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      http://www.bls.gov/ncs/ect/home.htm    FRIDAY, OCTOBER 29, 2004


                   EMPLOYMENT COST INDEX-SEPTEMBER 2004

     Total compensation costs for civilian workers increased 0.9 percent
 from June to September 2004, seasonally adjusted, the same as from March
 to June 2004, the Bureau of Labor Statistics of the U.S. Department of
 Labor reported today.  Wage and salary costs increased 0.7 percent, while
 benefit costs rose 1.1 percent, the smallest increase in benefit costs in
 2004.  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 nonfarm private and State and local government workers.

     Rises in benefit costs accounted for a little less than 40 percent of
 the increase in compensation costs for civilian workers from June to
 September 2004.  Among State and local government workers, benefit costs
 contributed 55 percent of compensation gains during the June-to-September
 period, with defined benefit retirement costs accounting for one-fourth of
 the gain in compensation costs.  Among private industry workers, benefit
 costs were about three-tenths of compensation gains during the quarter,
 comparable to the percent of total compensation costs contributed by
 benefits.

 Quarterly changes, seasonally adjusted

     Compensation costs for the private sector rose 0.9 percent from June
 to September 2004, after advancing 1.0 percent in the prior quarter.
 September gains were led by durable manufacturing industries and wholesale
 trade.  For State and local government workers, the increase of
 compensation costs moderated to 0.5 percent in September, compared with a
 gain of 1.1 percent for the quarter ended in June.  (See tables A and 1.)

     Benefit costs increases slowed to 1.1 percent for civilian workers
 (nonfarm private industry and State and local government) in the September
 2004 quarter, following a gain of 1.8 percent in the June 2004 quarter.
 Private sector benefit costs rose 1.0 percent for the September quarter,
 moderating from the 1.7 percent gain in the previous quarter.  Benefit
 costs for State and local governments increased 1.4 percent in the
 September quarter, following an increase of 1.9 percent in June 2004.

     While gains in wages and salaries for civilian workers increased 0.7
 percent during the September quarter, following a gain of 0.6 percent in
 June, the gains for private industry and State and local government
 workers varied.  Wages and salaries for private industry workers rose 0.9
 percent for the September quarter, following a more modest 0.6 percent
 gain during the prior period.  Wage and salary gains in wholesale
 trade led the increase, while the retail trade industry and service
 occupations had smaller gains.  The change in State and local government
 wages and salaries was 0.1 percent during the June-to-September period.


 Table A.  3-month percent changes in Employment Cost Index, seasonally
 adjusted
                          Dec.  Mar.  June  Sep.  Dec.  Mar.   June  Sep.
 Compensation Component   2002  2003  2003  2003  2003  2004   2004  2004
 Civilian workers
 Compensation costs       0.9    1.2   0.9   1.0   0.8   1.1    0.9   0.9
   Wages and salaries     0.5    1.0   0.6   0.7   0.5   0.6    0.6   0.7
   Benefit costs          1.4    2.0   1.4   1.5   1.4   2.4    1.8   1.1
         Private industry
 Compensation costs       0.8    1.4   0.8   1.1   0.8   1.1    1.0   0.9
   Wages and salaries     0.5    1.0   0.6   0.9   0.5   0.6    0.6   0.9
   Benefit costs          1.4    2.1   1.4   1.5   1.4   2.6    1.7   1.0
         State and local government
 Compensation costs       1.1    1.0   1.0   0.5   0.8   1.0    1.1   0.5
   Wages and salaries     0.8    0.6   0.8   0.1   0.6   0.6    0.7   0.1
   Benefit costs          1.8    1.6   1.5   1.6   1.3   1.7    1.9   1.4

 Over-the-year changes, not seasonally adjusted

     Annual compensation costs for civilian workers increased 3.8 percent
 for the year ended September 2004, virtually unchanged from a 3.9 percent
 over-the-year increase for September 2003.  Compensation costs in private
 industry rose 3.7 percent in the year ended September 2004, compared with
 a 4.0 percent increase in September 2003.  Compensation costs increased
 3.4 percent for State and local governments for the year ended September
 2004, compared with an over-the-year gain of 3.6 percent in September
 2003.  (See tables B, 2, and 3.)

     The components of compensation continued to show differences in the
 rate of change.  While increases in wages and salaries continued to be
 moderate, benefit costs continued to rise more rapidly during the year
 ended September 2004.  For civilian workers, increases in wages and
 salaries slowed to 2.4 percent in the year ended September 2004, compared
 with a gain of 2.9 percent in September 2003.  Benefit costs increased 6.8
 percent for the period ended September 2004, compared with the increase of
 6.5 percent for the year ended September 2003.  (See tables B, 5, 6, and
 8.)

 Table B.  12-month percent changes in Employment Cost Index, not
 seasonally adjusted
                         Sep.  Sep.  Sep.  Sep.  Sep.  Sep.
 Compensation Component  1999  2000  2001  2002  2003  2004
 Civilian workers
 Compensation costs      3.1    4.3   4.1   3.7   3.9   3.8
   Wages and salaries    3.3    4.0   3.6   3.2   2.9   2.4
   Benefit costs         2.7    5.3   5.1   4.9   6.5   6.8
         Private industry
 Compensation costs      3.1    4.6   4.0   3.7   4.0   3.7
   Wages and salaries    3.2    4.1   3.6   3.2   3.0   2.6
   Benefit costs         2.8    6.0   4.9   4.8   6.5   6.8
         State and local government
 Compensation costs      2.9    3.3   4.4   3.8   3.6   3.4
   Wages and salaries    3.3    3.5   3.9   3.1   2.3   2.0
   Benefit costs         2.0    2.8   5.6   5.4   6.7   6.4

     Nonfarm private industry

     For the year ended September 2004, compensation costs in private
 industry increased 4.6 percent for goods-producing industries, nearly
 identical to the advance of 4.5 percent for the year ended September 2003.
 Compensation costs for manufacturing advanced 5.0 percent in September
 2004, after increasing 4.7 percent in
 September 2003.  Gains in compensation costs for construction were 2.9
 percent in September 2004, compared with a 3.8 percent rise in September
 2003.  (See table 3.)

     The over-the-year increase in compensation for service-producing
 industries was 3.5 percent, compared with a 3.7 percent gain for the year
 ended September 2003.  Among service-producing industries, the 12-month
 increase for transportation and public utilities was 4.3 percent for the
 year ended in September 2004, led by higher increases in the electric,
 gas, and sanitary services industry.  Compensation costs rose modestly in
 finance, insurance, and real estate, increasing 2.6 percent in the year
 ended September 2004.

     Over-the-year compensation cost increases were 4.5 percent for blue-
 collar occupations, 3.6 percent for white-collar occupations, and 3.1
 percent for service occupations for the year ended September 2004.  Among
 white-collar occupational groups, compensation cost changes ranged from
 2.4 percent for executive, administrative, and managerial employees to 4.4
 percent for professional specialty and technical workers.  Among blue-
 collar occupational groups, compensation cost increases ranged from 3.3
 percent for transportation and material moving employees to 5.9 percent
 for machine operators, assemblers, and inspectors.  (See table 3.)

     Gains in compensation costs for union workers continued to outpace
 those for nonunion workers.  Compensation costs for union workers advanced
 5.8 percent over the year ended September 2004, significantly higher than
 the 3.4 percent increase for nonunion workers.  Among blue-collar workers,
 compensation costs advanced 5.8 percent for union workers, greater than
 the gain of 3.7 percent for nonunion workers.  In manufacturing
 industries, compensation costs for union workers advanced sharply, rising
 8.1 percent, significantly higher than the 4.1 percent increase for
 nonunion workers.  (See tables C and 4.)

     Wages and salaries for union workers rose 3.0 percent for the 12
 months ended in September 2004, compared with an over-the-year increase of
 2.5 percent for nonunion workers.  Benefit costs for union workers
 continued to rise sharply, 10.6 percent, compared with an increase of 5.9
 percent for nonunion workers in September 2004.  Employer contributions
 for defined benefit retirement plans accounted for nearly three-tenths of
 the rise in compensation costs for union workers for the year ended
 September 2004.  (See tables C, 7, and 8.)

 Table C.  12-month percent changes in Employment Cost Index, private
 industry workers,
 not seasonally adjusted
                         Sep.  Sep.   Sep.  Sep.  Sep.   Sep.
 Compensation Component  1999  2000   2001  2002  2003   2004
         Union workers
 Compensation costs      2.5    4.2    3.4   4.7   4.8    5.8
   Wages and salaries    2.5    3.2    3.6   4.3   2.6    3.0
   Benefit costs         2.3    6.1    2.9   5.5   8.5   10.6
      Nonunion workers
 Compensation costs      3.2    4.7    4.1   3.5   3.8    3.4
   Wages and salaries    3.3    4.3    3.6   3.1   3.1    2.5
   Benefit costs         3.0    5.9    5.4   4.6   5.9    5.9

     Among the four geographic regions, increases in compensation costs
 ranged from 3.4 percent in the Midwest to 4.1 percent in the Northeast.
 Compensation costs rose 3.9 percent in the South and the West.  (See table
 4.)  Gains in wages and salaries showed significant differences among
 regions.  In the Midwest, gains in wages and salaries slowed to 1.9
 percent for the year ended September 2004, significantly less than the 4.3
 percent gain of the year ended September 2003.  Wages and salaries rose
 3.1 percent in the Northeast and 2.7 percent in the South and West for the
 year ended September 2004, compared with over-the-year gains in September
 2003 of 3.2 percent in the Northeast, 1.7 percent in the South, and 3.4
 percent in the West.

     State and local government

 Wages and salaries for State and local government workers edged up 2.0
 percent in the year ended September 2004, compared with a 2.3 percent rise
 for September 2003.  Benefit costs rose 6.4 percent for the year ended
 September 2004, compared with an increase of 6.7 percent for the year
 ended September 2003.  (See tables B, 5, and 8.)

     For the year ended September 2004, compensation costs increased 2.7
 percent for educational services, compared with a 3.2 percent increase for
 the year ended September 2003.  Within educational services, compensation
 increases were 3.1 percent for elementary and secondary schools and 1.9
 percent for colleges and universities.  Among occupational groups,
 compensation costs of service workers rose 4.3 percent for the year ended
 September 2004, compared with gains of 3.9 percent for blue-collar workers
 and 3.1 percent for white-collar workers.  (See table 2.)

 __________________________________________________________________________

                                   NOTE:

     The ECI for December 2004 is scheduled to be released Friday, January
 28, 2005, at 8:30 a.m. (EST).

     The costs per hour worked of compensation components, based on data
 from the ECI, were published on September 15, 2004, in a news release
 titled "Employer Costs for Employee Compensation-June 2004."  Beginning
 with the March 2004 release, the Employer Costs for Employee Compensation
 data are based on the 2002 North American Industry Classification System
 (NAICS) and the 2000 Standard Occupational Classification (SOC).  The
 release and information on the transition to the new industry and
 occupational classification systems are available on the Internet site
 http://www.bls.gov/ect/home.htm, by e-mail request at ocltinfo@bls.gov, or
 by telephone (202) 691-6199.

     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.

     News releases and other information are available from the BLS fax-on-
 demand service.  To request a document fax, call (202) 691-6325.  To
 request data found in this news release, enter the following codes:

     Text               4110
     Tables 1-4         4115
     Tables 5-7         4120
     Table 8            4125
     Explanatory notes  4190

     To request a catalog of available documents, select option 2 at the
 initial voice prompt.
 __________________________________________________________________________



Table 1.  Employment Cost Index for total compensation(1), wages and salaries, and benefit costs by industry and
occupational group

(Seasonally adjusted data)


                                             Indexes (June                Percent changes for 3-months ended-
                                               1989=100)
      Industry and occupational group

                                              Jun.    Sep.    Dec.    Mar.    Jun.    Sep.    Dec.    Mar.    Jun.    Sep.
                                              2004    2004    2002    2003    2003    2003    2003    2004    2004    2004


            TOTAL COMPENSATION

Civilian workers...........................  172.4   173.9     0.9     1.2     0.9     1.0     0.8     1.1     0.9     0.9
 State and local government................  169.9   170.7     1.1     1.0     1.0      .5      .8     1.0     1.1      .5
 Private industry..........................  173.0   174.5      .8     1.4      .8     1.1      .8     1.1     1.0      .9

                 Industry

   Goods producing(2)......................  172.1   174.0     1.1     1.6     1.0     1.0      .7     1.8      .9     1.1
     Construction..........................  165.7   166.9     1.2      .8     1.0      .8      .7      .9      .5      .7
     Manufacturing.........................  172.8   174.9     1.2     1.6      .8     1.0      .7     2.3      .8     1.2
       Durables............................  173.6   176.0     1.3     2.0      .5     1.0      .7     2.6      .9     1.4
       Nondurables.........................  171.3   173.1     1.1     1.1     1.1      .9      .8     1.6      .8     1.1

   Service producing(3)....................  173.4   174.8      .6     1.3      .8     1.1      .8      .8     1.0      .8
     Transportation and public utilities...  172.3   173.3      .9      .8     1.2      .6      .7     1.5     1.4      .6
     Wholesale trade.......................  175.0   177.8      .9     1.3      .5      .9      .5      .6      .6     1.6
     Retail trade..........................  163.6   164.0      .3      .2      .5     1.5     1.0      .4     1.0      .2
     Finance, insurance, and real
      estate(4)............................  183.6   184.8      .3     4.9      .9     1.1      .4      .9      .6      .7
     Services..............................  175.1   176.6      .7      .8      .8     1.0      .9     1.0      .9      .9

   Nonmanufacturing........................  172.4   173.7      .6     1.2      .9     1.0      .8      .8      .9      .8

            Occupational group

   White collar............................  175.4   177.2      .7     1.4      .7     1.2      .8      .9      .7     1.0
   Blue collar.............................  168.5   170.0     1.0     1.2     1.0      .9      .9     1.6     1.0      .9
   Service.................................  168.4   169.2      .6     1.1      .7      .8      .7     1.2      .9      .5



            WAGES AND SALARIES

Civilian workers...........................  164.3   165.5      .5     1.0      .6      .7      .5      .6      .6      .7
 State and local government................  163.7   163.8      .8      .6      .8      .1      .6      .6      .7      .1
 Private industry..........................  164.4   165.8      .5     1.0      .6      .9      .5      .6      .6      .9

                 Industry

   Goods producing(2)(4)...................  160.9   162.3      .7      .8      .7      .6      .3      .8      .6      .9
     Construction..........................  155.7   156.9      .9      .5      .8      .8      .4     1.0      .1      .8
     Manufacturing(4)......................  162.4   163.8      .7     1.0      .6      .4      .3      .7      .7      .9
       Durables(4).........................  162.9   164.5     0.8     1.0     0.6     0.6     0.2     0.6     0.6     1.0
       Nondurables.........................  161.4   162.8      .8      .5      .8      .4      .5      .7      .7      .9

   Service producing(3)....................  165.9   167.4      .4     1.1      .6     1.1      .6      .5      .5      .9
     Transportation and public
      utilities(4).........................  159.1   160.4      .5      .5      .5      .3      .3      .7     1.0      .8
     Wholesale trade.......................  166.6   169.9      .6     1.3     -.1      .9      .7      .2      .1     2.0
     Retail trade..........................  158.3   158.5      .3      .0      .4     1.6      .4      .3      .7      .1
     Finance, insurance, and real
      estate(4)............................  175.3   176.5      .1     5.2      .8     1.0      .2      .4      .1      .7
     Services..............................  169.4   170.8      .4      .6      .8      .9      .8      .7      .8      .8

   Nonmanufacturing........................  164.6   166.0      .5     1.0      .6     1.0      .6      .5      .5      .9
WAGES AND SALARIES-Continued

            Occupational group

   White collar............................  167.9   169.5     0.6     1.1     0.6     0.9     0.7     0.5     0.5     1.0
   Blue collar(4)..........................  158.3   159.5      .5      .8      .7      .6      .3      .7      .7      .8
   Service(4)..............................  159.3   159.8      .4      .6      .4      .6      .4      .4      .6      .3



               BENEFIT COSTS

Civilian workers...........................  192.6   194.7     1.4     2.0     1.4     1.5     1.4     2.4     1.8     1.1
 State and local government................  184.6   187.1     1.8     1.6     1.5     1.6     1.3     1.7     1.9     1.4
 Private industry..........................  194.5   196.4     1.4     2.1     1.4     1.5     1.4     2.6     1.7     1.0

                 Industry

   Goods producing(2)......................  195.5   198.4     1.8     3.0     1.4     1.7     1.4     4.2     1.4     1.5
     Manufacturing.........................  196.0   199.5     1.9     3.3     1.3     1.8     1.4     5.1     1.4     1.8

   Service producing(3)....................  193.9   195.3     1.1     1.6     1.4     1.3     1.4     1.7     1.9      .7

   Nonmanufacturing........................  193.9   195.6     1.1     1.6     1.4     1.4     1.4     1.5     1.8      .9

            Occupational group

   White collar............................  196.9   199.2     1.2     2.0     1.1     1.5     1.3     1.9     1.6     1.2
   Blue collar.............................  191.3   193.2     1.6     2.1     2.0     1.5     1.5     3.8     1.9     1.0
   Service.................................  196.1   197.8     1.0     2.4     1.4     1.2     1.4     3.1     1.8      .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.



Table 2.  Employment Cost Index for total compensation(1) for civilian and State and local government workers by
industry and occupational group

(Not seasonally adjusted data)


                                           Indexes (June 1989=100)               Percent changes for-


     Industry and occupational group                                   3 months ended-         12 months ended-
                                             Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004

Civilian workers..........................  167.6   172.2   173.9     1.1     0.9     1.0     3.9     3.9     3.8
    Excluding sales occupations...........  167.7   172.3   173.9     1.1      .9      .9     4.0     3.9     3.7

                 Industry

  Goods producing(2)......................  165.8   171.9   173.4      .7      .9      .9     4.5     4.4     4.6
    Manufacturing.........................  166.5   173.2   174.9      .7      .9     1.0     4.7     4.7     5.0
  Service producing(3)....................  168.2   172.3   174.0     1.2      .9     1.0     3.7     3.7     3.4
    Services..............................  168.5   172.3   174.5     1.3      .6     1.3     3.2     3.6     3.6
      Health services.....................  169.3   174.4   176.7     1.0      .8     1.3     3.8     4.1     4.4
        Hospitals.........................  173.1   178.2   180.5     1.3      .8     1.3     4.5     4.3     4.3
      Educational services................  166.9   168.9   171.8     1.6      .2     1.7     3.3     2.9     2.9
    Public administration(4)..............  167.3   171.4   174.1     1.8      .8     1.6     4.4     4.3     4.1

  Nonmanufacturing........................  167.8   171.8   173.5     1.2      .8     1.0     3.8     3.6     3.4

            Occupational group

  White collar............................  169.9   174.0   175.8     1.2      .8     1.0     3.9     3.6     3.5
      Excluding sales.....................  170.3   174.4   176.2     1.2      .8     1.0     4.0     3.6     3.5
    Professional specialty and
     technical............................  167.0   171.2   173.6     1.2      .6     1.4     3.5     3.8     4.0
    Executive, administrative, and
     managerial...........................  174.0   177.1   178.2     1.2      .7      .6     4.6     3.0     2.4
    Administrative support, including
     clerical.............................  171.7   177.2   178.7     1.0     1.1      .8     4.1     4.2     4.1
  Blue collar.............................  162.9   168.8   170.1      .9     1.1      .8     4.2     4.6     4.4
  Service.................................  166.8   170.9   172.7     1.1      .7     1.1     3.4     3.6     3.5


State and local government................  165.9   168.7   171.5     1.7      .4     1.7     3.6     3.4     3.4

                 Industry

    Services..............................  164.9   166.8   169.7     1.6      .2     1.7     3.3     2.8     2.9
        Excluding schools.................  166.8   170.1   173.0     1.6      .4     1.7     3.6     3.6     3.7
      Health services.....................  169.5   172.9   175.7     1.7      .4     1.6     3.7     3.7     3.7
        Hospitals.........................  170.3   173.2   176.3     1.8      .5     1.8     3.8     3.5     3.5
      Educational services................  164.3   165.9   168.8     1.6      .1     1.7     3.2     2.6     2.7
        Schools...........................  164.7   166.3   169.2     1.7      .2     1.7     3.2     2.7     2.7
          Elementary and secondary........  163.0   164.6   168.0     1.9      .1     2.1     3.4     2.9     3.1
          Colleges and universities.......  169.2   171.0   172.4     1.0      .2      .8     2.7     2.1     1.9
    Public administration(4)..............  167.3   171.4   174.1     1.8     0.8     1.6     4.4     4.3     4.1

            Occupational group

  White collar............................  164.9   167.5   170.0     1.7      .4     1.5     3.5     3.3     3.1
    Professional specialty and
     technical............................  163.4   165.6   168.4     1.6      .3     1.7     3.4     3.0     3.1
    Executive, administrative, and
     managerial...........................  168.0   171.0   172.1     1.4      .5      .6     3.5     3.2     2.4
    Administrative support, including
     clerical.............................  167.9   171.8   174.3     2.1      .8     1.5     4.3     4.5     3.8
  Blue collar.............................  163.6   167.5   169.9     1.2      .5     1.4     3.3     3.6     3.9
  Service.................................  172.0   175.3   179.4     1.8      .5     2.3     4.1     3.8     4.3

  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.



Table 3.  Employment Cost Index for total compensation(1) for private industry workers, by industry and
occupational group

(Not seasonally adjusted data)


                                           Indexes (June 1989=100)               Percent changes for-


     Industry and occupational group                                   3 months ended-         12 months ended-
                                             Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004

Private industry workers..................  168.1   173.0   174.4     1.0     0.9     0.8     4.0     4.0     3.7
    Excluding sales occupations...........  168.1   173.2   174.6      .9      .9      .8     4.0     4.0     3.9

                 Industry

  Goods producing(2)......................  165.7   171.8   173.3      .7      .9      .9     4.5     4.4     4.6
      Excluding sales.....................  165.0   171.2   172.5      .7      .8      .8     4.5     4.5     4.5
    White collar..........................  170.1   174.7   176.4      .5      .7     1.0     4.4     3.3     3.7
      Excluding sales.....................  168.5   173.3   174.5      .6      .6      .7     4.6     3.5     3.6
    Blue collar...........................  162.9   169.8   171.3      .9     1.0      .9     4.5     5.1     5.2

    Construction..........................  162.3   165.9   167.0      .7      .8      .7     3.8     3.0     2.9

    Manufacturing.........................  166.5   173.2   174.9      .7      .9     1.0     4.7     4.7     5.0
      White collar........................  169.5   174.6   176.4      .5      .8     1.0     4.5     3.5     4.1
        Excluding sales...................  167.4   172.6   174.1      .6      .8      .9     4.9     3.7     4.0
      Blue collar.........................  164.1   172.0   173.7      .8      .9     1.0     4.7     5.7     5.9
      Durables............................  166.6   174.0   175.8      .7      .9     1.0     4.8     5.1     5.5
        Aircraft manufacturing (SIC
         3721)............................  184.4   200.9   201.6      .4     1.0      .3     9.2     9.4     9.3
          White collar....................  177.5   194.9   195.2      .1      .5      .2     8.4     9.9    10.0
          Blue collar.....................  193.9   208.3   210.9      .8     1.9     1.2    10.5     8.3     8.8
      Nondurables.........................  166.0   171.7   173.1      .7      .8      .8     4.3     4.1     4.3


  Service producing(3)....................  168.8   173.3   174.7     1.1     1.0      .8     3.7     3.8     3.5
      Excluding sales.....................  169.7   174.2   175.6     1.0     1.0      .8     3.8     3.7     3.5
    White collar..........................  171.2   175.7   177.3     1.2      .9      .9     3.9     3.8     3.6
      Excluding sales.....................  173.1   177.8   179.4     1.1      .9      .9     4.0     3.8     3.6
    Blue collar...........................  162.2   166.4   167.4      .9     1.4      .6     3.6     3.5     3.2
    Service...............................  163.2   167.4   168.1      .7      .8      .4     3.0     3.3     3.0

    Transportation and public utilities...  166.5   172.5   173.6      .7     1.6      .6     3.5     4.3     4.3
      Transportation......................  159.4   164.7   166.2      .3     1.7      .9     2.6     3.7     4.3
      Public utilities....................  176.4   183.1   183.6     1.3     1.5      .3     4.9     5.1     4.1
        Communications....................  178.4   183.6   183.8     1.7      .8      .1     5.6     4.6     3.0
        Electric, gas, and sanitary
         services.........................  173.8   182.4   183.3      .7     2.4      .5     3.9     5.7     5.5

    Wholesale and retail trade............  164.3   168.1   169.1     1.1     1.1      .6     2.9     3.4     2.9
        Excluding sales...................  165.0   168.6   169.6     1.4      .7      .6     2.9     3.6     2.8
      Wholesale trade.....................  172.0   175.9   177.8      .4     1.2     1.1     3.7     2.7     3.4
        Excluding sales...................  171.2   174.0   175.3     0.8     0.2     0.7     3.1     2.4     2.4
      Retail trade........................  159.9   163.7   164.2     1.6     1.0      .3     2.5     4.0     2.7
        General merchandise stores........  161.2   166.2   168.8     1.3      .2     1.6     3.3     4.4     4.7
        Food stores.......................  159.3   163.5   163.5      .4      .9      .0     1.9     3.1     2.6

    Finance, insurance, and real estate...  180.2   183.6   184.8     1.1      .6      .7     7.3     3.0     2.6
        Excluding sales...................  185.3   188.7   190.0      .7     1.1      .7     7.7     2.6     2.5
      Banking, savings and loan, and other
       credit agencies....................  207.6   208.9   210.5      .6      .8      .8    12.5     1.3     1.4
      Insurance...........................  175.1   180.5   182.1      .7     1.5      .9     4.8     3.8     4.0
        Excluding sales...................  172.8   178.1   179.1      .6     1.5      .6     4.7     3.7     3.6

    Services..............................  170.4   175.1   176.9     1.2      .9     1.0     3.3     4.0     3.8
      Business services...................  171.9   176.9   178.5     1.6     1.2      .9     2.8     4.6     3.8
      Health services.....................  169.4   174.8   177.0      .9      .9     1.3     3.8     4.1     4.5
        Hospitals.........................  173.9   179.7   181.8     1.2      .9     1.2     4.6     4.5     4.5
        Nursing homes.....................    -       -       -        .8      .7      .5     3.6     3.3     3.1
      Educational services................  180.2   184.2   187.0     1.8      .6     1.5     3.9     4.0     3.8
        Colleges and universities.........  178.4   182.5   185.2     1.7      .7     1.5     3.7     4.0     3.8
Industry-Continued

  Nonmanufacturing industries.............  168.1   172.5   173.9     1.0     0.9     0.8     3.8     3.7     3.5
    White collar..........................  171.2   175.7   177.2     1.1      .9      .9     3.9     3.8     3.5
      Excluding sales.....................  173.2   177.7   179.3     1.1      .9      .9     4.0     3.7     3.5
    Blue collar...........................  161.1   165.5   166.4      .9     1.3      .5     3.7     3.6     3.3
    Service...............................  163.2   167.3   168.0      .7      .8      .4     3.0     3.3     2.9

            Occupational group

  White collar............................  171.2   175.7   177.3     1.1      .9      .9     4.0     3.7     3.6
      Excluding sales.....................  172.1   176.7   178.3     1.0      .8      .9     4.1     3.7     3.6
    Professional specialty and
     technical............................  169.4   174.7   176.8     1.0      .7     1.2     3.5     4.2     4.4
    Executive, administrative, and
     managerial...........................  175.0   178.1   179.2     1.1      .7      .6     4.8     2.9     2.4
    Sales.................................  167.2   171.2   173.1     1.3     1.2     1.1     3.5     3.7     3.5
    Administrative support, including
     clerical.............................  172.3   178.1   179.4      .8     1.1      .7     4.0     4.2     4.1

  Blue collar.............................  162.8   168.8   170.1      .9     1.1      .8     4.2     4.6     4.5
    Precision production, craft, and
     repair...............................  163.1   169.1   170.2      .7     1.2      .7     4.0     4.4     4.4
    Machine operators, assemblers, and
     inspectors...........................  162.6   170.5   172.2      .9     1.1     1.0     4.6     5.8     5.9
    Transportation and material moving....  156.7   160.6   161.8     1.0     1.3      .7     3.8     3.5     3.3
    Handlers, equipment cleaners, helpers,
     and laborers.........................  168.6   173.2   174.3     1.1      .9      .6     4.5     3.8     3.4

  Service.................................  163.8   168.2   168.9      .7      .8      .4     3.0     3.4     3.1

  Production and nonsupervisory
   occupations(4).........................  165.7   171.0   172.4     1.0     1.0      .8     3.8     4.2     4.0

  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 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.



Table 4.  Employment Cost Index for total compensation(1) for private industry workers, by bargaining status,
region, and area

(Not seasonally adjusted data)


                                           Indexes (June 1989=100)               Percent changes for-


   Bargaining status, region, and area                                 3 months ended-         12 months ended-
                                             Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004


            Bargaining status

Union.....................................  165.7   173.9   175.3     1.0     1.5     0.8     4.8     6.0     5.8
    Blue-collar occupations...............  163.1   171.2   172.6     1.1     1.3      .8     5.1     6.1     5.8

  Goods-producing industries(2)...........  164.7   174.6   176.0      .8     1.3      .8     5.4     6.9     6.9
  Service-producing industries(3).........  166.5   172.9   174.4     1.2     1.6      .9     4.1     5.0     4.7

  Manufacturing...........................  165.0   177.0   178.4      .7     1.1      .8     5.8     8.1     8.1
    Blue-collar occupations...............  163.7   175.9   177.3      .7     1.2      .8     5.6     8.2     8.3
  Nonmanufacturing........................  165.5   171.6   173.0     1.1     1.7      .8     4.2     4.8     4.5

Nonunion..................................  168.4   172.7   174.2     1.0      .8      .9     3.8     3.5     3.4
    Blue-collar occupations...............  162.6   167.4   168.6      .8     1.0      .7     3.6     3.8     3.7

  Goods-producing industries(2)...........  166.1   170.9   172.4      .7      .7      .9     4.1     3.6     3.8
  Service-producing industries(3).........  169.0   173.2   174.6     1.1      .9      .8     3.7     3.6     3.3

  Manufacturing...........................  166.9   172.0   173.8      .7      .8     1.0     4.2     3.7     4.1
    Blue-collar occupations...............  164.1   169.3   171.2      .9      .7     1.1     4.2     4.1     4.3
  Nonmanufacturing........................  168.5   172.6   174.0     1.1      .9      .8     3.8     3.5     3.3

                Region(4)

Northeast.................................  166.9   172.3   173.7     1.0     1.2      .8     4.0     4.3     4.1
South.....................................  163.2   167.9   169.5     1.0      .9     1.0     2.7     3.9     3.9
Midwest...................................  171.7   176.2   177.6      .8      .9      .8     5.0     3.4     3.4
West......................................  171.4   176.8   178.1     1.1      .9      .7     4.6     4.3     3.9

                   Area

Metropolitan..............................  168.3   173.1   174.6     1.0      .9      .9     4.0     3.9     3.7
Other.....................................  166.1   172.1   173.3      .7     1.1      .7     3.8     4.3     4.3

  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.



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)


                                           Indexes (June 1989=100)               Percent changes for-


     Industry and occupational group                                   3 months ended-         12 months ended-
                                             Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004

Civilian workers..........................  161.8   164.3   165.7     0.9     0.6     0.9     2.9     2.5     2.4
    Excluding sales occupations...........  161.7   164.2   165.6      .9      .6      .9     2.9     2.4     2.4

                 Industry

  Goods producing(1)......................  158.3   161.0   162.3      .5      .7      .8     2.9     2.2     2.5
    Manufacturing.........................  159.7   162.4   163.8      .4      .7      .9     2.8     2.1     2.6
  Service producing(2)....................  163.0   165.5   167.0     1.0      .5      .9     2.9     2.5     2.5
    Services..............................  164.7   167.4   169.3     1.2      .5     1.1     2.5     2.8     2.8
      Health services.....................  164.7   168.6   170.8      .9      .5     1.3     3.2     3.3     3.7
        Hospitals.........................  166.3   169.9   171.8     1.2      .5     1.1     3.7     3.3     3.3
      Educational services................  162.7   163.8   166.0     1.2      .1     1.3     2.1     1.9     2.0
    Public administration(3)..............  159.4   161.4   162.6      .9      .2      .7     3.0     2.2     2.0

  Nonmanufacturing........................  162.1   164.6   166.0     1.0      .5      .9     2.9     2.6     2.4

            Occupational group

  White collar............................  164.5   167.1   168.7     1.0      .6     1.0     3.1     2.6     2.6
      Excluding sales.....................  165.0   167.6   169.1      .9      .5      .9     3.1     2.5     2.5
    Professional specialty and
     technical............................  161.8   164.4   166.5     1.1      .4     1.3     2.4     2.7     2.9
    Executive, administrative, and
     managerial...........................  170.5   172.4   173.4      .9      .6      .6     4.3     2.0     1.7
    Administrative support, including
     clerical.............................  164.3   167.5   168.8      .7      .7      .8     2.9     2.7     2.7
  Blue collar.............................  155.8   158.4   159.7      .6      .7      .8     2.6     2.3     2.5
  Service.................................  159.8   161.9   162.8      .7      .4      .6     2.3     2.0     1.9


State and local government................  161.3   162.8   164.5     1.0      .2     1.0     2.3     1.9     2.0

                 Industry

    Services..............................  161.6   162.7   164.8     1.1      .1     1.3     2.0     1.8     2.0
        Excluding schools.................  163.2   165.6   167.5      .9      .3     1.1     2.6     2.3     2.6
      Health services.....................  165.1   167.8   169.6     1.0      .2     1.1     2.9     2.6     2.7
        Hospitals.........................  165.5   167.9   169.9     1.0      .3     1.2     3.1     2.5     2.7
      Educational services................  161.2   162.1   164.2     1.2      .1     1.3     2.0     1.8     1.9
        Schools...........................  161.4   162.3   164.3     1.2      .1     1.2     2.0     1.8     1.8
          Elementary and secondary........  160.6   161.5   163.8     1.3      .1     1.4     2.0     1.9     2.0
          Colleges and universities.......  163.5   164.4   165.4      .9      .1      .6     1.7     1.4     1.2
    Public administration(3)..............  159.4   161.4   162.6     0.9     0.2     0.7     3.0     2.2     2.0

            Occupational group

  White collar............................  161.0   162.4   164.1     1.1      .2     1.0     2.3     2.0     1.9
    Professional specialty and
     technical............................  161.0   162.3   164.4     1.2      .1     1.3     2.2     2.0     2.1
    Executive, administrative, and
     managerial...........................  162.5   163.8   164.3      .9      .2      .3     2.2     1.7     1.1
    Administrative support, including
     clerical.............................  159.1   160.8   162.6     1.2      .2     1.1     2.6     2.3     2.2
  Blue collar.............................  157.6   159.2   160.7      .7      .2      .9     2.0     1.7     2.0
  Service.................................  164.9   167.0   168.5      .7      .2      .9     2.7     2.0     2.2

  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.



Table 6.  Employment Cost Index for wages and salaries for private industry workers by industry and occupational
group

(Not seasonally adjusted data)


                                           Indexes (June 1989=100)               Percent changes for-


     Industry and occupational group                                   3 months ended-         12 months ended-
                                             Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004

Private industry workers..................  161.7   164.5   165.9     0.8     0.7     0.9     3.0     2.6     2.6
    Excluding sales occupations...........  161.7   164.5   165.8      .7      .6      .8     3.0     2.5     2.5

                 Industry

  Goods producing(1)......................  158.3   160.9   162.3      .6      .6      .9     2.9     2.2     2.5
      Excluding sales.....................  157.4   160.2   161.2      .6      .6      .6     2.9     2.4     2.4
    White collar..........................  161.9   164.5   166.0      .3      .8      .9     2.8     1.9     2.5
      Excluding sales.....................  159.9   162.7   163.6      .4      .7      .6     2.9     2.2     2.3
    Blue collar...........................  155.9   158.6   159.8      .7      .6      .8     2.9     2.5     2.5

    Construction..........................  153.6   155.9   157.1      .8      .5      .8     3.1     2.3     2.3

    Manufacturing.........................  159.7   162.4   163.8      .4      .7      .9     2.8     2.1     2.6
      White collar........................  162.0   164.7   166.1      .2      .9      .9     2.7     1.9     2.5
        Excluding sales...................  159.5   162.5   163.5      .4      .8      .6     2.9     2.3     2.5
      Blue collar.........................  157.9   160.6   162.1      .6      .5      .9     2.9     2.4     2.7
      Durables............................  160.6   162.9   164.5      .6      .6     1.0     2.9     2.0     2.4
        Aircraft manufacturing (SIC
         3721)............................  167.4   171.9   172.4      .3      .8      .3     3.0     3.0     3.0
          White collar....................  160.3   165.5   165.7      .1      .5      .1     2.8     3.3     3.4
          Blue collar.....................  177.8   180.7   183.0      .7     1.3     1.3     3.3     2.4     2.9
      Nondurables.........................  158.3   161.6   162.8      .3      .7      .7     2.5     2.4     2.8


  Service producing(2)....................  163.3   166.1   167.5     1.0      .7      .8     3.1     2.7     2.6
      Excluding sales.....................  164.2   167.1   168.5      .9      .7      .8     3.1     2.6     2.6
    White collar..........................  166.0   168.9   170.4     1.2      .7      .9     3.4     2.9     2.7
      Excluding sales.....................  168.2   171.2   172.8     1.0      .6      .9     3.5     2.8     2.7
    Blue collar...........................  155.1   157.8   158.9      .5     1.0      .7     2.2     2.3     2.5
    Service...............................  156.6   158.8   159.4      .6      .5      .4     2.0     2.1     1.8

    Transportation and public utilities...  156.0   159.1   160.4      .3     1.0      .8     1.7     2.2     2.8
      Transportation......................  150.4   153.4   155.0     -.1     1.1     1.0      .5     1.9     3.1
      Public utilities....................  163.4   166.4   167.5      .8      .7      .7     3.3     2.7     2.5
        Communications....................  165.4   167.5   168.8     1.2      .3      .8     3.6     2.5     2.1
        Electric, gas, and sanitary
         services.........................  161.0   165.1   165.9      .4     1.1      .5     2.9     2.9     3.0

    Wholesale and retail trade............  159.2   161.6   162.5     1.1      .8      .6     2.4     2.6     2.1
        Excluding sales...................  160.7   162.9   163.5     1.3      .4      .4     2.3     2.6     1.7
      Wholesale trade.....................  164.8   167.8   169.7      .1     1.0     1.1     2.7     1.9     3.0
        Excluding sales...................  165.7   167.6   168.6     0.3    -0.1     0.6     1.9     1.5     1.8
      Retail trade........................  156.3   158.4   158.7     1.6      .7      .2     2.2     3.0     1.5
        General merchandise stores........  153.1   154.9   157.5      .7      .5     1.7     2.0     1.9     2.9
        Food stores.......................  152.2   154.3   154.5      .4      .3      .1     1.4     1.8     1.5

    Finance, insurance, and real estate...  174.1   175.3   176.5     1.0      .1      .7     7.2     1.7     1.4
        Excluding sales...................  179.2   180.5   181.8      .4      .7      .7     7.9     1.1     1.5
      Banking, savings and loan, and other
       credit agencies....................  209.1   207.6   209.5      .2      .4      .9    14.4     -.5      .2
      Insurance...........................  163.9   167.2   168.9      .6     1.3     1.0     2.7     2.6     3.1
        Excluding sales...................  160.4   163.7   164.6      .5     1.2      .5     2.9     2.6     2.6

    Services..............................  165.9   169.3   171.1     1.2      .7     1.1     2.7     3.2     3.1
      Business services...................  169.1   172.7   174.3     1.6     1.0      .9     2.7     3.8     3.1
      Health services.....................  164.6   168.8   170.9      .9      .6     1.2     3.2     3.4     3.8
        Hospitals.........................  166.5   170.5   172.4     1.2      .6     1.1     3.9     3.6     3.5
        Nursing homes.....................    -       -       -        .7      .6      .5     3.1     2.6     2.5
      Educational services................  170.3   172.6   175.5     1.6      .4     1.7     3.1     2.9     3.1
        Colleges and universities.........  167.6   170.0   172.9     1.5      .3     1.7     2.8     3.0     3.2
Industry-Continued

  Nonmanufacturing industries.............  162.1   164.8   166.2     1.0     0.7     0.8     3.1     2.7     2.5
    White collar..........................  165.7   168.6   170.1     1.1      .7      .9     3.4     2.9     2.7
      Excluding sales.....................  167.7   170.7   172.3     1.0      .6      .9     3.5     2.8     2.7
    Blue collar...........................  153.4   156.1   157.1      .7      .9      .6     2.4     2.4     2.4
    Service...............................  156.5   158.7   159.2      .6      .5      .3     2.0     2.1     1.7

            Occupational group

  White collar............................  165.3   168.2   169.7      .9      .7      .9     3.3     2.7     2.7
      Excluding sales.....................  166.2   169.2   170.6      .8      .7      .8     3.4     2.7     2.6
    Professional specialty and
     technical............................  162.1   165.5   167.6     1.0      .5     1.3     2.5     3.1     3.4
    Executive, administrative, and
     managerial...........................  171.8   173.9   174.9      .9      .7      .6     4.6     2.1     1.8
    Sales.................................  161.6   163.9   165.9     1.4      .8     1.2     3.0     2.9     2.7
    Administrative support, including
     clerical.............................  165.1   168.6   169.7      .7      .8      .7     3.0     2.8     2.8

  Blue collar.............................  155.6   158.3   159.5      .6      .7      .8     2.6     2.4     2.5
    Precision production, craft, and
     repair...............................  155.5   158.3   159.3      .5      .8      .6     2.4     2.3     2.4
    Machine operators, assemblers, and
     inspectors...........................  156.8   159.8   161.6     1.0      .8     1.1     3.2     2.9     3.1
    Transportation and material moving....  149.8   151.8   152.9      .5      .9      .7     2.4     1.9     2.1
    Handlers, equipment cleaners, helpers,
     and laborers.........................  159.9   162.7   163.6      .6      .6      .6     2.5     2.3     2.3

  Service.................................  157.1   159.3   159.8      .6      .6      .3     2.1     2.0     1.7

  Production and nonsupervisory
   occupations(3).........................  158.8   161.7   163.1      .9      .6      .9     2.7     2.7     2.7

  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.



Table 7.  Employment Cost Index for wages and salaries for private industry workers by bargaining status, region,
and area

(Not seasonally adjusted data)


                                           Indexes (June 1989=100)               Percent changes for-


   Bargaining status, region, and area                                 3 months ended-         12 months ended-
                                             Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004


            Bargaining status

Union.....................................  155.3   158.7   160.0     0.6     1.0     0.8     2.6     2.9     3.0
    Blue-collar occupations...............  152.8   155.5   156.7      .8      .8      .8     3.0     2.6     2.6

  Goods-producing industries(1)...........  154.8   157.5   158.7      .6      .8      .8     3.2     2.3     2.5
  Service-producing industries(2).........  156.3   160.3   161.7      .8     1.1      .9     2.2     3.4     3.5

  Manufacturing...........................  156.7   159.2   160.5      .5      .7      .8     3.4     2.1     2.4
    Blue-collar occupations...............  155.2   157.8   159.2      .5      .7      .9     3.3     2.2     2.6
  Nonmanufacturing........................  154.6   158.4   159.6      .7     1.1      .8     2.3     3.2     3.2

Nonunion..................................  163.0   165.6   167.0      .9      .6      .8     3.1     2.5     2.5
    Blue-collar occupations...............  157.5   160.2   161.4      .6      .8      .7     2.5     2.4     2.5

  Goods-producing industries(1)...........  159.7   162.4   163.8      .5      .6      .9     2.7     2.2     2.6
  Service-producing industries(2).........  164.0   166.6   168.0     1.0      .6      .8     3.2     2.6     2.4

  Manufacturing...........................  160.9   163.7   165.2      .4      .7      .9     2.6     2.2     2.7
    Blue-collar occupations...............  159.8   162.6   164.1      .7      .4      .9     2.6     2.5     2.7
  Nonmanufacturing........................  163.1   165.7   167.1     1.0      .6      .8     3.2     2.6     2.5

                Region(3)

Northeast.................................  160.0   163.6   164.9     1.0     1.0      .8     3.2     3.3     3.1
South.....................................  157.4   160.1   161.6      .8      .6      .9     1.7     2.6     2.7
Midwest...................................  166.1   167.7   169.2      .7      .5      .9     4.3     1.6     1.9
West......................................  164.7   167.9   169.1     1.0      .7      .7     3.4     2.9     2.7

                   Area

Metropolitan..............................  162.2   164.9   166.3      .9      .7      .8     3.0     2.6     2.5
Other.....................................  158.9   162.1   163.3      .6      .8      .7     3.3     2.6     2.8

  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.



Table 8.  Employment Cost Index for benefits for civilian, State and local government, and private industry
workers by industry, occupational group, and bargaining status

(Not seasonally adjusted data)


                                           Indexes (June 1989=100)               Percent changes for-


    Industry, occupational group, and                                  3 months ended-         12 months ended-
            bargaining status                Sep.    Jun.    Sep.
                                             2003    2004    2004
                                                                     Sep.    Jun.    Sep.    Sep.    Jun.    Sep.
                                                                     2003    2004    2004    2003    2004    2004

Civilian workers..........................  182.8   192.9   195.2     1.6     1.5     1.2     6.5     7.2     6.8
 State and local government...............  176.9   183.0   188.3     3.1     1.0     2.9     6.7     6.6     6.4
 Private industry.........................  184.3   195.3   196.9     1.3     1.6      .8     6.5     7.3     6.8

                 Industry

   Goods producing(1).....................  182.3   196.2   198.1     1.2     1.3     1.0     8.0     8.9     8.7
   Service producing(2)...................  184.7   194.1   195.5     1.3     1.8      .7     5.6     6.5     5.8

   Manufacturing..........................  181.1   196.9   199.2     1.2     1.3     1.2     8.6    10.0    10.0
     Aircraft manufacturing (SIC 3721)....  221.4   264.0   265.2      .5     1.3      .5    21.2    19.8    19.8
       White collar.......................  218.7   265.3   265.9      .2      .5      .2    20.0    21.5    21.6
       Blue collar........................  224.0   259.9   262.9     1.0     2.7     1.2    23.2    17.2    17.4
   Nonmanufacturing.......................  185.1   194.3   195.7     1.3     1.8      .7     5.7     6.3     5.7

            Occupational group

   White collar...........................  187.7   197.4   199.1     1.2     1.5      .9     5.9     6.4     6.1
   Blue collar............................  178.4   191.8   193.3     1.3     1.9      .8     7.3     8.9     8.4
   Service................................  184.1   196.1   197.5     1.1     1.4      .7     6.2     7.7     7.3

            Bargaining status

   Union..................................  185.4   203.3   205.0     1.5     2.3      .8     8.5    11.3    10.6
   Nonunion...............................  183.7   193.0   194.6     1.2     1.5      .8     5.9     6.3     5.9

  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.


                             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 lump-sum payments provided in lieu of wage increases); insurance
 benefits-life, health, short-term disability, and long-term disability;
 retirement and savings benefits-defined benefit and defined contribution
 plans; legally required benefits-Social Security, 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 43,000 occupational observations within about 9,800 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 the newly estimated factors.  The seasonal factors for 2004 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 five-year
 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-June 2004."  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).  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.

     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.