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.
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.
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.
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. 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.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.
