According to the Bureau of Labor Statistics' Employer Costs for Employee Compensation survey, private industry employers paid approximately 3.7 percent of total compensation in the form of retirement and savings benefits in June.
Paid leave, insurance, supplemental benefits, legally required benefits and other compensation accounted for an average of $7.30 per hour per employee, while retirement and savings were about $1.03.
"The ECEC is a powerful tool that employers can use to determine how their benefit costs compare to other similar establishments," said BLS official Philip Doyle. He noted the information allows businesses to adjust compensation so that it remains competitive as the economy evolves.
When examining different retirement benefit models, defined benefit plans were found to cost employers an average of 46 cents per hour worked, while defined contribution plans averaged 57 cents per hour.
The percentage of compensation delivered in the form of benefits varied depending on the type of position. Employees in service occupations received only 1.6 percent of their compensation in the form of benefits, while benefits took up 4.1 percent of compensation for those in management, professional and related occupations.
