Employee Compensation Up 11%, Report Says

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By Westley Thompson

The hourly cost of total employee compensation in the private sector was $33.49 an hour in March, up about 11 percent from $30.11 in June 2014, the Bureau of Labor Statistics said June 10.

Benefits costs grew faster than wage costs, the BLS said in a news release. Wage and salaries make up 68.3 percent of the cost of compensation, down from 69.8 percent. Benefits made up 31.7 percent of compensation costs, compared with 30.2 percent in June 2014, the agency said.

The hourly cost for employer-provided health-care benefits rose in the past nine months. Managers and professionals received $3.71 in health-care benefits an hour, up from $3.60, the BLS said. Workers in the business sectors of natural resources, construction and maintenance received $2.90 an hour in health-care benefits, up from $2.82.

Employer costs for paid leave averaged $2.18 an hour and 6.9 percent of total compensation in March, compared with $2.08 an hour and 6.9 percent of total compensation nine months ago, the report said.

For more information, see Compensation and Benefits Library's “Health Benefits Funding Mechanisms and Administration” chapter.

To contact the reporter responsible for this story: Westley Thompson at wthompson2@bna.com

To contact the editor responsible for this story: Michael Trimarchi at mtrimarchi@bna.com.

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