Employee Compensation
Barry Ritholz, citing a June Bureau of Labor Statistics report, breaks down the employer cost per employee hour worked:
· Employer costs for employee compensation averaged $24.96 per hour worked;
· Wages and salaries, which averaged $17.70, accounting for 70.9% of costs;
· Benefits, averaging $7.26, accounted for the remaining 29.1%;
· Costs for *legally required benefits averaged $2.03 per hour 8.1%
(Note that represents the largest non-wage employer cost).
· Life, health, and disability insurance benefits averaged $1.93 (7.7%);
· Paid leave **benefits was $1.66 (6.6%);
· Retirement and savings benefits averaged $1.01 (4.1%).
That’s $56.55 per hour. No wonder President Bush can’t create more jobs!
Update: I just add up the numbers in the left column. . . .
It reminds me of the P.J. O’Rourke spiel about why only he and I pay all the income taxes from Parliament of Whores.
Check your math. You’re doubling things.
What Dave said.
Yes, if you add in the two items that Barry left out of his post (59¢ for Supplemental pay (overtime, shift differentials, etc.) and 4¢ for Other benefits), all of the figures add up to the $24.96 total.
Grrr…HTML processing dumped my cents symbols…so the numbers are $0.59 and $0.04, respectively.