MNI ANALYSIS: 2Q ECI Slows To +0.5%; Wages +0.5%, Benefits +0.6%>

By Sara Haire and Holly Stokes

     WASHINGTON (MNI) - The Employment Cost Index slowed to 0.5% gain in 

the second quarter, a slower pace than expected and down from the 0.8% 

gain in first quarter, data released by the Bureau of Labor Statistics 

Friday showed. 

     Benefits growth slowed to a 0.6% rise in the second quarter after a 

0.7% gain in the first quarter. Benefits were up 2.5% year/year, a 

faster pace than the 2.2% year/year rate in first quarter. The benefits 

year/year growth continuing to trend upwards. 

     Wage and salary growth fell to 0.5% gain from a 0.8% rise in the 

first quarter and the year/year pace also saw a slip to 2.3% after 2.5% 

in the previous quarter. 

     While the quarter/quarter pace of growth slipped a bit in the most 

recent quarter, the year-over-year rate holding steady suggests steady 

compensation growth. 

     ** MNI Washington Bureau: 202-371-2121 ** 

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