–Retransmitting, Correcting Headline To Q1 Not Q4
By Brai Odion-Esene and Ian McKendry
WASHINGTON (MNI) – Labor costs saw a jump by pre-crisis levels
Friday as the Employment Cost Index jumped by 0.6% in the first quarter
of this year, a level not seen since the three-month period ending in
September 2008, the Bureau of Labor Statistics reported.
Private economists in a Market News International survey had looked
for a 0.4% increase, with forecasts ranging from +0.3% to +0.8%.
The ECI rose 1.7% year-over-year, smaller than the 2.1% increase
for the 12-month period ending March 2009.
Wages and salaries — which make up 70% of the index — rose 0.4%
in the first quarter. Benefits, making up the remaining 30%, were up
1.1%, a level not seen since the period ending in June 2007 (1.2%).
While the year-over-year rise in civilian wages was again by 1.5%,
benefits saw some improvement, up 2.2% in the first quarter.
With improving labor market conditions reported so far in 2010,
compensation in the private industry also jumped by levels not seen
since September 2008, up 0.6%, and 1.6% year-over-year.
Private sector wages and salaries rose by 0.4% and 1.5% over 12
months, while benefits were up 1.4% in Q1 and 2.0% year-over-year.
In the state and local government sector, both compensation costs
and wages were up 0.4% in the first quarter after both rose by 0.5% in
the fourth. Nevertheless, the government sector fared better than the
private sector on a year-over-year basis, with compensation up 2.0% and
wages up 1.8%.
**Market News International Washington Bureau: (202) 371-2121**
[TOPICS: MAUDS$,M$U$$$,MT$$$$]
