Q2 Employment Cost Index Preview
The Q2 Employment Cost Index is expect to be up 0.7%, the same increase as Q1 and below the Q7 ‘07 increase of 0.8%. The Q1 report showed inflation effects with wages falling across all categories from 0.6% in management, professional and related occupations to a 1.1% drop in sales and office production, transportation, and material moving. Overall private industry wages were down 0.8%.
Employment Costs are expected to rise 3.1% on a year-on-year basis versus a 3.3% pace in Q1 and would be the lowest level since 1996.