TEXT Table 1. Rate changes: Average (mean) changes(1)in wages under current and replaced state and local government Table 2. Rate changes: Average (mean) changes(1) in wages and compensation in state and local Table 3. Rate changes: Percent distribution of workers under state and local government collective Table 4. Rate changes: Percent distribution of workers under state and local government collective Table 5. Rate changes: Selected characteristics of settlements covering 1,000 workers or more, by duration of Table 6. Rate changes: Average (mean) changes(1) in wages and compensation in state and local Table 7. Rate changes: Average (mean) changes(1) in wages and compensation in state and local Table 8. Rate changes: Average (mean) changes(1) in wages and compensation in state and local government Table 9. Cost changes: Average (mean) changes(1) in the cost of compensation and components Table 10. Rate changes: Average changes in wages in state and local government collective bargaining agreements Table 11. Rate changes: Average changes in wages in state and local government collective Technical information: USDL: 95-323 Joan Borum (202) 606-6280 For release: 10:00 A.M. EDT Media contact: (202) 606-5902 Wednesday, August 23, 1995 MAJOR COLLECTIVE BARGAINING SETTLEMENTS IN STATE AND LOCAL GOVERNMENT, FIRST 6 MONTHS 1995 Major collective bargaining settlements reached in state and local government during the first half of 1995 provided changes in wage rates over the contract term that, on average, were lower, over the contract term than were specified in the agreements they replaced, the U.S. Department of Labor's Bureau of Labor Statistics reported today. This marked a return to the relationship that had prevailed from the second half of 1990 through 1993. The series covers bargaining units with 1,000 workers or more and was initiated in 1984. Wage rate changes under settlements Settlements in the first half of 1995 specified wage rate changes averaging an increase of 2.0 percent in the first year of the agreements and 2.3 percent annually over the life of the contracts. (See table 1.) Corresponding changes in agreements they replaced (which were negotiated primarily in 1993 or 1994) were 1.9 and 3.1 percent. (Lump-sum payments and cost-of-living adjustments are not included in specified wage rate changes.) During the first 6 months of 1995, 114 settlements, covering 352,000 state and local government workers, were concluded. Over their terms, agreements reached during the first half of 1995 specified wage rate increases for 83 percent of the workers, no rate change for 13 percent, and a net decrease for 4 percent. (See table 3.) A majority of workers with freezes and all workers with decreases were in local government. This, coupled with smaller average rate increases in local than in state government, made the average change in local settlements smaller than in state government--an increase of 2.2 percent annually over the contract term for local government, compared with 2.7 percent for state government. Local governments employed 66 percent (232,000) of state andlocal government workers under settlements in the first 6 months of 1995. Settlements in education (primarily for teachers, but also for administrators and service employees), covering 41 percent (145,000) of the workers under contracts reached in the first half of 1995, provided wage rate changes averaging an increase of 2.8 percent a year over the contract term. Settlements in general administration, covering about 33 percent (117,000) of the workers under contracts signed during the first 6 months of 1995, provided wage rate changes averaging an increase of 1.5 percent annually over the contract term. State and local government settlements negotiated during the first half of 1995 had an average duration of 25 months, the same as the agreements they replaced. (See table 5.) About one-third of workers under settlements in the period were covered by contracts running for 12 months or less and another one-third had contracts that were 3 yearsor more in duration. Compensation cost changes under settlements The BLS data on negotiated changes in employers' costs for employee compensation relate to settlements covering 5,000 workers or more. Compensation cost changes include specified (guaranteed) cash and benefit lump-sum payments and reflect both the size and timing of compensation rate changes. (Lump-sum payments and timing are not taken into account in the rate measure.) See the Explanatory Note for a more detailed description of the cost series. In the first 6 months of 1995, settlements covering 5,000 workers or more called for compensation cost changes averaging an increase of 0.9 percent a year over the life of the contract. (See table 9.) These settlements applied to 46 percent (161,000) of the workers under all major settlements in state and local government during the period. Settlements in state government (for 91,000 workers) averaged an increase of 1.4 percent, compared with 0.1 percent under settlements in local government (for 70,000 workers). The lower rate for local government workers primarily reflected compensation freezes or cuts for some fairly large units. Changes in employer costs for cash payments to workers (including wages and lump-sum payments) averaged an increase of 0.8 percent a year over the life of the contract, while changes in wage costs alone averaged an increase of 0.9 percent . (About 93,000 workers were under settlements that specified lump-sum payments.) Changes in benefit costs averaged an increase of 1.0 percent a year over the contract term. Wage rate changes under all major agreements In addition to data just presented on changes in rates and costs under settlements, BLS compiled information on wage rate changes for state and local government workers under all major agreements in effect during the first 6 months of 1995. (See tables 10 and 11.) During the first half of 1995, wage rate changes for the 2.8 million state and local government workers under all major agreements averaged an increase of 0.5 percent--0.1 percent from settlements reached in the period and 0.4 percent from agreements reached earlier. Changes from cost-of-living adjustments (COLAs) were negligible. About 654,000 workers were under major contracts that increased wage rates in the first half of 1995. The increases averaged 2.5 percent. Another 2.1 million workers were under contracts that provided no wage change. About 14,700 workers had wage decreases. Wage rate increases during the first half of 1995 stemmed from one or more of the following: (1) Settlements reached in 1995 which provided increases in the first half of 1995 averaging 3.8 percent for 120,000 workers; (2) contracts negotiated before 1995 that specified increases in the first half of 1995 averaging 2.2 percent for 528,000 workers; and (3) COLA provisions, which yielded average increases of 0.8 percent for 6,500 workers. (About 134,000 additional workers had COLA reviews which did not produce a wage change, largely because movements in the BLS Consumer Price Index were insufficient to trigger one.) Second half 1995 bargaining activity Approximately 459,000 state and local government workers are under 114 major agreements scheduled to expire or reopen between June and December 1995. In addition, about 1.4 million workers are under 301 major contracts that expired or reopened, but had not been renegotiated or ratified, prior to June 30, 1995. Thus, in total, about 1.9 million state and local government workers may be involved in bargaining during the second half of 1995. About 1.1 million are employed by local governments; and more than one-fourth (537,000) of all workers are in state and local education. In the second half of 1995, about 699,000 workers are slated for wage increases averaging 3.3 percent under provisions of agreements reached earlier. No workers are scheduled to have their wage rates reduced. About 7,960 workers are scheduled for COLA reviews during the period. EXPLANATORY NOTE ABOUT THE DATA This release covers major collective bargaining units--those with 1,000 workers or more--in state and local government. The collective bargaining units are limited to those in which: (1) A labor organization is recognized as the bargaining agent for a group of workers and settlements are embodied in signed, mutually binding collective bargaining agreements; and (2) at least wages are determined by collective bargaining. BLS is aware of 679 such units covering 2.8 million workers. Comparisons of major collective bargaining settlements for state and local governments with those for private industry should note differences in occupation mix, bargaining practices, and settlement characteristics. Professional and other white-collar employees, for example, make up a much larger proportion of the workers covered by government than by private industry settlements. Lump-sum payments and cost-of-living adjustment (COLA) clauses, on the other hand, are less common in government than in private industry settlements. Also, state and local government bargaining frequently excludes items, such as pension benefits and holidays, that are prescribed by law; these items are typical bargaining issues in private industry. Wage and compensation changes under settlements The series on major collective bargaining settlements estimates how much wage and compensation rates and compensation costs will change from existing levels as a result of new collective bargaining agreements reached during specified reference periods. Compensation rates include: Straight-time pay for time worked; premium pay for overtime, weekend, holiday, and shift work; paid leave; life, health, and sickness and accident insurance; pensionand other retirement plans; severance pay; and legally required benefits. Compensation rates exclude lump-sum payments because they are not part of the ongoing rate structure. Compensation costs include: The items covered by compensation rates plus specified cash and benefit lump-sum payments, which are excluded from rate data. Wage and compensation rate changes: The rate change for a settlement is the percent difference between the average rate just prior to the start of a new agreement and the average rate that would exist at the end of the first 365 days of the new agreement (first-year measure) or at its expiration date (over-the-life measure). (The over-the-life measure is expressed as an annual average change). The average rate change for all settlements is calculated by first multiplying the rate change for each settlement by the number of workers under the settlement. Next, the resulting products are summed, and the sum is divided by the total number of workers under all settlements. The result is the average change for all settlements. Compensation cost changes: The compensation cost change for a settlement is the percent difference between the average cost of compensation per work hour (including the hourly cost of lump-sum payments made during the term of the expiring agreement) just prior to the start of a new agreement and the average cost of compensation per hour under the settlement. The average cost of compensation under the settlement is calculated in two steps, as follows: 1) Each hourly compensation rate (excluding lump-sum payments) is multiplied by the number of hours it is to be paid during the agreement, the products are summed and the total is divided by the number of work hours over the agreement term. The result is the cost per work hour of compensation excluding specified lump-sum payments. 2) The cost per work hour of specified lump-sum payments is computed by dividing the total amount of any cash and benefit lump sums by the total number of work hours over the agreement term. The sum of the results of 1) and 2) is the estimated average cost of compensation per work hour over the term of the agreement. The percent difference between this amount and average cost at the end of the expiring agreement is the average cost change under the settlement. The average cost change under all settlements is calculated by multiplying the percent change in cost under each settlement by the number of workers under the settlement. The results are summed, and the sum is divided by the total number of workers under all settlements. The following example illustrates one of the major differences between the compensation rate series and the compensation cost series. Two agreements (A and B) expire. At expiration, compensation under each agreement is $10 an hour. The agreements are replaced by new settlements that run for one year. The settlement replacing agreement A immediately increases compensation from $10 an hour to $10.50 an hour. The settlement replacing agreement B leaves compensation unchanged for the first six months and then increases compensation from $10 an hour to $10.50 an hour. The rate series measures the size of each settlement by calculating the difference between compensation at the expiration of the old agreement and compensation at the expiration of the new agreement and computing the percent change. Thus, it measures each settlement as providing a 5 percent ($.50/$10) compensation rate increase over the one- year term. The cost series measures the size of each settlement by comparing employer costs for compensation under the settlement with what they were under the expiring agreement just before it was renegotiated as follows: When each agreement expired, an employee who worked 2,000 hours over the year would cost the employer $20,000 (2,000 hours at $10). Under the settlement replacing agreement A (with the immediate increase), the employer would pay for 2,000 hours at $10.50 an hour, or $21,000 for the year, a 5 percent increase over the $20,000. Under the settlement replacing agreement B (with the delayed increase), the employer would pay for 1,000 hours at $10 an hour and for 1,000 hours at $10.50 an hour, or $20,500 for the year, a 2.5 percent increase over the $20,000. Thus, the cost series reflects the influence of timing of changes during the agreement term which is not reflected by the rate series. For a more detailed description of the compensation cost series and how it compares with the compensation rate series, see Alvin Bauman, "A New Measure of Compensation Cost Changes," Monthly Labor Review, August 1990, pp. 11-18. Data on changes under settlements exclude potential increases or decreases that may result from COLA clauses that are based on future changes in the CPI unknown at the time of settlement. The data do, however, include "guaranteed" COLA payments (those specified when the agreement was reached and scheduled to be implemented later) because they are not tied to subsequent price movements. Similarly, data on cost changes exclude contingent lump-sum payments (such as those tied to future profit levels or productivity increases) but include lump-sum payments guaranteed by the settlement. Estimates of changes are based on the assumption that conditions existing at the time of settlement (e.g., composition of the labor force or methods of funding pensions) will remain constant over the life of the contract. Wage rate changes under all contracts The series on all major collective bargaining contracts estimates average wage rate changes during the reference period under settlements reached during the calendar year as well as under major agreements reached earlier and remaining in force during the period. The average change under all contracts in force during a period is computed by multiplying the percent change under each contract by the number of workers covered, adding the products, and dividing the sum by the total number of workers under all contracts. The average rate change reflects net rate increases, decreases, and zero changes during the reference period. Rate increases and decreases stem from settlements in the calendar year that call for increases or decreases during the period, from agreements reached earlier with increases or decreases deferred to the period, and from COLA clauses. (Although some agreements do not incorporate wage increases and decreases from COLA clauses into base wage rates, such changes are included in the Bureau's wage rate change measure for all contracts.) Wage changes under COLA clauses are based on changes in the Consumer Price Index for a review period designated in the agreement. Data for 1995 are preliminary and may be revised if additional information is obtained. Final data will be available in the Spring of 1996. Additional historical information is available from the Office of Compensation and Working Conditions, Bureau of Labor Statistics, Washington, D.C. 20212. Data on second quarter private industry agreements, which are collected separately, were released on July 25, 1995. Information in this release will be made available to sensory impaired individuals upon request. Voice phone: 202-606-7828, TDD phone: 202-606-5897, TDD Message Referral Phone Number: 1-800-326-2577. __________________________________ Major state and local government collective bargaining settlement data for the second half of 1995 and the year ended December 1995 will be released in February 1996. Table 1. Rate changes: Average (mean) changes(1)in wages under current and replaced state and local government collective bargaining settlements covering 1,000 workers or more, six-and 12-month periods, 1990-first six months of 1995 (in percent) _________________________________________________________________________________________________________________ | | | | | | | 1990 | 1991 | 1992 | 1993 | 1994 | 1995 |_____________|_____________|_____________|_____________|_____________|______ Measure | | | | | | | | | | | | First|Second| First|Second| First|Second| First|Second| First|Second| First | half | half | half | half | half | half | half | half | half | half | half | | | | | | | | | | | (2) ____________________________________|______|______|______|______|______|______|______|______|______|______|______ | | Semi-annual averages |______ ______ ______ ______ ______ ______ ______ ______ ______ ______ ______ | | | | | | | | | | | First year change(3) | | | | | | | | | | | Current settlements...............| 5.0| 4.8| 2.6| 1.8| 1.4| 0.9| 1.1| 1.2| 2.9| 2.5| 2.0 Replaced settlements..............| 4.6| 5.3| 4.9| 5.0| 4.9| 4.4| 3.4| 2.4| 2.5| 2.0| 1.9 | | | | | | | | | | | Annual changes over the contract | | | | | | | | | | | term(4) | | | | | | | | | | | Current settlements...............| 5.0| 4.9| 2.6| 2.8| 2.5| 1.7| 2.2| 2.0| 3.1| 3.0| 2.3 Replaced settlements..............| 4.4| 5.5| 4.6| 5.2| 4.7| 3.9| 3.5| 2.5| 2.8| 2.8| 3.1 |____________________________________________________________________________ | | 12 months ended |______ ______ ______ ______ ______ ______ ______ ______ ______ ______ ______ | | | | | | | | | | | First year change(3) | | | | | | | | | | | Current settlements...............| 5.1| 4.9| 3.8| 2.3| 1.6| 1.1| 1.0| 1.1| 1.9| 2.7| 2.3 Replaced settlements..............| 5.1| 5.0| 5.1| 4.9| 4.9| 4.6| 3.8| 2.9| 2.4| 2.0| 1.9 | | | | | | | | | | | Annual changes over the contract | | | | | | | | | | | term(4) | | | | | | | | | | | Current settlements...............| 5.2| 5.0| 3.9| 2.8| 2.6| 2.1| 2.0| 2.1| 2.5| 3.0| 2.7 Replaced settlements..............| 5.0| 5.1| 5.1| 4.9| 4.9| 4.3| 3.7| 3.0| 2.5| 2.8| 2.9 ____________________________________|______|______|______|______|______|______|______|______|______|______|______ 1 Includes net increases, decreases, and zero change. Excludes lump-sum payments and potential changes from COLA clauses. 2 Preliminary. 3 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 4 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. Table 2. Rate changes: Average (mean) changes(1) in wages and compensation in state and local government collective bargaining settlements, first six months of 1995 (preliminary) (in percent) ______________________________________________________________________________________________________ | | | | | | Annual | | | First-year | change | Number of | Number of Measure | change(2) | over the | workers | settlements | | life of the| (000's) | | |contracts(3)| | __________________________________________________|____________|____________|____________|____________ | | | | Wage changes in settlements | | | | covering 1,000 workers or more: | | | | | | | | All state and local government...............| 2.0 | 2.3 | 352 | 114 State government...........................| 2.3 | 2.7 | 120 | 24 Local government...........................| 1.9 | 2.2 | 232 | 90 | | | | Government function | | | | General government and administration......| 1.3 | 1.5 | 117 | 24 Education..................................| 2.8 | 2.8 | 145 | 57 Primary and secondary.....................| 2.7 | 2.7 | 128 | 49 Colleges and universities.................| 3.7 | 3.3 | 17 | 8 Protective services........................| 0.9 | 2.1 | 44 | 16 Health services............................| 2.3 | 3.8 | 24 | 7 Other(4)...................................| 2.4 | 2.5 | 22 | 10 | | | | Compensation changes in settlements | | | | covering 5,000 workers or more: | | | | | | | | All state and local government...............| 1.8 | 2.0 | 161 | 17 State government...........................| 2.0 | 2.4 | 91 | 9 Local government...........................| 1.5 | 1.4 | 70 | 8 | | | | Government function | | | | General government and administration......| 1.3 | 1.2 | 80 | 6 Education..................................| 2.6 | 2.5 | 46 | 6 Protective services........................| 0.6 | 2.1 | 17 | 2 Other(5)...................................| 3.0 | 4.0 | 17 | 3 __________________________________________________|____________|____________|____________|____________ 1 Includes net increases, decreases, and zero change. All measures exclude any cash or benefit lump-sum payments and potential changes from COLA clauses. 2 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 3 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. 4 Includes units in transportation and public utilities. 5 Includes units in health services, transportation, and public utilities. NOTE: Because of rounding, sums of individual employment items may not equal totals. Table 3. Rate changes: Percent distribution of workers under state and local government collective bargaining settlements covering 1,000 workers or more by change(1) in wages, first six months of 1995 (preliminary) ____________________________________________________________________________________________________ | | | | All | State | Local | government | government | government Measure |______________|______________|______________ | | First-year change(2) _______________________________________________________|____________________________________________ | | | Number of workers (in thousands).......................| 352 | 120 | 232 | | | | | | Percent of workers | | | All settlements......................................| 100 | 100 | 100 | | | No wage change....................................| 33 | 39 | 29 Decreases(3)......................................| 4 | 0 | 6 Increases.........................................| 63 | 61 | 64 Under 3 percent..................................| 18 | 9 | 23 3 and under 4 percent............................| 19 | 17 | 20 4 and under 5 percent............................| 20 | 33 | 13 5 percent and over ..............................| 6 | 2 | 8 | | | | | | Changes (in percent): | | | Mean change..........................................| 2.0 | 2.3 | 1.9 Median change........................................| 2.4 | 3.0 | 2.4 Mean increase.....................................| 3.4 | 3.7 | 3.2 Median increase...................................| 3.1 | 4.0 | 3.0 |____________________________________________ | | Annual change over | life of contracts(4) |____________________________________________ | | | Number of workers (in thousands).......................| 352 | 120 | 232 | | | | | | Percent of workers | | | All settlements......................................| 100 | 100 | 100 | | | No wage change....................................| 13 | 15 | 11 Decreases(3)......................................| 4 | 0 | 6 Increases.........................................| 83 | 85 | 82 Under 3 percent................................| 36 | 31 | 38 3 and under 4 percent..........................| 25 | 28 | 23 4 and under 5 percent..........................| 17 | 25 | 13 5 percent and over.............................| 5 | 1 | 7 | | | | | | Changes (in percent): | | | Mean change..........................................| 2.3 | 2.7 | 2.2 Median change........................................| 2.6 | 3.0 | 2.5 Mean increase.....................................| 3.0 | 3.1 | 3.0 Median increase...................................| 3.0 | 3.0 | 3.0 _______________________________________________________|______________|______________|______________ 1 Mean and median changes include net increases, decreases, and zero change. Mean and median increases refer to only those settlements with a net increase. Data exclude lump-sum payments and potential changes from COLA clauses. 2 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 3 Distributions are not shown to protect confidentiality. 4 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. NOTE: Because of rounding, sums of individual employment items may not equal totals. Table 4. Rate changes: Percent distribution of workers under state and local government collective bargaining settlements covering 5,000 workers or more by change(1) in compensation, first six months of 1995 (preliminary) ____________________________________________________________________________________________________ | Measure | First-year change(2) _________________________________________________________________|__________________________________ | | Total number of workers (in thousands).........................| 161 | Percent of workers | | All settlements................................................| 100 | No change...................................................| 37 Decreases...................................................| 9 Increases...................................................| 54 Under 2 percent..........................................| 4 2 and under 3 percent....................................| 14 3 and under 4 percent....................................| 15 4 percent and over.......................................| 20 | Changes (in percent): | Mean change..................................................| 1.8 Median change................................................| 1.5 Mean increase.............................................| 3.6 Median increase...........................................| 3.6 |__________________________________ | | | | Annual change over | life of contracts(3) |__________________________________ | | Total number of workers (in thousands).........................| 161 | Percent of workers | | All settlements................................................| 100 | No change...................................................| 15 Decreases...................................................| 9 Increases...................................................| 75 Under 2 percent..........................................| 22 2 and under 3 percent....................................| 21 3 and under 4 percent....................................| 12 4 percent and over.......................................| 20 | Changes (in percent): | Mean change..................................................| 2.0 Median change................................................| 2.3 Mean increase.............................................| 3.1 Median increase...........................................| 2.8 _________________________________________________________________|__________________________________ 1 Mean and median changes include net increases, decreases, and zero change. Mean and median increases refer to only those settlements with a net increase. Data exclude any cash or benefit lump-sum payments and potential changes from COLA clauses. 2 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 3 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. NOTE: Because of rounding, sums of individual employment items may not equal totals. Table 5. Rate changes: Selected characteristics of settlements covering 1,000 workers or more, by duration of contract, first six months of 1995 _____________________________________________________________________________________________________________________ | | Contract duration ____________________________________________________________________________ | | | | | | | | Measure | | | More than| | More than| | | All | 12 months| 12 and | 24 months| 24 and | 36 months| More than | contracts| or less | less than| | less than| | 36 months | | | 24 months| | 36 months| | _____________________________________________________________________________________________________________________ | | | | | | | | | | | | | | Number of settlements...................| 114 | 41 | 8 | 23 | 3 | 25 | 14 | | | | | | | Number of workers (in thousands)........| 352 | 118 | 25 | 77 | 8 | 81 | 44 | | | | | | | Average contract duration (months)......| 25.0 | 10.9 | 14.1 | 24.0 | 28.8 | 36.0 | 49.4 | | | | | | | Percent change in wages:(1) | | | | | | | | | | | | | | Annualized over the contract term.....| 2.3 | 1.8 | 2.2 | 3.2 | 1.7 | 2.6 | 2.0 | | | | | | | Occurring in: | | | | | | | First contract year(2)................| 2.0 | 1.8 | 2.6 | 3.0 | 2.0 | 1.9 | 0.6 Second contract year(3)...............| 2.3 | NA | 0.0 | 3.4 | 2.0 | 3.0 | 0.5 Third contract year(4)................| 2.5 | NA | NA | NA | 0.0 | 3.0 | 2.1 _____________________________________________________________________________________________________________________ | | | | | | | 1 Includes net increases, decreases, and zero change. Excludes lump-sum payments and potential changes from COLA clauses. 2 Data are not annualized. 3 Average is based only on settlements with a duration greater than 12 months. Data are not annualized. 4 Average is based only on settlements with a duration greater than 24 months. Data are not annualized. NOTE: "NA" indicates not applicable. Because of rounding, sums of individual employment items may not equal totals. Table 6. Rate changes: Average (mean) changes(1) in wages and compensation in state and local government collective bargaining settlements, 12 months ended with the first six months of 1995 (preliminary) (in percent) ______________________________________________________________________________________________________ | | | | | | Annual | | | First-year | change | Number of | Number of Measure | change(2) | over the | workers | settlements | | life of the| (000's) | | |contracts(3)| | __________________________________________________|____________|____________|____________|____________ | | | | Wage changes in settlements | | | | covering 1,000 workers or more: | | | | | | | | All State and local government...............| 2.3 | 2.7 | 1,000 | 286 State government...........................| 2.3 | 2.7 | 218 | 43 Local government...........................| 2.3 | 2.8 | 782 | 243 | | | | Government function | | | | General government and administration....| 1.5 | 2.0 | 258 | 60 Education................................| 3.0 | 3.2 | 486 | 153 Primary and secondary...................| 3.0 | 3.1 | 452 | 142 Colleges and universities...............| 3.8 | 3.5 | 34 | 11 Protective services......................| 1.2 | 2.7 | 121 | 35 Health services..........................| 2.3 | 3.2 | 53 | 17 Other(4).................................| 2.4 | 2.6 | 82 | 21 | | | | Compensation changes in settlements | | | | covering 5,000 workers or more: | | | | | | | | All State and local government...............| 2.3 | 2.7 | 512 | 49 State government...........................| 2.1 | 2.2 | 159 | 15 Local government...........................| 2.4 | 2.9 | 353 | 34 | | | | Government function | | | | General government and administration....| 1.6 | 1.9 | 169 | 15 Education................................| 3.2 | 3.3 | 216 | 22 Other(5).................................| 1.9 | 2.7 | 127 | 12 __________________________________________________|____________|____________|____________|____________ 1 Includes net increases, decreases, and zero change. All measures exclude any cash or benefit lump-sum payments and potential changes from COLA clauses. 2 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 3 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. 4 Includes units in transportation and public utilities. 5 Includes units in protective services, health services, transportation, and public utilities. NOTE: Because of rounding, sums of individual employment items may not equal totals. Table 7. Rate changes: Average (mean) changes(1) in wages and compensation in state and local government collective bargaining settlements, by year and six-month periods (in percent) _______________________________________________________________________________________________________ | | | Annual averages | Six-month averages |_________________|____________________________________________ | | | | | Measure | | | 1993 | 1994 | 1995(2) | | |_________________|_________________|________ | 1993 | 1994 | | | | | | | | First | Second | First | Second | First | | | half | half | half | half | half(2) ________________________________________|________|________|________|________|________|________|________ | | | | | | | Wage changes in settlements covering | | | | | | | 1,000 | | | | | | | workers or more: | | | | | | | First year(3) | | | | | | | All state and local government......| 1.1 | 2.7 | 1.1 | 1.2 | 2.9 | 2.5 | 2.0 State government..................| 1.3 | 3.0 | 1.4 | 1.1 | 3.2 | 2.4 | 2.3 Local government..................| 1.0 | 2.5 | 0.8 | 1.3 | 2.5 | 2.5 | 1.9 Annual average over the life of the | | | | | | | contract(4) | | | | | | | All state and local government......| 2.1 | 3.0 | 2.1 | 2.0 | 3.1 | 3.0 | 2.3 State government..................| 2.4 | 3.2 | 2.8 | 1.6 | 3.4 | 2.6 | 2.7 Local government..................| 1.9 | 3.0 | 1.7 | 2.1 | 2.9 | 3.0 | 2.2 | | | | | | | Compensation changes in settlements | | | | | | | covering | | | | | | | 5,000 workers or more: | | | | | | | First year(3) | | | | | | | All state and local government......| 0.9 | 2.8 | 1.0 | 0.7 | 3.0 | 2.6 | 1.8 State government..................| 1.2 | 2.8 | 1.4 | 0.7 | 2.9 | 2.4 | 2.0 Local government..................| 0.7 | 2.8 | 0.6 | 0.7 | 3.1 | 2.7 | 1.5 Annual over life of contract(4) | | | | | | | All state and local government......| 1.8 | 3.1 | 2.0 | 1.6 | 3.3 | 3.0 | 2.0 State government..................| 2.1 | 2.9 | 2.5 | 1.1 | 3.2 | 2.0 | 2.4 Local government..................| 1.6 | 3.3 | 1.4 | 1.7 | 3.4 | 3.2 | 1.4 ________________________________________|________|________|________|________|________|________|________ 1 Includes net increases, decreases, and zero change. All measures exclude any cash or benefit lump-sum payments and potential changes from COLA clauses. 2 Preliminary. 3 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 4 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. Table 8. Rate changes: Average (mean) changes(1) in wages and compensation in state and local government collective bargaining settlements during 12-month periods (in percent) _________________________________________________________________________________________________________ | | Twelve months ended |______________________________________________________________ | | | | Measure | 1992 | 1993 | 1994 | 1995 |_________________|_________________|_________________|________ | | | | | | | | June | Dec. | June | Dec. | June | Dec. | June(2) __________________________________________|________|________|________|________|________|________|________ | | | | | | | Wage changes in settlements covering 1,000| | | | | | | workers or more: | | | | | | | First year(3) | | | | | | | All state and local government......| 1.6 | 1.1 | 1.0 | 1.1 | 1.9 | 2.7 | 2.3 State government..................| 1.0 | 0.5 | 0.9 | 1.3 | 2.3 | 3.0 | 2.3 Local government..................| 2.0 | 1.7 | 1.1 | 1.0 | 1.7 | 2.5 | 2.3 Annual average over the contract term(4)| | | | | | | All state and local government......| 2.6 | 2.1 | 2.0 | 2.1 | 2.5 | 3.0 | 2.7 State government..................| 2.9 | 2.0 | 2.2 | 2.4 | 2.6 | 3.2 | 2.7 Local government..................| 2.4 | 2.1 | 1.7 | 1.9 | 2.4 | 3.0 | 2.8 | | | | | | | Compensation changes in settlements | | | | | | | covering | | | | | | | 5,000 workers or more: | | | | | | | First year(3) | | | | | | | All state and local government......| 1.0 | 0.6 | 0.8 | 0.9 | 1.5 | 2.8 | 2.3 State government..................| 0.8 | 0.2 | 0.8 | 1.2 | 2.1 | 2.8 | 2.1 Local government..................| 1.6 | 1.4 | 0.8 | 0.7 | 1.1 | 2.8 | 2.4 Annual average over the contract term(4)| | | | | | | All state and local government......| 2.6 | 1.9 | 1.7 | 1.8 | 2.2 | 3.1 | 2.7 State government..................| 2.8 | 2.0 | 2.1 | 2.1 | 2.4 | 2.9 | 2.2 Local government..................| 2.1 | 1.5 | 1.2 | 1.6 | 2.0 | 3.3 | 2.9 __________________________________________|________|________|________|________|________|________|________ 1 Includes net increases, decreases, and zero change. 2 Preliminary. 3 Changes under settlements reached in the period and effective within 12 months of the contract effective date. 4 Changes under settlements reached in the period expressed as an average annual rate over the life of the contract. Table 9. Cost changes: Average (mean) changes(1) in the cost of compensation and components annualized over the life of the contract(2) in state and local government collective bargaining settlements covering 5,000 workers or more, by six-month periods, and during 12-month periods (in percent) ________________________________________________________________________________________________ | | | | | 1992 | 1993 | 1994 | 1995 |_______________|_______________|_______________|_______ Item | | | | | | | | First | Second| First | Second| First | Second| First | half | half | half | half | half | half |half(3) ________________________________________|_______|_______|_______|_______|_______|_______|_______ | | | | | | | | | | | | | | | | | | | | | All state and local government | | | | | | | Compensation ........................| 1.2 | 0.5 | 1.0 | 0.9 | 2.2 | 2.2 | 0.9 Cash payments (4)....................| 1.3 | 0.7 | 1.1 | 1.0 | 2.4 | 1.9 | 0.8 Wages...............................| 1.2 | 0.7 | 0.9 | 1.0 | 2.4 | 1.8 | 0.9 Benefits.............................| 1.1 | 0.4 | 0.9 | 0.8 | 1.8 | 3.4 | 1.0 | | | | | | | State government | | | | | | | Compensation ........................| 1.2 | 0.6 | 1.3 | 0.7 | 2.1 | 1.4 | 1.4 Cash payments (4)....................| 1.2 | 0.6 | 1.4 | 0.8 | 2.4 | 1.4 | 1.4 Wages...............................| 1.1 | 0.6 | 1.4 | 0.7 | 2.4 | 1.4 | 1.6 Benefits.............................| 1.0 | 0.5 | 1.1 | 0.6 | 1.7 | 1.5 | 1.4 | | | | | | | Local government | | | | | | | Compensation ........................| 1.3 | 0.3 | 0.6 | 1.0 | 2.5 | 2.4 | 0.1 Cash payments (4)....................| 1.4 | 0.8 | 0.6 | 1.1 | 2.7 | 2.0 | (5) Wages...............................| 1.4 | 0.8 | 0.5 | 1.1 | 2.7 | 1.9 | -0.1 Benefits.............................| 1.1 | 0.3 | 0.6 | 0.8 | 2.2 | 3.9 | 0.6 |_______________________________________________________ | | Twelve months ended |_______________________________________________________ | | | | | | | | June | Dec. | June | Dec. | June | Dec. |June(3) |_______|_______|_______|_______|_______|_______|_______ | | | | | | | | | | | | | | | | | | | | | All state and local government | | | | | | | Compensation.........................| 1.8 | 0.8 | 0.8 | 1.0 | 1.4 | 2.2 | 1.8 Cash payments(4).....................| 1.3 | 1.0 | 0.9 | 1.0 | 1.6 | 2.1 | 1.5 Wages...............................| 1.2 | 0.9 | 0.8 | 1.0 | 1.5 | 2.1 | 1.5 Benefits.............................| 1.8 | 0.7 | 0.7 | 0.8 | 1.2 | 2.7 | 2.7 With contingent pay provisions(6) | | | | | | | Compensation.........................| - | 0.9 | 0.9 | - | - | 1.2 | 1.2 Cash payments(4).....................| - | 1.0 | 1.0 | - | - | 1.5 | 1.5 Wages...............................| - | 1.0 | 1.0 | - | - | 0.7 | 0.7 Benefits.............................| - | 0.8 | 0.8 | - | - | 0.6 | 0.6 Without contingent pay provisions(7) | | | | | | | Compensation.........................| 1.8 | 0.8 | 0.8 | 1.0 | 1.4 | 2.3 | 1.8 Cash payments(4).....................| 1.3 | 0.9 | 0.9 | 1.0 | 1.6 | 2.1 | 1.5 Wages...............................| 1.2 | 0.9 | 0.8 | 1.0 | 1.5 | 2.1 | 1.6 Benefits.............................| 1.8 | 0.7 | 0.7 | 0.8 | 1.2 | 2.8 | 2.8 | | | | | | | | | | | | | | State government | | | | | | | Compensation.........................| 2.1 | 0.9 | 1.0 | 1.2 | 1.6 | 1.9 | 1.4 Cash payments(4).....................| 1.3 | 0.9 | 1.1 | 1.3 | 1.8 | 2.1 | 1.4 Wages...............................| 1.2 | 0.9 | 1.1 | 1.2 | 1.7 | 2.1 | 1.5 Benefits.............................| 1.9 | 0.7 | 0.8 | 0.9 | 1.3 | 1.7 | 1.4 | | | | | | | | | | | | | | Local government | | | | | | | Compensation.........................| 1.3 | 0.8 | 0.6 | 0.8 | 1.3 | 2.5 | 2.0 Cash payments(4).....................| 1.2 | 1.1 | 0.7 | 0.9 | 1.4 | 2.1 | 1.6 Wages...............................| 1.2 | 1.0 | 0.6 | 0.8 | 1.4 | 2.1 | 1.5 Benefits.............................| 1.4 | 0.7 | 0.5 | 0.7 | 1.1 | 3.5 | 3.2 ________________________________________|_______|_______|_______|_______|_______|_______|_______ 1 Includes net increases, decreases, and no change. Excludes potential changes from contingent pay provisions. 2 Changes under settlements reached in the period expressed as an average annual (compound) rate over the life of the contract. 3 Preliminary. 4 Cash payments include wages and lump-sum payments. 5 Less than 0 and greater than -0.05 percent. 6 Contingent pay provisions include COLA clauses and/or contingent lump-sum payment clauses. Data exclude potential changes from contingent pay provisions. 7 Data exclude potential changes from contingent pay provisions. NOTE: "-" indicate no observations. Table 10. Rate changes: Average changes in wages in state and local government collective bargaining agreements covering 1,000 workers or more, by year and six-month periods (in percent) ________________________________________________________________________________________________________________________ | | | Annual averages | Six-month averages |_______________________|_______________________________________________________ | | | | | | | Item | | | | 1992 | 1993 | 1994 | 1995 | | | |_______________|_______________|_______________|_______ | 1992 | 1993 | 1994 | | | | | | | | | | | First | Second| First | Second| First | Second| First | | | | half | half | half | half | half | half |half(1) ________________________________________|_______|_______|_______|_______|_______|_______|_______|_______|_______|_______ | | | | | | | | | | | | | | | | | | | | Average wage rate changes (2)...........| 1.9 | 2.8 | 3.3 | 0.7 | 1.1 | 1.1 | 1.6 | 1.0 | 2.3 | 0.5 | | | | | | | | | | Source: | | | | | | | | | | Current settlements..............| 0.8 | 1.6 | 1.4 | 0.3 | 0.5 | 0.6 | 1.0 | 0.2 | 1.2 | 0.1 Prior settlements................| 1.1 | 1.1 | 1.9 | 0.5 | 0.6 | 0.6 | 0.6 | 0.8 | 1.1 | 0.4 COLA provisions..................| (3) | (3) | (3) | (3) | (3) | (3) | (3) | (3) | (3) | (3) | | | | | | | | | | Government function | | | | | | | | | | General government and | | | | | | | | | | administration..........................| 1.9 | 2.8 | 3.2 | 0.9 | 1.0 | 1.4 | 1.4 | 1.0 | 2.2 | 0.4 Education........................| 2.0 | 2.5 | 3.1 | 0.5 | 1.5 | 0.6 | 1.8 | 0.7 | 2.4 | 0.6 Primary and secondary..........| 2.1 | 2.3 | 3.1 | 0.5 | 1.6 | 0.5 | 1.8 | 0.7 | 2.5 | 0.6 Colleges and universities......| 1.1 | 3.3 | 3.2 | 0.2 | 1.0 | 1.3 | 2.0 | 1.0 | 2.1 | 0.4 Protective services..............| 1.2 | 2.9 | 4.2 | 0.7 | 0.5 | 1.3 | 1.6 | 1.4 | 2.8 | 1.0 Health services..................| 1.9 | 3.7 | 3.8 | 1.0 | 0.9 | 1.8 | 1.9 | 1.7 | 2.1 | 0.5 Transportation...................| 3.4 | 2.5 | 2.9 | 1.6 | 1.8 | 1.4 | 1.1 | 0.8 | 2.1 | 0.5 Other............................| 0.7 | 3.1 | 3.7 | 0.2 | 0.5 | 1.3 | 1.8 | 1.0 | 2.7 | 0.7 | | | | | | | | | | Average wage rate increase(4)...........| 4.6 | 4.1 | 4.4 | 3.7 | 3.8 | 4.1 | 3.4 | 3.7 | 3.7 | 2.5 | | | | | | | | | | Source:(5) | | | | | | | | | | Current settlements..............| 5.1 | 4.0 | 4.3 | 3.6 | 4.0 | 5.6 | 3.2 | 4.1 | 4.1 | 3.8 Prior settlements................| 4.3 | 3.8 | 4.4 | 3.8 | 3.7 | 3.2 | 4.0 | 3.6 | 3.3 | 2.2 COLA provisions..................| 2.7 | 1.6 | 0.8 | 1.9 | 1.9 | 1.3 | 0.9 | 0.7 | 0.6 | 0.8 | | | | | | | | | | Number of workers receiving wage | | | | | | | | | | increases | | | | | | | | | | (in thousands).....................|1,125.3|1,849.4|2,126.6| 559.5| 811.6| 799.6|1,280.9| 754.6|1,771.2| 654.1 | | | | | | | | | | Source: | | | | | | | | | | Current settlements..............| 441.7|1,119.0| 919.5| 209.3| 372.5| 300.4| 891.3| 148.2| 820.1| 120.1 Prior settlements................| 676.2| 803.9|1,212.5| 339.2| 428.5| 494.1| 376.0| 594.3| 952.8| 527.6 COLA provisions..................| 22.6| 24.0| 22.7| 17.4| 15.1| 18.8| 17.3| 20.6| 3.5| 6.5 | | | | | | | | | | Number of workers not receiving a wage| | | | | | | | | | | | | | | | | | | | increase (in thousands)(6)..........|1,544.3| 880.0| 660.2|2,110.1|1,858.0|1,929.8|1,448.5|2,032.3|1,015.7|2,136.0 ________________________________________|_______|_______|_______|_______|_______|_______|_______|_______|_______|_______ 1 Preliminary. 2 Includes increases, decreases, and zero change in wages stemming from current settlements, settlements reached in a prior period, and COLA clauses. Because of rounding and compounding, sums of individual items may not equal totals. 3 More than 0 and less than 0.05 percent. 4 Reflects only contracts where the net effect of increases and decreases from all sources is a wage rate increase. 5 Reflects only contracts where the net effect of increases and decreases from each source is a wage rate increase. 6 About one-half percent of these workers received wage decreases and the remainder received zero change. Table 11. Rate changes: Average changes in wages in state and local government collective bargaining agreements covering 1,000 workers or more during 12-month periods (in percent) ________________________________________________________________________________________________ | | Twelve months ended |_______________________________________________________ | | | | Item | 1992 | 1993 | 1994 | 1995 |_______________|_______________|_______________|_______ | | | | | | | | First | Second| First | Second| First | Second| First | half | half | half | half | half | half |half(1) ________________________________________|_______|_______|_______|_______|_______|_______|_______ | | | | | | | | | | | | | | | | | | | | | Average wage rate changes (2).........| 2.3 | 1.9 | 2.3 | 2.8 | 2.6 | 3.3 | 2.9 | | | | | | | | | | | | | | Source: | | | | | | | Current settlements.............| 0.7 | 0.8 | 1.1 | 1.6 | 1.3 | 1.4 | 1.3 Prior settlements...............| 1.6 | 1.1 | 1.2 | 1.1 | 1.3 | 1.9 | 1.5 COLA provisions.................| (3) | (3) | (3) | (3) | (3) | (3) | (3) | | | | | | | | | | | | | | | | | | | | | Government function | | | | | | | General government and | | | | | | | administration..........................| 2.3 | 1.9 | 2.6 | 2.8 | 2.4 | 3.2 | 2.6 Education........................| 2.4 | 2.0 | 2.2 | 2.5 | 2.6 | 3.1 | 3.0 Primary and secondary..........| 2.5 | 2.1 | 2.1 | 2.3 | 2.5 | 3.1 | 3.0 Colleges and universities......| 1.9 | 1.1 | 2.3 | 3.3 | 3.2 | 3.2 | 2.6 Protective services..............| 2.3 | 1.2 | 1.7 | 2.9 | 3.0 | 4.2 | 3.8 Health services..................| 2.3 | 1.9 | 2.6 | 3.7 | 3.5 | 3.8 | 2.6 Transportation...................| 2.9 | 3.4 | 3.2 | 2.5 | 1.9 | 2.9 | 2.6 Other............................| 2.2 | 0.7 | 2.0 | 3.1 | 2.7 | 3.7 | 3.4 | | | | | | | | | | | | | | Average wage rate increase(4).........| 4.6 | 4.6 | 4.8 | 4.1 | 3.8 | 4.4 | 3.9 | | | | | | | | | | | | | | Source:(5) | | | | | | | Current settlements.............| 3.3 | 5.1 | 4.8 | 4.0 | 3.4 | 4.3 | 4.1 Prior settlements...............| 4.9 | 4.3 | 4.3 | 3.8 | 3.9 | 4.4 | 3.3 COLA provisions.................| 2.4 | 2.7 | 2.1 | 1.6 | 1.2 | 0.8 | 1.2 | | | | | | | Number of workers receiving wage | | | | | | | increases (in thousands)..........|1,357.5|1,125.3|1,345.9|1,849.4|1,858.1|2,126.6|2,075.8 | | | | | | | | | | | | | | Source: | | | | | | | Current settlements.............| 572.8| 441.7| 660.6|1,119.0|1,016.1| 919.5| 928.7 Prior settlements...............| 877.1| 676.2| 750.5| 803.9| 941.2|1,212.5|1,311.5 COLA provisions.................| 37.4| 22.6| 25.3| 24.0| 24.7| 22.7| 6.5 | | | | | | | Number of workers not receiving a wage| | | | | | | increase (in thousands)(6)........|1,266.6|1,544.3|1,323.9| 880.0| 871.4| 660.2| 711.1 ________________________________________|_______|_______|_______|_______|_______|_______|_______ 1 Preliminary. 2 Includes increases, decreases, and zero change in wages stemming from current settlements, agreements reached in a prior period, and COLA clauses. Because of rounding and compounding, sums of individual items may not equal totals. 3 More than 0 and less than 0.05 percent. 4 Reflects only contracts where the net effect of increases and decreases from all sources is an increase. 5 Reflects only contracts where the net effect of increases and decreases from each source is an increase. 6 Less than two percent of these workers received wage decreases and the remainder received zero change.