New England has the highest employer costs for employee compensation nationally, according to new statistics released by the New England Information Office of the U.S. Bureau of Labor Statistics.
Total compensation costs among private industry employers in the six New England states averaged $39.26 per hour in March 2016, highest across all Census divisions. Wages and salaries accounted for 70.8 percent of total compensation costs (or $27.81 per hour), while benefits accounted for 29.2 percent of costs (or $11.45 per hour).
In the United States, compensation costs among private-industry employers averaged $32.06 per hour worked in March 2016. Wages and salaries, at $22.33 per hour, accounted for 69.7 percent of these costs, while benefits, at $9.73, made up the remaining 30.3 percent, BLS said in the release.
Total benefits costs to employers within the New England division were comprised, primarily, of the following categories: insurance ( life, health, short- and long-term disability insurance) $3.20 per hour worked; legally required benefits (Social Security and Medicare) $2.89 per hour; and paid leave vacation, holiday, sick and personal leave categories) at $2.81 per hour. Retirement and savings added another $1.49 per hour to the total benefits cost in New England.
Among the nine geographic divisions, private industry total compensation costs in March 2016 ranged from $25.12 per hour in the East South Central division to $39.26 in the New England division.
