Employment costs rose in the fourth quarter at a lower-than-expected pace, according to new data from the Bureau of Labor Statistics (BLS).
In the three months ended in December, the Employment Cost Index (ECI) advanced 1 percent, slightly lower than economists’ expectations of 1.1 percent. This is down from the 1.2 percent increase in the third quarter and represented the third consecutive quarterly slowdown.
Within the ECI, wages rose 1 percent quarter over quarter, and benefits edged up 0.8 percent. Both were down from 1 percent and 1.3 percent, respectively.
On an annualized basis, compensation costs for civilian workers climbed 5.1 percent for the 12-month span ended in December, up from 5 percent in the third quarter. Benefit costs rose 4.8 percent year over year….