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Economic News Release
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Employer Costs for Employee Compensation Summary


For release 10:00 a.m. (ET) Thursday, December 17, 2020				       USDL-20-2266

Technical information:	(202) 691-6199  *  ncsinfo@bls.gov  *  www.bls.gov/ect
Media contact:		(202) 691-5902  *  pressoffice@bls.gov


			EMPLOYER COSTS FOR EMPLOYEE COMPENSATION – SEPTEMBER 2020
			
Employer costs for employee compensation for civilian workers averaged $38.26 per hour worked in
September 2020, the U.S. Bureau of Labor Statistics reported today. Wages and salaries cost
employers $26.25 while benefits cost $12.01. (See table 1.)

Private industry worker compensation costs for employers averaged $35.95 per hour worked in
September 2020. Wages and salaries averaged $25.23 and accounted for 70.2 percent of employer costs,
while benefit costs averaged $10.72 and accounted for 29.8 percent. (See tables 1 and 4.) 

State and local government compensation costs averaged $52.94 per hour worked. Wages and salaries
averaged $32.74 per hour worked and represented 61.8 percent of total compensation costs, while
benefit costs averaged $20.20 and accounted for the remaining 38.2 percent. (See tables 1 and 3.)

Among state and local government industry groups, total compensation costs were $51.31 per hour
worked in public administration and $55.27 in education and health services. Wages and salaries were
$30.91 in hospitals and $39.45 in junior colleges, colleges, and universities. (See table 3.)

Benefit component costs for state and local government workers

Total benefits ($20.20 per hour worked) include supplemental pay ($0.54), legally required benefits
($2.91), paid leave ($3.99), insurance ($6.21), and retirement and savings ($6.56) costs. The
average retirement and savings cost in the management, professional, and related occupations was
$7.85 per hour worked or 12.4 percent of total compensation. (See tables 1 and 3.)  

Paid leave costs consist of personal ($0.34 per hour worked), sick ($1.01), holiday ($1.12), and
vacation ($1.51) costs. The average paid leave cost in the junior colleges, colleges, and
universities industry was $5.25 or 8.6 percent of total compensation. (See tables 1 and 3.) 

Supplemental pay costs include shift differentials, $0.05 per hour worked (0.1 percent of total
compensation), overtime and premium pay, $0.24 (0.4 percent), and nonproduction bonuses, $0.25
(0.5 percent). (See tables 1 and 3.)

Insurance costs include short-term disability, $0.03 per hour worked (0.1 percent of total
compensation), long-term disability, $0.05 (0.1 percent), life insurance, $0.07 (0.1 percent),
and health insurance, $6.06 (11.4 percent). (See tables 1 and 3.)

Retirement and savings costs include defined contribution plans, $0.44 per hour worked (0.8 percent
of total compensation), and defined benefit plans, $6.11 (11.6 percent). (See tables 1 and 3.)

Legally required benefit costs include state and federal unemployment insurance, $0.06 per hour
worked (0.1 percent of total compensation), workers' compensation, $0.58 (1.1 percent), and Social
Security and Medicare, $2.27 (4.3 percent). (See tables 1 and 3.)

Note: Estimates for highlighted benefit components are available through the database query tool at
www.bls.gov/ncs/ect/data.htm.

 ____________________________________________________________________________________________________________
|		   Coronavirus (COVID-19) Pandemic Impact on September 2020 ECEC Data                        |
|The Employer Costs for Employee Compensation (ECEC) reference date was September 12, 2020. Response rates   |
|for September were comparable with prior releases, and no changes in estimation procedures were necessary.  |
|Additional information is available at www.bls.gov/covid19/effects-of-covid-19-on-workplace-injuries-and-   |
|illnesses-compensation-and-occupational-requirements.htm#ECEC.     					     |
|____________________________________________________________________________________________________________|

Employer Costs for Employee Compensation for December 2020 is scheduled to be released on Thursday, March 18,
2021, at 10:00 a.m. (ET).

The PDF version of the news release

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Supplemental Files Table of Contents

Table of Contents

Last Modified Date: December 17, 2020