 1.42 2.16 05
Professional specialty 33.69 | 2501 | ges] 227 64 1.90 1.57 2.25 05
Nurses 28.59 | 2088 | 7.71| 229 97 4.39 78 2.27 (2)
Teachers 3624 | 2757 | 867] 1.82 08 2.25 2.37 2.09 06
Technical 23.96 17.34 6.61 1.79 60 1.43 89 1.86 04
Executive, administrative, and managerial .. 3439 | 2485 | 954| 299 99 17 1.38 2.36 05
Administrative support, including clerical 16.09 | 1147 | 462] 41.17 32 1.34 56 1.22 02
Blue-collar occupations .. 1795 | 1229] 555] 1.03 87 1.32 68 1.82 03
Service occupations’ ... 11.03 813; 290] 60 19 64 37 1.08 (2)
Industry group
Services ... 20.81 15.49 5.32 1.36 7 1.22 79 1.56 02
Health services . 19.25 | 1411 | 5.14] 1.47 ‘47 1.13 55 4.52 (?)
Hospitals 2229 | 1576} 653] 1.95 68 1.52 69 1.68 02
Educational services 2940 | 21.73 | 767] 183 “10 2.09 1.89 1.72 04
Elementary and secondary education .. 28.82 21.38 745 1.61 07 2.25 1.83 1.62 06
Higher education .. 3146 | 2310 | 836] 229 15 1.85 2.10 1.96 (?)
Percent of total compensation
Civilian workers .. 100.0% | 72.4% | 27.7%! 66%| 26%] 63% 3.8% 82% 0.2%
Occupational group
White-collar occupations . 100.0 735 | 265 7A 23 60 72 A
Professional specialty and technical .. 100.0 740 | 260 | 68 20 57 68 2
Professional specialty 100.0 74.2 | 258 | 67 1.9 56 67 A
Nurses 100.0 73.0 | 270 | 80 34 49 79 (2)
Teachers 400.0 76.1 | 239 | 50 2 62 58 2
Technical 100.0 724 | 276 | 75 25 60 78 2
Executive, administrative, and managerial 100.0 723 | 277 | 87 29 51 69 A
Administrative support, including clerical 100.0 71.3 | 27 | 73 20 83 76 a
Biue-collar occupations ... 100.0 63.9 | 314 58 38 74 38 10.2 2
Service occupations’ ..... 100.0 737 | 263 | 54 17 58 34 9.8 (?)
industry group
744 | 256 | 65 18 59 38 75 1
Health services 100.0 733 | 267 | 76 24 59 29 79 (2)
Hospitals .. 100.0 707 | 293 | 87 30 68 31 75 a
Educational services 100.0 739 «| 261 62 3 7A 64 59 A
Elementary and secondary education 100.0 742 | 259 | 56 2 78 63 56 2
Higher education .. . 734 | 266 | 73 5 59 67 62 (?)

1 Includes severance pay and supplemental unemployment benefits.

2 Cost per hour worked is $0.01 or less.

3 This series may be discontinued with the March 1999 news release.

Note: The sum of individual items may not equal totais due to rounding.



6

Table 1. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Civilian
workers, by major occupational group, March 1998

Compensation Civilian workers White-collar Biue-collar Service
component
Cost | Percent | Cost | Percent | Cost | Percent | Cost | Percent
Total compensation .. $19.76 | 100.0% | $23.84 | 100.0% | $17.85 | 100.0% | si1.03 | 100.0%
Wages and salaties .. 14.30 72.4 17.52 73.5 12.29 68.9 8.13 737
Total benefits 547 | 277 6.32 265 5.55 31.4 2.90 263
Paid leave . 1.30 6.6 1.69 7A 1.03 5.8 60 54
Vacation 60 3.0 75 34 52 29 27 24
Holiday 4 22 57 24 36 20 20 18
Sick 219 1.0 28 12 10 & 10 3
Othe 07 4 03 4 04 2 03 3
Supplemental pay ot 26 54 23 87 38 19 17
Premium? .. 20 1.0 a4 5 A4 25 10 ce)
Shift differential 05 3 04 2 07 4 04 4
i 26 13 39 16 16 x) 105 5
1.25 6.3 1.43 6.0 1.32 74 64 5.8
05 3 06 3 05 3 (7) (7)
1.15 58 1.31 55 1.22 68 60 54
isabi 03 2 04 2 04 2 02 2
Long-term disability .. 02 a 03 a 02 a (7) (?)
Retirement and savings 75 38 92 3.9 68 38 37 34
Defined benefit . 47 24 53 22 A6 26 31 28
Defined contributi 28 1.4 39 1.6 22 12 06 5
Legally required benefits 1.63 8.2 72 1.82 10.2 1.08 98
Social Security4 1.15 5B 57 1.04 58 69 63
OASDI 92 47 45 84 47 58 5.0
Medicare 23 12 1.2 20 11 14 13
Federal unemployment insurance 03 2 A 03 2 08 3
State unemployment insurance .. 10 5 4 12 7 09 8
Workers’ compensation ... 35 18 1.0 83 35 27 24
Other benefits .. 03 2 03 A 03 2 (?) (?)

‘ Includes premium pay for work in addition to the regular work

schedule (such as overtime, weekends, and holidays).

2 Cost per hour worked is $0.01 or less.

3 Short-term disability (previously, sickness and accident insurance)
includes all insured, self-insured, and state-mandated plans that provide

benefits for each disability, including unfunded plans.

4 The total employer's cost for Social Security is comprised of an
OASDI portion and a Medicare portion. OASDI is the abbreviation for
Old-Age, Survivors, and Disability Insurance.

5 includes severance pay and supplemental unemployment benefits.

Note: The sum of individual items may not equal totals due to rounding.



19

Table 14. Employer costs per hour worked for employee compensation and costs as a Percent of total compensation: Private industry
workers, by establishment employment size, and major industry and occupational group, March 1998

Benefit costs
Total Wages
Industry and occupational group, compen- | and ‘Supple- Retirement} Legally
and employment size p d ; Other
sation | salaries | yo.) | Paid ] mental | incurance| 2nd | required | , ohms
leave | pay savings | benefits
Cost per hour worked
All workers in private industry $18.50 | $13.47 | $5.02] $1.16] $056] $1.10 | $055 | $1.63 | $0.03
1-99 workers 15.92 | 1201 | 3.91 81 43 80 35 151 (2)
100 or more worke 21.20 | 1501] 619] 1:53 69 1.42 75 1.75 05
100-499 workers 1752 | 1267 | 485] 1.08 ‘57 WM 31 187 ()
500 or more workers 2556 | 17.78 | 7.78] 207 B4 178 1.04 1.97 08
Goods-producing industries? 2226 | 15.35] 691] 1.47 85 1.62 82 2.09 07
4-99 workers .. 1854 | 1340] 5.13.) 80 54 4.10 58 2% | (2)
100 or more workers 2470 | 1662 | 808] 1.90] 1.05 1.96 99 2.09 10
100-499 workers 2061 | 1410} 652] 1.92 88 1.62 74 1.94 02
500 or more workers 28.63 | 1905 | 958] 246] 1.21 2.29 1.22 2.23 18
Service-producing industries 17.31 12.88 4.42 | 1.07 a7 94 46 1.48 (2)
1-99 workers .. 1532 | 1169 | 363] 81 Ai 73 30 1.37 (2)
100 or more workers 19.72 | 1433} 539} 1.38 54 1.19 66 1.61 02
100-499 workers 1637 | 1214 | 4.24 99 45 182 43 1.43 (2)
500 or more workers 24.03 | 1715 | 689] 1.88 66 1.53 35 1.84 04
White-collar occupations .. 2238 | 1654] 584] 157 63 1.24 66 171 x
1-99 workers ... 1918 | 1457 | 461} 1.15 55 35 44 152 ()
100 or more workers 2554 | 1848 | 7.05] 1.99 7 152 88 1.90 05
100-499 workers 2122 | 1561] 561] 1.43 65 1.24 60 1.67 02
500 or more workers 2953 | 2114] 839| 250 76 1.79 1.14 212 07
Blue-collar occupations i756 | 1215 | 5.41 96 69 4.27 62 1.83 03
1-99 workers 16.10 | 11.68 | 4.42 ‘87 49 96 43 1.86 (2)
100 or more workers we99 | 1262 | 637] 1.24 89 157 80 1.80 08
100-499 workers 1683 | 1158] 525| 96 A 1.29 60 171 (2)
500 or more workers 2189 | 1401 | 788) 161] 1.18 1.96 1.07 1.93 13
Percent of total compensation
All workers in private industry 100.0% | 728% | 27.1%] 63%] 30% | 5.9% 3.0% 8.8% 0.2%
4-89 workers 100.0 754 | 246 | 51 27 5.0 22 95 ()
100 or more workers .. 100.0 7os | 202 | 72 33 67 35 83 2
100-499 workers 100.0 723 | 277 | 62 33 63 29 9.0 (2)
500 or more work 100.0 69.6 | 304 | 81 33 70 44 77 3
Goods-producing industries? 100.0 690 | 310 | 66 38 73 37 94 3
1-99 workers 100.0 723 | 277 | 43 29 5.9 34 143 (?)
100 or more workers .. 100.0 673 | 327 | 77 43 79 40 as 4
100-499 workers 100.0 634 | 316 | 64 43 79 36 94 A
500 or more workers 100.0 665 | 335 | 386 42 80 43 78 6
Service-producing industries* 100.0 744 | 255 | 62 27 5.4 27 as (2)
1-99 workers 100.0 763 | 237 | 53 27 48 20 39 ()
100 or more workers .. 100.0 727 | 273 | 70 27 60 33 a2 Al
100-499 workers 100.0 742 | 259 | 60 27 56 26 87 (2)
500 or more workers 100.0 714 | 27 | 78 27 64 40 7 2
White-collar occupations 100.0 73.9 | 26.4 70 28 55 29 7.6 F]
1-99 workers 100.0 760 | 240 | 60 29 5.0 23 79 ()
400 or more workers .. 100.0 724 | 276 | 78 28 60 34 74 2
100-499 workers 100.0 736 | 264 | 67 31 58 28 79 a
500 or more workers .. 100.0 16 | 24 | 85 26 61 39 72 2
Blue-collar occupations . 100.0 692 | oa | 55 39 72 35 10.4 2
1-99 workers ... 100.0 725 | 75 | 42 3.0 60 27 116 (7)
100 or more workers .. 100.0 665 | 335 | 65 47 83 42 95 3
100-499 workers 100.0 eas | 312 | 57 40 77 36 10.2 (2)
500 or more workers .. 100.0 640 | 360 | 74 54 9.0 49 88 8
1 Includes severance pay and supplemental unemployment benefits. retail trade; finance, insurance, and real estate; and service industries.

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

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

Note: The sum of individual items may not equal totals due to rounding.



9

Table 4. Employer costs per hour worked for employee compensation and costs as a Percent of total compensation: State and
local government, by occupational and industry group, March 1998

Benefit costs
Total’ | Wages
Series compen- | and Supple- Retirement] Legally | one,
sation | salaries Paid | mental and | required ,
Total | teave | “pay | msurance | savings | benelts | benefits’
Cost per hour worked
State and local: government workers $27.28 | $19.19 | $810] $211] $023 | $215 $1.94 $1.63 $0.04
Occupational group
White-collar occupations 30.94 | 2189 | 845) 219 14 2.27 2.07 1.74 04
Professional specialty and technical 35.76 | 2654 | 9.22] 215 16 2.41 2.45 2.00 08
Professional specialty .. 37.14 | 27.70 | 944] 216 14 247 2.54 2.05 07
Teachers 39.88 | 3013} 9.75] 2.01 07 2.62 2.84 2.44 08
Technical 22.02 | 1495 | 7.06] 203 36 1.73 1.50 1.41 03
Executive, administrative, and managerial .. 34.50 | 24.01 | 1049] 3.47 7 2.33 247 2.03 (7)
Administrative support, including clerical .. 1748 | 11.60 | 5.88] 1.59 09 1.98 1.10 1.10 02
Blue-collar occupations 2208 | 14.38 | 7.70} 209 39 2.08 1.58 1.56 03
Service occupations ....sss 20.10 | 1297 | 713] 1.85 45 1.79 1.73 1.27 03
Industry group
28.62 | 20.80 1.91 15 247 1.90 1.64 05
22.20 | 14.95 2.26 57 1.72 1.10 1.57 03
22.81 15.43 2.35 55 4.70 114 1.61 03
Educational services .. 29.97 | 22.03 1.84 09 2.23 2.06 1.67 05
Elementary and secondary education . 29.57 | 21.88 1.67 08 2.34 1.94 1.61 08
Higher education 31.53 | 22.86 231 17 1.94 239 1.85 ()
Public administration 24.73 | 16.24 2.46 34 2.05 2.10 1.52 03
Percent of total compensation
‘State and local government workers .. 100.0% | 70.3% | 29.7%| 7.7%] 0.8% 7.9% 7.1% 6.0% 0.1%
Occupational group
White-collar occupations 100.0 721 | 27.9 72 5 75 68 57 a
Professional specialty 100.0 74.2 | 258 6.0 4 67 69 5.6 2
Professional specialty ... 100.0 746 | 25.4 58 4 67 68 5.5 2
Teachers 100.0 75.6 | 244 5.0 2 66 7A 54 2
Technical 100.0 67.9 | 321 92 1.6 7.9 68 6.4 3
Executive, administrative, and managerial 100.0 696 | 304 | 10.1 5 68 7.2 59 (7)
Administrative support, including clerical 100.0 664 | 336 9.1 5 11.3 63 63 a
Blue-collar occupations eves 100.0 65.1 | 349 95 18 93 72 TA a
Service occupations’ .. 100.0 64.5 35.5 92 22 89 86 63 a
Industry group
Services 100.0 727 | 273 67 5 76 57 2
Health services 100.0 673 | 327 | 102 26 77 7.4 a
Hospitals ... 100.0 676 | 324 | 103 24 75 7A a)
Educational services 100.0 735 | 265 6.1 3 74 5.6 2
Etementary and secondary education 100.0 74.0 | 26.0 56 2 79 5.4 2
Higher education 100.0 725 | 27.5 73 5 62 5.9 (7)
Public administration .. 100.0 657 | 343 99 14 83 61 a

1 Includes severance pay and supplemental unemployment benefits.

2 Cost per hour worked is $0.01 or less.

3 This series may be discontinued with the March 1999 news release.

Note: The sum of individual items may not equal totals due to rounding.



25

Employer costs per hour worked for components of compensation, and relative standard errors,’ by major industry and
n categories, March 1998 ~

Benefit costs
Totat Wages
Industry or 7
uy compen- | and Supple- Retirement] Legally
cecupation category sation | salaries | roy) | Paid | mental | incurance| and | required | Other,
leave | pay savings | benefits
Civilian workers
Cost per hour worked . $19.76 | $14.30 | $5.47} $1.30] $051} $125 | $075 | $1.63 $0.03
Relative error % Th | 1.0% | 14% | 5.0% 1.3% 2.0% 7% | 11.4%
State and local government workers
Cost per hour worked $27.28 | $19.19 | $8.10} $211| $23] so1s | sto4 | $1.63 $.04
Relative error 14% 14% 1.9% 19% 71% 2.1% 3.0% 21% 23.0%
Private industry workers
Cost per hour worked $18.50 | $13.47 | $5.02} $1.16] $56} $1.10 $55 | $1.63 $.03
Relative error 9% 9% | 12%] 1.7% | 55% | 1.6% 29% Th | 125%
Goods-producing industries
Cost per hour worked $2226 | $15.35 | $6.91| $1.47] $85 | $1.62 $sz | $2.09 $.07
Relative error 15% | 13% | 20%] 22%] 44% | 27% 54% 1.6% | 19.6% |
Service-producing industries
‘Cost per hour worked $17.31 | $1288 | $442] $1.07] 5.47 $.94 $46 | $1.48 (@)
Relative error 11% | 14% | 1.5% | 22%] 81% | 1.9% 3.4% B% @)
Manutacturing |
Cost per hour worked $22.29 | $15.22 | $7.07] $i68| $91 | $1.70 $76 | $1.93 $.08
Relative error 18% | 17% | 22%] 26%] 52% | 27% 5.9% 1.8% | 20.6%
Nonmanufacturing
Cost per hour worked $17.66 | $1309 | $457| $t.0s| $48 $.97 $50 (3)
Relative error... 10% | 4.0% | 15% | 22%] 74% | 2.0% 3.4% (3)
White-coliar workers, }
Cost per hour worked .. $22.38 | $16.54 | $5.64] $157] $63} $1.24 $65 | $1.71 $.03
Relative error 1.2% | 12% | 15% | 21% | 9.6% 1.9% 3.1% 7% | 17.8%
Blue-coliar workers
Cost per hour worked . $17.56 | $1215 | $5.41] $96] $69 | $1.27 $62 | $1.83 $.03
Relative error 1.3% | 11% | 19% | 24% | 31% | 28% 5.3% 1.3% | 11.0%
Service workers
Cost per hour worked . so.s7 | $7.25 | s212| $38| $14 $43 $13 | $1.04 (3)
Relative error 1.8% | 17% | 3.0%] 53% | sax | 5.7% 8.0% 2.2% (3)
1 The relative error is the standard error expressed as a percent of the cost. 2 includes severance pay and supplemental unemployment benefits.
‘One can be 95-percent confident that the interval around the cost estimate $ Cost per hour worked is $0.01 orless.

bounded by two times plus and two times minus the standard error contains
the "true* cost. Note: The sum of individual items may not equal totals due to rounding.



7 United States és
: Department >
of Labor

Bureau of Labor Statistics Washington, D.C. 20212

Technical Contact: "  USDL: 98-285
(202) 606-6199 ocltinfo@bls.gov

Media Contact: FOR RELEASE: 10:00 A.M. EDT
(202) 606-5902 Hoyle_K@bls.gov Thursday, July 9, 1998

Internet address: .

http://stats.bls.gov/ecthome.htm
EMPLOYER COSTS FOR EMPLOYEE COMPENSATION - MARCH 1998

qn March 1998, employer costs for employee compensation for civilian workers (private industry and
state and local government) in the United States averaged $19.76 per hour worked, the U.S. Department of
Labor’s Bureau of Labor Statistics reported today. Wages and salaries, which averaged $14.30, accounted for
approximately 72 percent of these costs, while benefits, which averaged $5.47, accounted for the remaining 28
percent. (See table 1.)

Legally required benefits averaged $1.63 per hour (8.2 percent of total compensation), representing the
largest non-wage employer cost. Employer costs for paid leave benefits averaged $1.30 (6.6 percent), insurance
benefits averaged $1.25 (6.3 percent), and retirement and savings benefits averaged 75 cents (3.8 percent) per
hour worked.

Private Industry

In March 1998, private industry employer compensation costs averaged $18.50 per hour worked. Wages
and salaries averaged $13.47 per hour (73 percent), while benefits averaged $5.02 (27 percent). (See table 5.)

Compensation costs varied by industry, occupational group, region, establishment size, and worker
characteristics (bargaining status and full-/part-time status).

Average employer compensation costs were $22.26 in goods-producing and $17.31 in service-producing
industries. Among industry groups, average compensation costs ranged from $10.33 in retail trade to $24.18 in
finance, insurance, and real estate. (See table 10.)

Average compensation costs were $22.38 for white-collar occupations, $17.56 for blue-collar
occupations, and $9.37 for service occupations. Benefits, however, accounted for a greater proportion of
compensation costs for blue-collar occupations (30.8 percent) than for white-collar (26.1 percent) and service
occupations (22.6 percent). (See table 6.)



12

Table 7. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Private industry workers, by

region and bargaining status, March 1998

Region? Bargaining status
‘Compensation fi a i
‘component Northeast South Midwest West Union Nonunion
Cost | Percent | Cost | Percent | Cost | Percent | Gost | Percent | Cost | Percent} Cost | Percent
Total compensation ... 100.0% | $16.45 | 100.0%} $18.15 | 100.0%] $19.94 | 100.0%] $23.59 | 100.0%} $17.80 | 100.0%
Wages and salaries 724 1214 | 738 | 1299) 716 | 1475 | 740 | 1538] 52 | 1921 | 742
Total benefits . 279 431 | 262 5.16 | 28.4 5.18 | 260 822 | 348 458 | 257
140] 69 a7 59 1.13 62 123 | 62 157 | 67 14 62
67 | 33 43 3.0 58 32 60 | 30 85 | 36 54] 30
49 24 33 20 33 24 43] 22 51 22 39 22
19 9 “12 7 4 8 15 3 14 6 14 3
06 3 04 2 05 3 05 3 07 3 05 3
‘Supplemental pay s8] 28 a2 26 70] 39 se} 28 95 40 eo 29
Premium’ 20 10 21 13 27 15 9] 1.0 60] 25 a7 1.0
Shift differential 05 2 03 2 06 05 3 14 6 04 2
Nonproduction bonuses. 33 16 18 1 36 20 33 7 21 ry 30 17
Insurance 128] 63 58 14] 63 105 | 53 248 4 6 54
Lite 05 2 2 05 3 04 2 08 3 04 2
Health . 1.15 56 53 1.04 57 a7 { 49 197 | 84 86 48
Short-term disabitityS 06 3 2 04 2 02 1 08 3 03 2
Long-term disability 02 a a 02 1 02 1 02 1 02 A
Retirement and savings .. 60} 29 48 29 60 33 54 7 129} 55 45} 25
Defined benefit 24 12 22 13 29 1.6 23 12 4.00 42 14 3
Defined contribution 35 7 26 16 31 17 31 1 29 12 31 1
Legally required benefits 1.80 8s 1.46 89 155} 85 178 | 89 218 1.55 a7
Social Security4 421 59 1.02 62 110 | 6.1 121 64 1.33 1.09 64
‘OASDI .. 7 | 48 82 5.0 88 48 s7 | 49 1.07 se} 49
Medicare 24 12 20 12 2 12 24 12 25 2 12
Federal unemployment insurance 03 1 03 2 03 2 03 2 03 03 2
State unemployment insurance a7 8 08 4 10 6 13 7 14 a 8
Workers’ compensation .. 38 19 4] ot 32 18 A 24 69 3 Ww
‘Other benefits> 03 a 02 4 04 2 02 a 08 3 02 a

' 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,
fowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South
Dakota, and Wisconsin; and West: Aleska, Arizona, Califomia, Colorado, Hawaii,
‘Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming.

2 Includes premium pay for work in ad to the regular work schedule (such as
overtime, weekends, and holidays).

3 Short-term disability (previously, sickness and accident insurance) includes ali
insured, self-insured, and state-mandated plans that Provide benefits for each disability,
inctuding unfunded plans.

4 The total employer's cost for Social Security is comprised of an OASDI portion
and a Medicare portion. OASDI is the abbreviation for Old-Age, Survivors, and
Disability Insurance.

© Includes severance pay and supplemental unemployment benefits.

Note: The sum of individual items may not equal totals due to rounding.



ll

Table 6. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Private
industry workers, by major occupational group, March 1998 -

it 1
Compensati All workers White-collar Blue-collar Service’
component |
Cost Percent Cost Percent Cost Percent Cost Percent
Total compensation 100.0% | $22.38 | 100.0% | $17.56 | 100.0% | $9.37 | 100.0%
Wages and salaries 13.47 728 16.54 73.9 12.15 69.2 7.25 774
Total benefits ... 5.02 27.1 5.84 26.1 5.41 30.8 2.12 22.6 i
Paid leave 1.16 63 187 7.0 6 55 38 44
Vacation 58 3.1 7 34 50 28 18 19
Holiday . 40 22 54 24 34 19 12 13
Sick 14 8 20 2 7 4 06 6
Other . 05 3 07 3 04 2 02 2
‘Supplemental pay 56 3.0 63 28 69 3.9 14 15
Premiui 22 12 13 6 45 26 08 9 i
Shitt differential 05 3 04 2 07 4 03 3 |
Nonproduction bonuses 29 16 46 2a 17 1.0 04 4
Insurance .. 1.10 59 1.24 55 1.27 72 J 46
Life .. 04 2 06 3 05 3 (3) (3)
Health 1.00 54 wit 5.0 117 67 40 43
Short-term disability4 04 2 04 2 04 2 02 2
Long-term disability 02 4 03 a 02 4 (3) (3)
Retirement and savings 55 3.0 66 29 62 35 13 14
Defined benefit 24 13 22 1.0 39 22 06 6
Defined contribution 30 16 44 20 23 13 06 6
Legally required benefits 1.63 as 171 76 1.83 10.4 1.04 wW4
Social Secu 1.12 61 1.34 6.0 1.04 5.9 66 7.0
OASDI .. | 90 49 1.07 48 84 48 53 57
Medicare 22 12 27 12 20 1 13 1.4
Federal unemployment insurance . 03 2 03 a 03 2 04 4
State unemployment insurance an" 6 aM 5 42 7 10 1
Workers’ compensation 36 19 23 1.0 84 36 24 26
Other benefitsS ... 03 2 03 a 03 2 (3) (3) |
1 This series may be discontinued with the March 1999 news release. 5 The total employer's cost for Social Security is comprised of an
2 Includes premium pay for work in addition to the regular work  OASDI portion and a Medicare portion. OASDI is the abbreviation for
schedule (such as overtime, weekends, and holidays). Old-Age, Survivors, and Disability Insurance.
3 Cost per hour worked is $0.01 or less. § includes severance pay and supplemental unemployment benefits.

* Short-term disability (previously, sickness and accident insurance)
includes all insured, self-insured, and state-mandated plans that provide _Note: The sum of individual items may not equal totals due to rounding.
benefits for each disability, including unfunded plans.



8

Table 3. Employer costs per hour worked for empioyee compensation and costs as a percent of total compensation: State and local
government, by selected characteristics,’ March 1998

All workers in State and . . industri

Compensation local govemments | White-collar occupations | Service occupations Service industries
component

Cost Percent Cost Percent Cost Percent Cost Percent

Total compensation $27.28 100.0% | $30.34 100.0% | $20.10 100.0% | $28.62 100.0%
Wages and salaries .. 19.19 703 21.89 724 12.97 64.5 20.80 72.7
Total benefits ... 8.10 29.7 8.45 279 7.43 35.5 7.82 273
Paid leave an 7 2.19 72 1.85 92 1.91 67
Vacation 72 26 67 | 22 78 3.9 52 18
Holiday .. 69 25 73 24 60 3.0 65 23
Sick 53 19 61 2.0 35 1? 7 2.0
Other .. 16 6 18 8 12 6 a7 6
Supplemental pay 23 8 14 5 45 22 15 s
Premium 1 4 04 a 24 12 05 2
Shift differential 05 2 04 a 12 6 05 2
Nonproduction bonuses 07 3 06 2 09 4 05 2
Insurance 2.15 79 2.27 78 1.79 89 247 76
Life . 05 2 06 2 04 2 05 2
Health 2.05 75 217 72 171 85 2.08 73
Short-term disability? 02 a 02 a 03 4 02 a
Long-term disability 03 a 03 a (4) (4) 03 a
Retirement and savings 1.94 7A 2.07 68 1.73 86 1.90 66
Defined benefit 1.80 66 1.90 63 1.67 83 174 61
Defined contribution 14 5 a7 6 06 3 15 5
Legally required benefits 1.63 6.0 1.74 57 127 63 1.64 57
‘Social Security5 1.28 47 1.46 48 83 44 1.38 48
OASDI 1.00 37 1.13 37 64 32 1.08 38
28 1.0 32 oe 19 9 30 10
Federal unemployment insurance... (4) (4) (4) (4) (4) (4) (4) (4)
State unemployment insurance 04 a 04 4 05 2 03 a
Workers’ compensation 30 WW 25 8 39 19 22 8
Other benefits® .. 04 A 04 1 03 4 05 2

* This table presents data for the two major occupational groups in State
and local govemments: White-collar occupations, largely professional
‘occupations, including teachers; and service occupations, including police and

firefighters; and one major industry group, services.

The service industries,

which include health and educational services, employ a large part of the State

and local government workforce.

2 Includes premium pay for work in addition to the regular work schedule

(such as overtime, weekends, and holidays).

3 Short-term disability (previously, sickness and accident insurance)

includes all insured, self-insured, and state-mandated plans that provide

benefits for each disability, including unfunded plans.
4 Cost per hour worked is $0.01 or less.

5 The total employer's cost for Social Security is comprised of an OASDI

portion and a Medicare portion.
Survivors, and Disabilty Insurance.

OASDI is the abbreviation for Old-Age,

© Includes severance pay and supplemental unemployment benefits.

Note: The sum of individual items may not equal totals due to rounding.



22
EXPLANATORY NOTES
Employer Costs for Employee Compensation measures the average cost per employee hour worked that
employers pay for wages and salaries and benefits.

Wages and salaries are defined as the hourly straight-time wage rate. For workers not paid on an hourly
basis, straight-time earnings are divided by the hours worked. Straight-time wage and salary rates are total
earnings before payroll deductions and include production bonuses, incentive pay, commissions, and cost-of-
living allowances. Not included in straight-time earnings are nonproduction bonuses, such as lump-sum
payments provided in place of wage increases, shift differentials, and premium pay for overtime and weekend
work; these payments are included in the benefits component.

Benefits include: 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, nonproduction bonuses, and lump sum payments provided in place of wage increases;
insurance--life, health, short-term disability, and long-term disability; retirement and savings--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
benefits.

The 1998 Survey

Employer Costs for Employee Compensation include data from both private industry and state and local
government. Not included are the self-employed and farm, household, and federal government workers. Survey
data are published annually with the payroll period that includes March 12 as the reference period.

The cost levels in this release are based on a sample of about 19,600 occupations within approximately
4,600 establishments in private industry and about 4,300 occupations within approximately 800 establishments
in state and local government. Sample establishments are classified by industry categories based on the 1987
Standard Industrial Classification (SIC) system, as defined by the U.S. Office of Management and Budget.
Within a sample establishment, specific job categories are selected to represent broader major occupational
groups such as professional specialty and technical occupations.

Current employment weights are used to calculate cost levels. The March 1998 cost levels were
calculated using the March 1998 employment counts from the Bureau of Labor Statistics Current Employment
Statistics (CES) program, benchmarked to the 1997 universe of all private nonfarm establishments. In most
instances, private industry employment counts were total employment estimates for 2-digit major industry
groups, such as primary metal manufacturing or food-stores, as defined by the SIC system. In a few cases, 3-
and 4-digit industry employment counts were used. These include the 4-digit aircraft manufacturing industry
(3721) and the 3-digit health care and educational industries. In transportation and public utilities, Standard
Industrial Classification (SIC) coding changes that were introduced with the 1996 CES benchmark were not
incorporated into the 1997 estimates. However, they were incorporated into the 1998 estimates. The effect of
this coding change was not analyzed for years prior to 1997, but is thought to be minimal. For more information
on the SIC coding changes, see “BLS Establishment Estimates Revised to Incorporate March 1996
Benchmarks” in the June 1997 issue of Employment and Earnings. For state and local governments,
employment counts ranged from those for 3-digit industries, such as education and health care, to those for
major industry divisions, such as public administration.

Employment data from these 2-, 3-, and 4-digit industries were distributed to major occupational groups
(such as executives, administrators, and managers or machine operators, assemblers, and inspectors) using the



4

Notes

BLS is evaluating published Employment Cost Index (ECT) and Employer Costs for Employee
Compensation (ECEC) series to ensure that they meet statistical standards for reliability. Preliminary research
has targeted 37 ECI series for elimination from the news release, some of which are also ECEC series. These
series are marked with a footnote in the accompanying tables. Series that fail reliability standards will be
removed from the news release beginning with the September 1998 release for ECI and the March 1999 release
for ECEC and will be available only upon request.

Table of Contents:

Table 1. Civilian workers, by major occupational group 6
Table 2. Civilian workers, by occupational and industry group 7
Table 3. State and local government, by selected characteristics 8
Table 4. State and local government, by occupational and industry group 9
Table 5. Private industry, by major industry group 10
Table 6. Private industry, by major occupational group ll
Table 7. Private industry, by region and bargaining status 12
Table 8. Private industry, by establishment employment size 13
Table 9. Private industry, by major occupational and industry group, and full-time

and part-time status 14
Table 10. Private industry, by occupational and industry group 15
Table 11. Private industry, goods-producing and service-producing industries, by

occupational group 16
Table 12. Private industry, manufacturing and nonmanufacturing industries, by

occupational group 17
Table 13. Private industry, by bargaining status, and major industry and occupational group 18
Table 14. Private industry, by establishment employment size, and major industry and

occupational group 19
Table 15. Private industry, health services, by industry and occupational group 20
Table 16. Private industry, transportation equipment manufacturing and public utilities,

by industry and occupational group 21
Explanatory notes 22

Appendix table. Employer costs per hour worked for components of compensation, and relative
standard errors, by major industry and occupational categories, March 1998 25



15

Table 10. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Private industry
workers, by occupationat and industry group, March 1998

Benefit costs
Totat | Wages
Series compen- | and Supple- Retirement] Legally | omer
sation } salaries Paid | mental and. | required 1
Total | eave | “pay | Mmswance | savings | benefits | benelis
Cost per hour worked
All workers in private industry . $18.50 | $1347 | $5.02] $1.16] $o56 | sito | soss | $163 | $0.03
Occupational group
White-collar occupations 22aa | 1654 | S84] 157 63 124 66 171 03
Professional specialty and technical 2954.| 2180 | 7.75} 217 86 1.50 93 224 04
Professional specialty . 3160 | 2338 | 821] 233 94 1.55 98 2.37 04
Technical ... 2426 | 17.72} 654| 1.76 BA 1.38 80 1.93 04
Executive, administrative, and managerial . a4a7 | 2502 | 935| 289] 1.16 1.65 1.16 2.43 08
Sales? 1556 | 1219 | 338] 68 39 66 32 131 (3)
Administrative support, including clerical 15.83 11.44 4.39 1.09 36 1.22 45 1.24 02
Blue-coltar occupations wse | 1215 | 541 96 69 127 1.83 03
Precision production, craft, and repai 2306 | 1601 | 7.04] 1.33 BS 1.58 2.35 05
Machine operators, assemblers, and inspectors 642 | 11.02 | 540} 1.01 84 1.40 1.59 05
‘Transportation and material moving . 1750 | 1219 | 5.31 88 Bt 1.22 1.97 (3)
Handlers, equipment cleaners, helpers, and laborers 12.46 ase | 361 53 43 83 14 (3)
Service occupations? 9.37 7.25 212 38 4 43 13 1.04 (3)
industry group
Goods-producing industries 2226 | 1535] 691] 1.47 88 1.62 82 2.09 07
Construction? 2171 | 1851 | 621 68 60 1.28 1.01 2.63 @)
Manufacturing 2229 | 1522 | 7.07| 1.68 co) 1.70 76 1.93 08
Durables 2403 | 1617 | 785] 185] 1.08 1.89 84 2.08 “12
Nondurat 19.74 | 1382 | S91] 144 87 1.43 65 1.69 02
‘Service-producing indust 1731 | 1288 | 442] 1.07 a7 M4 46 1.48 (3)
‘Transportation and public utilities 2346 | 1626 | 7.20| 1.68 65 176 1.01 2.05 04
Wholesale trade 2088 | 1520 | 568] 1.30 63 1.33 62 1.78 02
Retail rade 10.33 8.47 | 2.16 38 18 40 13 1.07 ()
Finance, insurance, and real estate .. 2418 | 17.45 | 7.03] 1.75) 1.47 1.52 90 1.66 04
18.38 1384) 464] 1.19 a4 92 45 1.53 «@)
Percent of total compensation
All workers in private industry .. 100.0% | 72.8% | 27.1%| 63%| 30% | 5.9% 3.0% 88% 0.2%
Occupational group
White-collar occupations . 739 | 261 | 70 28 55 29 78 A
Professional specialty and technical .. 100.0 738 | 262 | 73 29 BA 34 76 a
Professional specialty 100.0 740 | 260 | 74 3.0 49 3.1 75 a
Technical 100.0 730 | 270 | 73 26 87 33 8.0 2
Executive, administrative, and managerial 100.0 728 | 272 | 94 34 48 34 7A 2
Sales? .. 100.0 7e3 | 217 44 25 42 24 84 (3)
Administrative support, including clerical. 100.0 723 | 277 | 69 23 7 28 78 a
Blue-collar occupations 100.9 e392 { 308 | 55 39 72 35 10.4 2
Precision production, craft, and rep: 100.0 6o4 | 305 | 58 36 69 39 10.2 2
Machine operators, assemblers, and inspectors 400.0 671 | 329 | 62 51 a5 31 97 3
‘Transportation and material moving .. 100.0 697 | 303 | so 35 70 35 113 (3)
Handlers, equipment cleaners, helpers, and laborers ...| 100.0 7oa | 290 | 43 35 67 32 113 (3)
Service occupations? 774 | 226 | 44 15 46 14 14 (3)
Industry group
‘Goods-producing industries ... x 630 | 310 | 66 38 73 37 94 3
Construction? . Y 714 | 26 | 31 28 59 47 121 «)
x 683 | 317 | 75 44 76 34 a7 4
.{ 67.3 32.7 ww 45 7 35 87 5
. 700 | 299 | 73 34 72 33 86 a
Service-producing it . 744 25.5 62 27 54 27 85 (3)
Transportation and public utiities® 100.0 693 | 307 | 72 28 75 43 a7 2
Wholesale trade 100.0 78 | 272 | 62 3.0 64 3.0 85 A
Retail trade 100.0 79.1 20.9 37 Ww 3.9 13 10.4 (#)
Finance, insurance, and real estate .. 100.0 7o9 | 291 | 72 48 63 37 69 2
Services ... 100.0 753 | 247 | 65 24 5.0 24 83 «)
1 Includes severance pay and supplemental unemployment benefits. 6 Estimates for transportation and public utilities, which were not published in

2 This series may be discontinued with the March 1999 news release.

3 Cost per hour worked is $0.01 or less.
4 includes mining, construction, and manufacturing.

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

1997, are now available and reflect the changes in SIC coding. See Explanatory

Notes for further information.

Note: The sum of individual items may not equal totals due to rounding.

|
|



17

Table 12. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Manufacturing
and nonmanufacturing industry workers, by occupational group, March 1998

Benefit costs
Total | Wages
Series compen- | and Supple- Retirement! Legaly | Omer
sation | salaries Paid } mental and | required 1
Total | eave | “pay | isurance | sings | benefits | benefits
Cost per hour worked
All workers, manufacturing industries $22.29 | $15.22 | $7.07} $1.68] $091 | $1.70 | so76 | $193 | $0.08
White-collar occupations 3031 | 2159 | 3872] 263 78 1.93 1.05 2.23 10
Professional specialty and technical 35.75 | 25.57 | 10.18| 3.25 79 2.26 1.13 2.63 14
Professional specialty 3845 | 27.70 | 1075| 355 74 2.33 1.19 2.80 14
Technical 27.64 | 19.17 | 346| 235 93 1.96 96 212 14
Executive, administrative, and managerial 4178 | 2967 | 1211] 378| 1.23 2.23 1.91 2.83 14
Administrative support, including cterical 1715 | 1207 | 509] 1.26 Ag 1.44 AS 1.40 05
Blue-collar occupations. 1865 | 1234 | 631] -1.25 97 1.60 63 1.79 07
Precision production, craft, and repai 2439 | 1593 | 845] 1.91] 1.31 1.96 37 227 13
Machine operators, assemblers, and inspectors 17.27 | 1142 | 585] 1.10 93 1.54 57 1.64 06
‘Transportation and material moving : 78.30 | 1240 | 5.90] 1.09 84 1.45 ST 1.93 02
Handlers, equipment cleaners, helpers, and laborers...) 14.12 957 | 4.56 76 60 1.25 50 1.41 03
‘Service occupations? .. 1767 | 1145 | 622) 125 a7 1.55 59 1.78 09
All workers, nonmanufacturing industries 1766 | 1309 | 457] 1.05 48 a7 50 1.56 @)
‘White-coliar occupations 2137 | 1590 | S48] 1.44 61 1.15 61 1.65 02
Professional specialty and technicat 28.27 | 21.02 | 7.25] 1.95 a7 1.38 Bo 2.16 02
Professional specialty 30.12 | 2245 | 767] 207 99 1.38 3 227 02
Technicat .. 2365 | 17.45 | 620) 1.65 38 1.27 nn 1.90 03
Executive, administrative, and managerial .. 33.06 | 2420} ase] 274] 1.14 1.55 1.02 2.36 04
Sales? 15.34 | 1203 | 330 66 38 85 31 1.29 (3)
Administrative support, including clerical 1567 | 11.37 | 430] 1.07 4 1.20 46 1.22 @)
Blue-collar occupations... 1686 | 12.04 | 482 7 51 1.06 st 1.88 (3)
Precision production, craft, and repair .. 2247 | 16.04 | 642| 1.07 63 141 92 238 02
Transportation and material moving 1732 | 1215 | 5.17] 83 56 1.17 62 1.98 (3)
Handlers, equipment cleaners, helpers, and laborers 12.05 867 | 3.39 48 39 73 38 1.40 3)
Service occupations? 9.21 76 2.04 36 13 At 12 1.03 (3)
Percent of total compensation
All workers, manutacturin: 100.0% | 68.3% | 31.7%] 75%] 4.1% | 7.6% 3.4% a7% 0.4%
‘White-collar occupations. 100.0 71.2 | 288 87 26 64 3s 74 3
Professional specialty ar 100.0 71.5 | 285 91 22 63 32 74 4
Professional specialty 100.0 720 | 28.0 9.2 19 61 31 73 4
Technical 100.0 694 | 306 | BS 34 7A 35 7 5
Executive, administrative, and managerial .. 100.0 71.0 | 290 | 90 29 53 46 68 3
‘Administrative support, including clerical . 704 | 297 | 73 29 84 26 82 3
Blue-collar occupations 662 | s38 | 67 52 86 34 96 4
Precision production, craft, and reps . 6.3 | 346 | 78 54 8.0 36 9.3 5
Machine operators, assemblers, and inspectors . 661 | 339 | 64 54 89 3.3 95 3
‘Transportation and material moving .. 300.0 678 | 322 | 60 48 79 31 10.5 a
Handlers, equipment cleaners, helpers, and laborers ....| 100.0 678 | 323 | 54 42 89 35 10.0 2
Service occupations? 648 | 352 7A 55 a8 33 10.1 5
All workers, nonmanufacturing industries .. 100.0 25.9 59 27 55 28 88 @)
White-collar occupations 100.0 256 | 67 29 54 29 1 a
Professional specialty and technical .. 100.0 256 | 69 34 48 31 76 a
Professional specialty .. 100.0 255 | 69 33 46 3.4 78 a
Technical 100.0 262 7.0 28 54 33 8.0 4
Executive, administrative, and managerial 100.0 268 | 83 34 47 31 7A a
Sates? 100.0 215 43 25 42 2.0 84 (3)
Administrative support, including clerical .. 100.0 726 | 274 68 22 77 29 78 (3)
Biue-collar occupations .. 100.0 714 | 226 | 46 30 63 36 11.0 (3)
Precision production, craft, and repait 100.0 714 | 286 | 48 28 63 44 10.6 A
Transportation and material moving .. 100.0 7o2 | 208 | 48 32 68 36 114 (3)
Handlers, equipment cleaners, helpers, 100.0 720 | 281 40 32 61 32 1.6 (3)
Service occupations? 100.0 777 | 224 3.9 14 45 13 m2 @)

1 Includes severance pay and supplemental unemployment benefits.

2 This series may be
3 Cost per hour worked is $0.01 or less.



3
percent). Defined benefit plans specify a formula for determining future benefits, while defined contribution
plans specify employer and employee contributions, but do not guarantee future benefits.

Employer retirement and savings costs varied by industry, occupation, bargaining status, region, and
establishment size.

Retirement and savings costs were higher in goods-producing (82 cents per hour and 3.7 percent of total
compensation) than in service-producing (46 cents per hour and 2.7 percent of total compensation) industries.
Defined benefit plan costs represented a greater proportion of employer costs (relative to defined contribution
plans) in goods-producing than in service-producing industries. (See table 5.)

The average cost per hour worked for retirement and savings was 66 cents per hour for white-collar
occupations, 62 cents for blue-collar occupations, and 13 cents for service occupations. The proportion of total
compensation represented by retirement and savings benefits was 3.5 percent among blue-collar occupations,
2.9 percent for white-collar occupations, and 1.4 percent for service occupations. (See table 6.)

Retirement and savings costs were higher, both in average dollar amount and as a proportion of total
compensation, for union workers ($1.29 and 5.5 percent of total compensation) than for nonunion workers (45
cents and 2.5 percent of total compensation). Defined benefit plan costs represented a greater proportion of
employer costs (relative to defined contribution plans) for union workers than for nonunion workers. (See table

7)

Retirement and savings costs ranged from 48 cents per hour in the South to 60 cents in the Northeast and
Midwest. The proportion of total compensation represented by retirement and savings varied slightly among
regions. (See table 7.)

Retirement and savings costs increased, both in average dollar amount and as a proportion of total
compensation, with establishment size. Establishments with fewer than 100 employees averaged 35 cents (2.2
percent), establishments with 100-499 employees averaged 51 cents (2.9 percent), and establishments with 500
or more employees averaged $1.04 (4.1 percent). (See table 8.)

State and local government

In March 1998, employer costs in state and local governments averaged $27.28 per hour worked. Wages
and salaries, which accounted for 70 percent of the total, averaged $19.19, while benefits, which accounted for
the remaining 30 percent, averaged $8.10. (See table 3.)

Average compensation costs were higher for white-collar occupations ($30.34) than for blue-collar
($22.08) and service occupations ($20.10). (See table 4.) Benefits accounted for about the same proportion of
total compensation in blue-collar occupations (34.9 percent) and service occupations (35.5 percent); for white-
collar occupations, benefits represented 27.9 percent of total compensation.



2
In March 1998, average employer compensation costs were $23.59 for union workers and $17.80 for
nonunion workers. Benefits represented a greater proportion of compensation césts for union workers 34.8
percent) than for nonunion workers (25.7 percent). These compensation cost differences reflect variation in the
distribution of union and nonunion workers among occupations, industries, and establishment size. (See table
13.)

Among the four regions, compensation costs ranged from $16.45 per hour in the South to $20.38 per
hour in the Northeast. The proportion of compensation represented by benefits ranged from 26.0 percent in the
West to 28.4 percent in the Midwest. (See table 7.)

Compensation costs increased with establishment size. These costs ranged from an average of $15.92
per hour in establishments with less than 100 workers to $25.56 per hour in establishments with 500 or more
workers. The proportion of compensation costs represented by benefits also increased with establishment size,
from 24.6 percent in establishments with less than 100 workers to 30.4 percent in establishments with 500 or
more workers. (See table 8.)

Compensation costs for full-time workers averaged $20.95 per hour compared with $10.01 for part-time
workers. Benefit costs represented a greater proportion of compensation costs for full-time workers than for
part-time workers (28.3 percent compared with 19.0 percent). (See table 9.) Workers are classified as full time
or part time according to the practices of surveyed establishments. Part-time employees are typically scheduled
to work fewer hours than full-time employees in the same work activity.

Health benefit costs in private industry

In March 1998, private industry health benefit costs averaged $1.00 per hour or 5.4 percent of total
compensation. Employer health benefit costs varied by industry, occupation, bargaining status, region, and
establishment size.

In goods-producing industries, health benefit costs were $1.48 per hour (6.6 percent of total
compensation) compared with 85 cents per hour (4.9 percent of total compensation) for service-producing
industries. (See table 5.)

Employer costs for health benefits ranged from $1.17 per hour and 6.7 percent of total compensation for
blue-collar occupations to 40 cents per hour and 4.3 percent of total compensation for service occupations. In
white-collar occupations, employer costs for health benefits averaged $1.11 (5.0 percent). (See table 6.)

Employer costs for health benefits were higher for union workers, averaging $1.97 (8.4 percent), than for
nonunion workers, averaging 86 cents per hour (4.8 percent). (See table 7.)

Among the four regions, costs for health benefits ranged from 87 cents in the South to $1.15 in the
Northeast. (See table 7.) Health benefit costs increased, both in average dollar amount and as a proportion of
total compensation, with establishment size. Establishments with fewer than 100 workers averaged 73 cents
(4.6 percent), those with 100-499 employees averaged $1.01 (5.8 percent), and those with 500 or more
employees averaged $1.59 (6.2 percent). (See table 8.)

Retirement and savings benefit costs in private industry

In March 1998, the average cost for retirement and savings benefits was 55 cents per hour in private
industry (3.0 percent of total compensation). Included in this amount were employer costs for defined benefit
plans, which averaged 24 cents (1.3 percent), and for defined contribution Plans, which averaged 30 cents (1.6



13

Table 8. Employer costs per hour worked for employee compensation and costs as a percent of total compensation: Private industry
workers, by establishment employment size, March 1998

All workers in private 1-99
industry workers 100 or more workers
‘Compensation
‘component Total yoo.49e 500 or more workers
Cost | Percent | Cost | Percent

Cost Percent Cost Percent Cost Percent

Total compensation . 100.0% | $15.92 | 100.0%] $21.20 | 100.0%| $17.52 | 100.0%] $25.56 | 100.0%
Wages and salaries .. . 1347 | 728 | 1201 | 754 1501 | 708 | 1267} 723 | 17.78 | 696
Total benefits .. 502 | 27.4 aot] 246 619 | 292 485 | 277 7.78 | 304
1.16 63 81 5.1 153 72 4.08 62 2.07 at
58 34 39 24 7 36 53 30 1.05 an
40 22 29 18 ) 24 37 24 68 27
14 38 09 6 18 8 113 7 24 9
05 3 03 2 07 3 05 3 09 4
‘Supplemental pay 56} 30 43 27 69 33 a7 | 33 84 33
Premium? 22 12 9 29 14 25 14 34 13
Shift differer 05 3 (2) (?) 09 A 05 3 13 5
Nonproduction bonuses .. 29 1.6 ca 1 32 18 27 15 37 14
Insurance 1.10 59 80 5.0 1.42 67 14 63 1.78 70
Life 104 2 03 2 06 3 04 2 07 3
Health 100} 5.4 73 46 1.28 60 1.01 58 1.59 62
Short-term disability3 04 2 02 1 05 2 04 2 08 3
Long-term disability 02 a (?) (2) 03 a 02 a 04 2
Retirement and savings 55 3.0 35 22 75 35 Jt 29 1.04 41
Defined benefit . 24 13 13 8 37 17 20 14 58 22
Defined contribution 30 16 23 14 39 18 31 18 48 19
Legally required benefits 1.63 a8 151 95 4:75 83 157 9.0 1.97 77
Social Security 1.12 61 1.00 63 1.25 5.9 4.08 61 1.48 58
OASDI 80 49 80 5.0 1.01 48 85 49 119 47
Medicare 22 12 20 13 25 12 21 12 29 14
Federal unemployment insurance 03 2 03 2 03 4 03 2 03 a
State unemployment insurance rT 6 11 7 4 5 12 7 10 4
Workers’ compensation .. 36 19 36 23 35 17 36 24 35 14
Other benefitss .. 03 2 (2) (?) 05 2 (2) (?) 08 3

1 Includes premium pay for work in addition to the regular work schedule

(such as overtime, weekends, and holidays).
2 Cost per hour worked is $0.01 or less.

3 Short-term disability (previously, sickness and accident insurance)

4 The total employer's cost for Social Security is comprised of an OASDI

portion and a Medicare portion. OASDI is the abbreviation for Old-Age,

‘Survivors, and Disability Insurance,

includes all insured, self-insured, and state-mandated plans that provide

benefits for each disability, including unfunded plans,

5 Includes severance pay and supplemental unemployment benefits.

Note: The sum of individual items may not equal totals due to rounding.

|
:
|



16

Table 11. Employer costs per hour worked for employee compensation and costs as a percent of total compensation:
Goods-producing and service-producing industry workers, by occupational group, March 1998

Benefit costs
Total | Wages
Series compen- | and Supple- Retirement} Legally | one, i
sation | salaries Paid | mentat and | required os |
Total | eave | “pay | surance | ings | boheme | benefits

Cost per hour worked

$22.26 | $18.35 | $691] $1.47] $0.85 $1.62 $0.82 $2.09 $0.07

All workers, goods-producing industries? .

White-cotlar occupations 29.71 21.27 8.44] 2.47 75 1.86 1.01 225 09
Professional specialty and technical 35.69 26.62 | 10.07| 3.21 7 2.20 1.12 2.63 13
Professional specialty .. 38.63 27.93 | 10.70] 3.54 73 2.31 1.19 2.81 13
Technical ... 27.07 18.86 821] 2.25 90 1.90 93 2.09 14
Executive, administrative, and gerial .. 40.03 2854 | 11.49] 3.41 1.13 214 1.74 2.96 MW
Administrative support, including clerical .. 16.84 11.95 | 489} 4.17 49 1.40 A2 1.38 04

Blue-collar occupations 19.42 13.09 633} 1.07 89 153 76 2.04 05
Precision production, craft, and repai 24.26 16.48 7.78} 1.30 99 1.74 1.06 2.61 07
Machine operators, assemblers, and inspe 17.36 11.48 5.88 | 1.10 94 1.55 58 1.668 06
‘Transportation and material moving .. 19.06 12.75 6.30 99 93 147 74 2.15 @)
Handlers, equipment cleaners, helpers, and laborers 14.09 977 | 4.32 57 52 1.02 53 1.66 02
‘Service occupations+ 16.48 10.86 5.62] 1.09 86 1.39 53 1.68 08
All workers, service-producing industriesS 17.31 1288 | 4.42] 1.07 47 94 46 1.48 @)
White-collar occupations 21.25 15.81 5.44] 1.43 61 1.44 61 1.63 02
Professional specialty and technical 28.16 20.94 723} 1.94 88 1.35 88 2.16 02
Professional specialty 29,95 22.32 | 7.63] 2.05 99 1.38 93 2.26 02
Technical 23.70 17.49 621] 1.66 5B 1.28 77 1.90 02
Executive, administrative, and managi 32.96 24.15 881} 2.76 1.16 1.53 1.01 2.29 05
Sales* 18.28 11.99 | 3.29 66 38 84 31 1.28 (3)
Administrative support, including clerical 15.68 11.37 | 4.31] 1.08 34 1.20 AB 1.22 02 |
Blue-collar occupations .. 18.32 11.03, 4.29 82 46 a7 45 1.59 (3)
Precision production, craft, and repair 21,04 15.23 | 581] 1.38 58 1.30 63 1.92 02
‘Transportation and material moving 16.93 11.99 | 4.94 83 50 1.13 57 1.91 (3)
Handlers, equipment cleaners, helpers, and laborers 11.65 8.38 3.27 51 38 74 34 1.28 @)
Service occupations’ ... 9.24 7.16 | 2.04 36 13 Al 12 1.03 (3)

All workers, goods-producing industries? 400.0% | 69.0% | 31.0%] 66%] 38% | 7.3% 3.7% 9.4% 0.3%
White-collar occupations 100.0 716 | 24 | 383 25 63 34 76 3
Professional specialty and technical 100.0 718 | 282 | 90 22 62 31 74 4
Professional specialty 100.0 723 | 277 | 92 19 60 34 73 3
Technical . 100.0 67 | 303 | 83 a3 70 34 77 5
Executive, administrative, and managerial 100.0 713 | 287 | 85 28 53 43 74 3
‘Administrative support, including clerical 100.0 710 | 200 | 69 29 a3 25 az 2
Biue-collar occupations 100.0 674 | 326 | 55 46 79 3.9 105 3
Precision production, craft, and repai 100.0 679 | 321 54 at 72 44 108 3
Machine operators, assemblers, and inspectors 100.0 661 | 339 | 63 5.4 ag 33 96 3 i
Transportation and material moving 100.0 66.9 33.1 52 49 77 39 11.3 (3) i
Handlers, equipment cleaners, helpers, and laborers ....| 100.0 693 | 307 | 40 37 72 38 ne 4 |
Service occupations 659 | 341 66 52 a4 32 10.2 5 i
All workers, service-producing industriesS 100.0 744 | 255 | 62 27 54 27 8s (3)
White-collar occupations .. 100.0 744 | 256 | 67 29 54 29 77 a
Professional specialty and technical .. 100.0 744 | 257 | 69 31 48 34 2 a
Professional specialty .. 100.0 745 | 25 | 68 33 46 34 75 a
Technical 100.0 738 | 262 | 70 24 54 32 8.0 at
Executive, administrative, and managerial .. 100.0 733 | 267 | 84 35 48 3.4 69 2
Sales* 100.0 785 215 43 25 42 2.0 84 @) |
Administrative support, including clerical . 100.0 725 | 275 | 69 22 77 29 78 a :
Blue-collar occupations 100.0 720 | 220 | 54 3.0 63 29 10.4 (@)
Precision production, craft, and rep: 100.0 724 | 276 | 66 28 62 30. 24 Ja
Transportation and material moving . 100.0 70s | 292 | 49 3.0 67 34 14.3 (3)
Handlers, equipment cleaners, helpers, and laborers ....|_ 100.0 719 | 281 44 33 64 29 11.0 (3)
‘Service occupations* 100.0 77 | 224 39 1.4 45 13 1.2 @)
1 Includes severance pay and supplemental unemployment benefits. 5 Includes transportation, communication, and public utilities; wholesale and
2 Includes mining, construction, and manufacturing. ‘etail trade; finance, insurance, and real estate; and service industries,
3 Cost per hour worked is $0.01 or less.
* This series may be discontinued with the March 1999 news release. Note: The sum of individual items may not equal totals due to rounding.