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f MONTHLY LABOR REVIEW f U.S. D e p artm e n t o f L a b o r B ureau of L a b o r S ta tistics J u ly 1980 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis U.S. DEPARTMENT OF LABOR Ray Marshall, Secretary BUREAU OF LABOR STATISTICS J a n e t L. N o rw o o d, Commissioner T h e M o n th ly L a b o r R e v ie w is p u b lis h e d b y th e B u re a u o f L a b o r S ta tis tic s o f th e U .S . D e p a rtm e n t o f L a b o r. C o m m u n ic a tio n s on e d ito ria l m a tte rs s h o u ld be a d d re s s e d to th e E d ito r-in -C h ie f, M o n th ly L a b o r R e vie w , B u re a u o f L a b o r S ta tis tic s , W a s h in g to n , D .C . 2 0 2 1 2 . P hon e: (2 0 2 ) 5 2 3 - 1 3 2 7 . S u b s c rip tio n p ric e p e r y e a r — $ 1 8 d o m e s tic ; $ 2 2 .5 0 fo re ig n . S in g le c o p y $ 2.5 0. S u b s c rip tio n p ric e s a n d d is trib u tio n p o lic ie s fo r th e M o n th ly L a b o r R e v ie w (IS S N 0 0 9 8 -0 8 1 8 ) a n d o th e r G o v e rn m e n t p u b lic a tio n s a re s e t b y th e G o v e rn m e n t P rin tin g O ffic e , an a g e n c y o f th e U .S . C o n g re s s . S e n d c o rre s p o n d e n c e on circ u la tio n a n d s u b s c rip tio n m a tte rs (in clu d in g a d d re s s c h a n g e s ) to: S u p e rin te n d e n t o f D o c u m e n ts , G o v e rn m e n t P rintin g O ffic e , W a s h in g to n , D .C . 2 0 4 0 2 M a k e c h e c k s p a y a b le to S u p e rin te n d e n t o f D o c u m e n ts . T h e S e c re ta ry o f L a b o r h a s d e te rm in e d th a t th e p u b lic a tio n o f th is p e rio d ic a l is n e c e s s a ry in th e tra n s a c tio n o f th e p u b lic b u s in e s s re q u ire d by la w o f th is D e p a rtm e n t. U s e o f fu n d s fo r p rin tin g th is p e rio d ic a l h a s b e e n a p p ro v e d b y th e D ire c to r o f th e O ffic e o f M a n a g e m e n t a n d B u d g e t th ro u g h O c to b e r 3 1 , 1982 . S e c o n d -c la s s p o s ta g e p aid a t R iv e rd a le , M D ., a n d a t a d d itio n a l m a ilin g o ffice s. L ib ra ry o f C o n g re s s C a ta lo g C a rd N u m b e r 1 5 - 2 6 4 8 5 Regional Commissioners for Bureau of Labor Statistics R e g io n I — B o s to n : Wendell D. Macdonald 1 6 0 3 J F K F e d e ra l B u ild in g , G o v e rn m e n t C e n te r, B o sto n , M a ss . 0 2 2 0 3 P hon e: (6 1 7 ) 2 2 3 - 6 7 6 1 C o n n e c tic u t M a in e M a s s a c h u s e tts N e w H a m p s h ire R h o d e Islan d V e rm o n t R e g io n II — N e w Y o rk : Samuel M. Ehrenhalt 1 5 1 5 B ro a d w a y , S u ite 3 4 0 0 , N e w Y o rk , N .Y . 1 0 0 3 6 P hon e: (2 1 2 ) 9 4 4 - 3 1 2 1 N e w J e rs e y N e w Y o rk P u e rto R ico V irg in Isla n d s R e g io n III — P h ila d e lp h ia : Alvin /. Margulis 3 5 3 5 M a rk e t S tre e t P .O . B o x 1 3 3 0 9 , P h ila d e lp h ia , Pa. 19101 P hon e: (2 1 5 ) 5 9 6 - 1 1 5 4 D e la w a re D is tric t o f C o lu m b ia M a ry la n d P e n n s y lv a n ia V irg in ia W e s t V irg in ia R e g io n IV — A tla n ta : Donald M. Cruse 1371 P e a c h tre e S tre e t, N.E., A tla n ta , G a. 3 0 3 6 7 P hon e: (404 ) 881 - 4 4 1 8 A la b a m a F lo rid a G e o rg ia K e n tu c k y M issis sip p i N o rth C a ro lin a S o u th C a ro lin a Tennessee R e g io n V C h ic a g o : William E Rice 9 th F lo o r, F e d e ra l O ffic e B uild ing, 2 3 0 S. D e a rb o rn S tre e t, C h ic a g o , III. 6 0 6 0 4 P hon e: (312 ) 3 5 3 - 1 8 8 0 Illino is India na M ich ig a n M in n e s o ta O h io W isco n sin R e g io n V I — D alla s: Bryan Richey S e c o n d F lo o r, 5 5 5 G riffin S q u a re B uild ing, D a lla s , T e x. 7 5 2 0 2 P hon e: (214 ) 7 6 7 - 6 9 7 1 A rk a n s a s L o u isia n a N e w M e x ic o O k la h o m a Texas R e g io n s V II a n d V III — K a n s a s C ity: Elliott A. Browar 911 W a ln u t S tre e t, K a n s a s C ity , M o. 6 4 1 0 6 P hon e: (8 1 6 ) 3 7 4 - 2 4 8 1 V II Io w a Kansas M isso u ri N e b ra s k a V III C o lo ra d o M o n ta n a N o rth D a k o ta S o u th D a k o ta U ta h W y o m in g July cover: R a lp h F a s a n e lla ’s pa in ting “ L a w re n c e 1912: T h e B re a d an d R o s e s S trik e ,” re c a lls th e M a s s a c h u s e tts te x tile w o rk e rs ’ s trik e d u rin g w h ich yo u n g w o m e n , m o s t o f th e m re c e n t im m ig ra n ts, c a rrie d b a n n e rs d e m a n d in g : “ W e w a n t b re a d an d ro s e s to o .” D is tric t 11 99, N a tio n a l U nion o f H o s p ita l an d H e a lth C a re W o rk e rs , A F L -C IO , ha s m a d e th e p h ra s e th e th e m e o f its c u rre n t c u ltu ra l fe s tiv a l an d h a s p ro d u c e d a fu ll-c o lo r p o s te r (2 1 " x 3 5 ” ) o f th e F a s a n e lla pa in ting ($6, fro m D is tric t 11 99 C u ltu ra l C e n te r, Inc., 3 1 0 W e s t 43 S tre e t, N e w Y o rk , N.Y. 1 0 036). T h e p a in tin g a ls o a p p e a rs as th e c o v e r illu s tra tio n o f W illia m C a h n ’s b o o k, Lawrence 1919; The Bread and Roses Strike, p u b lis h e d b y P ilg rim P ress. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis R e g io n s IX a n d X — S a n F ra n c is c o : D. Bruce Hanchett 4 5 0 G o ld e n G a te A v e n u e , B o x 3 6 0 1 7 , S a n F ra n c is c o , C a lif. 9 4 1 0 2 P hon e: (4 1 5 ) 5 5 6 - 4 6 7 8 IX A m e ric a n S a m o a A riz o n a C a lifo rn ia G uam H a w a ii N evada T ru s t T e rrito ry o f th e P a c ific Isla n d s X A la s k a Idah o O re g o n W a s h in g to n fi\ M O N T H L Y LA B O R R E V IE W REFERENCE DEPARTMENT JU LY 1980 V O L U M E 103, N U M B E R 7 H e n ry L o w e n s te rn , E dito r-in -C h ie f R o b e rt W. Fisher, E xe cu tive E ditor R o b e rt W. B e dnarzik 3 AU6 8 1980 K A L A M A Z O O PUBLIC LIBRARY W o rk s h a rin g in th e U.S.: its p re v a le n c e and d u ra tio n P re s e rv in g jo b s by s h o rte n in g h o urs and sp re a d in g th e w o rk re m a in s re la tive ly u n co m m o n ; th e a v e ra g e du ra tio n o f s h o rt-tim e w o rk a p p e a rs to ha ve le n g th e n e d in re c e n t y e a rs Fred Best, Ja m e s M atte sich 13 S h o rt-tim e c o m p e n s a tio n s y s te m s in C a lifo rn ia and E u ro p e P re lim in a ry a n a lysis o f the a v a ila b le d a ta s u g g e s ts th a t the C a lifo rn ia p ro g ra m , e n a c te d to p re v e n t la yo ffs a fte r th e p a ss a g e o f P ro p o sitio n 13, has w o rk e d w ell N o rm an B o w e rs 23 P ro b in g th e is s u es o f u n e m p lo y m e n t d u ra tio n D ata a m b ig u ity, m e a s u re m e n t p ro b le m s h a m p e r in te rp re ta tio n o f jo b le s s duration; a n a lys is c o n firm s th a t m o st jo b le s s s p e lls a p p e a r to be short, e x c e p t during re ce ssio n s John D uke 33 C o n s tru c tio n m a c h in e ry in d u s try p o s ts s lo w rise in p ro d u c tiv ity G ro w th w a s s lo w e r th an 1 9 5 8 -7 8 m a n u fa c tu rin g a v e ra g e , w ith d e clin e s re c o rd e d in fo u r y e a rs , d e sp ite c o n s id e ra b le c a p ita l e x p e n d itu re and new te c h n o lo g y CONFERENCE PAPERS S te p he n H. F uller Irving B lue sto ne B a rry A. M acy 37 39 41 H o w q u a lity -o f-w o rk life p ro je c ts w o rk fo r G e neral M o to rs H o w q u a lity -o f-w o rk life p ro je c ts w o rk fo r the United A u to W o rke rs The q u a lity -o f-w o rk life p ro je c t a t Bolivar: an a s se ssm e n t REPORTS A nne M cD o u g a ll Y oung Jo an D. B orum F ra ncis W. H o rva th https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 44 48 51 T re n d s in e du ca tio n al a tta in m e n t am o n g w o rk e rs in the 1 9 7 0 ’s W a g e gains in 1979 o ffs e t by inflation W o rkin g w ives re du ce ine q ua lity in d istrib utio n o f fa m ily e arnings DEPARTMENTS 2 37 44 48 54 57 61 69 L a b o r m onth in review C o n fe re n c e p ap e rs S p ecial lab o r fo rc e re p o rts — su m m a rie s R e se arch su m m a rie s M a jo r a g re e m e n ts expiring n ext m onth D e ve lo p m e n ts in industrial re lations B ook re vie w s C u rre n t lab o r sta tistics * efe«ence «*». AU6 111§80 K alam a zo o Ö2 Public Library / 0 2 6 2 fij Labor M onth In Review EMPLOYEE BENEFITS. What employer-paid benefits do U.S. workers receive on the job? The Bureau of Labor Statistics has com pleted a pilot survey that provides some new answers. The survey covered 21 million employees of large and medium-sized firms in the private economy in 1979. BLS con ducted the survey for the Federal Government’s Office of Personnel Management which plans to use the data to estimate the cost of pro viding Federal workers similar benefits. (The BLS survey collected no cost data.) Some survey findings: Paid holidays and vacations. Vir tually all employees have paid holidays and paid vacations. Usual ly 9 to 11 holidays are provided each year, regardless of employees’ length of service. The amount of vacation, however, generally varies by length of service. Typical vaca tion plans call for 5 days with less than 1 year of service; 10 days after 1 year; 15 days after 10 years; and 20 days after 15 years. Sick leave plans. Formal sick leave plans cover 80 percent of the p ro fe s s io n a l-a d m in is tra tiv e employees, 83 percent of the technical-clerical employees, and 37 p e rc e n t o f th e p r o d u c tio n employees. The latter, however, are more frequently covered under acci dent and sickness in su ran ce Benefits differ significantly among the various sick leave plans, ranging from those providing 2 or 3 days of leave per year to others pro viding 6 months or more of benefits. Most plans provide full pay for at least a portion of sick leave. Accident and sickness insurance. This insurance provides two-thirds of the employees with income dur 2 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ing absence from work due to disability, sometimes in coordina tion with sick leave pay. Just over half of the participants receive benefits for up to 26 weeks, and about one-fifth for up to 52 weeks. Professional-administrative and technical-clerical employees are m ore likely than p ro duction employees to be covered longer. More than 80 percent of covered workers are in employer-paid plans. Long-term disability insurance. Benefits from such plans replace some of the income workers lose due to disability. G enerally, payments begin after sickness and accident insurance benefits are ex h austed. N early h a lf of all employees are participants in an em ployer-sponsored long-term disability plan. Potential benefits for more than three out of four plan participants equal more than half their usual earnings. Nearly 80 percent of covered workers are in plans funded entirely by their employers. Health insurance. Health insurance plans that are at least partially employer financed cover 97 percent of the workers in the survey. Nearly all participants are insured for hospital room and board, surgery, X-rays, and physician’s hospital visits. One-half have some form of dental insurance, and almost onefifth have vision care insurance. Expenditures up to the usual rate for a semi-private room are covered for 90 percent of the participants with basic hospitalization plans. Other plans provide up to a specified amount for each day of hospital care. However, the number of insured hospital days is limited for 72 percent of all workers with hospital coverage, mostly to 365 days per hospital confinement. Nine out of ten workers covered by major medical plans are insured to 80 percent of expenses (coin surance). For nearly three-fourths of covered workers, all benefits are financed by their employers. Pension plans. Eighty-seven percent of the employees participate in pen sion plans with either specified re tire m e n t b e n e fits or w ith unspecified benefits based on employer contributions. The survey did not cover other plans that could provide retirement income, such as profit sharing, stock purchase, and savings plans. More than two-fifths of all par ticipants are covered by plans that require the employee to reach age 63 to 65 before being eligible to retire with immediate full benefits; the majority of these are in plans with no service requirements. Nearly one-fifth of participants are in plans specifying age 61 to 62 for normal retirement, and another fifth are in plans specifying age 60 or less. Life insurance. Nearly all workers are provided life insurance by their employers. The amount of in surance usually varies by earnings and occupation. Sixty-three percent of all insured workers receive life in surance related to earnings. This in cludes 39 percent who are insured for a multiple of their annual earn ings and 24 percent whose coverage is graduated according to an earn ings schedule. A flat amount is pro vided to most of those whose in surance is not based on earnings. A publication giving detailed tab ulations from the level of bene fits survey is in preparation. □ Worksharing in the U.S.: its prevalence and duration Preserving jobs by shortening hours and spreading the work remains a relatively uncommon practice; the average duration of short-time work has apparently lengthened in recent years, but is still well below that of unemployment R obert W. Bednarzik Reduction of working hours, with accompanying pay cuts, during periods of economic downturn is a practice as old as the industrial era.1Under a “worksharing”2ar rangement, pay and weekly hours are reduced so that all workers may be retained on the payroll. The advan tages and disadvantages of worksharing are widely doc umented, centering on its use as an antirecessionary tool whereby the relative cost to employers of retaining workers or laying them off must be weighed.3 Advocates of worksharing argue that the system not only spreads the impact of a recession, but also fosters a higher degree of job attachment, keeps employment skills fresh, and allows workers to retain fringe benefits.4 And, worksharing has been viewed as a way to maxi mize recent gains in employment of persons suffering the effects of past discrimination.5 On the other hand, critics charge that worksharing, especially if government subsidized, discourages firms from adapting to techno logical and organizational changes, thus impeding the creation of new job opportunities. Furthermore, repre sentatives of organized labor have expressed concern that worksharing may interfere with seniority privileges Robert W. Bednarzik is a labor economist in the Division of Employ ment and Unemployment Analysis, Bureau of Labor Statistics. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis by cutting the wages of more highly paid senior work ers.6 This article examines the incidence of worksharing in the United States; the time it takes a worksharer to re turn to a full-time schedule;7 and various factors facili tating this change. The transition of worksharers to “not in the labor force,” unemployed, and “other parttime” status is also examined. The data analyzed are from the Current Population Survey (CPS): regular annual average and gross flow statistics8and matched in dividual observations from May through August 1976, and between May 1976 and May 1977.9The probability that an individual will leave worksharing is hypothe sized to depend on his or her human capital (training and experience), other income resources, and the value he or she attaches to nonmarket activities. The impact of these factors on the probabilities of remaining in worksharer status, finding or returning to full-time work, or making other labor market transitions is esti mated using a multinomial logit analysis.10 A profile of the worksharer In 1979, there were, on average, 1.6 million workers — 1.8 percent of the total number of persons at work— involuntarily on shortened schedules because of slack 3 MONTHLY LABOR REVIEW July 1980 • Worksharing in the US. workloads. Demographically, blacks and women were disproportionately represented among this group, rela tive to their percentage of the working population. (See table 1.) Blacks, for example, made up 11 percent of the total at work, but accounted for 17 percent of all worksharers. Occupational attachment is another im portant factor in the extent of worksharing. In 1979, three-fourths of all short-time workers were concentrat ed in occupations other than white-collar, with the larg est proportions of worksharers holding jobs as oper atives (25 percent) and craft workers (16 percent). These percentages were higher than each occupational group’s share of the total employed. The incidence of worksharing also varies by industry: construction and, to a lesser extent, the trade and manufacturing sectors account for disproportionate numbers of short-hours workers, because many jobs in these industries are sea sonal in nature, and thus lend themselves to periodic cutbacks. Worksharing and the business cycle During the late 1950’s and the early 1960’s, the use of worksharing decreased as a means of forestalling lay offs in business cycle downturns. Thus, at the depth of the 1973-75 recession, the proportion of total nonfarm workers involuntarily on part-time schedules because of slack workloads was smaller than during the 1957-58 recession, and about the same as in the 1960-61 down turn. (See chart 1.) T a b le 1. W o rk s h a re rs b y s e x , ra c e , o c c u p a tio n , an d in d u s try in c o m p a ris o n to th e to ta l a t w o rk p o p u la tio n , 19 79 an n u al a v e ra g e s S elected characteristics W orksharers Total at w ork Total: N um ber (in th o u s a n d s )..................... P e rc e n t.................................................. 1,602 100.0 91,287 100.0 Sex: M ale ........................................................ F e m a le ..................................................... 52.6 47.4 58.6 41.4 Race: W h ite ..................................................... Black and other ................................ 83.1 16.9 88.8 11.2 O ccupation: W hite-collar ................................................ Professional and technical ................ M anagerial and adm inistration . . . . S a le s ........................................................ C le ric a l..................................................... Blue-collar .................................................. C raft and kindred ................................ O peratives ............................................. N onfarm laborers ................................ Service ........................................................ Farm ............................................................. 25.2 5.7 4.5 6.1 8.9 50.1 16.4 24.6 9.1 18.0 6.9 50.9 15.2 11.0 6.4 18.3 33.0 13.3 14.9 4.8 13.3 2.8 Indu stry:1 Mining .......................................................... C o n s tru c tio n ................................................ M a n u fa c tu rin g ............................................. Transportation and public utilities . . . . Trade ............................................................. Finance, insurance, and real estate . . Service ........................................................ 0.9 14.9 27.4 6.8 24.9 3.2 21.8 1.0 6.1 25.5 7.1 21.0 6.3 33.0 1 W age and salary w orkers, excluding agricultural and private household workers. 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Contributing to this change was a decline in the pro portion of collective bargaining agreements containing clauses calling for reduction of hours during slack peri ods. In the mid-1950’s, about 1 in 4 collective bar gaining agreements contained provisions for reduced hours in the event of an economic downturn, but by the mid-1970’s, fewer than 1 in 5 major agreements includ ed such clauses. This is consistent with the conclusion of a recent study of trade unions in U.S. manufacturing industries that “unions increase the use of layoffs by im peding the use of quits and cuts in real wages, while restraining firms’ ability to reduce average hours worked and discharge employees.” 11 Although not as widespread as in some earlier down turns, worksharing arrangements were clearly evident in the 1973-75 recession. The number of persons em ployed part time involuntarily because of slack work loads peaked at 2.1 million in 1975, nearly twice the level of its low point in 1973. Despite subsequent eco nomic recovery, the number of worksharers has re mained at or above 1.5 million. Moreover, the 1975 —79 recovery phase was the first such period during which the proportion of short-time workers did not fall below its prerecession low point. Either worksharers are re maining on shortened schedules for longer periods or employers are now using reduced hours to offset nonrecessionary production cutbacks. The data pertaining to all involuntary part-time workers depicted in table 2 support the “increased du ration” hypothesis, showing a slight increase, between 1968 and 1979, in the probability of an involuntary part-timer remaining as such, on average, from one month to the next.12 The increase was more prevalent among women than among men. Also, the increased likelihood of remaining involuntarily part time was ac companied by a corresponding 10-year decline in the percentage of involuntary part-timers finding or return ing to full-time positions. It should be noted that CPS data do not indicate if an actual job change occurred, but only that there was a change in labor force status between measurements. Consequently, we are unable to determine, for example, if a “worksharer to full-time” job transition was the re sult of a job change or of the restoration of the individ ual’s regular weekly schedule in the same job. However, the primary concern of this article is the change in the worksharer’s employment status, whether or not it in volved a job change. Changing employment status A worksharer can, over a specific period, remain em ployed part time involuntarily, or alter his or her status by returning to or finding a full-time job, accepting oth er part-time employment, becoming unemployed, or dropping out of the labor force. For the purposes of this analysis, becoming unemployed and dropping out of the labor force were combined to form one transi tion; thus, there are four possible transitions. Move ments into worksharing from full-time, part-time, and unemployed status will also be examined. The tabulation in the next column presents the ma trix of possible labor market transition, with each row or column representing an exhaustive list of entry or exit possibilities. For example, row 1 depicts the flow of persons who were involuntarily working part time (I) during the previous period (t-1) into continued work https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis sharing (I), full-time employment (F), other part-time employment (P), or unemployment or “not in the labor force” (U), in the current period (t). Employment status in previous period I (t-1) F (t-1) P (t-1) U (t-1) Flow possibilities Kt) F(t) P(t) U(t) II FI PI UI IF FF PF UF IP FP PP UP IU FU PU UU 5 MONTHLY LABOR REVIEW July 1980 • Worksharing in the U.S. Causes of change in employment status E xh ib it 1. S u m m a ry o f v a ria b le s te s te d b y w o rk s h a rin g lo g it m o d e l This section explores the factors that may influence the likelihood of a worksharer becoming employed full time, becoming employed part time for reasons other than slack work, or leaving the labor force. (See exhibit 1.) Because worksharing can be viewed as “partial un employment,” some of the explanatory variables intro duced are similar to those which influence the probability of an unemployed individual becoming employed. Job search activity. Foremost among such influences is job search activity. To determine if workers were actu ally looking for another job, special supplemental ques tions on the job search of all workers were included in the May 1976 CPS. It was found that approximately 9 percent of worksharers surveyed had looked for work at least once during the 4 weeks prior to the study, com pared with 4 percent of all other employed persons in May 1976. However, the search data indicate only the T a b le 2. In v o lu n ta ry p a rt-tim e w o rk e rs in p re v io u s m o n th b y la b o r fo r c e s ta tu s in a v e ra g e c u rre n t m o n th , b y se x, 1968 79 Total involuntary part-tim e w orkers in previous m onth Previous-m onth involuntary part-tim e w ork ers by labor fo rce status in current m onth (in p ercent) Year Num ber (in thou sands) Percent Involun tary parttim e Full tim e Voluntary Unem partployed tim e Not in th e labor fo rce Total: 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 .. .. .. .. .. .. .. .. .. .. .. .. 1,924 1,956 2,330 2,611 2,590 2,391 2,797 3,673 3,433 3,477 3,325 3,320 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 25.3 26.8 27.8 296 29.2 26.1 29.7 33.8 33.1 32.0 30.7 31.0 44.0 42.3 42.5 40.1 38 6 41.3 39.3 36.2 36.2 36.8 37.3 37.5 13.7 13.8 13.0 13.3 14.4 15.2 13.7 13.3 14.0 14.8 15.9 15.8 5.9 6.1 7.5 8.1 7.6 7.7 8.3 8.1 8.6 8.3 7.3 7.7 11.2 11.1 9.1 9.0 10.2 9.8 9.2 7.6 8.2 8.3 8.8 8.0 Male: 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 .. . .. .. .. .. .. .. .. .. .. .. 975 986 1,221 1,347 1,320 1,194 1,398 1,888 1,734 1,684 1,524 1,489 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 23.5 24.5 25.1 26.6 26.2 23.0 27.0 31.1 30.4 29.0 26.8 26.2 52.1 50.8 49.9 48.0 46.1 48.9 47.0 42.7 43.1 44.1 45.6 46.3 9.0 8.9 9.2 9.0 10.0 10.4 8.7 8.6 9.1 9.7 10.7 11.0 6.6 6.9 9.3 9.9 9.5 9.6 10.2 11.6 10.8 10.2 9.3 9.6 8.7 8.7 6.8 6.5 8.0 8.0 7.1 5.9 6.6 6.8 7.5 6.9 Female: 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 .. . .. .. . .. .. .. .. .. .. .. 949 970 1,109 1,264 1,269 1,197 1,400 1,785 1,700 1,793 1,800 1,831 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 27.0 29.2 30.9 32.9 32.2 29.1 32.3 36.5 35.7 34.7 33.9 35.0 35.5 33.5 34.4 31.6 30.9 33.7 31.5 29.2 29.2 298 30.2 30.2 18.3 18.6 17.4 17.6 19.1 20.1 18.7 18.2 18.8 19.4 20.4 19.7 5.3 5.2 5.7 6.2 5.4 5.8 6.3 6.6 6.3 6.4 5.6 6.1 13.8 13.5 11.8 11.6 12.5 11.5 11.2 9.4 9.8 9.6 9.9 9.0 6 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Indep endent variables D ependent variables M odel variable II (Remain a w orksharer) IF (Return to a full-tim e job) IP (Becom e a part-tim e w orke r fo r reasons other than w ork sharing) IU (Becom e unem ployed or not in the labor force) Empirical m easure Job search-related: Searched Personal characteristics Looked Race Education Unskilled: Industry Union m em bership Value of nonm arket activity Age Sex Marital status Em ploym ent status of other household m em bers O ther factors: U nm easured hetero geneity Rotation group controls Usual status Rotation group dum m ies fact of search. Unmeasured differences in search produc tivity and effort should also result in differential proba bilities of leaving worksharing. Selected personal characteristics. Regarding other possi ble predictors of the success or failure of regaining full time work, a 1976 study found that involuntary parttime work in general occurred disproportionately among the young, less educated, blacks, and the un skilled.13 For example, the likelihood of being an invol untary part-timer was higher the lower one’s education al attainment.14 Furthermore, although blacks were as likely as other worker groups to have their workweeks reduced during an economic downturn, the restoration of their weekly work schedules was the least responsive to economic recovery.15 To control for the tendency of worksharers to be found in blue-collar and service occu pations, the model included a variable, termed “un skilled”, to represent transport equipment operatives (other than drivers), laborers, service workers, and retail trade sales personnel. Union membership status may also be important. Al though unions’ preference for layoffs over worksharing arrangements has increased, individual union members on worksharing arrangements would apparently have a greater likelihood of changing status than comparable nonunion workers. This may reflect the fact that union contracts frequently call for either layoff or restoration of usual weekly hours after a specified period of worksharing, depending on the economic position of the firm. Nonmarket alternatives. It is important to note that an involuntary reduction in a person’s usual weekly hours of work changes the attractiveness of his or her labor market options. The individual’s initial decision to par ticipate in the labor force on a full-time basis is based upon many factors. According to Jacob Mincer, for ex ample, the marginal costs of home work and leisure to women are affected by age and by the presence, num ber, and ages of children in the household.16 He also suggests that the employment of other household mem bers may influence a woman’s allocation of time among home, market, and leisure.17 Because all of these factors and others enter into the labor force participation deci sion of persons working full time, those who subse quently have their schedules shortened may reevaluate their labor force participation according to the value they place on their nonmarket time. It is hypothesized that individual worksharers who value their nonmarket time highly (as indicated by characteristics such as age, sex, marital status, and employment status of other household members) will have a greater probability of leaving the labor force or switching to voluntary part time than other workers. Other factors. Even assuming that individuals have con stant probabilities of changing employment status over time, personal and professional differences among work ers will influence the likelihood of specific individuals leaving worksharing.18 Consequently, as the duration of the short-hours spell increases, a greater proportion of remaining worksharers consists of individuals whose probabilities of leaving worksharing are low.19 One way to control for this problem of unmeasured heterogeneity among individuals would be to include in the model the actual number of weeks individual worksharers have been on shortened work schedules. This information is not available in the CPS, but certain characteristics of worksharers which increase the proba bility of securing full-time jobs may be used as proxy variables. One characteristic which seems to indicate a tendency to leave worksharing is usual full-time or parttime status. For example, a comparison of the demo graphic, occupational, and industrial characteristics of all involuntary part-time workers with those of both voluntary part-time workers and full-time workers re vealed that persons involuntarily on part-time schedules who are usually in such status have a close resemblance to voluntary part-timers and those who usually work full time characteristically resemble full-time workers.20 The “usual status” variable was therefore included as a control for unmeasured heterogeneity. Flow into and out of worksharing Although the primary concern of this study was to analyze duration of worksharing and factors facilitating movement from it, flows into worksharing were also ex amined. This analysis provided insights into the reasons for an individual’s entry into involuntary part-time sta https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis tus, and helped to predict and explain his or her next most likely labor market transition. One-fourth of the worksharers in June 1976 were holdovers from the previous month. The largest inflow of newcomers to worksharing (54 percent) consisted of full-time workers who had their workweeks reduced, followed by persons previously unemployed or not in the labor force (27 percent), and entrants from other part-time status (19 percent). In terms of demographic and labor market character istics—age, marital status, race, sex, education, skill level, union membership, and search status (looking or not looking for another job)—newcomers to work sharing were generally similar to leavers, or the outflow from worksharing. (See table 3.) The one outstanding exception was union membership status, with newcom ers less likely than leavers to be union members. In contrast, stayers— persons who were worksharers in both May and June 1976— were different characteris tically from leavers, particularly leavers returning to full-time schedules. Foremost among these differences was age; stayers were significantly older than leavers. Substantial differences were also evident in terms of sex, union membership status, and race; that is, stayers were more likely than leavers to be older, female, black, and nonunion members. Interestingly, the difference between T a b le 3. M e a n v a lu e o f s e le c te d c h a ra c te ris tic s o f s ta y e rs , n e w c o m e rs to , an d le a v e rs fro m w o rk s h a rin g , M a y - J u n e 1976 Variable D escription A g e .................. S tayers N ew com ers Leavers Total Full tim e t-s ta tis tic 1 years of age 42 36 36 37.5 10.969 1 if m arried, spouse present 0 otherwise .69 .57 .58 .64 .714 R a c e ................ 1 if black and other 0 otherwise .19 .17 .16 .12 1.136 S e x ................... 1 if fem ale 0 otherwise .53 .43 .42 .36 2.385 Education years of school com pleted 11 11 11 10 .226 S k ille d ............. 1 If unsk ille d 2 0 otherwise .29 .30 .35 .29 .000 Union 1 if union m em ber 0 otherwise .22 .15 .25 .31 - 1 .2 9 8 1 if looking for w ork 0 otherwise .05 .07 .08 .07 -.3 5 1 152 412 408 239 Marital status . . . . ... ............. Looked .......... Sam ple size . . ' Means test of difference betw een stayers and leavers to full-tim e jobs. 2 U nskilled includes the follow ing detailed occupational categories: sales w orkers in retail trade, transport equipm ent w orke rs other than drivers, all laborers, and service workers. 7 MONTHLY LABOR REVIEW July 1980 • Worksharing in the U.S. the numbers of stayers and leavers looking for another job was not significant; job search activity, as indicated by the job search variable, was not more typical of one group than of the other. How successful were persons leaving worksharing in obtaining a full-time schedule? Nearly three-fifths of those leaving worksharing between May and June 1976 went to full-time schedules. As noted earlier, inflow to worksharing consisted predominantly of persons whose full-time schedules were cut back. Thus, the majority of the flows to and from worksharing were, as expected, persons moving into and out of full-time schedules. De partures to other part-time status, and to unemploy ment each accounted for about one-fifth of the leavers from worksharing. Longitudinal data from the CPS In addition to an analysis of change in employment status in 2 consecutive months, the design of the CPS also permits an examination of labor market flows over a 4-consecutive-month period, and between the same month in consecutive years. (See appendix for more de tail.) Table 4 traces the labor market flow of persons on worksharing in May 1976 over the 3 following months, and between May 1976 and May 1977. Clearly, the per centage of worksharers in May 1976 remaining as such declined over the year: 27.4 percent still had work sharing arrangements 1 month later, while only 14.6 percent had the same status 1 year later. It is probable, of course, that in the intervening peri ods, particularly the 12-month gap between May 1976 and 1977, persons classified as worksharers in both months had moved into and out of other labor force categories as well. Nevertheless, the data indicate that the vast majority of worksharers remain in involuntary part-time status for a relatively short time. For example, fewer than one-sixth of the worksharers in May 1976 were still on such schedules 3 months later.21 Moreover, the majority of leavers returned to full-time jobs. The percentage who returned to full-time schedules tended to increase over time, from 45 percent 1 month later to 56 percent 3 months later.22 But table 4 also reveals that, as time is extended, the percentage of worksharers leaving the labor force entirely becomes greater, perhaps indicating “discouragement” about finding a full-time job, or increased attractiveness of nonmarket activities. Apparently, the termination of worksharing for some individuals results from their simply abandoning the idea of securing a full-time schedule in the near future. Transition probabilities Table 5 illustrates the probabilities of a change in em ployment status among selected groups of worksharers over a 1-month period. Although the results were gen erally consistent with the demographic makeup of all 8 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T a b le 4. W o rk s h a re rs 16 y e a rs an d o v e r in M a y 1976, by la b o r fo r c e s ta tu s in Ju n e, Ju ly, an d A u g u s t 1976, an d in M a y 1977 Status Proportion Labor force status in June Total: N u m b e r ....................................................................... P e rce rt ........................................................................ W o rk s h a re rs .......................................................................... Em ployed full t im e ................................................................ O ther part tim e 2 .................................................................. U n e m p lo y e d .......................................................................... Not in the labor f o r c e .......................................................... '6 2 4 100.0 27.4 44.6 15.1 9.5 3.5 Labor force status in July Total: N u m b e r ........................................................................ P e rc e n t........................................................................ W o rk s h a re rs .......................................................................... Em ployed full t im e ................................................................ O ther part t i m e ..................................................................... Unem ployed .......................................................................... N ot in the labor f o r c e .......................................................... 3 361 100.0 22.2 49.9 15.5 6.6 5.8 Labor force status in August Total: N u m b e r ........................................................................ Percent ........................................................................ W o rk s h a re rs .......................................................................... Em ployed full t im e ................................................................ O ther part t i m e ..................................................................... U n e m p lo y e d .......................................................................... Not in the labor f o r c e .......................................................... 4 163 100.0 16.6 56.4 11.0 9.2 6.7 Labor force status in M ay 1977 Total: N u m b e r ........................................................................ P e rc e n t........................................................................ W o rk s h a re rs .......................................................................... Em ployed full t i m e ................................................................ O the- part t i m e ..................................................................... U n e m p lo y e d .......................................................................... Not in the labor f o r c e .......................................................... 5 198 100.0 14.6 54.0 13.6 5.1 12.6 'T h e unweighted num ber of w orksharers in M ay 1976 in the 6 M a y -J u n e m atchable rotation groups. 2 Includes voluntary part-tim e w orkers and involuntary part-tim e w orke rs fo r reasons other than slack work. 3 The unweighted num ber of w orksharers in May 1976 in the 4 M a y -J u ly m atchable rotation groups. “ The unweighted num ber of w orksharers in M ay 1976 in the 2 M a y -A u g u s t m atchable rotation groups. 5 The unweighted num ber of w orksharers in May 1976 in the 3 M a y -J u n e 1976 — May 1977 m atchable rotation groups. NOTE: See appendix for discussion of lim itations of CPS m atched data. involuntary part-timers, there were a few surprises. Older workers and married workers were most likely to remain worksharers, while newcomers to workshar ing— persons reporting their usual status as full time— were least likely to do so. The average duration of worksharing was 6.7 weeks for older workers, compared with 5.5 weeks for newcomers to worksharing.23The av erage duration of worksharing for all persons on such schedules was 6 weeks, roughly half the mean duration of unemployment over the same period. An individual’s usual full- or part-time status was a strong predictor of his or her likelihood of finding or re turning to a full-time job. Worksharers whose schedules were usually part time were less than half as likely to move into full-time status as were those who usually worked full time. Age and race also significantly influenced the “work sharing to full-time” job transition. Younger workers had a higher probability than older workers of making such a move, and whites were nearly twice as likely to secure full-time employment as were blacks. One possi- initiate layoffs immediately.”24 Surprisingly, the fact that an individual looked for another job while on a shortened workweek did not af fect the probability of his or her leaving to take a full time job. Because search activity increases the probabili ty of an unemployed person obtaining employment25, it was also expected to increase a worksharer’s chances of securing a full-time position. Apparently, the key is the intensity of the search effort, which could not be deter mined from survey results. Perhaps search effort among worksharers is not as intensive as among the unem ployed. There is a similarity between involuntary parttime work due to slack workloads and temporary lay offs. Workers often know in advance that the duration of their reduced work schedule is likely to be relatively short, and thus are not generally inclined to look dili gently for another job. Other worker characteristics which did not significantly affect transitions into and from worksharing status were educational attainment, and the presence of other employed family members.26 ble explanation of the difference noted between age groups involves a contrast between the duration of any worksharing spell, and the number of such spells in curred. Among the unemployed, for example, younger workers have more frequent spells of unemployment than older workers, but the duration of each spell is shorter. The partial evidence indicates that this could also be the case for young worksharers. Younger worksharers were much less likely than those who were older to become unemployed or to leave the labor force. Older or more senior workers may prefer layoff over a shortened workweek because they are more likely to be eligible for unemployment insur ance benefits, and may be entitled to supplemental un employment benefits as well. Thus, financially, the dif ference between unemployment and worksharing may not be as significant to older workers. Also, older work ers may not feel as threatened by layoff and the pros pects of a job loss as younger workers because their seniority usually ensures their recall to work. There was some marginal evidence that union worksharers have a higher probability of returning to full-time status than worksharers who were not union members, perhaps because the latter are less likely to be governed by a given set of procedures for reductions in hours. Worksharers who were union members also were somewhat less likely than others to be laid off or to leave the labor force. This could be related to the fact that union members are unlikely to suffer a cutback in weekly hours unless the expected duration is short. “If . . . it is known that manpower needs will be curtailed for a lengthy period,” notes one observer, “the union may prefer to bypass the reduced hours provisions and T a b le 5. Conclusion Unlike policymakers in most Western European nations, those in the United States have not to date giv en much attention to arrangements affecting the supply of labor, including worksharing.27 Because of present Federal regulations and collective bargaining agree ments, it is most often in the employer’s interest to re sort to layoffs instead of a reduction in hours. In most cases, for example, fringe benefit costs alone would be larger under a worksharing system, because there are few, if any, such costs associated with workers on layoffs. M o n th ly p ro b a b ilitie s o f c h a n g e in la b o r fo r c e s ta tu s , b y s e le c te d w o rk e r c h a ra c te ris tic s Usual status Probability: Full sam ple Age1 Marital status Black and other Male Fem ale 0.35 0.34 0.23 0.20 0.29 0.24 0.30 0.24 0.29 0.30 0.26 0.27 0.28 0.27 0.33 .47 .39 .39 .45 .62 .39 .48 .38 .49 .40 .39 .44 .46 .32 43 .45 .20 .20 .14 .14 .19 .10 .18 .14 .19 .13 .19 .16 .17 .16 .21 .17 .13 .15 .15 .12 .14 .13 .09 .14 .14 .13 .15 .13 .15 .13 .11 .19 .14 .09 53 years 0.27 0.18 0.32 0.19 Returning to full-tim e em ploym ent . . . .43 .60 .33 Becom ing a parttim e w orke r for reasons other than w ork sh a rin g 2 ............. .17 .12 Becom ing unem ployed or leaving the labor force . .13 .11 1 1 1 1 1 1 1 1 1 Years reflect the standard deviation above and below the mean. 2 Includes all voluntary part-tim e w orkers and involuntary part-tim e w orkers because of m ate rial shortages, "sta rte d or ended a job during the survey w e e k” , or "co u ld only find part-tim e w o rk.” NOTE: Transition probabilities are calculated from derivatives obtained in the logit analysis which reveal the marginal effect of a change in the independent variable on the absolute proba- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Job search W hite 24 years 1 Union status Skill level O ther Parttim e Sum of probabilities . . . E d u c atio n 1 Married, spouse present Full tim e Remaining a w orksharer . . . . Sex Race 1 1 8 years 1 14 Skilled Unskilled years 1 1 1 Union Nonunion m em ber m em ber 1 1 Looked 1 Did not look 1 bility of a given transition in labor force status, in the vicinity of sam ple means; Probability,,, | X|, = 0 = (full sam ple probability,xk - d erivative,^ x m eank); Probability^ | xk= 1 = (Probabil ity^! xk= 0 + d e riv a tiv e ,Xk); where ¡ in d e p e n d e n t variable and k = d e p e n d e n t variable, and the sum of the probabilities,k = 1 . The probabilités shown are based on the logit estim ates present ed in the appendix to this article. Due to rounding, sum s o f individual item s m ay not equal totals. 9 MONTHLY LABOR REVIEW July 1980 • Worksharing in the US. Another major roadblock to worksharing is the un employment insurance system, which may actually lead workers and their unions to accept layoffs as opposed to reduced hours. Workers whose hours are cut receive no compensation from the State (except in California), unless their earnings fall below the level of benefits to which they would be entitled in a layoff. Worksharing arrangements as a means of saving jobs will bear close watching in coming years. Of special in terest is the recently enacted California “Work Sharing Unemployment Insurance” program, which allows transfer payments, in the form of unemployment insur ance benefits, to persons whose wages and hours are re- duced as a temporary alternative to layoffs.28 (See fol lowing article.) Benefits are paid as a proportion of the maximum benefit available to an individual for a given week if the lost time is equal to or greater than some established minimum worktime reduction. For example, a worker eligible to receive a maximum of $100 in weekly benefits could receive about one-fifth of that amount, or $20, for every full day of lost work.29 The California program and a wide-scale pilot project throughout Canada are being cautiously evaluated for their impact on unemployment and patterns of labor force participation, and for other economic and social effects on firms and employees.30 □ FOOTNOTES ACKNOWLEDGMENT: The author thanks Wesley Mellow, an economist in the Office of Research and Evaluation, Bureau of Labor Statistics, for many helpful comments. ' R. A. Hart and P. J. Sloan, “Working Hours and Distribution of Work,” OECD paper prepared for Conference on Collective Bargaining and Government Policies (Washington, D.C., July 1978), Appendix A. 2Worksharers are herein defined as employed persons whose work weeks have been reduced below 35 hours due to slack workloads. As such, they are a subset of the larger “part-time for economic reasons” group, which also includes persons on reduced hours because of mate rial shortages, repairs to plant or equipment, start or termination of job during the survey week, and unavailability of full-time work. Other methods of worksharing, such as increasing unpaid leave or the number of annual holidays, or reducing the amount of overtime worked, are excluded from the scope of this article. 1J. W. Fagan, “Work Sharing During a Depression,” I n d u s tr ia l R e la tio n s, paper presented at a Conference on Industrial Relations (Sep tember 1938); S. Martin Nemirow, “Work-Sharing: Past, Present and Future,” unpublished paper (May 1976); Sar A. Levitan and Richard S. Belous, S h o r te r H ou rs, S h o r te r W eeks: S p r e a d in g th e W o rk to R e d u c e U n e m p lo y m e n t (The Johns Hopkins University Press, 1977); Fred Best, “Short-Time Compensation and Worksharing,” unpublished paper for National Commission for Manpower Policy (April 1978); and Robert Clark, A d ju s tin g H o u r s to In c re a se Jobs: A n A n a ly sis o f th e O ption s, Special Report 15 (National Commission on Manpower Policy, September 1977). 4 Sar A. Levitan and Richard S. Belous, “Work sharing initiatives at home and abroad,” M o n th ly L a b o r R eview , September 1977, pp. 16 - 20 . 5Peter Henle, “Work-Sharing as an Alternative of Layoffs” (Con gressional Research Service, July 1975); and, “Worktime: The Tradi tional Workweek and its Alternatives,” chapter 3, E m p lo y m e n t a n d T ra in in g R e p o r t o f th e P resid en t, 1979. 6 “A cure for unemployment?” B u sin e ss W eek, Oct. 29, 1979, pp. 163-64. 7 Heretofore, little was known about the length of time worker groups involuntarily on worksharing must “share the work.” The cost of any government-assisted short-time compensation program is di rectly related to the length of time an individual worker could expect to receive such compensation. The limited information previously available on reduced worktime arrangements in Germany and Califor nia reveals that duration in such status is relatively short — under 3 10 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis months in Germany, and less than 5 weeks in California. See Fred Best and James Mattesich, “Short-time Compensation and Work Sharing: A New Alternative to Layoffs, S p e c ia l R e p o r t (California Employment Development Department, 1979), pp. 14-25. 8Gross change data, a byproduct of the CPS, show the labor force status of persons not only for the current month, but also for the pre vious month. The data thus permit the identification and measure ment of the flow of persons who leave involuntary part-time work from one month to the next. Gross changes, therefore, represent a short-run “flow,” rather than a “stock,” of a particular labor force group. 9 Matched CPS data were chosen over the National Longitudinal Survey (NLS) and the Panel Study on Income Dynamics (PSID) pri marily because of the greater sample size available from the CPS. The sample size quickly becomes the limiting factor when a situation expe rienced by only a small portion of individuals over a relatively short period is considered. The focal point of this analysis is the May 1976 -M ay 1977 period because (1) the May 1976 CPS questionnaire con tained a special supplement on job search by workers, and (2) the percentage of the “at work” population on worksharing was fairly steady during this period. 10For a description of the multinomial logit technique, see Joseph R. Antos and Wesley Mellow, T h e Y o u th L a b o r M a r k e t: A D y n a m ic O verview , Staff Paper 11 (Bureau of Labor Statistics, July 1979); and, M. Nerlove and S. J. Press, “Univariate and Multivariate Log-Linear and Logistic Models” (Santa Monica, Calif., The Rand Corporation, 1973). " James L. Medoff, “Layoffs and Alternatives Under Trade Unions in U.S. Manufacturing,” A m e ric a n E c o n o m ic R ev ie w , June 1979, pp. 380-95. 12 It should be noted that, because these data relate to all involun tary part-time workers, the flows of other involuntary part-timers be sides those on slack work may be partially responsible for this finding. " Robert W. Bednarzik, “Involuntary part-time work: a cyclical analysis,” M o n th ly L a b o r R ev ie w , September 1975, pp. 12-18. 14 Robert W. Bednarzik, “Involuntary Part-time Work and Educa tional Attainment,” T h e J o u r n a l o f G e n e ra l E d u c a tio n , Summer 1976, pp. 135-44. 15 Robert W. Bednarzik, “Involuntary part-time work: a cyclical analysis,” p. 17. 16Jacob Mincer, “Labor Force Participation of Married Women: A Study of Labor Supply,” A sp e c ts o f L a b o r E co n o m ic s: A C o n fe ren ce o f the Universities (National Bureau of Economic Research, Princeton University Press, 1962), p. 68. 17Ib id . 18John M. Barron and Wesley Mellow, “Changes in Labor Force Status Among the Unemployed,” J o u r n a l o f H u m a n R es o u r c es (forth coming). ” Stephen W. Salant, “Search Theory and Duration Data: A Theo ry of Sorts,” Q u a r te r ly J o u r n a l o f E co n o m ic s, February 1977, pp. 3 9 58. 20 Robert W. Bednarzik, “Persons Working Part-time for Economic Reasons,” unpublished paper prepared for the National Commission on Employment and Unemployment Statistics (March 1978). 21 The 3-months-later flow is based upon two rotation groups with the assumption that one rotation group does not differ much from any other. Although each rotation group is in itself a probability sam ple, responses differ across groups. This is commonly known as rota tion group bias and is discussed more fully in the appendix. Thus, the standard error of the one-sixth figure is unknown. Generally, however, the error would not alter the fact that a person’s stay on worksharing declines fairly quickly over a 1-year period. 22 Although rotation group bias also affects these percentages, the bias, in general, would not be likely to cause the direction and distri bution of worksharers’ flows over time to defy economic logic. 23 The expected duration of worksharing for the typical individual can be computed by 1/1-P., where P. is equal to the probability of staying a worksharer, given variable i. One must assume that 1-P, the mean escape rate, is constant for each individual over time. 24 L a y o ff, R e c a ll, a n d W o rk s h a r in g P ro ced u res, Bulletin 1425-13 (Bureau of Labor Statistics, 1972), p. 16. 25 Barron and Mellow, “Changes in Labor Force Status Among the Unemployed.” 26 Because the employment status of other family members is in it self a very limited proxy for other inc.ome sources, and the proportion of multi-earner families varies considerably by age of secondary earn er, the interpretation of the impact of such a variable is difficult. Therefore, the “employment status of other family members” variable was deleted from the final logit regression run. 27 Sar A. Levitan and Richard S. Belous, “Work sharing initiatives at home and abroad.” 28 O u tlin e f o r S ta te w id e E v a lu a tio n o f th e C a lifo r n ia “S h a r e d W o rk U n e m p lo y m e n t C o m p e n s a tio n ” P r o g r a m (Office of the Director, Em ployment Development Department, State of California, September 1979). 24 Fred Best and James Mattesich, “Short-time Compensation and Work Sharing: A New Alternative to Layoffs.” 30 O u tlin e f o r S ta te w id e E v a lu a tio n o f th e C a lifo r n ia “S h a r e d W o rk U n e m p lo y m e n t C o m p e n sa tio n " P r o g r a m ; and Peter Sadlier-Brown, W o rk S h a r in g in C a n a d a : P r o b le m s a n d P o ssib ilities, HRI Observations Report No. 18 (Montreal, Canada, C. D. Howe Research Institute, June 1978). APPENDIX Limitations of the matched data Any survey procedure has inherent within it both sampling variability and response variability. The Cur rent Population Survey (CPS) obtains its longitudinal flavor from the 4-8-4 rotation group design; the sample is divided equally into 8 rotating groups of households. Each group is in the sample for 4 months, out for 8, and then back in for 4. Consequently, 6 of the 8 groups are common in 2 consecutive months. A further reduc tion in the match data available results from the fact that identical persons must be matched in order to compute gross information. Since the basis for selection of the CPS sample is household units rather than indi viduals, common rotation groups reflect identical house holds but not necessarily identical persons. In any 2-month period, for example, the six common rotation groups will contain a number of persons who have moved from households in the sample area (about 1.5 percent per month) and noninterview cases (4 to 5 per cent per month)— persons who refuse to respond and those absent from home during the interview week. The exclusion of nonidenticals not only affects the size of the sample available, but also may introduce a special bias in matched estimates, because the nonidentical per sons excluded may differ from those of identical per sons. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis To evaluate the primary match used in this study, the mean values of selected demographic characteristics for the M ay-June 1976 match sample for all worksharers and for all involuntary part-time workers in May 1976 are provided below: Variable Age (years)................... Married, spouse present Black and other ............ Female.......................... N. A. = Not Available M a y-J u n e M ay 1976 1976 match sample o f A ll all workA ll work- involuntary sharers sharers part-timers 38 .63 .17 .46 N. A. N. A. .18 .43 35 .51 .18 .49 The tabulation shows that the demographic composi tion of the matched sample was generally similar to the larger populations of all worksharers and all involun tary part-time workers. This lends some credence to the representativeness of the M ay-June 1976 match utilized in this study. Response variability occurs in the form of misclassification of reported labor force status and in “rotation group bias.” The “net errors” between the original and reinterview results are comparatively small because of offsetting differences, but gross differences may be sub stantial. The second form of response variability, “rota11 MONTHLY LABOR REVIEW July 1980 • Worksharing in the U.S. E x h ib it A -1. M u ltin o m ia l lo g it e s tim a te s o f th e d e te rm in a n ts o f c h a n g e s in la b o r fo rc e s ta tu s a m o n g w o rk s h a re rs b e tw e e n M a y a n d J u n e 1 9 76 V ariable Description Usual status 1 i f usually part-tim e 0 otherw ise Age years of age M arital status Race Sex Education Skilled Union 1 Unskilled M ean R elative proba R elative proba bility o f w orking R elative proba bility o f beco m part-tim e for bility o f return ing unem ployed reasons other ing to or finding or leaving the than full-tim e w ork labor fo rce w orksharing 0.36 -1 .1 2 2 ( - 4 .2 9 ) -0 .2 7 0 -0 .1 1 6 (-0 .3 3 ) 0.044 -0 .0 1 6 (-0 .0 5 ) 0.083 38 -0 .0 2 6 ( - 2 .9 2 ) -0 .0 0 3 -0 .0 2 8 (-2 .1 8 ) -0 .0 0 1 -0 .0 3 1 ( - 2 .8 3 ) -0 .0 0 2 -0 .5 1 4 ( - 1 .9 0 ) -0 .0 5 7 -0 .3 7 1 ( - 1 .0 0 ) 0.002 - 0 .7 0 4 ( - 2 .2 2 ) -0 .0 5 3 -0 .8 4 5 ( - 2 .5 1 ) -0 .2 3 2 0.201 (0.49) 0.058 -0 .4 5 0 ( - 1 .8 6 ) -0 .1 0 2 1 if m arried, spouse present 0 otherwise .63 1 if black and other 0 otherwise .17 1 if fem ale 0 otherwise .46 years of school com pleted 11 1 if unskilled ' 0 otherwise .26 1 if union m em ber 0 otherwise .25 Looked D escription Mean .09 0.161 (0.34) -0 .0 2 7 1 .17 0.125 (0.31) 0.053 -0 .1 8 8 ( - 0 .3 4 ) -0 .0 2 1 -0 .1 7 9 ( - 0 .3 6 ) -0 .0 3 1 0.176 (0.48) 0.083 2 .14 -0 .2 8 8 ( - 0 .6 8 ) -0 .0 0 5 -0 .7 5 1 ( - 1 .1 8 ) -0 .0 5 2 -0 .4 0 5 ( - 0 .7 9 ) -0 .0 2 1 - 0 .2 7 6 (-0 .8 0 ) - 0 .0 0 6 0.060 (0.20) 0.046 5 .13 0.200 (0.45) 0.051 -0 .1 8 1 ( - 0 .2 9 ) -0 .0 2 9 0.093 (0.18) 0.001 - 0 .0 6 3 ( - 1 .4 5 ) - 0 .0 1 5 -0 .0 6 3 ( - 1 .0 6 ) -0 .0 0 4 0.030 (0.55) 0.010 6 .19 -0 .0 5 4 ( - 0 .1 4 ) 0.002 - 0 .1 6 8 ( - 0 .3 1 ) -0 .0 1 2 -0 .0 9 5 ( - 0 .2 0 ) - 0 006 0.261 (0.90) 0.050 -0 .0 5 2 ( - 0 .1 3 ) -0 .0 2 2 0.234 (0.68) 0.014 7 .19 -0 .3 0 2 ( - 0 .7 7 ) 0.004 -0 .3 5 5 ( - 0 .6 7 ) - 0 .0 0 5 -0 .8 2 3 ( - 1 .6 5 ) - 0 .0 8 5 0.331 (1.23) 0.139 -0 .7 1 0 ( - 1 .5 3 ) - 0 .0 8 0 -0 .3 0 2 ( - 0 .8 1 ) -0 .0 5 3 1 if currently looking for work 0 otherwise 0.688 (1.22) 0.051 0.447 (0.86) 0.037 Month in Current Population Survey as of M ay 1976: C onstant 3.118 1.562 0.954 includes the follow ing detailed occupational categories: sales w orkers in retail trade, transport equipm ent w orkers other than drivers, all laborers, and service workers. tion group bias,” is related to the rotation group struc ture of the CPS sample mentioned earlier. The response of persons interviewed varies by month in sample. This is due in part to sampling variability. However, the two dominant explanations for this phenomenon are that differential attrition changes the distribution and composition of the sample, and that participation in the survey itself conditions or alters subsequent re sponses. To control for the second problem, dummy variables indicating which month the individual was in the sam ple were included as explanatory variables. No attempt was made to control for the problem of different reinterview probabilities, although this problem should be somewhat mitigated by the demographic similarities 12 V ariable R elative proba R elative proba bility o f w orking R elative proba bility o f beco m part-tim e for bility o f return ing unem ployed reasons other ing to or finding or leaving the than full-tim e w ork labor fo rce w orksharing https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis between the matched sample and the total population of worksharers. Basis of estimates of transitional probabilities Exhibit A-1 presents the maximum likelihood estimates from the logit analysis, with associated asymptotic t-statistics, and derivatives (at sample means), which provided the basis for the transitional probabilities shown in table 5. All independent vari ables were constructed from the May 1976 CPS data; dependent variables were defined on data from the June 1976 CPS. The sample size was 475, and the x 2statistic, which tests the hypothesis that all parameters except the constants were zero, was 95.8, with 42 degrees of freedom. Short-time compensation systems in California and Europe Preliminary analysis of the available data on California's “Work Sharing Unemployment Insurance, ” enacted to prevent layoffs after passage of Proposition 13, suggests the program worked well; more analysis is needed for a final judgment F red Best an d James Mattesich During times of high unemployment it is often suggested that work time be reduced in order to spread avail able jobs among a larger number of persons. Numerous proposals have been advanced in this area, but only a few hold promise as effective employment policies.1One of these is “short-time compensation.” This proposal provides partial unemployment insurance benefits for work time lost by employees who have taken a reduc tion in work hours to prevent layoffs or dismissals by their employer. As a rough illustration: if a firm were to reduce em ployees’ workweeks and pay levels by 20 percent rather than laying off 20 percent of its employees, those em ployees working short time would receive 20 percent of weekly unemployment insurance benefits. Thus, employ ees on reduced workweeks would be partially reim bursed for lost earnings and workers would not lose their jobs. This article explores this approach to combating job lessness by reviewing the history of the “short-time” compensation concept in the United States and examin ing the operation of a recently initiated program in Cal ifornia against a backdrop of comparable European programs. Background of the concept Short-time compensation programs have been wide spread and reportedly successful in several European nations since the 1920’s but the U.S. unemployment in surance system was not used for such purposes until 1978. Many U.S. unemployment insurance programs have provisions for paying partial benefits for less than a full week of unemployment,2but such benefits are lim ited roughly to the differences between full weekly bene fits and the income earned during the week in question. Fred Best is a policy analyst in and James Mattesich is deputy direc tor of the California Employment Development Department, Sacra mento, Calif. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis For example, if an employee earns $250 for a 40-hour workweek and is eligible to receive $100 in benefits for a week of unemployment, he or she could not receive benefits for working say a 32-hour week because earn ings for more than 2 days of employment would total more than $100. Thus partial benefits are not suitable as a worksharing policy. By contrast, under short-time compensation, unem ployment insurance benefits would be paid as a propor tion of the maximum benefits available to a worker for a given week if the lost time equals or surpasses an established minimum work time reduction. Thus, a worker eligible to receive a maximum of $100 in weekly benefits could receive about one-fifth that amount or $20 for every full day of lost work. Recent consideration of using short-time compensa tion within the United States began as a response to the aggravated unemployment problems of New York City in 1975.3The so-called “Poses Plan” was suggested both to reduce joblessness and to minimize loss of affirmative action gains by preventing the layoff or dismissal of re cently hired minority workers.4 In March 1976, a bill was introduced to the New York State Assembly to al low unemployment insurance benefits to be paid on a daily rather than weekly basis5 but died in committee. (About the same time, Canada implemented a limited pilot study of the short-time compensation concept).6 Federal Government interest in short-time compensa tion has progressed slowly. During 1978 and 1979, the U.S. Department of Labor established a special task force to monitor existing programs, make preliminary assessments of the concept, and explore the possibility of funding a pilot study.7 Most recently, members of Congress have indicated an intention to introduce legis lation to support development of the program.8 Independent of Federal and other initiatives, Califor nia examined the concept,9 then established an experimental statewide program during mid-197810in re sponse to expected public employee unemployment re13 MONTHLY LABOR REVIEW July 1980 • Short-time Compensation Systems suiting from passage of Proposition 13. The program was rapidly implemented, and although the widespread layoffs expected from Proposition 13 did not material ize, the program has been continued. Although other States have the discretion to establish similar programs, as of early this year, the California program is the only one of its type in the United States. The California program California’s “Work Sharing Unemployment Insur ance” program began as an 18-month experiment and was extended in July 1979 for an additional two years. The basic design is similar to programs which have existed in Europe for several decades. It is operated by the California Employment Development Department, which administers unemployment insurance, disability insurance, and the California State Employment Service. The legislation creating the program provides that an employer facing a drop in business may choose, instead of layoffs, to reduce the hours and wages of all or a designated part of the work force and share the remain ing work among the employees. The reduction must in volve not less than 10 percent of the employer’s regular permanent work force in the affected work unit or units. In addition, the hours and wages of the affected employees must be reduced by 10 percent or more be cause the program would be only minimally effective but administratively expensive, at a lower reduction in hours. Each employee included in the program is eligi ble to receive a weekly unemployment insurance benefit proportional to the percentage reduction in wages and hours. The program was designed to operate within the existing California unemployment insurance system. Each participating employee must meet basic UI eligi bility requirements. In California, these requirements are relatively liberal. Before 1980, a worker must have earned at least $750 in wages during the 12-month “base period” prior to receiving benefits (increased to $900 in 1980). That amount of earnings would provide, however, only minimal regular unemployment insurance weekly benefits of $31. Prior to 1980, the weekly ceiling for unemployment insurance benefits was $104 ($120 in 1980) if the recipient earned $3,308 ($4,160 in 1980) or more in the highest quarter of his or her base period. Thus a worker who is eligible for maximum weekly benefits would receive $21 ($24 in 1980) for each work day lost. The California legislation allows the payment of worksharing benefits to each participating employee for up to 20 weeks during a 52-week period beginning with the first week benefits are paid. If the 20 weeks are exhausted and workers are then laid off, those who lose their jobs would be eligible for regular unemployment insurance benefits with the duration reduced slightly to 14 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis reflect the dollar costs of the worksharing benefits al ready received. The Work Sharing Unemployment Insurance pro gram was also designed to interefere as little as possible with existing labor-management relationships. Employ ers’ participation in the shared work program is strictly voluntary. However, if participating employees are cov ered by a collective bargaining agreement, their union must agree to the plan. Of course, where no agreement exists, the employer is free to decide whether to partici pate or not. Thus far, there have been no signs of em ployee resistance to the program in participating firms. Employers participating in the California program are charged for benefits in the same manner they are charged for regular unemployment insurance benefits. However, participating employers, whose recent history of unemployment insurance benefit charges exceed their contributions (“negative reserve employers”), are re quired to pay additional unemployment insurance taxes ranging from .5 percent to .3 percent on the first $6,000 of all employee wages, in succeeding calendar years. These tax increases are intended to discourage use of the program by firms which normally make seasonal layoffs. To encourage employer participation and to keep “bureaucratic red tape” to a minimum, administration of the program has been kept simple. Employers are only required to call or write for a two-page application form, provide basic employee identifying information, state that work-time reductions are economically neces sary and submit information on the amount of wage and hour reductions. If the application for Work Shar ing Unemployment Insurance is approved, employers provide their participating employees with a weekly statement of reduced hours and wages which employees then use to claim “shared work” benefits. The program is intended to prevent layoffs. However, California employers are not required to “document” or prove that a reduction in hours cannot be avoided. Nor are employers prevented from laying off some workers before or after beginning the program. The question of continuation of fringe benefits (health insurance, retire ment, etc.) is not addressed in the California legislation and therefore is left to each employer. No restrictions are placed upon the employers’ operation of their businesses, including discharges, transfers, and new hires. In addi tion, the number of participants, as well as the original wage and hour reduction assigned by the employer may be easily changed by means of written notification to the Employment Development Department. Restrictions on workers who participate are also kept to a minimum. Workers receive their shared work bene fits directly from the State by mail. However, an initial claim must be filed personally by each worker at a local branch office of the Employment Development Depart- ment. The benefits are not taxable under California law but are taxable, to the same extent regular unemploy ment insurance benefits are, under Federal law.12 One restriction on outside or extra work does exist: workers who either “moonlight” or perform work in ex cess of the “reduced” hours assigned by their employers have such earnings deducted from their shared work benefits. Workers whose employers have stated that the shared work plan will be used as a temporary measure (defined as fewer than 10 weeks) are automatically exempted from the normal work search requirements that regular unemployment insurance recipients must meet. Employ ers who state that their expected downturn will last longer than 10 weeks but who believe that the down turn is nevertheless “temporary” in nature may also have their employees exempted from work search re quirements simply by providing an explanation as to why they believe the downturn will be temporary. If, however, an employer, who is expecting a permanent work force reduction, uses the shared work program as a transitional mechanism which allows employees to look for other employment while working reduced work hours, those workers receiving benefits must meet the work search requirements of the regular unemployment insurance system. During the first 15 months of the program’s existence, only one employer with five work ers has used the program in this fashion. The California program is not widely known. Be tween July 1978 and the end of September 1979, 312 employers had approved worksharing compensation plans, covering 7,603 employees. Some 3,165 of these employees filed claims and received, on the average, $23.63 per week for an average of 4.85 weeks. The aver age number of total dollars paid to worksharing recipi ents was $114.65 and the total amount paid in worksharing benefits up to September 1979 was $263,698. Use of the program grew slowly at first, with only 67 firms receiving certification between July 1978 and Feb ruary 1979. However, participation has accelerated with the total number of certified firms increasing to 701 by April 1980. It is commonly assumed that lack of early use and subsequent increases in participation can be largely attributed to gradual growth of awareness of the program. Nonetheless, when one considers that there are over 500,000 firms and 10 million workers in Cali fornia, it is apparent that the program has thus far been used by a very small number of employers. The low level of participation and the quality of the data currently available preclude any definitive assess ments of the worksharing program at this time. Howev er, existing information can provide some provisional indications. Some 33 percent of certified California firms were in manufacturing and 14.1 percent were in https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis wholesale and retail trade and services. (See table 1.) Over 75 percent of the 3,165 workers who filed claims for shared work benefits were employed by firms in manufacturing, in contrast to 28.5 percent of workers making regular unemployment claims. (See table 2.) The relative size of firms participating in the program has been small so far. Roughly 85 percent of participat ing firms had fewer than 40 employees drawing benefits and only four firms had over 200 employees. (See table 1.) The typical reduction in workweek and wages used by participating firms in California was 20 percent. About two-thirds of those participating went from 5- to 4-day weeks. About 6 percent of participating employ ers chose a 10-percent work-time reduction, while 28 percent chose reductions of 30 percent or more. (See ta ble 1.) Only 5 of the 312 certified firms as of September 1979 involved workers with standard workweeks under 35 hours. Many employers have chosen to apply the reductions only to a portion of their work force. The 312 employ ers using the program through September of last year employed 14,273 workers, but only 7,603 employees T a b le 1. C o m p a ris o n o f C a lifo rn ia firm s usin g W o rk S h a rin g U n e m p lo y m e n t In s u ra n c e a n d re g u la r la y o ffs u n d e r U n e m p lo y m e n t In s u ra n c e , 1 9 7 6 - 7 7 C haracteristics Participants under w orksharing b e n e fits 1 N um ber P ercent Layo ffs under Un em ploym ent In s u ra n c e 2 N um ber Percent Total 312 100.0 435,417 100.0 Industrial s ecto r A g ric u ltu re ................................... Mining and e n e r g y ................... C onstruction ............................. M anufacturing ........................... T ra n s p o rta tio n ........................... Retail and w holesale ............. Finance, real e s t a t e ................ Services ..................................... O ther ........................................... 8 1 8 104 24 44 3 38 82 2.6 .3 2.6 33.3 7.7 14.1 1.0 12.2 26.3 36,117 932 42,356 36,477 13,219 131,538 34,783 137,589 2,406 8.3 .2 9.7 8.4 3.0 30.2 8.0 31.6 .6 Size o f firm Under 50 w orkers ................... 51-100 w o r k e r s ................................. 101-200 w o r k e r s .............................. 201-500 w orke rs ..................... 501-1,000 w o r k e r s ................... O ver 1,000 w o r k e r s ................ 244 39 16 10 3 0 78.2 12.5 5.1 3.2 1.0 472,972 14,727 5,763 5,646 1,238 905 94.0 3.1 1.2 1.2 Portion o f w o rk fo rc e affec ted Under 20 p e r c e n t..................... 21-40 percent ........................... 41-60 percent ........................... 61-80 percent ........................... 81-100 perce nt ........................ 28 37 59 58 130 9.0 11.9 18.9 18.6 41.7 U nionization Unionized ................................... Non-unionized ........................... 34 278 Ul re s e rv e acco unt status Positive a c c o u n t........................ Negative a c c o u n t..................... Non-rated ................................... No longer in b u s in e s s ............. 251 45 25 — — .3 .2 — — — — — — — — _ — 10.9 89.1 — — — — 78.2 14.0 7.8 — 243,399 76,085 109,704 6,265 55.9 17.5 25.2 1.4 1 California E m ploym ent D evelopm ent D epartm ent is the source (Sept. 3 0 ,1 9 7 9 ). 2 UI Claim ant Characteristics Study, July 1, 1976 and June 30, 1977. Em ploym ent Data and Research Division, California E m ploym ent D evelopm ent D epartm ent, is the source (Jan uary 1979). 15 MONTHLY LABOR REVIEW July 1980 • Short-time Compensation Systems T a b le 2. C o m p a ris o n o f C a lifo rn ia w o rk e rs e x p e rie n c in g W o rk S h a rin g U n e m p lo y m e n t In s u ra n c e an d la y o ffs w ith re g u la r U n e m p lo y m e n t In s u ra n c e , 1 9 7 6 -7 7 Participants under w o rk s h a rin g 1 Layo ffs under unem ploym ent in su ran ce2 CtiHT acte nstics Num ber Percent Num ber Percent 3,165 100.0 5,687 100.0 M e n ....................................................................................... W om en ............................................................................... 1,963 1,171 62.0 37.0 3,420 2,237 60.5 39.5 Under 20 years ................................................................ 2 0 - 2 9 years ..................................................................... 3 0 - 3 9 years ..................................................................... 4 0 - 4 9 years ..................................................................... 5 0 - 5 9 years ..................................................................... 60 years and over .......................................................... Unknown ............................................................................. 158 1,076 1,044 412 348 95 32 5.0 34.0 33.0 13.0 11.0 3.0 1.0 792 1,586 1,284 842 710 367 76 14.0 28.0 22.7 14.9 12.6 6.5 1.3 Race W h ite ..................................................................................... N on-w hite ............................................. ....................................... 1,614 1,451 51.0 49.0 3,305 1,452 58.4 41.6 N orm al w eekly income $ 0 - 9 9 ............................................................................................. $ 1 0 0 -1 9 9 .................................................................................... $ 2 0 0 -2 9 9 .......................................................................... $ 3 0 0 -3 9 9 .......................................................................... $400 499 .......................................................................... $500 and over .................................................................. Unknown ............................................................................. 31 1,646 1,076 317 32 31 32 1.0 52.0 34.0 10.0 1.0 1.0 1.0 803 2,430 1,209 546 445 14.1 42.8 21.3 9.6 7.8 248 4.4 Unionization U n io n iz e d ............................................................................. Non-unionized .................................................................. Unknown . ' .......................................................................... 816 2,349 25.8 74.2 933 4,281 443 16.5 75.7 7.8 W eekly benefits received Jn d e r $25 .......................................................................... $ 2 6 - 4 0 ................................................................................ $41 60 ................................................................................ $ 6 1 - 8 0 ................................................................................ $ 8 1 - 1 0 0 ............................................................................. O ver $ 1 0 0 .................................................................................... NA NA NA NA NA NA NA NA NA NA NA NA 767 1,191 1,405 832 1,462 13.6 20.1 24.8 14.7 26.8 Industrial sector A g ric u ltu re .................................................................................... Mining and energy .................................................................. C o n s tru c tio n .................................................................................. M anufacturing .................................................................. T ransportation .................................................................. Retail and w h o le s a le ........................................................ Finance, real estate ........................................................ Services ............................................................................. U n k n o w n ............................................................................. 4 10 19 2,389 5 174 14 226 324 .1 .3 .6 75.5 .2 5.5 .4 7.1 10.0 362 22 570 1,611 272 1,363 226 1,203 28 6.4 .4 10.1 28.5 4.8 24.1 4.0 21.3 .5 Total Sex Age 1 California E m ploym ent Developm ent D epartm ent is the source (Sept. 3 0 ,1 9 7 9 ). 2 UI Claim ant C haracteristics Study, July 1 ,1 9 7 6 and June 30, 1977. E m ploym ent Data and were included in the program. In this group, unionized firms had 4,587 employees but only 1,294 were certified to use the program. Also, it appears that significant portions of work forces not included in the program may be salaried and white-collar employees who are not commonly laid off", or members of units working at full staff.13 It is particularly noteworthy that California firms which have thus far utilized worksharing unemployment compensation appear to have healthier unemployment insurance tax accounts than those using regular layoffs. Over 78 percent of the firms participating in the pro gram had account status in which tax contributions to unemployment insurance have been greater than with drawals in contrast to 63 percent of other firms. This suggests that the program may not be unduly subsi 16 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Research Division, California E m ploym ent Developm ent D epartm ent, is the source (January 1979). dizing seasonal employers, and that the program’s spe cial surtax provides a disincentive to participation by such firms. Of the 7,603 workers approved to receive Work Shar ing Unemployment Insurance benefits by September 1979, only 3,165 actually filed claims. Preliminary indi cations are that many employers who believed that they would have to lay off workers or cut workweeks ob tained certification for benefits but ultimately found its use unnecessary. In addition, it appears that a signifi cant proportion of employees within firms using the program have failed to submit their claims for benefits. The incidence of union affiliation has so far been higher among benefit claimants than among workers claiming regular unemployment benefits. That is, 25.8 percent of the workers claiming shared work benefits up to September 1979 were unionized as compared to 16.5 percent of regular benefit claimants. While this issue re quires more detailed assessment, it would appear that unionization has not deterred participation. No clear picture emerges from breakdowns of shared work benefit claimant data by age, race, and sex. The proportion of younger workers is lower among work sharing unemployment claimants than among regular unemployment claimants, indicating that junior workers are retained rather than laid off. Breakdowns by race and sex are puzzling. If minorities and women are laid off before other employees, their proportions should be higher among those claiming regular unemployment benefits than among those claiming worksharing bene fits. Curiously, there is little difference by sex, and the proportion of minority workers using worksharing bene fits is higher than the proportion using regular unem ployment benefits. These figures could indicate that the new program is used more among firms with high pro portions of minority and women workers, or that many minorities and women are ineligible for unemployment insurance, or that there are inaccuracies in the available data.14More detailed analysis will be necessary to assess the implications of Work Sharing Unemployment Insur ance for affirmative action programs. In addition to statistics, opionions were collected from representatives of participating firms and unions to get some indication of how the program had been re ceived. Early in December 1979, representatives from 30 firms which actually used the program were interviewed by phone. Of these firms, 25 strongly favored the pro gram and 5 were neutral. Firm representatives favored the program because it helped them retain valued em ployees, was generally appreciated by workers, and was easy and flexible to administer. Representatives from 20 of the 36 local unions participating in the program pri or to December 1979 were also interviewed. Fourteen favored the program, 3 were neutral or unaware of the program, and 3 had not actually used the program. Ma jor reasons for approval were that use of the program was fairer than layoffs, and workers were generally bet ter off financially because only a portion of earnings were lost and most fringe benefits were maintained. Four union representatives reported initial resistance to the program from their members, but also noted that opposition had lessened once workers became familiar with the program. These are all only preliminary indications as the data currently available do not permit a definitive assessment of the California program’s impact. However, informa tion from other sources can augment what we now know about such programs. The concluding section will deal with comparable programs in Europe. In an appen dix, we discuss the results of a hypothetical cost-benefit analysis of short-time compensation. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Short-time compensation in Europe Programs similar to California’s “Work Sharing Un employment Insurance’’ have been in effect within the Federal Republic of Germany, Belgium, France, Italy, Great Britain, Luxemburg, Denmark, The Netherlands, Norway, Austria, and most recently on the North American continent in Canada.15 Of these short-time benefit programs, the German program most closely parallels the framework of the California program (and of those being discussed in the United States). We will concentrate on it. The German short-time allowance scheme was first delineated in the Placement and Unemployment Insur ance Act of July 1927.16The law has been revised sever al times. The most recent amendments were in the Employment Promotion Act of June 1969. The program is administered by the Federal Labor Institute, an independent organization composed of rep resentatives of labor, business, and the government, which administers unemployment insurance, unemploy ment assistance, and other labor market measures.17 In West Germany, worker eligibility for short-time benefits is determined by eligibility for unemployment insurance. All these programs are financed by a 3-percent payroll tax divided equally between employers and employees up to an earnings ceiling.18 The program is available to firms with at least one paid employee. To become eligible, a firm must demon strate that a reduction in hours of labor is unavoidable, and that work time reductions with short-time benefits will prevent dismissals.19 Furthermore, employers must document that work-time reductions of 10 percent or more have been made for one-third or more of their em ployees for a period of four continuous weeks or more.20 Eligibility has traditionally been denied to firms and in dustries showing signs of permanent decline.21 German law requires that decisions to reduce work time or lay off workers must be agreed to by the em ployer and the Worker Councils established within most firms.22 If the Worker Council consents to the program, it is binding upon the affected workers. Dissenting workers can only resign to avoid a shorter workweek.23 The German program appears to allow firms consid erable discretion in determining what portions of their work forces go on short-time and how use of short-time is adjusted over time. Employers also are allowed to transfer workers within the firm, and some workers may be discharged and others hired so long as most employ ees retain their jobs.24 Once eligibility is determined, the Federal Labor In stitute authorizes the payment of specified benefit amounts to workers. The firm pays these benefits direct ly to its employees, and is reimbursed by the govern ment. As in the California program, the amount of 17 MONTHLY LABOR REVIEW July 1980 • Short-time Compensation Systems short-time benefits given to claimants is determined by the proportion of full-time unemployment that work time reductions comprise. The program replaces be tween 60 and 68 percent of earnings lost because of re duced work time.25Short-time benefits have a ceiling but are tax free.26 However, benefits are reduced by 50 per cent of earnings received by recipients for work performed in excess of the reduced work hours provided by the primary employer.27 However, available data show that some 90 percent of German recipients do not have their payments limit ed by the maximum benefit ceiling; and among this large subgroup of participants take-home incomes are almost always maintained at 80 to 90 percent of regular earnings,28 depending on the extent of work-time reduc tion. Firms participating in the program are required to as sume the full costs of public health insurance and retirement programs, which, outside the program, are split evenly between employer and employee. However, the government will, on occasion, reimburse firms for up to 50 percent of the cost of health insurance and 75 percent of the cost of retirement programs.29 In some cases, curtailment of full private fringe benefits which are related to pay levels may occur, but such reductions are typically minor.30 The normal maximum duration of benefits is 6 months, but it can be extended for up to as much as 2 years.31 While the extent and duration of work-time reductions under the German program varies, a “rule of thumb” generalization is that most beneficiaries had their work time shortened by about 40 percent and that du ration has been under 3 months for most participants. Between 1972 and 1977, some 92 percent of bene ficiaries suffered a loss of work time of under 50 percent of standard hours, and 57 percent experienced a loss of less than 25 percent. Between June 1977 and June 1978, 56 percent of participating workers received benefits for under 3 months and only 6 percent received benefits for periods lasting longer than 1 year.32 Utilization of short-time compensation varies marked ly with the business cycle, particularly during the early stages of an economic downturn when firms are not sure whether dismissals and long-term layoffs are neces sary. This pattern is empirically dramatized by the rap id upsurge of utilization of short-time compensation at the beginning of the 1975 recession, followed by a de cline in use despite the fact that unemployment levels did not fall appreciably. (See table 3.)33 Ninety-five percent of German workers receiving short-time payments are in manufacturing, mining, and construction. Within these sectors, payment of shorttime benefits for shorter working hours is most widely used in all stages of the fabrication of metal products, 18 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T a b le 3. A n n u a l a v e ra g e s o f u n e m p lo y m e n t an d w o rk e rs u n d e r s h o rt-tim e c o m p e n s a tio n , W e s t G e rm a n y , 1 9 6 8 -7 8 Year R egistered short-tim e w orkers R egistered unem ploym ent (num ber) 1968 ........................ 1969 ........................ 1970 ........................ 1971 ........................ 1972 ........................ 1973 ........................ 1974 ........................ 1975 ........................ 1976 ........................ 1977 ........................ 1 9 7 8 ' ..................... 10 1 10 86 76 44 292 773 277 231 250 323 179 149 185 246 273 582 1,074 1,060 1,030 1,000 U nem ploym ent rate 1.3 .7 .6 .7 .9 1.0 2.2 4.7 4.6 4.5 1 1978 figures are prelim inary. NOTE: U nem ploym ent figures are based on the num ber of registrations at governm ent E m ploym ent Service O ffices. It is estim ated that about 75 percent of the unem ployed w ork ers in W est G erm any register. U nem ploym ent rates are com puted on the basis of registered unem ploym ent figures. SO UR CE: Annual Report for 1976, Bundesantap Fur Arbeit, Republic of W est Germ any, pages 8 and 65; and Arbeits-und Sozialstatistik, Federal M inistry of Labor and Social Affairs, R epublic of W est G erm any, M arch 1978. Data for 1977 and 1978 cited from Gunther Schm id, “ Selective E m ploym ent Policy in W est Germ any: Som e Evidence of Its Develop m ent and Im pact,” Discussion Paper Series, International Institute of M anagem ent, Berlin, July 1978, page 14. ranging from the mining of iron and coal to the produc tion of steel, machinery, automobiles, and ships. Electri cal products, textiles and construction industries follow in that order. In contrast to the California program, between onethird and one-half of all workers receiving short-time benefits were employed in large firms with more than 500 workers. Nonetheless, employers with more than 500 employees represented only 5.5 percent of the total number of firms using the program in 1978. The widespread use of the program in Germany has led observers to conclude that the program has signifi cantly attenuated unemployment. One study has esti mated that use of the program reduced full-time unem ployment by approximately 175,000 in 1975, and some 52,000 in 1977. (See table 4.)34 Thus, some observers claim that without the program, full-time unemploy ment would have been about 16 percent higher in 1975, and about 5 percent higher in 1977. Despite general agreement that short-time compensa tion effectively prevents layoffs, the available data leave a number of unanswered questions concerning its job saving effects. It has been noted that the aggregate work-time reductions have been significantly greater than the estimated reductions of full-time unemploy ment. (See table 4.) Most analysts suggest that this dif ference comes primarily from a “silent reserve” (Stille Reserve) of employees on reduced work time who do not or cannot claim short-time benefits,35 but the phe nomenon is yet to be fully explained. Questions and prospects Despite generally laudatory reports from European representatives of labor, business, and government about short-time programs,36 a number of reservations have been expressed about the applicability of the con cept to the United States. For example, different levels of labor market competition would make the program far less attractive to U.S. firms. Furthermore, European legal restraints on layoffs, particularly those in Germa ny, are likely to make short-time compensation far more acceptable in Europe. Moreover, large portions of Euro pean fringe benefits are administered by the govern ment, thus reducing fixed costs of labor which are likely to deter U.S. firms from participation. Finally, the max imum benefit ceiling for the German program is consid erably higher than most American ceilings.37 This dif ference is assumed to reduce opposition from senior employees in Germany to a much greater degree than would be likely in the United States. While there are still many unanswered questions, available information suggests that short-time compen sation can do little to help persons who are out of work because they have just entered or re-entered the labor force. Nor is it likely to help those who have already been laid off or voluntarily left their jobs. However, short-time compensation does have potential to prevent full-time job loss among the 3 to 5 million American workers subject to layoffs who comprise about half of the unemployed population.38 Despite the potentials of short-time compensation, there are many reservations about its widespread appli cation in the United States. Some union representatives have expressed fear that use of short-time compensation would disrupt hard-won seniority provisions and established union procedures. It has been suggested that layoffs according to seniority are fair and that use of shorter workweeks as an alternative to layoffs would lead to wage losses among higher-paid senior workers. In addition, there is concern that use of the program would stimulate conflicts among workers, leading to a reduction of union solidarity and bargaining power and presenting numerous administrative complications which would effectively prevent certain types of workers from receiving benefits, encourage firms to instigate greater aggregate work-time reductions than would be the case under layoffs, and reduce political pressures for full employment.39 Yet a 1978 survey of the American labor force indicates that the worksharing unemploy ment insurance concept is supported by an over whelming majority of workers.40 Some members of the business community have also expressed concern that the program would ultimately be imposed on firms, encourage unions to push for shorter workweeks, and subsidize marginal firms at the expense of healthy ones. While these reservations are not unani mously expressed by all sectors and levels of labor and business,41 they do represent important issues which must be dealt with prior to widespread acceptance of short-time compensation as a major social policy. The future of short-time compensation within the United States will be determined ultimately by discus sions among advocates and opponents, research and policy evaluation,42 and perhaps further experimentation and trial runs. □ 1 For a compendium of viewpoints on worksharing and its alterna tive forms, see W o rk T im e a n d E m p lo y m e n t, Special Report No. 28, National Commission for Employment Policy, Washington, D.C., Oc tober 1978. For a description and assessment of seventeen varied worksharing proposals, see Fred Best, W o rk S h a rin g : P o lic y O p tio n s a n d A ssessm en ts, Forthcoming Monograph, Upjohn Institute for Em ployment Research, Kalamazoo, Michigan, 1980. 2Daniel Hamermesh, “Unemployment Insurance, Short-Time Com pensation and the Workweek,” W o rk T im e a n d E m p lo y m e n t, pp. 235 -238. 1Edith F. Lynton, “Alternatives to Layoffs,” Conference Report for the New York City Commission on Human Rights, New York, April 1975. 4 Elinor Holmes Norton has urged consideration of the concept ("Testimony of Emile Heller,” L e is u r e S h a rin g , Hearings of the Senate Select Committee on Investment Priorities and Objectives, California State Senate, Sacramento, California, Nov. 1, 1977, pp. 153-163, and submitted statement); and Alfred Blumrosen and Ruth Blumrosen, “The Duty to Plan for Fair Employment Revisited: Work Sharing in Hard Times,” R u tg e r s L a w R ev ie w , Summer 1975, pp. 10821106. 5This bill was last submitted to the New York State Legislature on Mar. 30, 1976 under the Number 11819 by Assembly Member Sey mour Posner. 6 “Work Sharing in Canada,” Department of Employment and Im migration, Ottawa, Canada, April 1978; and Peter Sadlier-Brown, W o rk S h a rin g in C a n a d a : P r o b le m s a n d P o ssib ilities, C.D. Howe Re search Institute, Montreal, Canada, HRI Observations Report No. 18, June 1978. The reports prepared as a result on this committee’s activities are summarized in S h o r t- T im e C o m p e n sa tio n , U I O c c a s io n a l p a p e r, Office of Research, Legislation and Program Policies, Unemployment Insur- T a b le 4. E s tim a te d im p a c t o f s h o rt-tim e c o m p e n s a tio n on w o rk tim e an d u n e m p lo y m e n t, W e s t G e rm a n y , 1 9 7 3 -7 7 [N um bers in thousands] Year 1973 ................... 1974 ................... 1975 ................... 1976 ................... 1977 ................... 1 9 7 8 1 ................ R egistered shorttim e em plo yees 44 293 773 277 231 250 R eduction o f full tim e R eduction o f full tim e equivalent unem ploy equivalent w ork tim e m ent due to short (em ployees) tim e (em ployees) 16 106 272 90 77 84 11 70 175 60 52 56 ' 1978 figures are prelim inary. SO UR CE: Mitteitungen aus der Arbeitsmarket-und Berufsforschung (“ The Developm ent o f the Labor M arket in the Federal Republic of G erm any in 1977"), No. 1 ,1 9 7 7 , page 8. (In terpretation of data provided by Beatrice Reubens, Conservation of Human Resources, C o lum bia University, New York.) D ata for 1977 and 1978 cited from G unther Schmid, “ Selective E m ploym ent Policy in W est Germ any: Som e Evidence of Its Developm ent and Im pact,” International Institute of M anagem ent, Berlin, Discussion Paper Series, July 1978, page 14. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 19 MONTHLY LABOR REVIEW July 1980 • Short-time Compensation Systems ance Service, Employment and Training Administration, U.S. Depart ment of Labor, Washington, D.C., Forthcoming in 1980. 8Legislation has been drafted for submission by Patricia Schroeder, U.S. House of Representatives. 9 “Statement of Gene Livingston, Chief Deputy Director of the Cal ifornia Employment Development Department,” L e is u r e S h a rin g , Hearings of the California State Senate Select Committee on Invest ment Priorities and Objectives, Sacramento, California, Nov. 1, 1977, pp. 66-81. 10Senate Bill No. 210, introduced by William Greene, California State Senate, Sacramento, California, May 7, 1979. " For example, if a recipient was eligible for a total of $3,120 in UI benefits (which is the maximum 1980 weekly benefit of $120 for 26 weeks), and received a total of $480 or $24 a week in worksharing benefits for 20 weeks, he or she would have $2,640 ($120 a week for 22 weeks) worth of regular UI if laid off after using the shared work program. 12 If individual annual incomes are over $10,000 or joint spouse an nual incomes are over $25,000, unemployment insurance benefits are taxable under Federal law. 13 In remarks to the National Commission on Unemployment Com pensation in New York, New York on Aug. 24, 1979, John L. Zalusky, an economist with the AFL-CIO Department of Research, argued that the worksharing program may be used selectively so that lower-skilled and junior employees are laid off with the program be ing used to retain higher skilled or senior workers, thus defeating much of the affirmative action goals of the program. 14 U I C la im a n t C h a r a c te r istic s S tu d y , July 1, 1976, and June 30, 1977, Employment Data and Research Division Estimates Group, California Employment Development Department, Sacramento, Cali fornia, January 1979, p. 9. 15 Peter Henle, W o rk S h a r in g a s an A lte r n a tiv e to L a y o ffs, Congres sional Research Service, Library of Congress, July 19, 1976; and Richard Belous and Sar Levitan, S h o r te r H ou rs, S h o r te r W eeks, Baltimore, Johns Hopkins University Press, 1977. 16 P la c e m e n t a n d U n e m p lo y m e n t I n su ra n c e A ct, July 16, 1927, pp. 116-19. 17 Paul Fisher, “Notes on Work Sharing in the Federal Republic of Germany in 1978,” unpublished paper prepared for the Office of Re search and Development, Employment and Training Administration, U.S. Department of Labor (Contract No. 20-24-78-48), July 1978, pp. 3 -4 . 18Paul Fisher, op. cit., pp. 4 -5 . 15Paul Fisher, op. cit., pp. 4 -5 . 20 Ib id ., p. 4: and Fred Best, “Short-Time Compensation and Work Sharing,” National-Commission for Employment Policy, Washington, D.C., April 1978, p. 8. 21 Paul Fisher, op. cit., p. 5. 22 Bruce Millen, “Job and Income Protection Measures for Worker in Sweden, Germany and England,” Office of the Assistant Secretary for Policy, Evaluation and Research, U.S. Department of Labor, July 13, 1978, p. 10. 23 Paul Fisher, op. cit., p. 7. 24I b id ., 25I b id ., p. 6. p. 4; a n d A x e l M itte ls ta d t , “ U n e m p lo y m e n t B en efits a n d R e la te d P a y m e n ts in S ev e n M a jo r C o u n t r ie s ,” R e e x a m in in g E u ro p ea n M a n p o w e r P olicies, S p ec ia l R e p o r t N o . 10, A u g u s t 1 9 7 6 , p p . 1 7 9 - 8 2 . 26 P a u l F ish e r , op. cit., p. 8. 27 I b id ., p. 4. 28 Ibid., p. 17. 29 Ibid., pp . 5 a n d 8. 30 I b id ., 31 Ib id ., p. 4; a n d Sar L e v ita n a n d R ic h a r d B e lo u s, op. cit., p. 6 2 . 32 I b id ., pp . 1 5 - 1 6 . p. 6. 33 G u n th e r S c h m id , “ S e le c tiv e E m p lo y m e n t P o lic y in W e st G e r m a n y : S o m e E v id e n c e o f I ts D e v e lo p m e n t a n d I m p a c t ,” D is c u s s io n P a per S eries, I n te r n a tio n a l I n s t itu t e G e r m a n y , J u ly 1 9 7 8 , p. 14. of M a n a g e m e n t, B erlin , W e st 34 G u n th e r S c h m id , op. cit., p. 14. 35 Ibid., p. 16. 36 “ S h o r t-T im e C o m p e n s a t io n ,” W h a t's N e w I n L a b o r a n d S o c ia l P o licy, F e d e r a l R e p u b lic o f W e st G e r m a n y , E m b a s s y to th e U n it e d S ta te s, A p r i l - M a y 1 9 7 6 , p. 7; a n d K u r t W . R o th s c h ild , “ W o r k in g T im e a n d U n e m p lo y m e n t ,” p a p er p rep a red fo r th e N a t io n a l C o m m is s io n fo r E m p lo y m e n t P o lic y , U n iv e r s it y o f L in z , A u s tr ia , p r e se n ted J u ly 1 9 7 8 , pp . 5 - 1 0 . 37 In G e r m a n y , m a x im u m U I a n d w o r k sh a r in g b e n e fits a re d e te r m in e d a n n u a lly , to b e 163 p e r ce n t o f a v e ra g e g r o ss e a r n in g s fo r a ll in su r ed w o r k e r s , w h ile th e h ig h e s t U I c e ilin g in th e U .S . is a r ela tiv e ly lo w 6 7 p e r ce n t o f th e a v e ra g e in c o m e o f c o v e r e d w o r k e rs (P a u l F is h er, op. cit., p. 17). 38 1 9 7 9 E m p lo y m e n t a n d T r a in in g R e p o r t o f th e P re sid e n t, p. 2 7 4 , T a b le A - 2 7 . 39 Z a lu s k y , op. c it.; H o w a r d Y o u n g , “ C o m m e n t o n th e N e e d fo r W o rk T im e R e d u c t io n ,” W o rk T im e a n d 'E m p lo y m e n t, op. c it.; “ A C u r e fo r U n e m p lo y m e n t ,” B u sin e ss W eek , O c t. 2 9 , 1 9 7 9 , p p . 1 6 3 - 6 4 ; S a d lie r -B r o w n , op. cit., p p . 1 6 - 1 7 ; a n d F r e d B e s t, G a r y L e fk o w itz , M a u r ee n M c C a r th y , G a il R o s e n b e r g a n d B a rry S tern , ‘ E x p lo r a to r y S u rv e y o n S h o r t-T im e C o m p e n s a tio n ,” p a p er p rep a red fo r O ffice o f R e se a r c h a n d D e v e lo p m e n t, E m p lo y m e n t a n d T r a in in g A d m in is tr a tio n , U .S . D e p a r tm e n t o f L a b o r , J u n e 2 3 , 1 9 7 8 . 40 F r e d B est, E x c h a n g in g E a rn in g s f o r L e isu re: F in d in g s o f a n E x p lo r a to r y N a tio n a l S u r v e y on W o rk T im e P referen ces, R e se a r ch a n d D e v e lo p m e n t M o n o g r a p h N o . 7 9 , O ffice o f R e se a r c h a n d D e v e lo p m e n t, E m p lo y m e n t a n d T r a in in g A d m in is tr a tio n , U .S . D e p a r tm e n t o f L a b o r , W a s h in g t o n , D .C ., 1 9 8 0 , pp . 1 1 1 - 1 8 . 41 B est, L e f k o w itz et a l., op. c it.; “ A C u re fo r U n e m p lo y m e n t ,” op. cit., p p . 1 6 3 - 6 4 . 42 F o r e x a m p le , th e C a lifo r n ia “ W o rk S h a rin g U n e m p lo y m e n t In su r a n c e ” is n o w u n d e r a n in t e n s iv e 2 -y e a r e v a lu a tio n s p o n s o r e d b y th e C a lifo r n ia E m p lo y m e n t D e v e lo p m e n t D e p a r tm e n t a n d th e U .S . D e p a r tm en t o f L a b o r. T h e fin al a n a ly s is w ill b e is su e d b e fo r e th a t d a te. S u ch r esea rch , o n g o in g d ia lo g u e , a n d p o s s ib le e x p e r im e n ta l p r o g r a m s in o th e r S ta te s s h o u ld s h e d lig h t o n th e a p p lic a b ility o f s h o r t-tim e c o m p e n s a tio n in th e U n it e d S ta te s. APPENDIX: Economic Costs and Benefits The economic costs and benefits of short-time com pensation must be determined by empirical evaluation of working programs. However, data on the costs of la bor and social programs can be used to illustrate likely economic impacts of using short-time compensation in stead of layoffs. This can be accomplished by a hypo thetical example developed to contrast laying off 20 percent of low seniority and low income employees with a 20 percent (1 day) work-time reduction with shorttime benefits within a fictitious firm employing 100 20 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis wage earning workers. These workers, are postulated to have average 1980 U.S. pay levels and benefits under the income tax and unemployment insurance benefit conditions existing in California. Further, the income and fringe benefits are distributed within this fictitious group of workers roughly to reflect prevailing U.S. con ditions. Thus, the highest paid 20 percent receives a gross weekly wage of $380, the average worker gross weekly earnings of $265, and the lowest 20 percent a gross weekly income of $155. The lowest paid 20 per- 4 cent are assumed to have low seniority and be subject to layoffs when they occur. The estimated economic im pacts of short-time compensation and layoffs under these conditions are shown in appendix table 1. The use of short-time compensation as opposed to layoffs will produce economic gains for junior workers at the expense of those with seniority, minimize losses to all parties due to reduced income taxes and shorttime benefits, and improve the aggregate economic well being of the total work group with a 4-day workweek. For example, high seniority workers (top fifth earning level) would take home net weekly paycheck of $268.48 or about 91 percent of the $294.94 they would receive under full-time work conditions. Low-seniority employ ees (lowest earning levels) would take home $128.16 un der short-time compensation, in comparison to the $74 in unemployment insurance benefits they would receive if totally laid off. The average worker would maintain about 92 percent of his or her regular take home earn ings under short-time. Under short-time compensation, all workers would maintain some degree of job attachment, as well as all or most of the fringe benefits which accompany employ ment. When the value of these benefits is added to net pay, the average employee under short-time compensa tion would maintain 94.2 percent of total full-time “take home” compensation as opposed to 92.5 percent under layoffs. Additionally, all workers experiencing re duced workweeks would have an additional day off and higher effective per hour pay rates due to the partial in come subsidy. Finally, because approximately one-fifth of unemployment insurance applications are judged in eligible due to inadequate base earnings,1 low seniority workers without eligibility would maintain at least par tial wages as opposed to complete loss of income result ing from total layoff. Although firms will spend more per hour of labor on fixed fringe benefit commitments, overall labor costs are likely to be lower under the program because reductions in work time for all employees will tend to reduce aver age weekly wages. The average sum of wage and benefit costs per hour in this example is $9.81 under the pro gram as opposed to $10.22 under regular layoffs and $9.26 under standard full-time conditions. Lower turn over costs resulting from avoidance of recall, new hir ing, and training would likely lead to further savings by firms. These savings are likely to be at least partly counterbalanced by a slight increase of unemployment compensation taxes on the firm as a result of higher partial unemployment insurance payment given to se nior workers with large base earnings. Of course, hourly labor costs can be expected to be higher under both short-time compensation and layoffs than they would be under full-time conditions, suggesting that firms would not wish to utilize the program unless confronted with economic problems. Presumed benefits to workers and firms resulting from use of short-time compensation may be gained A p p e n d ix ta b le 1. H y p o th e tic a l 1 c o m p a ris o n o f c o s ts an d b e n e fits o f s h o rt-tim e c o m p e n s a tio n an d la y o ffs to th e firm , w o rk e rs , an d g o v e rn m e n t [Typical firm = 1 0 0 production w orkers over one w eek] Standard em ploym ent conditions: 100 w ork ers on 40-hour w ork w eeks C ost and incom e factors Im pact on workers: Incom e and benefits Total gross w age, unem ploym ent insurance an benefits . Total net w age, unem ploym ent insurance, and benefits , Total net wage and unem ploym ent insurance ................... W ages G ross w a g e s 2 ........................................... Net wages (after ta x e s )3 ........................................... Total fringe b e n e fits4 ........................................................ Unem ploym ent insurance5 ................................... Im pact on firms: Total labor c o s ts ........................................................ Total gross wages ............................................. Total fringe b e n e fits4 ........................................... Payroll taxes: U nem ploym ent insurance (year’s average ra te )6 . . Social se c u rity 3 ........................................................ Turnover c o s ts 7 ........................................................ Im pact on U nem ploym ent Insurance: U nem ploym ent Insurance system Benefit p a ym e n ts5 .......................................................... Tax reven ues6 ........................................... O the r G overnm ent program s Program e xpe nditures7 ..................................................... Social security tax re ve n u e s3 .......................................... Incom e tax re ve n u e s3 ........................................ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Highest paid 20 perc en t o f w orkers A verag e w orker Low est paid 20 perc en t o f w ork ers Total cost for 100 w orkers C o st per w eek C ost per hour C ost p er w eek C ost per hour C ost per w eek C ost per hour $349.80 302.36 217.56 $8.75 7.56 5.44 $501.60 416.54 294.94 $12.54 10.41 7.37 $204.60 187.40 137.80 $5.12 4.69 3.45 $35,112.00 30 220 80 21,708.40 265.00 217.56 84.80 6.03 5.44 2.12 380.00 294.94 121.60 9.50 7.37 3.04 155.00 137.80 49.60 3.88 3.45 1.24 26,600.00 21,708.40 8,511.00 368.96 265.00 84.80 9.22 6.63 2.12 527.81 380.00 121.60 13.20 9.50 3.04 217.08 155.00 49.60 5.43 3.88 1.24 37,035.40 26,600 00 8,511.00 2.92 16.24 .07 .41 2.92 23.29 .07 .58 2.98 9.50 .07 .24 293.20 1,630.20 2.92 2.92 2.92 16.24 47.44 23.29 85.06 9.50 17.20 1,630.20 4,891.60 21 MONTHLY LABOR REVIEW July 1980 • Short-time Compensation Systems A p p e n d ix ta b le 1. H y p o th e tic a l1 c o m p a ris o n o f c o s ts an d b e n e fits o f s h o rt-tim e c o m p e n s a tio n an d la y o ffs to th e firm , w o rk e rs , an d g o v e r n m e n t— C o n tin u e d [Typical firm = 1 0 0 production w orkers over one w eek] _________ _____________________________________________________________ _________________________________________ » Com parison o f alternative m etho ds o f reducing w orktim e by 20 percent Layoffs of 20 p ercent of w ork fo rce R educed w orkw eek: 100 w o rkers on 32-hour w eeks R etained w orkers C ost and incom e factors C ost per w ee k Im pact on workers: Incom e and benefits Total gross wage, unem ploym ent insurance, and benefits Total net w age, unem ploym ent insurance, and benefits . Total net wage and unem ploym ent In s u ra n c e ................... W ages Gross w a g e s 2 ............................................................................. Net w ages (after ta x e s )3 ........................................................ Total fringe ben e fits4 .......................................................................... U nem ploym ent insurance5 ................................................................ Im pact on firms: Total labor c o s t s .................................................................................. Total gross w a g e s ................................................................................ Total fringe b e n e fits4 ........................................................................ Payroll taxes: U nem ploym ent insurance (year's average ra te )6 ........... Social se c u rity 3 .......................................................................... Turnover c o s ts 7 ................................................................................... Im pact on U nem ploym ent Insurance: U nem ploym ent Insurance system Benefit p a ym e n ts5 ..................................................................... Tax reven ues6 ............................................................................. O ther G overnm ent program s Program expe nditures7 ............................................................. Social security tax reven ues3 ................................................ Income tax re ve n u e s3 ............................................................. H ighest paid 20 percent o f w orkers A verage w orker Cost per hour C ost per w eek C ost per hour 265.00 217.56 94.80 6.63 5.44 2.12 380.00 294.94 121.60 Total cost 9.50 7.37 3.04 74.00 368.96 265.00 84.80 9.22 6.63 2.12 527.81 380.00 121.60 13.20 9.50 3.04 2.92 16.24 .07 .41 2.92 23.29 .07 .58 2.92 + 2.92 16.24 47.44 23.29 85.06 through increased costs to the Nation. For instance, if the duration of unemployment is presumed to be equivalent, the level of average benefits is likely to be higher than unemployment insurance payments because benefits for senior workers with higher earnings will be greater than those collected by low-paid junior workers. Such extra costs are likely to be partially recouped over the long run by increased unemployment insurance tax es for firms participating in the program. Use of shorttime compensation will also reduce general tax revenues received by the government. Because workers, particu larly those with higher incomes, will pay proportionally less income taxes with reduced earnings, total revenues from income taxes will be lower. Specifically, the weekly 22 C ost per w eek Total cost fo r 100 w ork ers H ighest paid 20 percent o f w orkers A verage w orker C ost per w ee k C ost per hour C ost per w ee k C ost per hour Low est paid 20 percent of w orkers C ost per w ee k C ost per hour Total cost fo r 100 w ork ers $349.80 $8.75 $501.60 $12.54 $74.00 $1,480.00 $32,500.00 $318.20 $9.94 $449.60 $14.05 $188.40 $5.88 $31,852.00 302.36 7.56 416.54 10.41 74.00 1,480.00 27,952.40 285.33 8.92 390.04 12.19 177.76 5.56 28.476.60 8.19 128.16 4.01 19.964.60 7.37 74.00 1,480.00 20,432.40 200.53 6.27 260.48 217.56 5.44 294.94 'T h e assum ptions underlying the table are: (1) 40-hour w orkw eek with no overtim e, (2) all em ployees eligible for unem ploym ent Insurance, (3) low est paid 20 percent of w orkers are also low est seniority and subject to layoffs, (4) distribution and levels of wages and benefits approxi m ate late 1979 conditions for nonsalaried U.W. production w orkers, and (5) taxes and unem ploym ent insurance benefits based on California conditions. 2 G ross average w eekly wage approxim ated from August 1979 average U.S. m anufacturing w o rke rs’ w eekly incom e (Monthly Labor Review, O ctober 1979, page 98), and typical distribu tion of earnings within a w ork group of 100 em ployees into highest 20 percent and low est 20 percent approxim ated from national incom e distribution patterns fo r m ale wage earners In m an ufacturing industries (Current Population Reports, Consumer Income, Series P. 60, No. 118, M arch 1979, pp. 2 2 8 -2 9 ). 3 Dollar am ount of taxes deducted from gross w eekly earnings to determ ine net earnings based on Federal and C alifornia incom e tax w ithholding rates fo r a w orke r with three exem p tions (California E m ploym ent Developm ent D epartm ent, January 1979), and 1979 Social Secu rity tax rates requiring paym ent of 6.13 percent of the first $22,900 of individual annual earnings by both em ployer and em ployee. 4 Dollar cost of fringe benefits such as m edical care, private retirem ent pensions and paid tim e off com puted as 32 percent of gross earnings based on available data (Handbook o f La https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Laid off: low est paid 20 p ercent o f w orkers 6.63 5.60 2.65 304.00 244.48 121.60 24.00 9.50 7.64 3.80 124.00 113.36 49.60 14.80 3.88 3.54 1.55 21,280.00 17.904.60 8.511.00 2.060.00 84.80 9.77 6.63 2.65 447.19 304.00 121.60 13.97 9.50 3.80 184.15 124.00 49.60 5.75 3.88 1.55 31,390.60 21,280.00 8,511.00 233.60 1,440.20 1 2.93 13.00 .09 .41 2.96 15.64 .09 .58 2.95 7.60 .09 .24 293.80 1,304.80 24,980.00 18,992.40 7,520.00 212.00 32,693.80 23,500.00 7,520.00 312.73 1,480.00 179.11 84.80 21.40 212.00 t t 74.00 1,480.00 1,480.00 233.60 21.40 2.93 24.00 2.95 14.80 2.95 2,060.00 293.80 1 t ! 1,440.20 4,547.60 13.00 32.87 18.64 59.52 7.60 10.64 1,304.80 3,375.40 bor Statistics 1977, page 237) and Employment Benefits (U.S. C ham ber of Com m erce, 1975). 5 Full w eekly unem ploym ent insurance benefits and 20 percent benefits based on California benefit determ ination form ula In effect in January 1980. Full unem ploym ent insurance benefits w ould be $74 a w eek for a fully unem ployed w orke r earning $165 a week, $107 for a w orker earning $265 a week, and $120 fo r a w orke r earning $380 a w eek or more. The California un em ploym ent insurance benefit ceiling is $120 a week. 6 U nem ploym ent insurance tax paym ents com puted from estim ated typical em ployer unem ploym ent Insurance tax based on average 1977 California tax rate of 2.46 percent (Actuarial Report o f the California Unemployment Fund, 1977, pp. 2 8 -2 9 ) adjusted upward 4 percent to account fo r em ployee turnover (Employment and Training Report o f the President, 1979, p. 332) and prorated over one-year period to represent average unem ploym ent tax expenditures by em ployer on first $6,000 of em ployee earnings for varied levels of continuously earned an nual incom e. 7 Because of the unavailability of acceptable data showing dollar am ounts of em ployer turn over costs resulting from hiring and training, end public program expenditures associated with varied levels and types of w ork losses, it w as necessary to note expected im pacts in term s of (!) fo r increased expenditures, ( — ) fo r no change in expenditures, and ( i) fo r reduced expen ditures. State, Federal and social security taxes collected from the average program participant in our hypothetical ex ample would be $59.88, as opposed to $46.80 for the same worker experiencing layoffs. To some degree, these losses will be slightly offset by lower expenditures on public programs such as food stamps, social security and medicare for work groups using short-time compen sation as opposed to layoffs.2 --------- A P P E N D I X F O O T N O T E S ---------- ' A c tu a r ia l R e p o r t o f th e C a lifo r n ia U n e m p lo y m e n t and Robertson, Inc., San Francisco, 1977. F und, Milliman 2 Fred Best, “Short-time Compensation and Work Sharing”, p. 18. Probing the issues of unemployment duration Data ambiguity and measurement problems have created controversy in interpreting unemployment duration; after a careful review o f the issues, most jobless spells appear short but persistent unemployment is important; recession extends duration for all N o r m a n B o w e r s If most persons experiencing unemployment remain job less for only a short period, is the labor market so ac tive that the unemployed easily find their usual kind of work? And, as a corollary, that chronic and persistent joblessness is unimportant? Or do such data merely re flect the frequent movement away for unstable and mar ginal jobs that are considered unsuitable? Whatever one’s belief concerning the efficacy of dif ferent theories of unemployment and the labor market, accurate measures of various dimensions of the inci dence and duration of unemployment are important. The purpose of this article is to discuss some method ological, measurement, and interpretative issues sur rounding existing statistics on unemployment duration. The primary data source for this analysis is the Current Population Survey ( c p s ). Consistent with past research, a large number of spells of unemployment were found to be typically of short duration, although obvious cyclical patterns also were found. The implications for understanding how the labor market functions depend critically upon both the outcome of a spell of joblessness and the extent of mul tiple periods of unemployment per worker over time. Based on this analysis, unemployment appears to be concentrated among a relatively small group of workers who are unemployed for a rather extensive length of Norman Bowers is an economist in the Office of Current Employment Analysis, Bureau of Labor Statistics. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis time. In addition, there appears to be a pronounced cy clical pattern to the concentration of unemployment, as long-term joblessness rises extensively in recessions. However, the data alone do not verify or refute any of the existing theories of labor market behavior. Some methodological issues For many analysts and policymakers the length of a spell of unemployment— whether 4 or 40 weeks— is viewed as an index of economic welfare. Thus, the plight of the long-term unemployed and the impact of economic downturns on duration are often discussed. However, the seemingly simple question—how long does an unemployed person remain unemployed?—is not easily answered on the basis of regularly published data from the CPS (or most other labor force surveys, for that matter). To understand this, a brief overview of the CPS is necessary. The CPS is a monthly survey of a rotating group of approximately 65,000 households (strictly speaking, addresses). Each month, Census Bureau enumerators visit the households in the sample and ask a series of structured questions about the labor force status of each member 16 years of age and over during the pre ceding or reference week. Persons without a job but looking for work are asked how long they have been looking for work. Thus, what the CPS measures is the length of a spell that is still in progress, which is con ceptually distinct from the length of a completed spell of 23 MONTHLY LABOR REVIEW July 1980 • Unemployment Duration unemployment. Published data measure a cross-section of the unemployed prior to the completion of their spells. The difference between an in-progress and a com pleted spell of unemployment is analogous to the dif ference between the average life span (the average of a completed life) and the mean age of the population (the average of lives currently in progress). In addition, some unemployment spells are not measured in the sur vey— those that occur between survey dates. Before discussing the implications of this distinction, it might be fruitful to examine the distribution of unem ployment by duration of spells in progress during 1968 -79. Table 1 shows that, on average, about 6 million people were unemployed in 1979, and approximately 1.2 million were unemployed for more than 15 weeks. The average duration of these “in-progress” spells was 10.8 weeks. In general, average duration varies directly with the unemployment rate, as can be seen by simply con trasting 1969 with the recession year of 1975. As should be clear from the previous discussion, however, table 1 cannot be used as an estimate of, say, the number of completed long-term (15 weeks or more) spells of unem ployment in a year. This is so for two reasons: first, many of the jobless remain among the long-term unem ployed from month to month and are counted repeated ly; second, some of the unemployed reporting less than, say, 5 weeks will eventually experience more than 15 weeks of unemployment. At the same time, spells of un employment that occur entirely between survey dates are missed.1 This suggests that there are two different measure ment problems in using the data on spells in progress to estimate the length of completed spells. These phenome na will be labeled “interruption” and “length” bias, fol lowing Salant and others.2 As noted earlier, the spells “captured” by the CPS are only part-way to their com pletion at the time of the survey—that is, they are “interrupted” spells. Thus, the average duration of spells in progress may underestimate the length of a T a b le 1 D is trib u tio n o f th e u n e m p lo y e d b y d u ra tio n o f in -p ro g re s s s p e lls o f u n e m p lo y m e n t, 1 9 6 8 - 7 9 [In thousands] Year 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 24 ... ... ... ... ... .. . .. . .. . ... ... ... ... Total unem ployed 2,817 2,831 4,088 4,993 4,840 4,304 5,076 7,830 7,288 6,855 6,047 5,963 A verage U nem duration ploym ent (in M ore rate than 26 w ee ks) N um ber o f w ee ks unem ployed Less than 5 5 -1 0 1 1 -1 4 1 5 -2 6 1,594 1,629 2,137 2,234 2,223 2,196 2,567 2,894 2,790 2,856 2,793 2,869 613 627 958 1,143 1,089 966 1,153 1,738 1,534 1,507 1,377 1,396 197 200 331 435 369 330 418 714 625 582 499 496 256 242 427 665 597 475 563 1,290 1,003 896 746 684 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 156 133 235 517 562 337 373 1,193 1,336 1,012 633 518 8.5 8.0 8.8 11.4 12.1 10.0 9.7 14.1 15.8 14.3 11.9 10.8 3.6 3.5 4.9 5.9 5.6 4.9 5.6 8.5 7.7 7.0 6.0 5.8 completed spell. However, there is also a bias in the op posite direction. Longer spells have a better chance of being measured in the survey and so tend to make the measured average duration greater than the average du ration of a completed spell—length bias. Which of these effects will predominate depends on what is called the “escape rate” or the probability that a person’s unemployment will end in “N” weeks pro vided that it has not ended before that time. Salant has shown that the relationship between the expected length of interrupted and completed spells can be deduced from a knowledge of “escape rates.”3 This technique is applied to CPS data in the next section; however, a brief discussion of escape probabilities derived from CPS data is necessary. Past research using CPS data has shown that, in the aggregate, the likelihood of escaping unemployment de clines with length of time unemployed. In other words, the probability of remaining unemployed increases with the length of unemployment already experienced.4 It must be emphasized that this relationship is based on aggregate data and does not necessarily mean that indi viduals have declining propensities to escape unemploy ment. For example, individuals or homogenous groups of the unemployed could have constant but different es cape rates over time, but as the duration of unemploy ment increases the unemployed will be disproportion ately composed of those with low escape rates. On the other hand, there may, in fact, be a causal relationship between duration and escape, such that the longer a person is unemployed the less chance she or he has of reemployment.5 Methods to estimate the expected duration of a com pleted spell of unemployment, using supplementary data from the CPS, are described in the next section. Gross change data Any longitudinal survey opens up the possibility of examining the movement of individuals from one labor force status to another—for example, from unemployed to employed. As noted previously, the CPS is a monthly survey of a rotating group of households. The CPS com prises eight independent panels or rotation groups. Each household is interviewed in each of 4 consecutive months, dropped from the sample for 8 months, and reinterviewed for 4 final months. Therefore, potentially three-fourths of the sample are common from month to month.6 Because of this overlap, it is possible to match a per son’s labor force status for the current and previous months and measure the number of people who remain employed, unemployed, or not in the labor force, or who move between each of these states. Although a va riety of detailed information is available from the gross change data, here it is only necessary to concentrate on the nine possible labor force flows among the employed (E), unemployed (U), and not in the labor force (N), as represented in the following tabulation: Labor force status in previous month E (1-1) U u-u N <.-n Labor force status in current month E(t) U(t) N(t) EE UE NE EU UU NU EN UN NN The meaning of the flows is as follows: EE represents the number of workers who were employed for the 2 successive months, EU is the number who were employed the previous month (t-1) who became unem ployed in the next month (t), and so forth. The proba bility of making a labor force status transition is simply the number of people who made any given change di vided by the number in the original state. For example, the probability that an unemployed worker will remain unemployed is UU/ Ut Each probability is called a transition rate. Before estimating duration from the ac tual statistics, it is important to note some of the limita tions of the data (for references, see footnote 6). The accuracy of the gross change data has been questioned in part because they normally do not agree with the labor force status counts from the full CPS. For example, the change in unemployment in any 2 months can be calculated two ways: first, by subtracting the gross flows out of unemployment (UE + UN) from the flows into unemployment (EU + NU); or, second, by subtracting the number unemployed in the current month from the number unemployed in the previous month. The results are usually different in magnitude and, sometimes, in direction because the samples and estimating methods used differ significantly. It is generally acknowledged that there are three types of errors in the gross change data.7First, and least important, is sampling variability; that is, the problem of estimating labor force status from less than a com plete census. This is a problem of all sample surveys, but is likely to be more important for the gross change data because individuals must be surveyed 2 consecutive months. Therefore, movers, nonrespondents, and the first and fifth rotation groups are excluded from the gross change data, which are actually based on only about two-thirds of the full sample. This reduction in the sample may serve to bias the results, as some evi dence exists that persons excluded have a more margin al labor force attachment than those who are matched.8 The second source of error is the result of misclassification of labor force status. Some evidence of the severity of misclassification is available from the CPS reinterview program.9 Each month a sample from the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis CPS is selected for reinterview as a quality check. The reinterviews take place 1 week after the initial survey and use the regular CPS questionnaire. The results of the reinterview program suggest that, because of offsetting errors, net changes in labor force status are only moder ately affected by misclassification. Despite this cancella tion of errors in the published data, a substantial amount of apparently spurious volatility is present in gross changes. It should also be noted, however, that the CPS reinterview uses more experienced enumerators which may introduce measured changes between the original and reinterview surveys that would not exist between the original and subsequent surveys. Thus, the reinterview program may not give an exact measure of spurious movement in the gross change data. Whatever the cause of the misclassification, the effect on the gross change data is to magnify the flows between labor force categories.10 It should be emphasized that the vast ma jority of people are classified correctly: the point, how ever, is that errors that cancel each other in the full CPS are cumulative in the gross change data. The extent of, or direction of, bias to estimates of the duration of a completed spell of unemployment is uncertain, though some researchers have argued that, in the absence of the errors, duration measures would be much higher be cause the correct measure of changes in labor force sta tus would be lower.11 The third source of error, which is seemingly inherent in any panel surveys, is “rotation group bias”: respon dents are conditioned by the process of reinterview.12 That is, responses to the survey questions change sim ply as a result of length of time in the survey. In addition, the probability of being reinterviewed in, say, 2 consecutive months is different among various labor force and demographic groups. The probability of reinterview can be affected by a variety of reasons, such as changing place of residence and refusing to be reinterviewed. The evidence we have on rotation group bias suggests that the movement between unemploy ment and not in the labor force is most affected by these problems.13 Despite these problems, the gross change data do provide a wealth of useful information on the U.S. labor force: in particular, the data can be used to estimate the duration of completed spells of unemployment.14 Estimating duration of unemployment. Estimating the expected duration of unemployment, E(D), from the gross change data is straightforward. Recall that a per son unemployed in one month can, in the subsequent month, remain unemployed (UU), become employed (UE), or drop out of the labor force (UN). The expected duration of unemployment is dependent upon the probability of escaping or leaving unemployment, which is the sum of the probability of withdrawing 25 MONTHLY LABOR REVIEW July 1980 • Unemployment Duration from the labor force or becoming employed. Formally, expected duration is E(D) = — ESC where ESC is the probability of escape from unemploy ment from month-to-month. To impute expected dura tion from a given escape probability it is necessary to assume that individuals have a constant escape rate while unemployed. That is, an individual’s escape prob ability is independent of duration of joblessness.15 This assumption is critical because otherwise the expected duration of a completed spell is also dependent upon the current length of unemployment experienced, and the calculations become very complicated. Table 2 contains information on the probability of leaving or continuing unemployment for selected years. Taking 1969 as an example, if on average 100 people were unemployed in month t —1, then 35 of those people were employed, 29 withdrew from the labor force, and 36 remained unemployed in the following month. The T a b le 2. P ro b a b ility o f le a v in g o r c o n tin u in g u n e m p lo y m e n t, b y d u ra tio n o f u n e m p lo y m e n t, an nual a v e ra g e s , s e le c te d y e a rs , 1 9 6 9 -7 9 Probability of m oving from unem ploym ent Year and current duration Employm ent N ot in continuing unem ploym ent fo rce Expected duration o f a co m p leted spell o f unem ploym ent (in w eeks) Persistent All w orkers job se ekers 1969 Total ..................... Less than 5 w eeks ............. 5 to 10 w e e k s ........................ 11 to 14 w e e k s ..................... 15 to 26 w e e k s ..................... M ore than 26 w eeks ........... .3516 .4019 .3069 .3143 .2390 .2158 .2910 .2999 .2916 .2571 .2550 .2950 .3570 .2982 .4015 .4286 .5060 .4892 6.7 8.7 Total ..................... Less than 5 w eeks ............. 5 to 10 w e e k s ........................ 11 to 14 w e e k s ..................... 15 to 26 w e e k s ..................... More than 26 w eeks .......... .2770 .3368 .2667 .2488 .2043 .1591 .2409 .2788 .2409 .2019 .1659 .2004 .4821 .3844 .4924 .5493 .6298 .6405 8.3 11.8 Total ..................... Less than 5 w eeks ............. 5 to 10 w e e k s ........................ 11 to 14 w e e k s ..................... 15 to 26 w e e k s ..................... M ore than 26 w eeks .......... 2338 .3083 .2381 .2139 .1734 .1234 .2028 .2531 .1987 .1761 .1437 .1669 .5634 .4386 .5632 .6100 .6829 .7101 9.8 14.7 Total ..................... Less than 5 w eeks ............. 5 to 10 w e e k s ........................ 11 to 14 w e e k s ..................... 15 to 26 w e e K s ..................... M ore than 26 w eeks .......... .2855 .3418 .2694 .2336 .2227 .1831 .2319 .2604 .2246 .2008 .1743 .2091 .4826 .3978 .5060 .5656 .6030 .6078 8.3 11.6 Total ..................... Less than 5 w eeks ............. 5 to 10 w e e k s ........................ 11 to 14 w e e k s ..................... 15 to 26 w e e k s ..................... M ore than 26 w eeks .......... .2906 .3450 .2835 .2422 .2169 .1514 .2283 .2560 .2132 1942 .1837 .2072 4813 .3990 .5033 .5636 .5994 .6414 8.3 11.4 1971 1975 1978 1979 26 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis fourth column of table 2 shows the estimate of the expected duration of a spell of unemployment. These es timates are presented as “weeks of unemployment.” This was done by multiplying expected duration, E(D), from the above equation, which is based on monthly probabilities of labor force movement, by 4.3— the average number of weeks in a month (thus, E(D) = 1/ESC X 4.3). The final column in table 2 shows the expected duration of unemployment for a “persistent jobseeker.” This is a measure of unemploy ment duration conditional upon not withdrawing from the labor force (UN); rather, the “persistent jobseeker” searches until he or she finds a job (UE). The implica tions of these data will be discussed in detail later, but for now it should be noted that the expected duration of the persistent jobseeker is the probability of moving from unemployed to employed plus the probability of remaining unemployed divided by the probability of moving from unemployed to employed, all multiplied by 4.3 weeks. There are a number of interesting features in table 2. First, in each year the probability of remaining unem ployed increases as current duration increases. This may result from the “sorting” effect, or there may be a caus al relation between an individual’s likelihood of exiting unemployment the longer he or she is out of work. Again, to estimate the expected duration it is necessary to assume that the sorting effect is true. Second, there is a strong cyclical pattern to the data. The jobless in the recession year of 1975 had a much higher chance of re maining unemployed and a much lower chance of going from unemployed to employed. The formula for expected duration results in esti mates for completed durations ranging from a low of 6.7 weeks in 1969 to 9.8 weeks in 1975 (column 4 in ta ble 2). This compares to the average duration of an in progress spell of 8 weeks in 1969, and 14.1 weeks in 1975 (table 1). This result indicates that the length bias dominates the interruption bias in the published statis tics.16 The data on the transition probabilities also permit the estimation of the number of completed spells of un employment within any given period, both overall and within each transition field. There are at least two sources of bias to this estimate. First, it is important to note that the estimate will be a lower bound of the ac tual number of spells because several short spells may occur between the survey dates and, therefore, will be missed. Second, as a result of errors in the gross change data, it is likely that the true transition probabilities are lower than the measured probabilities: thus, the true number of unemployment spells will be lower than the estimates presented here. These two problems have op posite effects on the estimates. However, it would be ex ceedingly difficult to measure the actual magnitude of the bias introduced because of these problems. Both tables 1 and 2 are necessary to estimate the number of spells of unemployment in a year. Table 1 shows, for example, that in an average month in 1969, 1.6 million people had been unemployed for less than 5 weeks. From table 2, it is possible to calculate the prob ability that a person unemployed less than 5 weeks will exit unemployment by the next survey month. The number of completed spells in any given transition field is calculated as follows: Spells = Number of in-progress spells X Probability of escape X 12 Table 3 contains the results of this exercise. Thus, in 1969, there were an estimated 22 million spells of unem ployment, and 14 million of these spells were less than 5 weeks. In 1975, on the other hand, there were 42 mil lion spells; compared to 1969, there were proportionate ly more long-term spells in 1975, which is exactly what one would expect in a cyclical downturn. Of course, the estimates in table 3 pertain to spells of unemployment. The estimated 37 million spells in 1979, for example, include a number of individuals who expe rienced more than one spell of joblessness over the year. This is particularly true of those completed spells of rel ative short duration. However, because of their length, the 2.2 million spells of 27 weeks or longer may corre spond roughly to the number of people who were out of work that long in one spell (but not those who experi enced a total of more than 26 weeks of unemployment over the course of the year). In summary, the measurement of the length of a completed spell of unemployment is conceptually sim ple; but, the empirical difficulties are important enough that the estimates should be taken as rough guides only. The fact that these estimates are generally comparable to those obtained in research utilizing different methods increases the confidence in the estimates. Given these caveats, the comparison of tables 1 and 3 suggests some interesting interpretations of the structure of unemploy ment. On average, the estimated duration of a complet ed spell is just about 75 percent of the duration of the (measured) in-progress spell. And, while there are im portant cyclical patterns, a large number of spells are typically of very short duration. Interpreting duration data As noted at the outset of this article, the meaning of the apparently short durations estimated in table 3 is fraught with difficulties. For example, one economist has asserted that the data support the notion of “an ac tive labor market in which almost everyone who is out of work can find his usual type of job in a relatively short time.” 17 Another perspective contends that the data indicate that, while many workers pass through https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T a b le 3. E s tim a te d c o m p le te d s p e lls o f u n e m p lo y m e n t, b y d u ra tio n o f u n e m p lo y m e n t, 1 9 6 8 - 7 9 [In thousands] N um b er o f w ee ks unem ployed Year 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 Total spells 21,587 21,841 27,323 31,002 31,023 29,661 32,854 41,012 39,613 39,878 37,480 37,126 Less than 5 5 -1 0 1 1 -1 4 1 5 -2 6 M ore than 26 12,372 13,718 16,445 16,503 16,755 17,018 19,330 19,496 18,926 19,874 20,183 20,691 4,474 4,503 5,933 6,962 6,729 6,267 7,092 9,110 8,527 9,091 8,163 8,321 1,272 1,371 1,711 2,353 2,024 1,895 2,017 3,341 2,760 2,774 2,601 2,597 1,519 1,434 2,075 2,945 2,981 2,520 2,677 4,909 4,193 3,998 3,554 3,288 964 815 1,159 2,230 2,534 1,961 1,738 4,156 5,207 4,141 2,979 2,229 E xpected duration o f a com p leted spell (in w ee ks) 68 6.7 7.7 8.3 8.0 7.5 8.0 9.8 9.5 8.9 8.3 8.3 the state of unemployment, chronic and persistent job lessness is unimportant.18 Another group of theorists, ranging from those who argue that the labor market is divided into segments between which mobility is constrained to those who utilize labor turnover models, has argued that duration statistics are simply inade quate as any measure of economic welfare: rather, short spells of measured unemployment could be the result of frequent movement from jobs that are unstable, menial, or otherwise unpreferred.19 Finally, it must be empha sized that the gross change statistics do not provide a complete picture of the labor market. In particular, a large proportion of job changes occur without any in tervening period of unemployment. Thus, sole reliance on the gross change data may lead one to exaggerate the overall importance of labor force flows. The effects of labor force withdrawal. As the preceding discussion indicates, one important issue in interpreting duration statistics concerns the outcome of a spell of unemployment. Measured short durations may not im ply much about the ease of finding one’s “usual line of work” if individuals escape unemployment by with drawing from the labor force or, perhaps, by adjusting to poor labor market conditions and taking a tempo rary job while waiting for job prospects to improve.20 As an example of the magnitude of labor force exit, it has recently been estimated that 45 to 50 percent of all unemployment spells end by withdrawal from the labor force.21 Some additional information about the impact of la bor force withdrawal on duration is contained in the last column of table 2. Here, the expected duration of unemployment for those who do not withdraw from the labor force has been calculated. The expected duration of the persistent jobseeker is substantially higher than the conventional calculation which includes the effect of labor force withdrawal: in 1969, 8.7 versus 6.7 weeks; in 1975, 14.7 versus 9.8 weeks; and, in 1979, 10.8 versus 27 MONTHLY LABOR REVIEW July 1980 • Unemployment Duration 8.3 weeks. It is crucial to note that this calculation is simply illustrative and is not based on the actual experi ence of people who do not leave unemployment until they find a job. The calculation assumes that those per sons who end their unemployment by dropping out of the labor force would have had the same likelihood of finding a job if they had continued to search as those who actually did continue to search. Moreover, it is precisely those groups that are most marginally at tached to the labor force— for example, school age youth— who tend to experience frequent spells of short term joblessness. Nevertheless, the data do underscore the necessity to exercise caution in the interpretation of unemployment duration statistics. Some perspective on the meaning of labor force exit can be gained by looking at the patterns of labor force transitions. Table 4 contains this information for select ed years. The flows have been calculated as probabili ties. The probabilities of moving from employment or unemployment to not in the labor force can provide some (limited) information on the interpretation of la bor force withdrawal. That is, if withdrawal is truly vol untary— given real life ambiguities— then, even if exits are large in magnitude, they might, nevertheless, be of little concern for understanding the labor market. The question of interest: to what extent do people drop out of the labor force because they choose not to work rather than because they become discouraged about the prospects of finding a job? This is a very diffi cult question to answer precisely on the basis of existing data. However, George Perry has suggested that if all labor force leaving is truly voluntary, then one might expect that the employed and unemployed would be equally as likely to drop out of the labor force.22 Here, the rate of withdrawal from employment might be thought to represent a “normal” rate of withdrawal re sulting from things like home responsibilities. This might be considered a rough measure of purely volun tary withdrawal. As table 4 shows, in each of the years presented, the rate of withdrawal from unemployment swamps the withdrawal rate from employment. On average, in 1969 only 4 percent of the employed withdrew while 29 per cent of the unemployed withdrew. Although these exit rates differ by demographic groups, the data strongly suggest that only some small proportion of labor force exit from unemployment is strictly voluntary in the sense of not depending on the prospects of finding an acceptable job. This, admittedly rough, evidence has re ceived substantial support from other research as well.23 However, before too much reliance is placed on the suggestion that labor market discouragement is the pri mary cause of withdrawal from the labor force follow ing unemployment, other evidence needs to be exam 28 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T a b le 4. P ro b a b ility o f m o v in g fro m o n e la b o r-m a rk e t s ta te to a n o th e r in d iffe re n t b u s in e s s c y c le c o n d itio n s , 1969, 1975, an d 1978 Labor fo rc e flo w from — 1969 1975 1978 Em ploym ent to unem ploym ent ................... Em ploym ent to not in labor f o r c e ................ U nem ploym ent to em ploym ent ................... U nem ploym ent to not in labor f o r c e ........... Not In labor force to em ploym ent ............. N ot in labor force to u n e m p lo y m e n t........... 0.0100 .0434 .3516 .2910 .0507 .0162 0.0191 .0351 .2338 .2028 .0445 .0271 0.0145 .0340 .2855 .2319 .0492 .0251 3.5 8.5 6.0 A verage unem ploym ent rate ............. ined. BLS currently compiles quarterly data on discour aged workers— persons who want a job but who are not looking for work because they believe they could not find it. The average number of discouraged workers was 574,000 in 1969; 1,082,000 in 1975; 1,010,000 in 1977; and 750,000 in 1979. The interesting question, however, is not how many workers become discouraged but, rather, what proportion of the people who leave unemployment to move outside the labor force subse quently are classified as discouraged workers? The one piece of evidence that is available on this question is based on the research of Kim Clark and Lawrence Summers. (See footnote 11.) They calculated that, in 1977, just 15 percent of the outflow from unemploy ment became classified as discouraged workers. Howev er, fully 46 percent of this group said they wanted a job now.24 Exactly where the truth lies in assessing whether labor force withdrawal is really “voluntary” or “invol untary” cannot be pinpointed solely on the basis of scanning a wide array of data; adequate answers will only be forthcoming with the development of robust ex planatory theories of labor market dynamics.25 Ambiguity of labor force classification. The unemployed/ not in the labor force distinction has recently been criti cized for being too ambiguous and arbitrary. Clark and Summers, in particular, have argued that the flow be tween unemployment and not in the labor force in table 4 might be primarily the result of the misclassification of consistent behavior.26 They cite evidence— discussed earlier in this article—on the existence of rotation group bias and other classification problems. Because Clark and Summers see the crucial concept of “looking for work” as too ambiguous, particularly in light of evi dence they have presented on the relative brevity of la bor force withdrawal, they conclude that “It appears that m any of those w ho withdraw experience a brief spell outside the labor force and a further period of “reentrant” unem ploym ent. The official statistics capture tw o relatively brief spells of unem ploym ent, yet the evi dence presented here suggests that the experience m ight be m ore appropriately characterized as a single lengthy spell of unem ploym ent.” 27 Undoubtedly, for some people at least, the distinction between being unemployed and not in the labor force is unclear. However, the phenomenon of temporary labor force withdrawal is not well understood theoretically. Further examination of this issue is certainly desirable. One thing stands out from this discussion on labor force exit: irrespective of one’s view as to how labor force flows should be interpreted, accounting for the flows is necessary to render the meaning/significance of duration statistics intelligible. The meaning of unemployment duration might be sharpened by considering the unemployment experience over a period longer than the “average” month and by analyzing the concentration of unemployment. Multiple spells of unemployment and the concentration of total unemployment. The length of time an individual spends unemployed is the product of both the average duration of an unemployment spell and the number of separate spells. In an economy where repeated spells of unemployment are not unusual, the short average dura tion of completed spells of unemployment may under state the impact of joblessness on individuals.28 First, many people may suffer multiple spells of unemploy ment, so that average duration understates their total unemployment experience. Second, persons experiencing only one spell may have more unemployment than suggested by the data on average duration of a complet ed spell, because single spells tend to be longer than the average of multiple spells. Data on the prevalence and average duration of un employment spells are available from the “Work Expe rience” supplement to the CPS. But these data have important limitations. Every March, a series of questions about the previous year’s labor force experience is asked of respondents in the Current Population Survey. Included are questions on the total length of time the respondent was unem ployed and on the number of spells of unemployment experienced. The major potential biases of the data re sult from recall problems and interruption bias. In addi tion, the work experience questions do not appear well suited to measure jobseeking activity associated with la bor force entry. Recall problems are straightforward: people may have trouble accurately remembering what they were actually doing, say, 8 months ago; in particu lar, individuals may not recall a brief period in which they were unavailable for work and, therefore, report one longer spell of unemployment.29 The evidence sug gests that the data for prime working age males are consistent with the monthly CPS, but that women and teenagers tend to report fewer weeks of unemployment than implied in the monthly figures. Interruption bias concerns the fact that the period of observation is 1 year, so that some spells of unemployment will be interrupted by both the beginning and ending of the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T a b le 5. A v e ra g e d u ra tio n o f u n e m p lo y m e n t b y sp e lls o f u n e m p lo y m e n t, fo r all p e rs o n s w ith s o m e w o rk e x p e rie n c e , 1 9 6 7 -7 8 Total duration o f unem A verag e spell length (in ploym ent (In w eeks) w ee ks) fo r peo p le with: fo r peo p le with: Year 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 .... ... .... .... .... .... .... .... .... .... .... .... 1 spell 2 spells 3 spells or m o re 1 1 spell 2 spells 7.6 7.2 7.5 10.0 11.8 11.2 9.7 9.8 14.4 13.8 12.9 12.0 13.3 13.3 12.4 15.4 17.6 16.4 15.2 15.7 19.2 18.4 17.1 16.1 16.5 16.5 16.5 19.1 20.4 19.4 18.3 18.0 19.4 20.3 18.8 18.1 7.6 7.2 7.5 10.0 11.8 11.2 9.7 9.8 14.4 13.8 12.9 12.0 6.7 6.7 6.2 7.7 8.8 8.2 7.6 7.9 9.6 9.2 8.6 8.1 Total Percent num ber unem ploy o f spells ed with 3 spells (in thous m ore than ands) 2 one spell or m o re 1 4.7 4.7 4.7 5.5 5.8 5.5 5.2 5.1 5.6 5.8 5.4 5.2 16,449 15,681 16,719 20,489 21,515 20,855 20,325 25,569 27,422 27,405 26,399 24,400 31.6 31.0 32.2 33.6 32.5 32.6 32.4 36.0 31.3 32.7 32.6 32.5 1 Assum es average of 3.5 spells. 2 Excludes persons who looked for w ork but did not work. year. This means that even work experience data do not translate into completed spells of unemployment. Table 5 contains information on the total duration and average duration by number of reported spells. The last two columns of table 5 show the total number of spells reported and the percent of those who experi enced more than one spell of unemployment. The aver age durations in table 5 are based on the number of persons reporting both some work experience and un employment. It excludes all persons who looked for work but did not work at all because there is no infor mation on the number of spells of unemployment. The average duration of unemployment was taken as the midpoint of the following intervals: 0-5; 6-10; 11-14; 15-26; and 27-52. This is a simple assumption, but it should not affect the relative values of the estimates be cause it is used consistently. The data are suggestive of several phenomena. First, as expected in a retrospective framework, the total num ber of spells reported is less than the estimated number of spells from table 3. Second, repeat spells seem to be frequent enough that they cannot be ignored when con sidering the overall experience of unemployment. For example, in 1978, more than 30 percent of all persons with some unemployment reported more than one spell. Many persons with multiple spells of unemployment work in industries that are highly seasonal or cyclical, or both. The construction industry is one of the best ex amples; whereas in 1978 construction workers made up only about 6 percent of those with work experience, about one-fifth of all persons with 3 or more spells in 1978 were in the construction industry. Production workers in the automobile industry often experience multiple spells of unemployment because of effects of both model changeover and economic downturns. Not all persons who experience multiple spells can be neatly 29 MONTHLY LABOR REVIEW July 1980 • Unemployment Duration classified into a particular industrial situation, however. There is some evidence that some people are frequently unemployed because they leave jobs to escape from me nial tasks and end up moving form one unsatisfactory job to another, often experiencing a spell of unemploy ment or exiting the labor force for a brief period. Another important feature of table 5 is that the aver age duration of unemployment consistently decreases with the number of spells experienced. That is, while the total amount (in weeks) of unemployment increases as number of spells increase, it does so less than pro portionately. Similar patterns of diminishing duration for additional unemployment spells have also been found from direct observations of individuals.30 Table 5 indicates that the estimated average duration of unemployment is dependent upon the number of spells the average unemployed person will experience. Statistics on the estimated duration of a completed spell of unemployment are underestimates of the total experi ence of unemployment: persons with a single spell suffer longer average durations than those with multiple spells; those with multiple spells experience more total unemployment than the average because of the multi plicity of their spells.31 The concentration of unemployment. The picture pres ented thus far has focused on the average duration of unemployment and the number of unemployment spells. It is incomplete: the differential impact of unemploy ment throughout the labor force can change the mean ing and significance of the aggregate data. For example, a minority of people may account for the bulk of the total weeks of unemployment within any given period. The same unemployment statistic, however, could indi cate a situation in which most people experience a short bout of unemployment at some time, but each only T a b le 6. T h e d is trib u tio n o f w e e k s o f u n e m p lo y m e n t, 1969, 1975, an d 1978 _____________________ Duration m easure 1969 1975 1978 1.5 0.8 0.6 4.5 3.8 1.7 1.0 4.5 6.1 4.4 4.4 4.2 5.5 3.2 2.3 1.8 .4 .4 9.0 28.5 28.3 32.5 3.4 17.3 27.2 51.7 4.8 23.4 29.4 42.2 Percent of labor force unem ployed by duration: Y ear-round w o rk e rs 1 ............................. O ther w o rk e rs 2 1 to 4 w eeks .................................. 5 to 14 w eeks ................................ 15 to 26 w eeks ............................. More than 26 w e e k s ..................... W eeks unem ploym ent by duration as a percent of total w eeks unem ployed: Y ear-round w o rk e rs 1 ............................. O ther w o rk e rs 2 1 to 4 w e e k s 3 ................................ 5 to 14 w eeks ................................ 15 to 26 w eeks ............................. M ore than 26 w e e k s ..................... 1 Y ear-round w orkers experienced 1 to 2 w eeks of unem ploym ent. 2 O the r w orkers includes those who looked for w ork but did not w ork during the year. 3 Calculations are based on the m id-range of the unem ploym ent duration categories. 30 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis loses a small proportion of his or her potential work time. Not much information is available on this issue primarily because of the difficulties in obtaining unem ployment spell histories. Nevertheless, data from the “Work Experience” supplement of the CPS can provide some aggregate information on the distribution of weeks of unemployment. These data will be supplemented by recent information from the Panel Studies on Income Dynamics Survey conducted by the University of Michigan. Table 6 contains the CPS “work experience” informa tion. It is critical to understand the limitations of the data. From table 2, it was noted that, in the aggregate, the probability of escaping unemployment declined sig nificantly with time unemployed. This will naturally tend to show up as a concentration of unemployment in longer spells simply because the longer a spell has last ed, the lower the probability of escape. Even if the probability of escape for each individual is constant, a large share of unemployment would be the result of the individuals who have lower escape probabilities. To get the “true” picture one must be able to test for heteroge neity between individuals—sorting— or duration depen dence—as unemployment lengthens, the escape rate for individuals declines.32 Given these caveats, table 6 contains some interesting information. The concentration of unemployment is stark. In 1969, the 1 percent of the labor force unem ployed more than 27 weeks accounted for 32 percent of total weeks unemployed. There is also a pronounced cy clical pattern to the distribution. In 1975, the propor tion of the labor force unemployed at least 27 weeks jumped fourfold from 1969 and accounted for 52 per cent of total unemployment. The distribution in 1978 lies between 1969 and 1975. Because table 6 provides only annual data and con tains no information on spells of unemployment, it is not possible to determine whether the same group of people become unemployed over and over again. Per haps the most important information is the cyclical pat tern; it is exactly what one would predict from an examination of escape probabilities. If nothing else, it is clear that a key to understanding unemployment dura tion involves explaining its behavior over the course of a business cycle. A last bit of information on the concentration of un employment is from a study on the 10-year (1968—77) work history of married adult males.33 Although the data suffer many of the defects of table 6 (multiple spells in a year are not measured) it does follow the same individuals over a long period of time. The results are fairly consistent with the CPS “work experience” data. A large number of people experienced some unem ployment over the 10-year period, but just 5 percent accounted for about half (46.6 percent) of the total time unemployed among the entire sample. The poor, bluecollar workers, and construction workers were dispro portionately concentrated in this small group. Some analysts have claimed such data challenge most theories of the labor market (for example, on search and turnover, dual labor markets, and others) because these theories focus on the relative brevity of completed spells of unemployment and are based on the notion that, except in recessions, jobs are readily available. Yet, the data are neither capable of evaluating the effi cacy of various theories nor, more importantly, are they inconsistent with different versions of each theory. The data show only that some people are unemployed a lot; they do not show that jobs are never held between peri ods of joblessness. Data encompassing unemployment and employment spell histories would be necessary to determine the existence of a group of workers who are more or less permanently unemployed. T h i s ARTICLE has presented one method to estimate the expected duration of a completed spell of unemploy ment and the number of spells of unemployment. Data and measurement problems associated with unemploy ment were also discussed. From this review, it is clear that five issues are most important in analyzing unem ployment patterns. First, a sharp conceptual distinction exists when measuring the duration of completed spells of unemployment and in-progress spells. In general, the estimates of the average length of a completed spell were about 75 percent of the average of an in-progress spell. Second, duration statistics may be a very un reliable guide on the relative ease of finding work; one necessary complement to the data is analysis of the causes of labor force withdrawal. Third, it is important to gauge the importance of multiple spells of unemploy ment to adequately interpret duration data. Fourth, in formation on the concentration of unemployment is important. For example, while most spells of unem ployment may be relatively short, most unemployment may be accounted for by those with many spells or with long periods of joblessness. Last, and very impor tant, an understanding of the business cycle and its im pact on the labor market is essential to any analysis of unemployment duration. □ FOOTNOTES ' See Hyman Kaitz, “Analyzing the length of spells of unemploy ment,” M o n th ly L a b o r R ev ie w , November 1970, pp. 11-20. Kaitz’s path-breaking work was the first to estimate the duration of complet ed spells of unemployment in the United States. For an early applica tion to data from England, see R.F. Fowler, “Duration of Unem ployment on the Register of the Wholly Unemployed,” Studies in Of ficial Statistics, Research Series 1, London, Her Majesty’s Stationary Office, 1968. Force,” E m p lo y m e n t a n d E a rn in g s, October 1968, pp. 6-13; Robert Pearl, “Gross Changes in the Labor Force: A Problem in Measure ment,” E m p lo y m e n t a n d E a rn in g s, April 1963, pp. IV -X ; and Ralph Smith and Jean Vanski, “Gross Change Data: The Neglected Data Base,” National Commission on Employment and Unemployment Statistics, Background Paper No. 11, July 1978. A discussion of gross change data from the Canadian labor force survey appears in Frank Denton, “A Simulation Model of Month-to-Month Labor Force 2 Stephen W. Salant, “Search Theory and Duration Data: A Theory Movement in Canada,” I n te r n a tio n a l E c o n o m ic R ev ie w , June 1973, pp 293-311. of Sorts,” Q u a r te r ly J o u r n a l o f E co n o m ic s, February 1977, pp. 39-57 George Akerlof and Brian Main, “Unemployment Spells and Unem 7See Smith and Vanski, “Gross Change . . . ,” pp. 17-25. ployment Experience,” Special Studies Paper, Federal Reserve Board, 8 For an extended discussion of these problems see Philip J. Number 123, Oct. 23, 1978; and Robert Frank, “How Long is a Spell McCarthy, “Some Sources of Error in Labor Force Estimates from of Unemployment,” E c o n o m e tric a , March 1978, pp. 285-301. the Current Population Survey,” Background Paper No. 15, National Salant, “Search Theory . . . ,” has shown that three propositions Commission on Employment and Unemployment Statistics, 1978; and concerning the measure of interrupted and completed spells of unem Hilaski, “The Status . . . ,” pp. 6-1 3 . ployment follow from a knowledge of escape rates: (1) If the probabil See T h e C u r r e n t P o p u la tio n S u r v e y R e in te r v ie w s P r o g ra m , J a n u a r y ity of escape increases the longer one is unemployed, the expected 1 9 6 1 th ro u g h D e c e m b e r 1 966, Census Bureau, Technical Paper 19, length of a completed spell, E(C), is greater than the expected length 1968. of an interrupted spell, E(T). This results from the fact that interrup 10I b id .; and Henry Woltman and Irv Schreider, “Possible Effects of tion bias predominates; (2) If the probability of escape is constant, the Response Variance on the Gross Changes from Month to Month in two measures, E(C) and E(T), are the same. In this case, the effects of the Current Population Survey,” Census Bureau, Memorandum, May interruption bias and length bias exactly offset each other; and (3) if 11, 1979. the probability of escape declines, E(T) is greater than E(C), and the effect of length bias predominates. " Kim Clark and Lawrence Summers, “Labor Market Dynamics and Unemployment: A Reconsideration,” B ro o k in g s P a p e r s on E c o See Kaitz, “Analyzing . . . ,” for one example of this. n o m ic A c tiv ity , No. 1, 1979, pp. 13-72. 5For a discussion of this issue see, John Barron and Wesley Mel low, “Changes in Labor Force Status Among the Unemployed,” J o u r n a l o f H u m a n R e s o u r c e s (forthcoming); A. McGregor, “Unemploy ment Duration and Re-employment Probability,” E c o n o m ic J o u rn a l, December 1978, pp. 693-706; Stephen Nickell, “Estimating the Prob ability of Leaving Unemployment,” E co n o m e tric a , September 1979, pp. 1249-66; Anders Bjorklund, “On the Duration of Unemployment in Sweden, 1965-1976,” S c a n d a n a v ia n J o u r n a l o f E co n o m ics, Vol. 80, No. 4, 1978, pp. 421-439; and Timothy Carr, “A Comparative Study of the Duration of Unemployment of Young and Middle-Aged Men,” Center for Human Resource Research, Ohio State University, Colum bus, Ohio, 1978. 6 For more detailed discussion of the gross change data, see Harvey Hilaski, “The Status of Research on Gross Changes in the Labor https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12 See McCarthy, “Some Sources of Error . . . ,” pp. 62-76; Barbara Bailar, “The Effects of Rotation Group Bias on Estimates from Panel Surveys,” J o u r n a l o f th e A m e r ic a n S ta tis tic a l A sso cia tio n , March 1975, pp. 23-30; and “Current Population Survey Rotation Group Bias,” presented to the Census Advisory Committee of the American Statistical Association, Mar. 4 -5 , 1976. 13Smith and Vanski, “Gross Change . . . ,” pp. 20-21; Smith, Vanski, and others have developed various ad hoc procedures to cor rect the gross change data. On the basis of recommendations from the National Commission on Employment and Unemployment Statistics, the Bureau of Labor Statistics is beginning an intensive study of the data problems and how they might be corrected. 14One such study is Stephen Marston, “Employment Instability and 31 MONTHLY LABOR REVIEW July 1980 • Unemployment Duration H ig h U n e m p lo y m e n t R a te s ,” B ro o k in g s P a p e r on E c o n o m ic A c tiv ity , N o . 1, 1 9 7 6 , p p . 1 6 9 - 2 1 0 . A ls o see G e o r g e P erry, “ U n e m p lo y m e n t F lo w s in th e U .S . L a b o r M a r k e t,” B ro o k in g s P a p e rs on E c o n o m ic A c tiv ity , N o . 2, 19 7 2 , p p . 2 4 5 - 7 8 . 15 S ee K a itz , “ A n a ly z in g . . . ,” pp . 1 1 - 2 0 ; S a la n t, “ S ea rch T h e o r y . . . ,” p p . 3 9 - 5 7 ; a n d J o h n B arron a n d W e sle y M e llo w , “ U n e m p lo y m e n t In su ra n ce : T h e R e c ip ie n ts a n d I ts I m p a c t,” B L S W o r k in g P a p er 8 2 , S e p te m b e r 1978. 16 O u r e stim a te s differ s o m e w h a t fr o m th o s e o f K a itz a n d S a la n t. B e c a u s e th e y u s e d d ifferen t m e th o d s , it is n o t su r p r isin g . W h ic h re s u lts are “ b e s t” w o u ld b e d ifficu lt to d e te r m in e . 17 M a rtin F e ld ste in , L o w e rin g th e P e r m a n e n t R a te o f U n e m p lo y m e n t (W a s h in g to n , J o in t E c o n o m ic C o m m itte e , U .S . C o n g r e ss , 1 9 7 3 ), p. 11. 18 “ C o m m e n ts a n d D is c u s s io n ” o n G e o r g e P erry , “ U n e m p lo y m e n t F lo w s in th e U .S . L a b o r M a r k e t,” B ro o k in g s P a p e r s on E c o n o m ic A c tiv ity , N o . 2, 197 2 , pp . 2 4 5 - 7 8 . 19 R o b e r t H a ll, “ W h y is th e U n e m p lo y m e n t R a te S o H ig h a t F u ll E m p lo y m e n t,” B ro o k in g s P a p e r on E c o n o m ic A c tiv ity , N o . 3, 1 9 7 0 , pp. 3 6 9 - 4 0 2 ; R ic h a r d E d w a r d s, “T h e S o c ia l R e la tio n s o f P r o d u c t io n in th e F ir m ,” P o litic s a n d S o c ie ty , N o . 1, 1975; a n d M a rtin C a r n o y a n d R u s s e ll R u m b er g e r , “ S e g m e n te d L a b o r M a rk ets: S o m e E m p ir ic a l F o r a y s ,” D is c u s s io n P a p er 7 5 - 2 , C e n te r for E c o n o m ic S tu d ie s , P a lo A lt o , 1975. 20 B o th G e o r g e P erry, “ U n e m p lo y m e n t F lo w s . . . ,” a n d S tep h e n M a r s to n , “ E m p lo y m e n t I n sta b ility . . . ,” h a v e e m p h a siz e d th e p r o b le m s w ith in ter p r e tin g d u ra tio n d a ta b e c a u s e o f th e p o s s ib ilit y o f e x itin g fro m th e la b o r fo rce. A ls o se e S tu a rt G a r fin k e l, “T h e o u t c o m e o f a s p e ll o f u n e m p lo y m e n t,” M o n th ly L a b o r R ev ie w , J a n u a ry 1 9 7 7 , pp . 5 4 - 5 7 ; a n d T . A ld r ic h F in e g a n , “ T h e M e a s u r e m e n t, B e h a v io r , a n d C la s sific a tio n o f D is c o u r a g e d W o r k e r s ,” N a tio n a l C o m m is s io n o n E m p lo y m e n t a n d U n e m p lo y m e n t S ta tis tic s, B a c k g r o u n d P a p er N o . 12, J u n e 1978. 21 C lark a n d S u m m e r s, “ L a b o r M a rk et . . . ,” p. 19. E x it fr o m th e la b o r fo r c e varies w id e ly a m o n g d ifferen t d e m o g r a p h ic g r o u p s a n d th er e m a y b e d ifferen t e x p la n a tio n s fo r ea ch . T h u s , s o m e c a u tio n is re q u ire d in in te r p r e ta tin g th e a g g r e g a te s ta tis tic s . F u r th e r m o r e , u n le s s o th e r w is e n o te d , w e h a v e a s s u m e d th a t th e la b o r fo r c e m o v e m e n t s are real a n d n o t th e r esu lt o f m is c la ss ific a tio n or o th e r errors. L a stly , n o n e o f o u r d a ta are a p p ro p ria te fo r e x p la in in g u n e m p lo y m e n t d if fe r en tia ls a m o n g s o c ia l g r o u p s , fo r e x a m p le , te e n a g e rs a n d a d u lts . 22 P erry, “ U n e m p lo y m e n t F lo w s . . . ,” p p . 2 7 0 - 7 5 . 23 S ee R a lp h S m ith , “ A S im u la tio n M o d e l o f th e D e m o g r a p h ic C o m p o s itio n o f E m p lo y m e n t, U n e m p lo y m e n t a n d L a b o r F o r c e P a r tic ip a tio n ,” in R o n a ld E h r en b erg , e d ., R es e a rc h in L a b o r E co n o m ic s, V o lu m e 1 (G r e e n w ic h , C o n n ., J A I P r e ss, 1 9 7 7 ) p p . 2 5 9 - 3 0 4 ; a n d R a lp h S m ith a n d C h a r le s H o lt , “ R e c e s s io n a n d th e E m p lo y m e n t o f D e m o g r a p h ic G r o u p s ,” B ro o k in g s P a p e rs on E c o n o m ic A c tiv ity , N o . 3, 1 9 7 4 , pp . 7 3 7 - 6 0 . 24 C la rk a n d S u m m e r s, “ L a b o r M a rk et . . . , ” p. 26. T o b e c la ss ified a s d is c o u r a g e d a p e r so n m u st o n ly c ite r ea s o n s o f d is c o u r a g e m e n t. If th e r e s p o n d e n t c ite s o th e r r e a so n s, su c h a s h o m e r e s p o n sib ilitie s , e v en 32 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis if along with reasons of discouragement, the person is not counted as discouraged. For a more in-depth analysis of discouraged workers, see Finegan, “The Measurement . . . ,” pp. 3-11. 25 Another hypothesis is that the unemployed remain in the labor force in order to collect unemployment compensation. When the bene fits are exhausted they withdraw from the labor force. It is doubtful that this is very important in explaining labor force exits overall be cause the probability of withdrawal is greatest among those groups less likely to be eligible for benefits. In addition, over time, there seems to be no trend in the proportion of unemployment spells that ended in withdrawal, yet there have been important modifications in unemployment compensation, for example, extensions in the benefit period. There is some (tentative) evidence that the unemployment in surance system may induce some labor force participation among those eligible to receive benefits who otherwise might have stopped looking for work. See Gary Solon, “Labor Supply Effects of Extended Unemployment Benefits,” J o u r n a l o f H u m a n R eso u rces, Spring 1979, pp. 247-55. 26 Clark and Summers, “Labor Market . . . , pp. 28-31. 27 Clark and Summers, “Labor Market . . . ,” p. 31. 28 See Perry, “Unemployment . . . ,” pp. 248-78; Marston, “Em ployment Instability . . . ,” pp. 169-210; Richard Disney, “Recurrent Spells and the Concentration of Unemployment in Great Britain,” E c o n o m ic J o u rn a l, March 1979, pp. 109-19; Richard Freeman and Robert Frank, “The Distribution of the Unemployment Burden,” R e view o f E c o n o m ic s a n d S ta tistic s, August 1978, pp. 380-91; Robert Hall, “Turnover in the Labor Force,” B ro o k in g s P a p e r on E c o n o m ic A c tiv ity , No. 3, 1972, pp. 709-56; and David Stevens and McNeil Gima, “The ‘Incidence’ Theory of Black-White Unemployment Dif ferentials Revisited,” Unpublished paper, University of Missouri, 1975, pp. 1-16. 29See Dale Morgenstern and Nancy Barrett, “The Retrospective Bias in Unemployment Reporting by Sex, Race, and Age,” J o u r n a l o f th e A m e r ic a n S ta tis tic a l A sso cia tio n , June 1974, p. 356. Clark and Summers, “Labor Market . . . ,” argue, that a benefit of the work ex perience data is that its retrospective nature reduces problems associ ated with “spurious” movements into and out of the labor force. 30 Stevens and Gima, “The ‘Incidence’ Theory . . . ,” pp. 5 -7 . 31 Similar results have been obtained using data from the National Longitudinal Survey. See Akerloff and Main, “Unemployment Experi ence . . . , ” pp. 14-18. 32One attempt to test this using data from England is contained in A. McGregor, “Unemployment Duration . . . ,” pp. 693-706. The re sults, though not flawless, suggest that individual escape rates do de cline with time unemployed even after controlling for other char acteristics. 33 Martha Hill and Mary Corcoran, “Unemployment among family men: A 10-year longitudinal study,” M o n th ly L a b o r R ev ie w , Novem ber 1979, pp. 19-23. Disney, “Recurrent Spells . . . ,” presents esti mates of the concentration of unemployment among three cohorts of males in England. The results are similar to those of Hill and Corco ran. Construction machinery industry posts slow rise in productivity Growth was slower than manufacturing average in 1958-78, with 4 years recording declines, despite considerable capital expenditure and new technology; 1977-78, however, showed strong productivity advances Jo h n D uke Output per employee-hour in the construction machin ery industry rose at an average annual rate of 2.0 per cent between 1958 and 1978,' compared with a 2.6-percent rate for the entire manufacturing sector. This was the result of an average annual increase of 4.5 percent in output, and 2.5 percent in employee-hours. (See table 1.) The long-term trend was marked by cycli cal swings. In 1977 and 1978, there were strong gains. Productivity declines occurred in 4 of the 21 years between 1958 and 1978. In two of them, 1959 and 1968, increases in employee-hours exceeded output gains. In the other two years of decline, 1960 and 1975, productivity fell because sharp drops in output exceeded reductions in employee-hours. The long-term gain in productivity resulted mainly from innovations in the machining and welding opera tions at the industry’s plants, and from improvements in handling and storing materials. Computerization of accounting functions also helped to increase pro ductivity. Following 2 years of decline in 1959 and 1960, pro ductivity increased at an average annual rate of 4.8 per cent per year during 1960-65, induced largely by a strong rise in output, averaging 9.1 percent per year. Between 1965 and 1970, productivity slowed to an aver age rate of only 0.8 percent per year, as output gains slackened to an average annual rate of 2.4 percent. Pro ductivity rebounded once again in the early 1970’s, in creasing at an average annual rate of 4.4 percent between 1970 and 1974, with output increasing 11.8 percent. Output per employee-hour declined 6.9 percent in 1975, as output fell 12.8 percent, but rose again in 1976, by 1.6 percent, when a 4.7-percent drop in output was exceeded by a decrease in employee-hours. Produc tivity rose by 5.0 percent in 1977 and 2.8 percent in 1978 as output recorded strong gains. John Duke is an economist in the Division of Industry Productivity Studies, Bureau of Labor Statistics. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The construction equipment industry produces a vari ety of machines for earthmoving, hauling, lifting, grad ing, and paving. The machines are used not only in the construction industry, but also in mining, logging, rail road track maintenance, agriculture, and military opera tions. Most construction equipment has not undergone major change over the past 20 years, but there has been a steady increase in the size, power, and flexibility of the machinery produced. For example, in 1958 only about 15 percent of new crawler tractors had greater than 160 horsepower. By 1977, nearly 40 percent were that powerful.2 Demand for more powerful machines has come from construction contractors seeking to boost the efficiency of their operations. T a b le 1. P ro d u c tiv ity an d re la te d in d e x e s fo r th e c o n s tru c tio n m a c h in e ry in d u s try O utput p er em ployee-hour Year 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. ............. Em ployee-hours All em ployees Produ c tion w orkers N onpro duction w ork ers Output 90.1 844 75.5 82.7 89.8 90.9 94.4 96.9 98.5 100 0 99.6 100.7 101.0 103.9 111.4 113.2 119.9 111.6 113.4 119.1 122.4 97.4 86.3 80.4 86.8 92.0 91.3 93.2 95.3 94.9 100.0 101.5 101.0 103.6 107.9 112.5 113.1 119.9 114.6 120.6 124.4 127.2 73.0 78.9 63.7 72.6 83.6 89.7 98.3 102.2 111.9 100.0 94.1 99.5 93.9 93.1 108.0 113.5 119.9 103.2 96.0 105.0 109.6 62.6 74.0 63.2 59.0 67.5 73.1 85.4 91.4 943 100.0 104.3 107.1 99.4 94.3 114.5 132.9 146.3 127.6 121.6 135.5 151.3 All em ployees Produ c tion w orkers N o n p ro duction w orkers 695 87.7 83.7 71.3 75.2 80.4 90.5 94.3 95.7 100.0 104.7 1 064 98.4 90.8 102.8 117.4 122.0 114.3 107.2 113.8 123.6 64.3 85.7 78.6 68.0 73.4 80.1 91.6 95.9 99.4 100.0 102.8 106.0 95.9 87.4 101.8 117.5 122.0 111.3 100 8 108 9 118.9 85.8 93.8 99.2 81.3 80.7 81.5 86.9 89.4 84.3 100.0 110.8 107.6 105.9 101.3 106.0 117.1 122.0 123.6 126.7 129.0 138.1 A verag e annual rates o f chan ge (p erc en t) 1 9 5 8 -7 8 . . . 1 9 7 3 -7 8 .. 2.0 1.1 2.0 2.2 2.0 -1 .8 4.5 1.1 2.5 0 2.5 - 1 .1 2.4 2.9 33 MONTHLY LABOR REVIEW July 1980 • Construction Machinery Productivity Output doubles Output of construction machinery more than doubled over the 1958-78 period. The increase was generated by expanding overall construction activity and strong ex port demand. The value of total new construction (in constant dollars) rose 60 percent during 1958-72, be fore turning fiat in 1973, and dropping sharply in 1974 and 1975. Since 1975, new construction has risen nearly 20 percent.3 Exports of construction machinery, which currently account for nearly one-third of U.S. produc tion, almost quadrupled between 1960 and the mid1970’s. Construction and related activities in foreign countries during this period rose considerably faster than did U.S. construction, providing a strong impetus to U.S. exports.4 Although overall construction activity remains the most important determinant of construction equipment output, the cyclical and year-to-year variations in con struction equipment output during 1958-78 did not al ways closely follow changes in construction activity. One reason is that the use of construction equipment varies greatly, depending upon the type of construction. The different types have widely varying ratios of cost between construction equipment and total contract.5For example, in the construction of single family housing, machinery is a relatively minor factor, while for projects such as sewer lines and highways, large amounts of construction equipment are employed. Some types of construction machinery, such as crawler tractors and tractor shovel loaders, are used to prepare many kinds of construction sites, making it difficult to associate changes in production of these units with those in spe cific construction markets. Changes in output in the industry were large over the period. In only 5 years were year-to-year output chang es less than 6 percent. After an 18-percent increase in 1959, when nearly all segments of construction activity showed strong gains, output fell by 15 percent in 1960. This decline resulted from a downturn in many con struction markets, and from the existence of a large in ventory of machines in operation. The downturn continued with a 7-percent drop in 1961. Sustained high levels of construction and an expansion in exports dur ing 1962-65 led to strong increases in construction ma chinery output, particularly in 1962 and 1964, 14 per cent and 17 percent, respectively. After 1965, output gains narrowed, as activity in many construction markets dropped from the high lev els of the early 1960’s. An acceleration in exports dur ing this period helped maintain continued increases in output. Declines in construction activity during 1969— 70 led to an output drop of 7 percent in 1970 and 5 percent in 1971. But output rebounded during 1972-74, posting consecutive gains of 21 percent, 16 percent, and 34 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 10 percent for the 3-year period. Expanding construction activity boosted demand for construction equipment in the United States; foreign demand for U.S.-built machin ery soared during 1973-74, aided by changes in the rel ative values of national currencies. The severe drop in construction activity during 1974-75 caused machinery output to fall sharply, 13 percent in 1975, despite con tinued strength in foreign demand. The decline contin ued into 1976, with a 5-percent decrease. Output rebounded in 1977 and 1978, rising 11 and 12 percent, in response to the upturn in construction. Employment and investment The construction machinery industry is characterized by large scale production. In 1977, the average plant employed 169 persons, more than triple the average of 53 employees for the entire manufacturing sector. Es tablishments with 500 or more employees account for more than two-thirds of industry’s value of shipments. Industry operations are concentrated in the North Cen tral region of the United States, with more than threefourths of employment located in those States. Between 1958 and 1977, the number of establishments rose 57 percent to 910. The increase was somewhat less than the gain in employment, resulting in a slight rise in the average number of employees per plant. The increase in establishments was associated with a slight shift in in dustry operations to the Southern region. The number of establishments in the South doubled during 1958-72 to 162, raising the South’s regional share of employment in the industry from 5 to 11 percent. Currently at 165,000 persons, employment in the con struction machinery industry rose 74 percent during 1958-78. However, the upward trend was not steady; employee-hours fluctuated considerably over the period, because of large swings in output. For example, output rose 18.2 percent in 1959, with a 26.2-percent gain in employee-hours. In 1961, employee-hours dropped 14.8 percent, following 2 consecutive years of declines in output. Sharp output increases in 1964, 1972, and 1973 accompanied large increases in employee-hours in those years. Production workers accounted for 72 percent of total employment in the industry during 1978, virtually unchanged from the 1958 proportion, and about the same as the manufacturing average. Women accounted for only 8 percent of total employment, compared with 30 percent for manufacturing as a whole. Hourly earn ings averaged $8.01 in the industry, about 30 percent above the manufacturing average. Regional and skill factors as well as the high degree of unionization ac count for the higher wage levels.6The North Central re gion, where construction machinery manufacturing operations are concentrated, had earnings about 10 per cent above the average for all manufacturing, according to 1972 Census data. Skill levels in the industry are also above the average for manufacturing in general. Profes sional, technical, and kindred workers accounted for 11.8 percent of construction machinery employees, while total manufacturing had 10.2 percent of its em ployees in such positions. Crafts and kindred workers represented 21.4 percent of workers in the industry, while manufacturing in general had 19.7 percent of its employees in these positions. Although the proportion of operatives (less-skilled employees) was only slightly lower (39.4 percent) for this industry than for the man ufacturing average (42.2 percent), almost half of these employees in construction machinery were semiskilled metalworkers, whose earnings exceed that of most other groups of operatives. Labor turnover in the industry has been well be low that for all manufacturing during 1958-78. For example, in the average month of the study, quits per 100 employees were 1.0 for construction machinery and 1.9 for all manufacturing. New hires and layoffs per month averaged 1.7 and 1.0 percent, respectively, for this industry, compared with 2.8 and 1.6 for all manu facturing.7 The comparatively low rates of turnover re flect the above-average skill levels and high degree of unionization in the industry. Firms are more reluctant to lay off skilled employees during downturns, because of the cost of training new employees when production again increases. Also, unionized workers resign less fre quently.8 Capital expenditures per employee averaged $3,212 in 1977, considerably above the $2,587 average for all of manufacturing. However, above-average capital expendi tures did not occur in the industry until the mid-1970’s. Industry expenditures per employee in 1958 were below that of all manufacturing but rose faster during the study period, 10 percent per year on average, compared with 8 percent. Total assets per employee per establish ment were $21,879 in 1976, below the $22,326 all-manu facturing average, but they had risen slightly faster than average since the early 1960’s. Nearly half of the capital expenditures for equipment during the mid-1960’s went for machine tools.9 Although no precise data are available on the proportion of machine tools that are numerically controlled, industry sources indicate that the use of these tools increased significantly during the late 1960’s and the 1970’s. Technological gains The basic processes in the production of construction machinery^parts machining, heat treating, welding and fabrication, and assembly, did not change significantly during 1958-78. However, there were productivity gains from gradual technological improvements in them. Capital investment in improved machine tools with in creased horsepower, and faster operating speeds, have https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis increased productivity in the machining processes. Nu merical control has speeded up the machining of parts. This involves the automatic setting of machining angles, speeds, and feeds by electronic control units. Tools such as gear cutting and grinding machines have been used for many years, but the operator had to manually place the material into position, set the speeds for the feeding and machining of the material, and monitor the machin ing process. Numerical control is considerably faster and allows one operator to monitor several machines.10 Since the mid-1970’s, the industry has been investing in manufacturing systems, comprised of groups of machine tools linked by material handling equipment, which greatly reduce machine set-up and component handling time.11 The heat treating process has been largely unaffected by technological changes in the industry. Machined parts are fed into a furnace, heated, and then quenched in oil or water. This process strengthens the parts and relieves stress, for greater durability. Feeding parts through the furnace automatically has been introduced, but the process has remained mostly a manual opera tion. There have been significant labor-saving innovations in welding operations in construction machinery manu facturing plants during 1958-78. In earlier years, the most prevalent welding techniques produced “slag,” a film of debris that had to be cleaned from the weld sur face. In the early 1960’s, improved welding techniques were introduced which produced very little slag. Their rapid diffusion greatly reduced the labor time in clean ing welded parts. Also, the new welding process is quicker; the welding electrode is continuously fed to the welding surface. Under the old process, individual “sticks” of electrode material were used and replaced manually. Other improvements include the introduction, in some plants, of conveyor systems to transfer parts be tween stations. These systems, which have been replac ing hand carts, reduce bottlenecks in the production flow. The introduction of computers has saved labor in purchasing and accounting functions, and has helped maintain better inventory control.12 Future developments Although the pace of construction activity is difficult to predict, some factors that will probably affect con struction machinery demand in the near future are evi dent. The interstate highway system, which helped boost purchases of construction equipment in the late 1950’s and 1960’s, is more than 90 percent complete, and real expenditures for construction of new highways and streets have trended downward since 1970. In addi tion, export demand for construction equipment, which had risen rapidly in the early and mid-1970’s, may sta35 MONTHLY LABOR REVIEW July 1980 • Construction Machinery Productivity bilize. Foreign manufacturers are becoming increasingly competitive in the construction machinery market, and U.S. subsidiaries abroad are also increasing their market share. These factors portend a slackening in the years ahead in the booming export market for U.S.-built con struction equipment. However, offsetting these factors will be increased demand from specific domestic mar kets. Sewer and water projects are expected to increase significantly, due to pollution control mandates. Also, mining, particularly strip-mining of coal, should show a strong rise in the near future, increasing the demand for large excavating and earthmoving machines. Overall, construction equipment output is expected to grow about 3 percent per year over the next 5 years, signifi cantly below the long-term rate.13 The slackening in demand anticipated for the next few years will tend to retard productivity improvement. However, the quickening pace of adoption of technolog ical innovations should offset this to some extent. In vestment in numerically controlled machine tools is expected to increase, with emphasis on more flexible machines that can perform a number of different func tions. Many machines in the industry have limited capa bilities, and the set up and material handling time inherent in them have proven to be bottlenecks in the production flow. The low volume of production for in dividual types of construction equipment, combined with the specialized nature of most conventional ma chine tools, has limited the diffusion of numerical con trol. In recent years, however, advanced manufacturing systems have been developed which greatly facilitate smooth production flow and which are efficient for the low-to-medium volume in the industry. Capital expendi tures increased greatly during the mid-1970’s and there is evidence that a significant amount is being invested in these advanced systems.14 The industry’s substantial in vestment in this equipment should cause productivity gains to accelerate. □ FOOTNOTES ' The construction machinery industry is composed of establishments primarily engaged in producing heavy machinery and equipment used by the construction industries; it produces items such as bulldozers, concrete mixers, cranes, pavers, and power shovels. It is designated as industry number 3531 in the 1 9 7 2 S ta n d a r d I n d u s tr ia l C la ssifica tio n M a n u a l of the Office of Management and Budget. Data for this pro ductivity measure first became available in 1958. All average annual rates of change are based on the linear least squares trend of the loga rithms of the index numbers. A technical note describing the methods used in the construction of the indexes is available upon request. 2 C u r re n t I n d u s tr ia l R ep o rts, series M35S and MQ35D (Bureau of the Census) July 1958, 1959, 1977, September 1978). 3 C o n stru ctio n R ep o rts, series C 30-74S, December 1975 and C 3080-2, April 1980 (Bureau of the Census). 4Out of 51 countries, 47 had higher rates of growth in construction between 1960 and 1970 than did the United States S ta tis tic a l A b s tr a c t o f th e U n ite d S ta te s 1974, (Bureau of the Census, 1974), p. 823. 5 Bureau of Labor Statistics, Office of Productivity and Technology, Division of Technological Studies. 6 A recent study by the Bureau of Labor Statistics found that the weekly earnings of workers represented by labor organizations were 18 percent higher than those of workers not represented. E a rn in g s a n d O th e r C h a r a c te r istic s o f O r g a n iz e d W o rk e rs M a y 1977, Report 556 (Bu reau of Labor Statistics, 1979). 7The turnover rates cited here for construction machinery actually comprise both construction and mining machinery. However, because construction machinery employs about 80 percent of the total work force in both groups, these rates should be representative for con struction machinery alone. 8 See Charles Brown and James Medoff, “Trade Unions in the Pro duction Process,” J o u r n a l o f P o litic a l E c o n o m y , 1978, Volume 86, No. 3, p. 357. ’ I n te r in d u s tr y T r a n s a c tio n s in N e w S tr u c tu r e s a n d E q u ip m e n t, 1 9 6 3 a n d 1 9 6 7 , V o lu m e 2, U.S. Department of Commerce, Bureau of Eco nomic Analysis, September 1975. 10 See Lloyd T. O’Carroll, “Technology and Manpower in Non electrical Machinery,” M o n th ly L a b o r R ev ie w , June 1971, p. 58-59. " See, for example, Raymond J. Larsen, “Taking the Wraps Off Flexibility in Manufacturing,” Iro n A ge, Nov. 20, 1978, p. 75-91. 12 Information on technological developments was provided by vari ous industry representatives. 13 U.S. I n d u s tr ia l O u tlo o k 1980, Domestic and International Business Administration, U.S. Department of Commerce, January 1980. 14Jack Thornton, “Big Metalcutting Systems,” A m e r ic a n M e ta l M a r k e t, Nov. 12, 1979. APPENDIX: Measurement techniques and limitations The productivity indexes in this study measure the change over time in industry output per unit of labor input. They do not measure the specific contribution of labor, but reflect the influence of many factors such as technology, capital investment, and managerial skills, as well as skill and effort of the work force. The output index for this industry is based upon val ue of shipments data, published by the Bureau of the Census. Detailed data from the Census of Manufactures for 1958, 1963, 1967, and 1972 were used to derive benchmark indexes, to which the annual indexes for in tervening years, based on the Annual Survey of Manu 36 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis factures, were adjusted. The value of shipments of the various product classes were adjusted for price changes by appropriate Producer Price Indexes to derive con stant dollar output measures. These, in turn, were com bined with employee-hour weights to derive the overall output measure. Employment and employee-hour index es were derived from Census and Bureau of Labor Sta tistics data. Employees and employee-hours are considered homogeneous and additive, and thus do not reflect changes in the qualitative aspects of labor such as skill and experience of persons constituting the ag gregate. Conference Papers Although the phrase “quality of worklife” has been part of the industrial relations vocabulary for more than a decade, the concept has not yet found wide acceptance. Some practitioners view it with enthusiasm, others with cynicism. Among the former are Stephen H. Fuller, a vice president of the General Motors Corp., Irving Bluestone, who recently retired as a vice president of the United Auto Workers, and Barry A. Macy, director of the Texas Center for Productivity and Quality of Work Life. Fuller and Macy spoke at last December’s annual meeting of the Industrial Relations Research Association in Atlanta, Ga., Bluestone at a December conference on “Critical Economic and Work Force Is sues Facing Western Nations,” sponsored by the Work in America Institute and the International Institute of Labor Studies in Washington, D.C. How quality-of-worklife projects work for General Motors St e p h e n H. F uller Quality of worklife is not a happiness program, al though happy employees may certainly be a byproduct. It is not a personnel department program, although quality of worklife has important implications for per sonnel management. It is not a sublte employee incentive program, although employees motivated to achieving the goals of the organization certainly ought to be one of the outcomes. And, it is not another pro ductivity program, although better productivity is cer tainly one of the important results. Quality of worklife is all of these things and more: •A continuing process, not something that can be turned on today and turned off tomorrow. •Using all resources, especially human resources, bet ter today than yesterday . . . and even better tomorrow. •Developing among all members of an organization an awareness and understanding of the concerns and needs of others, and a willingness to be more responsive to those concerns and needs. Stephen H. Fuller is a vice president of General Motors Corp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis •Improving the way things get done to assure the long-term effectiveness and success of organizations. General Motors is making a concerted effort to im prove the quality of worklife for its employees. Projects are underway in most North American operations and in many overseas operations as well. The approach was not developed overnight. It evolved from a philosophy of management, shaped by events and experiences oc curring over a considerable period of time. A key component of our quality-of-worklife process is union participation. Quality of worklife became a joint effort of General Motors and the United Auto Workers in 1973, when a National Committee to Im prove the Quality of Work Life was established. Repre senting the UAW on the committee are two officials of the international union. The corporation is represented by two personnel officers. The committee meets periodi cally to discuss activities underway in the corporation. One of its chief functions is to educate executives of the union and the corporation in order to encourage coop erative quality-of-worklife ventures at the local level. The committee adopted minimum standards to assure that every GM plant has the basics of a quality-ofworklife effort. Each operation is expected to have: • A group to oversee the quality of worklife process. •A statement of long-term objectives incorporating quality of worklife along with other desirable business targets. • Regular measurement of quality of worklife. •Seminars and other activities to make the organiza tion more knowledgeable about quality-of-worklife con cepts and techniques. •Adequate internal resources and skills to assure the developmental process is moving ahead and accomplish ing its objectives. Approaches vary A quality-of-worklife improvement program is man datory at GM, however, specific approaches are optional. Following are some examples of approaches being applied at existing and new plants. A decade ago, one of our assembly plants could have been characterized as a problem plant. There was an air of hostility between management and the union. Costs were high. Performance was poor. Something had to be done. Fortunately, the local management and union MONTHLY LABOR REVIEW July 1980 • Conference Papers were willing to undertake some initiatives. As both sides explored and discussed their mutual problems and concerns, an atmosphere of understanding and mutual respect began to emerge. In 1972, the plant faced a ma jor rearrangement which provided an opportunity for management to involve employees in planning the change, something that had not been done before. The rearrangement went well, due, in part, to the employees’ suggestions. Then, following the lead set by the GM-UAW National Quality of Work Life Committee, plant management and the union established their own committee. In 1977, management and the union initiated a 3-day training program providing employees at the plant training in team problem-solving. Although the pro gram was voluntary, nearly all of the 3,600 employees participated. Today, employee morale at that plant is high, grievances are only a fraction of what they were a decade ago, and the plant has become one of the best performing assembly plants at General Motors. Another GM plant abandoned the traditional organi zational structure a few years ago. Today, the plant is organized into six business teams, each consisting of the necessary production activities and support elements: engineering, scheduling, material handling, quality con trol, maintenance, and accounting. The system has made support employees an integral part of the plant’s business operations. The quality-control circle concept, which has flourished in Japan and is being introduced by a growing number of firms in this country, has been incorporated into the business-team structure. The circle concept gives employees the opportunity to meet regu larly to discuss problems affecting their work environ ment and the plant’s performance. These are only two of many approaches underway in established GM plants. New plants provide a unique op portunity to design an organization from a blank sheet of paper. Free from the constraints of past practice and stereotyped roles, each plant is an opportunity to intro duce new approaches. There are three important considerations underlying quality-of-worklife initiatives in new plants: (1) there is no best system or organizational design, (2) there is an ongoing interaction among the parts of the system—a change in one part of the system can have a significant impact on the entire system, and (3) each part of the system must reinforce consistency of operations and fa cilitate employee involvement. To achieve an organizational system in which each part is congruent with the rest, careful consideration is given to the basic values, principles, and objectives held by local management. The development of a philosophy and goals is viewed as a necessary first step in the plan ning process. (The philosophy and goals are statements reflecting the local management’s beliefs about people 38 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and work and the relationship between those beliefs and the plant’s objectives.) A team concept is a major feature of many new GM plants. Job rotation within the team is encouraged. Em ployees thus acquire broader skills which, in turn, al lows for greater flexibility in performing all of the tasks within the team. This concept tends to promote em ployee involvement and satisfaction, and to minimize the disruptive effects of occasional absenteeism and turnover. Employees are encouraged to move from one team to another once they have learned all of the jobs in the team. This further adds to the fulfillment of em ployee interests and to the expansion of experiences and achievements. The team concept encourages employee responsibility and involvement. For example, employees may have re sponsibility for training team members; assessing indi vidual team members’ progress in satisfactorily per forming job assignments; forecasting efficiency, scrap, and manpower requirements in their operating areas; recommending corrective action for improper conduct of team members; contributing to the selection of new employees; selecting team leaders; and maintaining op eration of tools and equipment within process stand ards. Employee-management communications essential. In our plants, emphasis is placed on effective communication, particularly face-to-face communication. It begins with the orientation, which includes, in addition to tradition al topics, a thorough review of the plant’s philosophy and goals. Periodic plant meetings and team meetings are used to discuss aspects of the business—for exam ple, quality, schedules, scrap and rework, housekeeping, safety, employee facilities, production facilities, and cus tomer orders. There also is ample opportunity for em ployees to discuss their concerns with management. The role of the personnel department at General Motors is to facilitate the development of the qualityof-worklife process by consulting with management, with employees, and with their elected representatives. Well-conceived and effectively administered personnel programs are absolutely essential for a strong qualityof-worklife effort. One such program is a system of redress for those employees not represented by a union. A formal “open door policy” is one approach, but it must have the sup port of all levels of management. An effective appraisal system for all employees, including managers and exec utives, also is essential. The appraisal also should evalu ate managers’ support and implementation of qualityof-worklife principles. Training for all employees is an absolute necessity. If employees are to be involved in the decisionmaking pro cess, if they are to grow and develop, they must have the opportunity to acquire the necessary knowledge and skills. Finally, it is necessary to have a statement of philoso phy that spells out the general role workers have in the organization and how they are to be treated. A state ment of philosophy that represents the consensus of se nior management provides a basis for encouraging managerial behavior consistent across plants and func tions. The philosophy also lets employees know how they can expect to be treated. All efforts at General Motors require a firm commit ment at the top levels of the corporation. Such support, combined with a variety of successful projects has led to the creation of a quality-of-worklife program in near ly all plants. This does not mean that GM has all the answers or that quality of worklife is fully developed in General Motors. There is much to be done, but the cor poration is on the right track and making progress. Future of the projects An important shift in union-management relations began in the decade of the 1970’s. Unions and manage ment showed a willingness to explore new alternatives and, in some instances, levels of cooperation once thought impossible produced dramatic results. What about the decade of the 1980’s? What is the future of quality of worklife in America? Two critical forces will have a significant impact on the future of quality-of-worklife projects. One is the changing values of workers. Increased sense of entitle ment, disregard for authority, and a general low esteem of our institutions have been major factors in the devel opmental years of quality of worklife. Today’s workers place less emphasis on material achievement and more on personal fulfillment. The value shift of Americans will significantly impact the future of quality of worklife. The second force is economic. While business is being challenged to respond to dramatically changing values, our country is facing economic problems. The fact is, the United States is locked in a fiercely competitive eco nomic struggle which could have either a positive or negative impact on quality of worklife— positive if it leads to innovative solutions and negative if it results in simply greater emphasis on traditional approaches. Our Nation’s poor productivity improvement rate is a major factor contributing to our economic ills. The problem has not come about overnight. Between 1947 and 1967, output per hour of work in the United States nearly doubled. Since 1967, output per hour worked has risen only about one-fifth. And in 1978, the U.S. pro ductivity growth rate was an alarming one-half of 1 per cent, a dismal performance compared to the rate of growth of other major industrial nations, particularly Japan. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis In the past, America has been able to compete with cheap overseas labor because of our capital investment. In 1978, however, capital investment per worker in this country amounted to less than $3,700, compared with nearly $5,000 per Japanese worker. There are many fac tors in addition to capital investment which contribute to Japan’s envious productivity growth rate. Among them are government policies and programs that active ly support economic expansion, technological innova tion, harmonious union-management relations, and a totally dedicated work force. Group goals are far more important than individual successes in the Japanese structure. I do not think we can ignore the traits present in the Japanese system. In this country, we have been overly loyal to organizational tradition. But, today, we cannot afford not to take new risks. The joint efforts of busi ness, government, and labor are essential if we are to respond to the needs of a changing workforce and re solve our economic problems. Stumbling blocks. As we push forward the frontiers of quality of worklife there are some formidable obstacles to overcome. One is the issue of control. Should control be viewed as external to the individual, as provided for through a supervisor and shop rules? Or should it lie within the individual’s self-regulating ability and value system and based upon mutual influence and interest that leads to “win-win” rather than “win-lose” relation ships? Moving from external to self-regulating sources of control would seem to be consistent with the qualityof-worklife viewpoint. How much training and how much information is management willing to provide if employees are to be self-regulating? Many organizations in the past have been cautious about sharing informa tion, particularly financial information, for fear employ ees will use this knowledge to make “unfair” claims on the enterprise. □ How quality-of-worklife projects work for the United Auto Workers Irving Bluestone In 1973, in bargaining with General Motors Corp. for a new national agreement, the United Auto Workers (uaw ) proposed the establishment of a National Joint Committee to Improve the Quality of Worklife. The parties agreed to a document which set forth their genIrving Bluestone recently retired as a vice president of the United Auto Workers and director of the union’s General Motors depart ment. 39 MONTHLY LABOR REVIEW July 1980 • Conference Papers eral understanding on the subject and pledged to urge their respective local managements and local unions to cooperate “in (quality-of-worklife) experiments and projects.” How, where, and when to go about the task were left open for the parties to consider. Over time, certain gen eralized concepts have become accepted. However, the approach varies in each situation because the program is not imposed from the top down, but must be cooper atively and voluntarily developed and implemented from the bottom up—at the local union-management level. Today, there are approximately 50 quality-of-worklife programs in U A W -G M bargaining units. Most are still in the early stages—an indication that such programs are not “instant utopias” but rather follow a slow, cau tious, deliberate pace. How did the u a w and GM go about setting up a quality-of-worklife program? What were the “nuts and bolts” steps taken and how were they implemented? While no two projects are identical, the following de scribes in concrete terms what happened. The fact that the National Joint Committee to Im prove the Quality of Worklife exists and urges the local parties to consider undertaking a project supplies the initiative to create interest in the subject. A local man agement may contact the local union shop committee (or vice versa) suggesting the local parties discuss the possibility of initiating a quality-of-worklife project. The local union as a rule will contact the international union and ask for a thorough explanation of the concept, how it works, what it entails, and its advantages and disad vantages. An international union representative will meet with the local union official and describe in detail the mean ing and purpose of the concept and what has been done elsewhere and why. The representative will set forth cer tain guiding principles which are usually agreed upon as a basis for proceeding: •There must be no increase in production standards as a result of the quality-of-worklife program—an as surance against speed-up. (Naturally, increased produc tion due to technological change is another matter.) •There must be no loss of jobs as a result of the program—an assurance of job security. (Obviously, layoffs due to business cycles are another matter.) •The provisions of the national agreement and of the local agreements and practices remain inviolable. •The program will be voluntary. No worker will be compelled to participate. •The union representatives will be involved in all as pects of the program— sharing with management equal ly in the development and implementation of the pro gram. 40 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • Either party may cancel the program at any time— an assurance against either being tied to a project in which it has lost faith. The local, after full discussion, will decide whether to proceed. It is advised to “go slow,” to experiment with a pilot project at first and approach the program on a “cut and try” basis. The local understands that normal collective bargaining continues, that a quality-of-work life program will not solve all the plant problems. In the U A W -G M approach, no separate quality-ofworklife committee is formed. The local union shop committee— the elected representatives of the workers for purposes of handling grievances and bargaining—is the union counterpart in the program. This avoids any conflict in determining which subjects fall within the purview of adversarial collective bargaining and which are subject to the cooperative effort of quality of worklife. A quality-of-worklife program cannot succeed unless the local parties develop a collective bargaining climate of mutual respect, a climate in which solving problems supersedes beating the other party down. Therefore, the first phase, before the parties can move significantly to ward worker participation programs, entails fostering a mutually respectful relationship as the groundwork for a program which will involve the workers directly. This is no overnight task. It may take months of get ting together and talking things through. Essentially the problem is attitudinal, and breaking down distrust and cynicism on both sides is a slow but extremely reward ing process. Once phase one is well underway, the road is paved for the local parties to embark on pilot projects in which workers on a volunteer basis become involved in problem solving and participate in making decisions re garding the workplace which, heretofore, have been de nied them. By now, the parties have learned to work together more cooperatively. Without pervasive rancor and suspicion beclouding their efforts, they can join mutually in analyzing the problems which trouble the workers and create the opportunity for workers to help resolve them. The overriding consideration is that all decisions are by mutual desire and consent at the local level. Neither the corporation nor the international union instructs the local parties; each is merely a catalyst (to advise and consult) when called upon. There is ample evidence that the introduction of a quality-of-worklife program has a salubrious effect upon the adversarial collective bargaining system. For exam ple, simultaneously with national negotiations between the u a w and GM, the local parties negotiate on local is sues, including seniority, transfer, shift preference, equalization of overtime agreements, and other propos- als to improve working conditions and health and safe ty, grievances, and other issues. Of the first 90 local set tlements in 1979, all of which were accomplished without a strike threat, 44 were engaged in some stage of a quality-of-worklife program. Considering there are about 50 programs at GM, this represents a noteworthy achievement. Studies at locations where a quality-of-worklife pro gram has existed long enough to be meaningful indicate a more constructive collective bargaining relationship; a more satisfied workforce; improved product quality; a reduction in grievance handling, absenteeism, labor turnover, and disciplinary layoffs and discharges. These are all mutually desirable objectives; they rep resent benefits for the workers and advantages for both the union and the management. But above all, from the workers’ point of view, they add up to one of the most fundamental objectives of unionism: the enhancement of human dignity and self-fulfillment at work. For decades, we have heard corporation executives exclaim: “Our workers are our most valuable resource.” Quality-of-worklife programs are designed to make that slogan a reality. How? By altering the autocratic cli mate of the workplace and providing workers, through their union, with the opportunity to participate mean ingfully in the decisionmaking process at the workplace; by focusing management’s orientation toward concern for the needs and aspiration of the workers; and by cre ating an atmosphere of cooperative effort between union and management to achieve the above noted objec tive. □ The quality-of-worklife project at Bolivar: an assessment Barry A. Macy The quality-of-worklife project1at Harman International Industries, Inc., in Bolivar, Tennessee, is a cooperative change effort between the company and the United Au tomobile Workers of America (uaw ). The project is structured so that both parties can jointly determine and implement organizational change according to mu tually agreed-upon principles. The objectives of the project are to improve employees, quality of worklife and enhance organizational effectiveness. The explicit internal goals were identified as job secu- Barry A. Macy is director of The Texas Center for Productivity and Quality of Work Life and associate professor of Organizational Be havior at the College of Business Administration, Texas Tech Univer sity. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis rity, job equity, worker humanization, and worker de mocracy. These were ambitious undertakings in 1973— ahead of their times in many respects—particularly be cause they were shared and agreed to by both labor and management. However, some of the objectives of the project have been reached and surpassed, while others have yet to be reached. Other outcomes and critical process events are discussed in an assessment study by Macy and others.2 According to the five intervention phases of the Boli var experiment, each composed of 11 months beginning with the baseline phase through plant-wide experimen tation to coincide with the change program, the follow ing changes were measured: Job security. More jobs were created, as the hourly employment level rose 55 percent to 839. Once the pro gram was underway, the cooperative union-management climate stimulated an effort to develop a joint bid on a particular product, and the company and the uaw established joint efficiency rates with the goals of in creasing employees’ quality of worklife and improving job security. Ultimately, this venture saved 70 jobs. Voluntary turnover rates declined by 72 percent, while involuntary turnover (discharges, retirements, and so forth) rates decreased by 95 percent. Health and working conditions. Accident rates, as de fined by the Occupational Safety and Health Adminis tration, declined 60 percent, while minor accidents de creased 20 percent even with the presence of many new and inexperienced employees. Rates of short-term ab sences due to sickness declined 16 percent. However, not all of the changes were favorable, as the rate of mi nor illnesses rose 71 percent and the rate of medical leaves increased 19 percent. (Perceptions of Bolivar em ployees’ health appear later in this report.) Financial security. The average hourly rate remained constant and the wage rates relative to area standards did not change (during this time, the wage rates for the whole country did not increase relative to real wages). The fringe benefit package increased by a small amount. Proposals for the introduction of a gain-sharing com pensation plan (a negotiable issue) were discussed but none was adopted. Job security based on organizational performance. Daily output per hourly-paid employee, adjusted for inflation, rose 23 percent. Two other measures of productivity— efficiency and standard performance— verify this posi tive change in plant performance. On the product side of the financial ledger, net product reject cost rates de clined 39 percent, while the rate of customer returns de creased by 47 percent. Once again, not all was positive 41 MONTHLY LABOR REVIEW July 1980 • Conference Papers as the rate of manufacturing supplies used rose 22 per cent and the rate of machine downtime increased slight ly. What is so striking about productivity and product quality at the Harman International plant is the fact that both of these performance measures increased. Moreover, these measures have held positive and signifi cant trends for approximately 3 years. Some of the gains are attributable to technological and capital in puts; however, many can be attributed to the coopera tive labor-management change. Cost-benefit. The cost-benefit calculations for the project reflect the program costs and benefits per hourly-paid employee per phase, summed over 55 months. The re sults show a net discounted benefit per hourly-paid em ployee to the company of more than $3,000. There are, multiple reasons for this net savings, but nevertheless, the plant improved its performance through a combina tion of forces, including the cooperative quality-ofworklife program. In summary, the evidence shows that because of the T a b le 1. A s s e s s m e n t o f q u a lity -o f-w o rk life in d ic a to rs an d w o rk e n v iro n m e n t c h a ra c te ris tic s Gains Losses No change QUALITY OF W ORKLIFE Less alienation Job satisfaction M ore reports of physical stress sym ptom s Treated in a m ore personal way Job offers opportunity for personal growth M ore reports o f psychological stress sym ptom s Job involved m ore use of, or higher level, skills W orking conditions Less satisfaction with pay level W ork equity Job is m ore secure Fringe benefits Less satisfaction with pay equity W O RK EN VIR O NM ENT Supervisors more participative R ole conflict Supervisors are less w orkfacilitating, supportive, and respectful Job variety M ore w ork-group participation Supervisory closeness, favoritism , and feedback M ore em ployee influence over task-related decisions W ork-group feedback Less satisfaction with w ork group M ore adequate w ork resources Em ployee influence over w ork-schedule decisions Less association betw een w ork perform ance and rew ard received (3 indicators) M ore w ork im provem ent ideas provided by em ployees Association betw een job security and intrinsic motivation with work perform ance Less job feedback General organizational clim ate W ork im provem ent suggestions NOTE: A ssessm ent based on 85 m atched UAW m em bers. 42 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis quality-of-worklife program, jobs objectively became more secure; productivity and product quality rose; ac cidents decreased at a faster rate than their industry av erage; minor accidents declined while minor illnesses rose; short-term absences due to sickness declined; man ufacturing supplies and machine downtime increased; and employee earnings held steady. Also, grievances de creased 51 percent and absences due to lack of work de creased 94 percent. These positive behavioral and organizational per formance gains seem to have had some practical implications for both the company and the union in their contractual process. The company’s 1976 contract with the UAW was signed earlier than ever before and benefited both the company and the union membership by reducing the need for higher product inventories while maintaining the same employment level. These bargaining sessions, as contrasted to previous ones, were accomplished and concluded in a mutual atmo sphere of cordiality, creativity, and trust. Absent was the win-lose philosophy and counterthreats that often accompany traditional labor-management bargaining. This is not to indicate that the adversary relationship between the UAW and Harman International Industries has vanished. It has not! The union still grieves con tract issues; however, the spirit or climate in which grievances are handled has improved. Generally, the behavioral and performance findings were positive, while the attitudinal indicators showed mixed results. Thirteen indicators of the quality of worklife and 24 measures of job and work environment characteristics known to be associated with higher qual ity of worklife are assessed in table 1. (The data refer only to UAW members; however, these indicators repre sent fairly well the different types of employees sur veyed at the Bolivar plant.) Some of the gains have been offset by losses or no change. It must be remem bered, however, that over the extended period studied, there were some unmeasured changes in the employees’ level of aspirations and expectations. These changes in expectations and aspirations were enhanced by the quality-of-worklife program and the later conditions were probably judged more critically than the earlier condi tions. When asked a series of questions pertaining to the goals and outcomes of the quality-of-worklife pro gram, the employees responded generally with positive opinions about the impact, the desirability of the pro gram, the effectiveness of the union-management rela tionships, and the ability of the UAW to represent membership concerns. For example, 60 percent found the program to be desirable; a majority found the joint union-management committee responsible for designing and implementing the program to be effective without domination from either party; and 67 percent indicated that the program strengthened the local union. In addi- tion, 90 percent of the u a w membership were satisfied with the local union in 1976, compared with 78 percent in 1973. This is substantially higher than the satisfac tion level of a national sample of blue-collar union members with their union during this period.3 More over, union membership at the Bolivar plant has in creased from 65 percent to more than 90 percent, and 100 percent of the union membership responded affir matively when asked: “If there were an election today on whether or not the union should be kept at Harman International Industries, how would you vote?” These results and other outcomes not reported here4 seem to indicate that the union members perfer to use joint union-management programs to deal with quality of worklife and other important domains of their life at work. Recently, many other reports and studies5 have indicated similar trends and like results with other union members. One trend seems very clear. The time is ripe for the U.S. industrial relations system to seriously consider cooperative union-management programs along with their traditional contractual and collective bar gaining structures and processes. □ FOOTNOTES The project was independently assessed during 1972-79. The be havioral and performance outcomes were evaluated for 55 consecutive months during 1972-76. Support for this article was provided by the Ford Foundation and the Economic Development Administration, U.S. Department of Commerce. 2 B. A. Macy, G. E. Ledford, Jr., and E. E. Lawler III, An Assess m e n t o f the B olivar Q u a lity o f W ork L ife E xperim ent: 1 9 7 2 -1 9 7 9 (New York, Wiley-Interscience, forthcoming). 3 R. P. Quinn and G. L. Staines, The 1 9 7 7 Q u a lity o f E m p lo ym en t S u rvey (Ann Arbor, University of Michigan, Survey Research Center, 1978). A general discussion of the survey results is described in an ar ticle by G. L. Staines and R. P. Quinn, “American workers evaluate the quality of their jobs,” M o n th ly L a b o r Review, January 1979, pp. 3-12. For a more in-depth discussion of union attitudes, see T. A. Kochan, “How American workers view labor unions,” M on th ly L a b o r Review, April 1979, pp. 23-31. 4 See Macy et al, A n Assessment. 5For example, see T. A. Kochan, D. Lipsky, and L. Dyer, “Collec tive Bargaining and the Quality of Work — the Views of Local Union Activists,” Proceedings o f the Twenty-Seventh A n n u a l M eeting (Madi son, Wis., Industrial Relations Research Association, 1975), pp. ISO62; A. Ponak and C. Fraser, “Union Activists’ Support for Joint Pro grams,” In d u stria l R elations, Spring 1979, pp. 197-209; B. A. Macy, “A Progress Report on the Bolivar Quality of Work Life Project,” Personnel, August 1979, pp. 527-30 and 557-59; P. S. Goodman and E. E. Lawler III, N ew Form s o f W ork O rganization in the U nited https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S tates (Geneva, Switzerland, International Labor Organization, 1977); J. Drexler and E. E. Lawler III, “A Union-Management Cooperative Project to Improve the Quality of Work Life,” The Jou rn al o f A pplied B ehavioral Science (July-August-September, 1977), pp. 351-86; I. Bluestone, “The Quality of Work Life Project Between UAW and Harman International Industries,” paper presented at the Thirty-Sev enth Annual Meeting, The Academy of Management, Aug. 14-18, 1977; E. E. Lawler III and L. Ozley, “Winning Union-Management Cooperation,” M an agem en t R eview (March 1979), pp. 19-24; E. E. Lawler III, and J. Drexler, “The dynamics of establishing cooperative quality-of-worklife projects,” M on th ly L a b o r Review, March 1978, pp. 23-28; D. Nadler, “Hospitals, Organized Labor and Quality of Work: An Intervention Case Study,” The Jou rn al o f A pp lied B ehavior a l Science (September 1978), pp. 366-81; J. Perry and others, The Im p a c t o f L abor-M an agem en t R elation s on P rodu ctivity a n d E fficien cy in Urban M ass Transit (Institute of Transportation Studies and Grad uate School of Administration, University of California at Irvine, 1979); B. A. Macy and M. Peterson, “Evaluating Attitudinal Change in a Longitudinal Quality of Work Life Intervention,” in S. Seashore, E. Lawler III, and others, eds., O bserving a n d M easuring O rganization a l Change: A G uide to F ield P ractice (New York, Wiley-Interscience, forthcoming); P. S. Goodman, Assessing O rganizational Change: The R ushton Q u ality o f W ork E xperim en t (New York, Wiley-Interscience, 1979); B. A. Macy and A. Nurick, Assessing O rganizational Change a n d Participation: The T V A Q u ality o f W ork E xperim en t (New York, Wiley-Interscience, forthcoming); and M. Duckies, R. Duckies, and M. Maccoby “The Process of Change at Bolivar,” The Jou rn al o f A p p lie d B ehavioral Science (July-August-September, 1977), pp. 387-99. 43 Special Labor Force Reports—Summaries Trends in educational attainment among workers in the 1970’s A nne M cD ougall Y oung The proportion of working men and women with some college education increased steadily throughout the 1970’s. By March 1979, 36 percent of all workers age 18 and over had completed at least 1 year of college, üp from 26 percent 9 years earlier; about half of those with some college education had completed at least 4 years. The proportion of workers whose formal education had ended with high school graduation remained close to 40 percent throughout the decade, but the percent who had not completed high school declined considerably (table l).1 Labor force participation. During the 1970’s, the propor tion of men participating in the labor force continued to fall. The decline was steepest for those with less than a high school education—from 73 percent in 1970 to 62 percent in 1979 (table 2). As might be expected, the de crease was greatest among dropouts 55 years old and over, who were least equipped educationally to compete in an increasingly technological and specialized labor market, and who, in many cases, qualified for social se curity or other retirement benefits. But even the labor force participation rates of males with a high school ed ucation or better, with the exception of those under 25, tended to edge downward over the decade. In contrast to the situation for men, women with at least a high school education sharply increased their la bor force participation during the 1970’s. When ranked by age and years of school completed, the greatest surge occurred among those 25 to 34 with 1 to 3 years of college. Their labor force participation rate rose from 45 percent to 67 percent between March 1970 and March 1979. The pattern of rising labor force participa tion also extended to younger women who had dropped out of high school and who lacked job market experi ence as well. Anne McDougall Young is an economist in the Office of Current Em ployment Analysis, Bureau of Labor Statistics. 44 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The increasing labor force participation of women is related, in part, to the growing proportion of women with post-secondary education. By 1979, 34 percent of female workers had completed at least 1 year of college, compared with 24 percent in 1970. Over the same 9-year period, the number of women awarded associate degrees2 nearly tripled, while the number of men receiving such degrees almost doubled.3 As a result, women accounted for 50 percent of all associate degrees in 1979— up from 42 percent in 1970— and nearly equaled men in the proportion completing vocationally oriented science and engineering-related courses. The availability of occupa tional training at community colleges, as well as the convenient locations of such schools, have particularly benefited women, both recent high school graduates and older workers, by providing an opportunity to acquire T a b le 1. E d u c a tio n a l a tta in m e n t o f th e la b o r fo r c e 18 an d o v e r, b y s e x an d ra c e , M a rc h 1 9 7 0 -and M a rc h 1979 [Percent distribution] W om en Men Total Characteristic 1970 1979 1970 1979 1970 1979 ALL PERSONS Labor force: N um ber (in thousands) . P e r c e n t............................. Elem entary: High school: C ollege: 8 years or le s s 1 . . 1 to 3 y e a r s ........... 4 y e a r s ..................... 1 to 3 years .......... 4 y e a r s ..................... 5 years or m ore . . 78,955 97,906 100.0 100.0 17.5 17.3 39.0 13.3 7.7 5.1 9.0 13.1 41.4 18.2 10.6 7.7 48,891 56,646 30,064 41,260 100.0 100.0 100.0 100.0 19.9 17.5 35.1 13.5 8.0 6.2 10.5 13.4 37.9 17.9 11.2 9.1 13.7 16.9 45.5 13.2 7.3 3.4 6.9 12.7 46.3 18.5 9.7 5.8 W H ITE Labor force: N um ber (in thousands) . P e r c e n t............................. Elem entary: 8 years or le s s 1 . . High school: 1 to 3 y e a r s ........... 4 y e a r s ..................... C ollege: 1 to 3 years .......... 4 y e a r s ..................... 5 years or m ore . . 70,186 86,177 100.0 100.0 43,962 50,526 26,224 35,651 100.0 100.0 100.0 100.0 8.2 12.3 42.0 18.4 11.1 8.1 18.3 16.7 35.8 14.1 8.4 6.6 9.7 12.6 38.1 18.3 11.8 9.6 12.5 15.8 47.1 13.6 7.6 3.5 6.2 11.8 47.4 18.6 10.1 5.9 8,769 11,729 100.0 100.0 4,929 100.0 6,120 100.0 3,840 100.0 5,609 100.0 14.4 19.4 37.4 16.7 6.9 5.1 32.5 24.6 28.3 8.0 4.3 2.4 17.0 19.9 36.2 15.2 6.5 5.2 22.2 24.8 34.5 10.3 5.1 2.9 11.6 18.9 38.8 18.3 7.3 5.1 16.2 16.4 40.0 13.9 8.1 5.4 BLACK A N D O T H E R 2 Labor force: N um ber (in thousands) . P e r c e n t............................. Elem entary: High school: C ollege: 8 years or le s s 1 . . 1 to 3 years ........... 4 y e a r s ..................... 1 to 3 years .......... 4 y e a r s ..................... 5 years or m ore . . 28.0 24.7 31.0 9.0 4.7 2.6 ' Includes persons reporting no school years com pleted. 2 Includes blacks, Am erican Indians, Japanese, Chinese, and any other race, except white. T a b le 2. L a b o r fo r c e p a rtic ip a tio n ra te s an d u n e m p lo y m e n t ra te s b y y e a rs o f s c h o o l c o m p le te d , s e x , an d a g e , M a rc h 1970 an d M a rc h 1979 C haracteristic Less than 4 years o f high school 4 years of high school 1 to 3 years of college 4 years of co llege or m ore 1970 1979 1970 1979 1970 1979 1970 1979 72.5 77.5 71.9 93.5 95.1 94.7 91.5 48.8 62.1 76.0 59.8 88.3 89.6 91.1 85.6 34.6 90.1 82.8 92.0 97.6 98.2 98.2 96.3 70.2 86.1 88.4 85.4 95.8 96.5 97.0 93.5 57.3 80.6 59.9 90.8 97.1 95.7 98.7 97.5 67.0 81.7 66.7 87.4 95.2 95.2 96.4 93.7 59.2 90.2 75.4 91.5 97.1 97.2 99.5 97.6 70.8 90.2 84.2 90.6 97.0 97.6 98.2 96.5 63.9 33.0 37.5 32.5 45.7 40.3 47.6 47.9 19.8 32.6 48.4 30.5 48.8 46.9 51.2 48.2 16.2 50.3 59.7 47.7 51.6 45.5 52.7 57.8 34.3 57.1 71.3 53.5 62.7 61.9 65.6 60.6 31.6 48.6 53.8 46.1 50.9 45.5 52.7 57.0 34.0 59.8 65.1 57.8 66.9 67.4 67.2 65.6 31.3 59.7 82.5 56.3 60.2 54.1 49.7 60.6 46.1 67.1 86.6 64.8 74.9 73.6 67.8 64.5 30.5 4.8 11.8 4.1 4.2 3.8 8.3 17.6 6.2 7.0 4.7 3.4 7.6 2.4 2.4 2.3 5.5 10.0 4.1 4.1 3.9 3.8 7.0 2.7 2.5 3.9 4.2 8.0 3.1 3.3 1.9 1.2 3.9 1.1 1.0 1.3 1.8 4.0 1.7 1.6 2.6 6.8 16.7 5.5 6.2 3.8 10.4 22.2 7.8 9.2 4.6 4.6 7.6 3.5 3.8 2.1 6.0 10.2 4.6 4.9 3.2 4.0 5.8 3.0 3.7 .7 4.3 5.7 3.7 3.0 3.4 2.0 3.0 1.8 2.0 1.0 3.0 4.0 2.8 2.8 2.4 LABOR FORCE PARTIC IPA TIO N RATES M en Total, 18 years and o v e r .................................................. 18 to 24 years .......................................................... 25 years and o v e r ..................................................... 25 to 54 y e a r s .................................................. 25 to 34 years ........................................ 35 to 44 years ........................................ 45 to 54 years ........................................ 55 years and over ........................................... W om en Total, 18 years and o v e r .................................................. 18 to 24 years .......................................................... 25 years and o v e r ..................................................... 25 to 54 y e a r s .................................................. 25 to 34 years ........................................ 35 to 44 years ........................................ 45 to 54 years ........................................ 55 years and over .......................................... U NEM P LO YM EN T RATES Men Total, 18 years and o v e r .................................................. 18 to 24 years .......................................................... 25 years and o v e r ..................................................... 25 to 54 y e a r s .................................................. 55 years and over .......................................... W om en Total, 18 years and o v e r ................................................... 18 to 24 years .......................................................... 25 years and o v e r ..................................................... 25 to 54 y e a r s .................................................. 55 years and over .......................................... para-professional training for a wide variety of jobs. Historically, college graduates have maintained rela tively high labor force participation rates. As expected, rates for male graduates under age 55 remained high during the 1970’s. Among female graduates, however, the growth in labor force participation rates was truly startling. The rate increased nearly 20 percentage points for graduates age 25 to 34 and by almost as much among those 35 to 44. Apparently, women college grad uates have become more determined to use their skills in the labor market. Women have been keeping up with men in terms of the proportion receiving a bachelor’s degree, but still lag far behind in the acquisition of advanced degrees.4 However, women continued to increase, at least slight ly, their percentage representation among graduates in the various fields at all degree levels over the decade. Among bachelor’s and master’s degree recipients, repre sentation increased most in those fields which had rela tively few female graduates in the early 1970’s. Among Ph.D recipients, the opposite relationship prevailed; the smaller the representation of women early in the de cade, the smaller the percentage-point gain. In the words of one observer, “It may be conjectured that the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis complex sociocultural forces which are influencing women to enter nontraditional fields of study have not been operating long enough to be manifest at the high est degree levels. If this is so, then the trends al ready observed at the bachelor’s and master’s degree levels may soon be evident at the doctoral degree level.”5 Unemployment. In March 1980, unemployment rates continued their traditional relationship to years of school completed; that is, the more years of education, the lower the unemployment rate (table 2). As might be expected, older workers were less likely than younger ones to be unemployed, regardless of their educational attainment. Black workers had higher unemployment rates than whites at every level of educational attain ment. The difference was greatest for men who had completed only 1 to 3 years of high school, but black unemployment rates were double those of whites even among college graduates. Occupations. The steady rise in average years of school completed by American workers has led to a substantial upward shift in the educational levels of workers in ma45 MONTHLY LABOR REVIEW July 1980 • Special Labor Force Reports— Summaries jor occupational groups. College graduates dominated high-level white-collar occupations to a much greater extent in 1979 than in 1970. Over the same period, the proportion of blue-collar workers who were at least high school graduates also increased (table 3). During the 1970’s, college graduates filled an increas ing proportion of professional and technical jobs for merly held by persons with only a high school diploma. The proportion of workers in professional and technical occupations who were college graduates grew from 61 to 71 percent for men and from 54 to 63 percent for women over the decade. Similarly, the proportion of managers who had either attended or graduated from college rose, while the proportion of such positions held by high school dropouts declined sharply. The latter change also reflected the retirement from the labor force of older workers who had attained positions of respon sibility many years earlier. The proportion of sales and clerical workers of both sexes who were college graduates almost doubled over the decade, while the percentage with fewer than 12 years of high school fell by more than half. Among male clerical workers, for example, the proportion with out a high school diploma dropped from 30 to 13 per cent, and among women, from 20 to 8 percent. Computerization of business transactions and other changes in office practices have obviously generated a need for more highly trained workers. The increase in the supply of such workers thus coincided with, and made possible, the use of more complex information processing techniques. The upgrading of the educational level of workers was apparent among other occupations as well. For example, in 1970, more than half of all blue-collar and service workers had completed fewer than 4 years of high school, but by 1979, 44 percent were high school graduates and the proportion with 1 or more years of college had doubled. Over the decade, the content of many jobs has changed drastically because of technological advances. Nonetheless, the data appear to indicate that many bet ter educated persons are entering jobs for which formal educational requirements in previous years were far lower. This trend could have negative repercussions. “To the extent that growing numbers of workers may perceive themselves to be overqualified for their jobs,” writes one analyst, “declining job satisfaction may re flect a worsening match between workers’ educational attainment and the actual requirements of the work T a b le 3. P ro p o rtio n o f w o rk e rs 25 y e a rs an d o v e r in m a jo r o c c u p a tio n a l g ro u p s , b y e d u c a tio n a l a tta in m e n t an d s e x , M a rc h 1970 an d M a rc h 1979 Sex and occupation Total em ployed, 25 years and over (in thousands) P erc en t with less than 4 years o f high school P erc ent with 4 years of high scho ol only P ece nt with 1 to 3 years o f college 1970 1979 1970 23.6 30.7 35.3 11.6 24.8 11.1 30.5 31.6 42.8 18.9 17.2 19.7 22.0 18.4 1970 1979 1970 1979 40.889 44,154 42.3 P erc ent with 4 years of college or m ore 1970 1979 17.2 15.4 23.9 21.0 16.2 22.2 26.9 25.8 34.7 60.5 25.6 19.2 10.3 46.5 70.6 35.9 32.8 18.5 1979 MEN Total ............................................................................... W hite-collar w orkers ........................................ Professional and technical w orkers .. M anagers and adm inistrators ............. Sales w orkers .......................................... C lerical w o r k e r s ........................................ 16,863 6,141 5,107 2,789 2,826 20,434 7,802 7,356 2,658 2,618 18.0 6.0 22.6 23.8 29.5 7.7 2.0 11.3 8.7 12.9 28.4 16.3 32.1 35.0 41.8 B lue-collar w orke rs .......................................... C raft w o rk e rs ............................................. O peratives, except tr a n s p o r t................ Transport equipm ent o p e ra tiv e s .......... Laborers ..................................................... 19,318 9,242 5,236 2,466 2,374 18,829 9,583 4,538 2,610 2,098 59.2 52.1 62.4 64.8 73.9 36.7 30.3 40.6 43.9 48.4 33.0 37.7 31.5 29.8 21.2 45.8 48.7 45.2 41.6 39.2 6.2 8.0 5.0 4.6 3.7 13.8 16.4 11.7 11.4 10.0 1.6 2.2 1.1 .9 1.1 3.6 4.6 2.4 S ervice w orkers ................................................ 2,994 3,210 53.6 36.0 30.1 39.5 8.5 16.8 2.6 7.7 Farm ers and farm w orkers ............................. 1,869 1,681 65.1 46.9 26.1 35.8 5.7 9.6 3.2 7.7 23,249 30,283 37.8 20.2 39.3 44.9 11.4 17.1 11.4 17.8 7.7 2.2 10.9 17.6 8.0 45.7 19.7 42.5 46.8 59.4 45.6 15.4 42.6 52.0 61.7 16.5 19.1 16.7 10.8 16.4 21.1 19.1 22.3 19.1 22.4 18.6 54.2 13.9 3.6 4.2 25.6 63.3 24.2 11.3 7.9 .7 2.4 .5 .8 .9 2.3 7.2 1.4 2.9 2.4 W OMEN Total ............................................................................... W hite-collar w orke rs ........................................ Professional and technical w orkers . . M anagers and adm inistrators ............. Sales w orkers .......................................... C lerical w o r k e r s ........................................ 13,748 3,784 1,000 1,688 7,276 19,858 5,603 2,190 1,868 10,197 19.2 6.7 27.0 38.8 20.0 Blue-collar w o r k e r s ........................................... C raft w o rk e rs ............................................. O peratives except transport ................ Transport equipm ent o p e ra tiv e s .......... Laborers ..................................................... 4,493 465 3,681 120 227 4,485 556 3,398 209 322 66.4 52.5 68.7 50.0 64.3 48.2 33.6 52.6 23.4 41.9 29.9 37.8 28.4 43.3 30.8 43.4 46.0 41.7 56.9 48.1 3.0 7.3 2.4 5.8 4.0 6.1 13.1 4.3 16.7 6.2 Service w orkers 4,798 5,630 63.4 41.6 30.4 43.6 5.1 11.9 1.1 3.0 35.5 26.0 44.2 6.3 11.9 2.4 9.4 ................................................ Farm ers and farm w orkers ............................. 46 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 208 310 65.4 they perform,”6 and emerge as a major problem for workers and employers in the 1980’s. □ bor Force Report 225. Data on the educational attainment of the population are published by the Bureau of the Census in C urrent Pop ulation Reports, Series P -20. 2A degree awarded for completion of programs below the baccalau reate level, based on fewer than 4 years of work beyond high school in an accredited institution of higher learning. ------------F O O T N O T E S ------------ 1 Data for this report are based primarily on special annual tabula tions of information obtained through the Current Population Survey, conducted monthly for the Bureau of Labor Statistics by the Bureau of the Census. The data relate to the civilian noninstitutional popula tion 16 years and over (unless otherwise specified) in the week ending Mar. 17, 1979. Because the estimates are based on a sample, they may differ from the figures that would have been obtained from a complete census. Sampling variability may be relatively large in cases where the numbers are small. Small estimates, or small differences between esti mates, should be interpreted with caution. This report is the latest in a series on this subject. The most recent was published in the M on th ly L a b o r Review, February 1979, pp. 54-58, and reprinted as Special La 3 Marie Evans Hooper, “Associate Degrees and Other Formal Awards Below the Baccalaureate, 1969-70” (National Center for Ed ucational Statistics, U.S. Department of Health, Education, and Wel fare), Publication No. (OE) 72-48, table C, and unpublished data for 1977-78 from the National Center for Education Statistics. “George H. Brown, “Degree Awards to Women: An Update” (Na tional Center for Education Statistics, U.S. Department of Health, Education, and Welfare), January 1979, p. 3. 5Ibid., p. 17. 6 Denis Johnston, S ocial In dicators III, Ch. VII (U.S. Bureau of the Census, forthcoming). A note on communications The Monthly Labor Review welcomes communications that supplement, challenge, or expand on research pub lished in its pages. To be considered for publication, com munications should be factual and analytical, not polemi- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis cal in tone. Communications should be addressed to the Editor-in-Chief, Monthly Labor Review, Bureau of Labor Statistics, U.S. Department of Labor, Washington, D.C. 20212. 47 Research Summaries Wage gains in 1979 offset by inflation Joan D. Borum Although workers received large pay gains in 1979, prices rose at an even higher rate and their purchasing power fell. Many of the key statistical series discussed in this article posted smaller money wage increases in 1979 than in 1978. And, for the first time since 1974, they all showed declines when adjusted for inflation. A number of forces tempered 1979 wage increases, includ ing the voluntary wage and price standards announced by President Carter in late 1978, a slowdown in em ployment growth, and a decline in productivity. Compensation measures The Bureau publishes several measures of changes in employee compensation.1 Some cover rates of pay, oth ers study workers’ earnings. Depending on the series, the data may reflect payments for benefits as well as wages and may show the influence of weekly hours and Federal tax rates. Data usually are available in both current dollars and 1967 dollars. A brief review of key measures in 1979 follows. Earnings data reflect percent changes from December to December; average hourly compensation data reflect percent changes from fourth quarter to fourth quarter. Gross average hourly earnings, one of the basic mea sures, covers production and nonsupervisory workers in the private nonfarm sector. In 1979, these earnings rose 7.9 percent, considerably less than the 9.4-percent rise in 1978. (See table 1.) When adjusted for inflation, real earnings were down by 4.8 percent, compared with a 0.3-percent increase in 1978. The Hourly Earnings Index is widely used for mea suring the general movement in wages because it elimi nates from the gross hourly earnings the effects of interindustry employment shifts (that is, changes in the relative number of workers in high-paying and low-pay ing industries) and overtime fluctuations in manufactur ing. This index increased 8.4 percent— about the same Joan D. Borum is an economist in the Office of Wages and Industrial Relations, Bureau of Labor Statistics. 48 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis a as in 1978. However, after adjustment for price in creases, the index was down 4.4 percent, compared with a 0.5-percent decrease in 1978. Average weekly earnings reflect both gross hourly earnings and the number of weekly hours. Because of a decline in weekly hours during 1979, average weekly earnings rose at a 7.6-percent rate, slightly less than gross average hourly earnings. Real average weekly earnings declined at a 5.1-percent rate, after rising slightly (0.1 percent) in the previous year. Spendable weekly earnings measure weekly earnings after deductions of Federal social security and income taxes for a worker earning the average weekly pay, taxed at the rates applicable to a married worker with three dependents. This series posted a 7.6-percent gain in 1979, considerably more than in 1978 (5.7 percent). When adjusted for inflation, spendable weekly earnings were down 5.1 percent, a steeper drop than in 1978 ( —3.1). Unlike other earnings measures, this series was affected by an increase in social security taxes. The 1979 tax paid by employees (and matched by their employ ers) was 6.13 percent of the first $22,900 of annual earnings; in 1978, the tax was 6.05 percent of the first $17,700 of earnings. The series was also influenced by revisions in the Federal income tax laws. Compensation per hour, a more inclusive measure, inT a b le 1. P e rc e n t c h a n g e in e m p lo y e e c o m p e n s a tio n m e a s u re s , 1 9 7 4 - 7 9 1 1974 1975 1976 1977 1978 1979 G ross average hourly e arn ings:2 C urrènt dollars ........................ 1967 d o lla r s ............................. 8.4 - 3 .4 6.1 - 1 .1 7.7 2.9 7.6 .7 9.4 .3 7.9 -4 .8 H ourly Earnings Index:2 C urrent dolla rs ........................ 1967 d o lla r s ............................. 9.2 -2 .8 7.2 .1 7.5 2.6 7.4 .6 8.5 -.5 8.4 - 4 .4 Average w eekly earn ings:2 C urren t d o lla r s ........................ 1967 d o lla r s ............................. 6.3 - 5 .4 6.7 -.4 6.8 1.9 7.3 .4 9.1 .1 7.6 -5 .1 Spendable w eekly e arn ings:2 C urrent dollars ........................ 1967 d o lla r s ............................. 5.6 -5 .7 10.7 3.3 5.0 .2 10.4 3.4 5.7 - 3 .1 7.6 -5 .1 Average hourly com p ensation :3 C urrent dollars ........................ 1967 d o lla r s ............................. 10.9 -1 .2 8.6 1.1 9.2 4.0 7.2 .5 9.1 .1 9.2 - 3 .2 M easure 1 Changes are based on seasonally adjusted data and reflect fourth quarter to fourth quarter change fo r average hourly com pensation and D ecem ber to D ecem ber change for other m easures. 2 C overs production and nonsupervisory w orke rs In the private nonfarm econom y. 3 C overs all persons in the private business sector. eludes wages and salaries plus employer contributions for social insurance and private benefit plans.2 Hourly compensation for all persons in the private business sec tor increased 9.2 percent; for those in the private non farm business sector, 9.0 percent; and in manufacturing, 9.2 percent. Comparable changes in 1978 were 9.1, 9.1 and 8.7 percent. Although hourly compensation rose substantially in the private business sector, productivi ty— output per hour of labor input— fell 1.7 percent. As a result, labor costs per unit of output rose even more rapidly than hourly compensation. The Employment Cost Index, a relatively new series, provides a more refined measure of change in the “price” of labor. Covering both supervisory and nonsupervisory workers, this series measures changes in pay rates of a standardized mix of labor services. It is, therefore, unaffected by shifts of workers among occu pations, firms, and industries. Data currently available pertain to wage and salary rates in the private nonfarm economy, excluding households, as approximated by straight-time hourly earnings. In 1979, overall pay increases, as measured by the in dex, averaged 8.7 percent, up from 7.7 percent in 1978. (See table 2.) Pay in manufacturing was up 8.6 percent, nearly the same as in nonmanufacturing (8.8 percent). Among industries, pay increases ranged from 7.2 per cent in construction to 13.2 percent in finance, insur ance, and real estate—where compensation is largely influenced by fluctuations in commission earnings for sales workers. Among occupational classifications bluecollar workers received the highest 1979 pay increase, averaging 9.0 percent, followed by white-collar workers (8.6 percent), and service workers (7.2 percent). As in previous years, union workers received larger increases than nonunion workers. The differential can be attribut ed largely to wage increases in manufacturing where pay advanced 9.4 percent for union workers, compared with a 7.9-percent increase for nonunion workers. Wage changes under major labor contracts Data on wage changes in major collective bargaining units are restricted to bargaining units covering 1,000 workers or more in the private nonfarm sector. About 1 worker in 10 in the civilian labor force is covered by a major bargaining agreement. The agreements are usual ly in key industries and often set wage patterns for other establishments. Two basic types of data are avail able—data limited to contract settlements negotiated in the current period and all general wage changes put into effect in the period. Negotiated wage settlements affect a limited number of workers each year, but generally are reflective of current economic conditions and, because they usually cover 2 or 3 year periods, tend to influence wage increases in the following years. New contracts negotiated during https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T a b le 2. R a te o f w a g e a n d s a la ry c h a n g e s in E m p lo y m e n t C o s t In d e x , 1979 [In percent] 12 m onths ende d Dec. 3 m onths ended Characteristics Mar. 1979 June 1979 Sept. 1979 Dec. 1979 1978 1979 ............................. 2.0 1.9 2.1 2.4 7.7 8.7 O ccupation: W hite-collar .................................................. B lue-collar ..................................................... Service .......................................................... 1.9 1.9 3.2 1.7 2.3 .9 2.3 2.0 1.1 2.4 2.5 1.8 7.2 8.2 8.7 8.6 9.0 7.2 Industry: M a n u fa c tu rin g ................................................ N o n m a n u fa c tu rin g ........................................ C onstruction ............................................. Transportation and public utilities . . . W holesale and retail t r a d e ................... Finance, insurance and real estate . . S e r v ic e s ..................................................... 1.7 2.2 1.3 2.6 2.1 3.1 2.1 1.8 2.0 2.6 1.6 2.4 3.2 1.1 1.8 2.3 2.0 2.9 1.9 1.9 2.6 3.1 2.0 1.1 2.0 1.3 4.3 2.5 8.3 7.4 7.8 7.6 8.3 (’ ) 6.7 8.6 8.8 7.2 9.4 7.9 13.2 8.5 Region: N o r th e a s t........................................................ S o u th ................................................................ North Central ................................................ W est ................................................................ 1.5 2.6 1.9 2.0 1.7 1.7 2.5 2.0 1.7 1.7 2.0 2.5 2.1 2.4 2.6 1.8 7.1 9.3 6.9 7.8 7.3 8.5 9.4 8.5 All private nonfarm w orkers Bargaining status: C overed by collective bargaining agreem ent ................................................ N ot covered by collective bargaining agreem ent ................................................ 1.8 2.1 2.2 2.6 8.0 9.0 2.1 1.9 1.9 2.3 7.6 8.5 Area: M etropolitan areas ..................................... O the r areas .................................................. 2.0 2.1 2.0 2.1 2.2 1.6 2.5 1.9 7.5 9.0 8.9 7.9 1 N ot available. NOTE: The statistics are percent changes in straight-tim e average hourly earnings over the period indicated. They are not annualized, nor are they adjusted for seasonal influences. 1979 provided for average first-year wage gains of 7.4 percent, the lowest since 1973. Annual wage adjust ments over the life of the contracts averaged 6.0 per cent, less than in any year since 1973, except 1977. (See table 3.) In bargaining units with 5,000 workers or more, 1979 wage and benefit adjustments averaged 9.0 percent in the first contract year and 6.6 percent annually over the life of the agreement, compared with 8.3 and 6.3 per cent in 1978. About 58 percent of the workers covered by con tracts negotiated in 1979 had cost-of-living adjustment ( c o l a ) provisions in their agreements (37 percent in 1978), and most of these workers also had escalator provisions in their prior agreements. The existence of COLA clauses influences the size and the duration of set tlements. (However, actual COLA increases are not in cluded in the data presented here.) Agreements without automatic escalator provisions usually specify higher an nual rates of change over the contract life. In units with 1,000 workers or more, 1979 contracts without COLA clauses specified an average annual wage increase of 8.0 percent; those with c o l a ’s averaged 4.6 percent. Agreements with COLA provisions are generally for a longer duration than those without escalator clauses. In 1979, the average duration for settlements with COLA 49 MONTHLY LABOR REVIEW July 1980 • Research Summaries T a b le 3. P e rc e n t c h a n g e in w a g e s an d w a g e s an d b e n e fits in m a jo r c o lle c tiv e b a rg a in in g a g re e m e n ts , 1 9 7 4 -7 9 M easure S e ttle m e n ts:1 W age rate settlem ents (1.000 w orke rs or more): First-year adjustm ent . . . . Annual rate over life of contract ............................. C ontracts with c o l a clauses ................... C ontracts without c o l a clauses .... W age and benefit settlem ents (5,000 w orkers or more): First-year adjustm ent . . . . Annual rate over life of c o n tra c t............................. C ontracts with c o l a clauses ................... C ontracts without c o l a clauses .... Effective w age-rate changes: Total effective w age-rate adjustm ent .......................... Adjustm ent resulting from: C urrent settlem ent . . Prior settlem ent . . . . E s c a la to r p ro v is io n . . 1974 1975 1976 1977 1978 1979 9.8 10.2 8.4 7.8 7.6 7.4 7.3 7.8 6.4 5.8 6.4 6.0 6.1 7.1 5.7 5.0 5.3 4.6 9.1 8.3 7.3 6.9 7.1 8.0 10.7 11.4 8.5 9.6 8.3 9.0 7.8 8.1 6.6 6.2 6.3 6.6 7.1 7.5 6.2 5.9 5.3 5.9 9.4 8.5 7.6 7.0 7.2 8.0 9.4 8.7 8.1 8.0 8.2 9.1 4.8 2.6 2.8 3.7 2.2 3.2 3.2 3.0 3.2 1 .6 1.7 2.0 3.7 2.4 3.1 1.9 3.0 3.0 1 D ata exclude possible increases under esca lator provisions, except for minim um In creases guaranteed by the contract. NOTE: Data relate to private nonfarm agreem ents. was 35.9 months, 6 months longer than those without such clauses. Effective wage-rate changes are more comprehensive than the settlement data and are more comparable to the earnings measures. This measure comprises all changes put into effect in a given period, including gains won in current settlements, increases negotiated in earlier years (deferred changes), and payments triggered by automatic cost-of-living escalator clauses. The size of each type of increase and the number of workers affect ed determine the total effective adjustment. Although the 9.1-percent average adjustment in 1979 for 9.3 mil lion production and nonsupervisory workers was the highest since the 9.4-percent increase in 1974, it was considerably less than the 13.4-percent rise in prices (as measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers— CPl-w). This is the second consecutive year in which wage changes in bargaining units averaged less than the change in prices. The following tabulation compares the percent in crease in the Consumer Price Index for Urban Wage Earners and Clerical Workers with wage changes in ma jor collective bargaining units: 1975 1976 1977 1978 1979 .... .... .... .... .... CPI T o ta l effective a d ju s tm e n t A vera g e e sc a la to r in crease 7.0 4.8 6.8 9.0 13.4 8.7 8.1 8.0 8.2 9.1 4.8 3.5 3.9 5.0 6.8 50 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The current settlement component of the effectivechange measure is normally the largest of the three components in terms of the size of increase. During 1979, 3.5 million workers received increases averaging 7.9 percent as a result of settlements during the year. When prorated over the 9.3 million workers in the bargaining universe, this accounted for 3.0 percentage points of the total adjustment. (See table 3.) The deferred component is more influential in light bargaining years, when fewer workers are covered by settlements and more receive deferred wage increases. In 1979, 5.5 million workers had deferred increases averag ing 5.1 percent, accounting for 3.0 percentage points of the total effective adjustments. Although a smaller portion of workers under major agreements received increases from COLA (44 percent, compared with 48 percent in 1978), the average size of their increases was larger (6.8 percent compared with 5.0). Prorated over all workers in major bargaining units, the average escalator adjustment was 3.1 percent. Interestingly, both the size of the average escalator ad justment and its share of the total adjustment were higher in 1979 than in any year since data became avail able in 1968. The size of cost-of-living adjustments reflects the type of COLA formula, the timing of COLA reviews, and pos sible “caps” or limits on increases. In 1979, workers re ceiving COLA increases under major agreements recovered an average 51 percent of the rise in consumer prices. The most common formula, calling for a 1-cent an-hour increase for each 0.3-point rise in the CPI, af fected about 2.1 million workers.3 In 1979, a heavy bargaining year, 3.5 million workers negotiated new contracts. The transportation equipment manufacturing industry accounted for about one-fifth of the total; the transportation industry accounted for an other one-fifth; and many of the remaining workers were in the apparel, construction, electrical equipment, food manufacturing, and retail food store industries. More than 3.7 million workers are covered by contracts either expiring or permitting wage reopenings in 1980, another heavy bargaining year.4 Key agreements to be negotiated are in the petroleum refining, construction, steel, telephone, and aerospace industries. Although the size of new settlements and the effective adjustments to be implemented cannot be predicted, it is known that 4.9 million workers are scheduled to receive deferred in creases averaging 5.1 percent and that cost-of-living re views are scheduled for 3.6 million workers.5 □ --------- F O O T N O T E S ---------' For an overall description of the programs, see B L S M e a s u r e s o f Bulletin 1941 (Bureau of Labor Statistics, 1977). 2Except for nonfinancial corporations in which there are no self C o m p e n sa tio n , employed, data also include an estimate of wages, salaries, and sup plemental payments for the self-employed. 3For additional analysis of current escalator coverage and provi sions, see Edward Wasilewski, “Scheduled wage increases and escalator provisions in 1980,” M o n th ly L a b o r R ev ie w , January 1980, pp. 9-1 3 . 4 For a more detailed discussion of the collective bargaining sched ule for 1980, see Mary A. Andrews and Winston Tillery, “Heavy bargaining again in 1980,” M o n th ly L a b o r R ev ie w , December 1979, pp. 20-28. 5The remaining 1.1 million workers are under clauses that do not provide for a review in 1980, primarily in contracts scheduled to ex pire during the year. Working wives reduce inequality in distribution of family earnings F r a n c is W . H o r v a t h Past studies have shown that working wives move the aggregate family earnings distribution towards greater equality.1That is, the distribution of family earnings has shown more relative equality than the distribution of husbands' earnings. This effect occurred, in part, be cause the wives entered the labor force in greater num bers from families with lower than average earnings. Labor force participation of wives had been found to be negatively related to the earnings of their husbands.2 In recent years, more wives from higher income fami lies have been entering the labor force.3 In the absence of other changes that would affect the earnings distribu tion of families (for example, changes in the participa tion rate or earnings of wives of low earners), an increase in the labor force participation rate of wives of high earners would increase family earnings inequality regardless of the level of wives’ earnings. This occurs be cause families already near the top of the earnings dis tribution with only the husband working will move farther up the distribution with any additional earnings of the wife. In addition, if these wives display earnings which are higher than average for women, the increase in inequality would even be greater.4 Such a positive re lationship between earnings of husbands and wives can be expected, given the observed tendency of men and women to marry persons with socioeconomic character istics and hence earnings capacities similar to their own. While the extent to which earnings capacities are trans lated into current earnings is tempered by a variety of institutional and personal factors, including the individ ual’s lifetime labor force participation and the degree of discrimination in the labor market, an emerging positive relationship between observed earnings of husbands and Francis W. Horvath is an economist in the Office of Current Employ ment Analysis, Bureau of Labor Statistics. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis wives will tend to increase inequality in the family earn ings distribution. The question is: is the distribution of the combined earnings of husbands and wives still more equal than the distribution of earnings of husbands alone? Ideally, the appropriate test would involve a comparison of standardized inequality measures over time. The test here involves a single point in time. Nevertheless, it is possible to highlight the increasing influence of working wives on earnings inequality by contrasting two work experience groupings: all husband-wife families and families with both spouses working year round, full time. If two-earner families continue to increase as a proportion of husband and wife families, a comparison of earnings inequality between couples who each work full time and overall families may provide some indica tion of future trends. The difference between the distribution of husbands’ earnings and the distribution of the combined earnings of husbands and wives can be accounted for completely by three factors: the distributions of wives’ earnings, husbands’ earnings, and the interrelationship between husbands’ and wives’ earnings. The impact of working wives’ earnings will be reflected by a difference in the measures of inequality between the earnings distribu tions for husbands and the combined husband-wife earnings distribution. To examine inequality, we employ a method similar to that used by Jacob Mincer in Schooling, Experience, and Earnings.5 Simply stated, inequality is measured by the size of the standard deviation of the natural loga rithm of earnings. The lower this measure is, the more equal is the distribution of earnings. (See appendix.) The data used here are for 1977 and are based on a subsample of the Current Population Survey of March 1978. The sample included only husband-wife families who were living together during March 1978. Excluded were families with husbands who were self employed, farmers, students, or over 64 years of age— persons whose earnings are known to vary widely. Because the log of zero is undefined, husbands with no earnings and families with zero total earnings also were omitted. Table 1 shows the mean values for husbands’ earn ings, husbands’ and wives’ earnings, the respective stan dard deviations and the standard deviations of the natural logarithms of earnings. The data are displayed by age of the husband and two work experience classi fications. The first set of data shows all families in the sample regardless of work experience; the second group ing contains only families in which both husband and wife worked year round, full time. The difference in inequality between husbands and husbands and wives in the first set is related to both the labor force participation of wives and earnings levels. The second grouping, however, contains no variation in 51 MONTHLY LABOR REVIEW July 1980 • Research Summaries T a b le 1. E arn in g s o f h u s b a n d s a n d c o m b in e d e a rn in g s o f h u s b a n d s an d w iv e s b y a g e o f h u s b a n d s an d w o rk e x p e rie n c e , 1977 Earnings A ge H usbands Husbands and wives $ 9,234 14,260 17,787 17,918 15,241 $10,878 14,256 16,705 16,929 15,641 Standard deviations Absolute Logarithm s Husbands Husbands and w ives Husbands H usbands and w ives $12,309 17,988 21,301 21,621 18,362 $ 4,467 7,113 9,465 9,966 9,747 $ 5 ,8 1 0 8,306 10,317 10,851 11,031 .668 .570 .599 .772 .916 .606 .522 .554 .600 .828 $18,258 23,720 25,987 26,148 25,039 $ 3,783 5,416 8,328 8,006 8,328 $ 5,534 7,730 10,437 10,334 11,332 .370 .366 .456 .565 .767 .288 .326 .388 .388 .573 Husband-wife families: 1 6 -2 4 2 5 -3 4 3 5 -4 4 4 5 -5 4 5 5 -6 4 .... .... .... .... .... Families with working s p o u se s:1 1 6 -2 4 2 5 -3 4 3 5 -4 4 4 5 -5 4 55 - 64 .... .... .... .... .... This finding becomes more intuitive after consider ation of some of the facts which underlie the data. The earnings distribution of full-time, year-round working wives tends to be highly concentrated about its mean. Until this earnings distribution of wives begins to spread out, the impact on the family earnings distribu tion is roughly equivalent to the addition of a constant amount to each husband’s earnings, which causes rela tive inequality to fall. Despite larger numbers of wives from higher income families in the labor force, working wives still tend to be an equalizing force on the distribution of family earnings. The combined earnings distribution, whether for all husband-wife families or husband-wife fami lies in which both spouses work full time year round, shows more equality than the husbands’ earnings distri bution. □ ------------F O O T N O T E S ------------ 1 Both spouses em ployed year round, full time. labor force participation. Here, the impact of the pre sumed positive correlation of husbands’ and wives’ earnings may contribute to inequality of earnings be cause there is no participation-income relationship as in the first set. The main issue is the comparison of the standard de viations of the logarithms of earnings of the husbands and the combined earnings of husbands and wives. (Smaller values indicate lesser relative inequality.) In all age groups, the combined earnings distribution shows greater relative equality than the husbands’ earnings distribution alone. This was true even for families in which both husbands and wives worked year round in full-time jobs. In fact, the drop in relative inequality ap pears to be greater for working families than for the overall groups. That is, in families with both spouses working full time, where observed earnings more closely approximate potentials, the equalizing effect of working wives was more apparent. 1Works include Jacob Mincer, Schooling, Experience a n d Earnings (New York, National Bureau of Economic Research, 1974), Herman P. Miller, In com e D istribution in the U nited S tates (Washington, Gov ernment Printing Office, 1966), and James Sweet, “The employment of wives and the inequality of family income”, Proceedings o f the A m eri can S tatistica l Association, 1971. A more complete discussion of some of the issues presented here appeared in James P. Smith, “The Distri bution of Family Earnings”, Jou rn al o f P olitical E conom y, 1979, Vol. 87, No. 5, pp. SI63-92. That study, which used the Census Public Use Samples and the Michigan Income Dynamics Survey Panel, comes to conclusions analogous to those here. 2Glen Cain, M a rried W om en in the L a b o r Force (Chicago, Universi ty of Chicago Press, 1966). 3Paul Ryscavage, “More wives in the labor force have husbands with ‘above-average’ incomes”, M on th ly L ab o r Review, June 1979, pp. 40-42. 4 David Ignatius, “Women at Work The Rich Get Richer As Wellto-Do Wives Enter the Labor Force,” The W all S treet Journal, Sept. 8, 1978, pp. 1, 33 and Alice Rivlin, “Income Distribution — Can Economists Help?” A m erican E conom ic Review, May 1975, pp. 1-19. 5Mincer compared the inequality of the husbands’ earnings distri bution to the inequality of the total family income distribution. The use of the combined distributions of husbands’ and wives’ earnings differs slightly from Mincer’s method. We chose this procedure be cause the possibility exists that family income may include other in comes besides those of the earnings of husbands and wives. APPENDIX: Variance of the natural logarithm as a measure of inequality The variance (or standard deviation) of the natural log arithm (s2) is one of the most frequently used measures of inequality. The larger the variance, the greater the in equality evidenced in the data. If each of the observa tions on earnings in a data set is increased by the same percentage, the value of the variance of the logs remains the same. However, if each of the observations is in creased by a constant amount, the variance of the logs will diminish. This occurs because a fixed amount will represent a greater percentage increase for those at the 52 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis bottom of the earnings distribution than those at the top. While the absolute spread between the bottom and the top of the distribution remains the same size, in equality has lessened since the spread is around a higher mean. The relationship between husbands’ earnings and combined earnings of husbands and wives is not com pletely obvious, and in moving from the absolute stan dard deviations to the log measures, some pitfalls in interpretation can arise. In absolute terms, the relation- ship between husbands’ earnings and combined earnings follows the general form of the variance of a sum. If on which we may apply the variance operator as above: E t = Eh -f Ew where ET is combined earnings, EH earnings of the husband, and Ew earnings of the wife, then Var (Et ) = Var (EH) + Var (Ew) -f 2 Cov(EH, Ew). The variance of the total must be greater than the vari ance of the husbands’ and wives’ earnings unless the covariance between husband and wife earnings is negative and large enough to overwhelm the variance of wives’ earnings. The relationship between the relative values is not as simple. Consider the following: E j — E h + Ew which we may write as: E t = Eh(1 + e * / e h) = Eh(1 + r f) where RF is the ratio of wife’s to husband’s earnings. Taking the logarithm of this product yields: In E t = In E h + ln(l + RF) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Var(ln ET) = Var(ln EH) + Var(ln(l + R F)) + 2 Cov(ln EH,ln(l + RF)) It should be noted that it is possible for absolute earn ings of husbands and wives to be positively related (Cov(Eh,Ew) > 0), and yet to observe a drop in relative inequality (Var In ET < Var In EH). Indeed, among families in which both husband and wife work full time year round, a positive relationship was found between husband and wife earnings (not shown here) together with a large drop in relative in equality. While a positive relation between husbands’ and wives’ earnings will tend to reduce the equalizing effect of working women on inequality, it is only one part of the total effect. The other consequence is to re duce the variation in ln(l + RF), which may be closely identified with the ratio of wives’ to husbands’ earnings. As wives enter the full-time labor force, the bottom end of the distribution (those with a ratio of zero) drops in size, and the total variation of ln(l + RF) diminishes. 53 M ajor Agreements Expiring Next M onth This list of collective bargaining agreements expiring in August is based on contracts on file in the Bureau’s Office of Wages and Industrial Relations. The list includes agreements covering 1,000 workers or more. Employer and location Industry Union1 Number of workers Air Conditioning and Refrigeration Contractors Association of Southern California (California) A1 Tech Specialty Steel Corp. (Dunkirk & Watervliet, N .Y .)...................... Alabama Power Co. (Alabama) ..................................................................... Allegheny Ludlum Industries, Inc. (Interstate) ............................................ American Telephone and Telegraph Co., Long Lines Department (Interstate) Armco, Inc. (Interstate)................................................................................... Construction............................. Plumbers .............................................. 1,200 Primary metals ........................ Utilities ..................................... Primary metals ......................... Communication........................ Steelworkers .......................................... Electrical Workers (IBEW) ................. Steelworkers .......................................... Communications W o rk ers................... 2,000 3,500 5,800 Primary metals ......................... Steelworkers .......................................... 22,600 12,100 Babcock & Wilcock Co., Tubular Products Division (Beaver Falls, Pa.) . . Bell Telephone Co. of Pennsylvania: Commercial and Marketing Departm ents............................................... Comptrollers and Treasurers Department ............................................ Primary metals ........................ Steelworkers .......................................... 5,050 Communication........................ Communication........................ 2,700 1,300 5,250 1,450 50,000 3,300 6,000 31,750 3,500 3,800 11,900 4,500 1,100 1,950 6,300 ................................................................................... Communication......................... Traffic D epartm ent................................................................................... Bell Telephone Laboratories, Inc. (Illinois and New Jersey) ...................... Bethlehem Steel Corp. (Interstate).................................................................. Communication........................ Electrical products.................... Primary metals ........................ Pennsylvania Telephone Guild (Ind.) . . Federation of Telephone Workers of Pennsylvania (Ind.) Federation of Telephone Workers of Pennsylvania (Ind.) Electrical Workers (IBEW) ................. Communications W o rk ers................... Steelworkers ......................................... Cameron Iron Works, Inc. (Texas) ................................................................ CF&I Steel Corp. (Pueblo, C o lo .).................................................................. Chesapeake and Potomac Telephone Co. (In terstate).................................. Cincinnati Bell, Inc. (Ohio and K entucky)............................................ . . . Cleveland Cliffs Iron Co. (Interstate)............................................................. Cleveland Food Industry Committee, 2 Agreements (Interstate) ............... Consumers Power Co. (M ichigan).................................................................. Cooper Industries, Inc., Cooper Energy Services Division (Grove City, Pa.) Copperweld Steel Co. (Warren, Ohio) ........................................................... Crucible, Inc. (New York and Pennsylvania) ............................................... Machinery ................................ Primary m e ta ls ......................... Communication......................... Communication......................... M ining....................................... Retail trade ............................. Utilities ..................................... Machinery ................................ Primary metals ......................... Primary m e ta ls ........................ Machinists ............................................ Steelworkers .......................................... Communications W o rk ers.................... Communications W o rk ers................... Steelworkers .......................................... Food and Commercial W o rk ers.......... Utility W o rk ers..................................... Steelworkers .......................................... Steelworkers .......................................... Steelworkers .......................................... Diamond State Telephone Co. (Pennsylvania).............................................. Communication........................ United Telephone Workers of Delaware (Ind.) 1,300 Fisher Controls Co. (Marshalltown, la.) ...................................................... Fluid Milk-Ice Cream Agreement (California)2 ............................................ Fry’s Food Stores of Arizona, Inc. (Arizona) .............................................. Fabricated metal products . . . Food products ........................ Retail trade ............................. Auto Workers (In d .)............................. Teamsters (Ind.) .................................. Food and Commercial Workers .......... 1,700 1,350 1,000 General Telephone Co. of Pennsylvania (Pennsylvania) ............................. Glass Packaging Institute (Interstate) ........................................................... Great Atlantic & Pacific Tea Co., Inc. (New Y o r k ) ..................................... Gulf Resources and Chemical Corp., Bunker Hill Co. subsidiary (Kellogg, Idaho) Communication........................ Stone, clay, and glass products Retail trade ............................. M ining....................................... Electrical Workers (IBEW) ................. Flint Glass W orkers............................. Food and Commercial W o rk e rs.......... Steelworkers .......................................... 2,400 3,500 1,700 Harnischfeger Corp. (Milwaukee, Wis.) ........................................................ Machinery ................................ Steelworkers .......................................... 2,350 Illinois Bell Telephone Co.: Commercial and Marketing Departm ents............................................... Communication........................ 1,800 Commercial Operations & others ........................................................... Communication........................ Comptrollers Department & 3 others (Illinois and Indiana) ............... Military Agreement (Illinois & Indiana) ............................................... Traffic Department (Illinois & Indiana)................................................. Indiana Bell Telephone Co., Inc. (Indiana)................................................... Industry Food Agreement (Arizona)2 ............................................................. Inland Steel Co. (Interstate)............................................................................ Interlake, Inc., 2 Agreements (Kentucky & Illinois)..................................... Communication........................ Communication........................ Communication........................ Communication........................ Retail trade ............................. Primary metals ........................ Primary metals ........................ Telephone Commercial Employees Union (Ind.) Telephone Commercial Employees Union (Ind.) Electrical Workers (IBEW) ................. Communications W o rk ers.................... Electrical Workers (IBEW) ................. Communications W o rk ers.................... Food and Commercial W o rk e rs.......... Steelworkers .......................................... Steelworkers .......................................... Plant Department See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12,150 1,400 2,000 1,100 13,500 6,350 7,600 2,800 18,000 3,200 Continued—Major Agreements Expiring Next Month Number of workers Employer and location Jones & Laughlin Steel Corp. (Interstate)...................................................... Joy Manufacturing Co. (Franklin, P a .) ........................................................... Primary metals Machinery Steelworkers ..................................... M achinists.......................................... 18,900 1,850 Kaiser Steel Corp., Steel Manufacturing Division (Fontana, C alif.)............ Primary metals Steelworkers ..................................... 6.300 Latrobe Steel Co. (Latrobe, Pa.) ..................................................................... Lukens Steel Co. (Coatesville, P a .) .................................................................. Primary metals Primary metals Steelworkers ..................................... Steelworkers ..................................... 2,700 Master Plumbers’ Association of Boston and Vicinity, Inc. (Massachusetts) McGraw-Edison Co., Power Systems Division (Canonsburg, P a .) ............... Michigan Bell Telephone Co. (Michigan) ...................................................... Microdot, Inc., Valley Mould and Iron Co. Division (Ohio and Illinois) . . Mountain States Telephone and Telegraph Co. (Interstate) ........................ Construction . . . . Electrical products Communication . . Primary metals . . Communication . . Plum bers............................................ Steelworkers ..................................... Communications Workers ............... Steelworkers ..................................... Communications Workers ............... National Electrical Contractors Association and 1 other association (Boston, Mass.) National Steel Corp.: Granite City Steel Division (Granite City, 111.) ..................................... Great Lakes Steel Division (Ecorse and River Rouge, Mich.) ............ Midwest Steel Division (Portage, I n d .) ................................................... Weirton Steel Division (Weirton, W. V a .)............................................... New England Telephone and Telegraph Co. (Interstate); Accounting Department . . . . , ............................................................. Plant D epartm ent...................................................................................... Traffic D epartm ent................................................................................... New England Mechanical Contractors Association, Inc. (Boston, Mass.) . . New Jersey Bell Telephone Co.: Commercial and Marketing D epartm ents............................................... Plant and Engineering Departments ...................................................... Traffic D ep artm en t................................................................................... Vice President and Comptroller and General D epartm ents................. New York Telephone Co.: Accounting Department (New York City a r e a ) ..................................... Construction Electrical Workers (IBEW) ............ 2.300 Primary Primary Primary Primary Steelworkers ..................................... Steelworkers ..................................... Steelworkers ..................................... Independent Steelworkers Union . . . 2.500 9,000 1.300 15.000 Communication Communication Communication Construction . . Electrical Workers (IBEW) ............ Electrical Workers (IBEW) ............ Electrical Workers (IBEW) ............ Plum bers............................................ 1.500 16.000 7.500 1,350 Communication Communication Communication Communication Communications Workers ............... Electrical Workers (IBEW) ............ Communications Workers ............... Electrical Workers (IBEW) ............ Communication 2,850 Communication Telephone Employees’ Organization (Ind.) Union of Telephone Workers (Ind.) . Communication Telephone Commercial Union (Ind.) 2,000 Communication Communication Commercial, Directory, Public Telephone, Sales and Headquarters Departments (Downstate) Customer Services, Directory, Accounting, Network Operations (New York) Empire City Subway Co. (New York City area) .................................. Traffic Department (D ow nstate)............................................................. metals metals metals metals 1,100 1,100 1,500 19,850 1,200 27,050 3,450 11,200 4.700 1.300 8.050 30.800 Traffic Department (U p sta te ).................................................................. Northwestern Bell Telephone Co. (Interstate) ............................................... Northeastern Ohio Food Industry Employers (Ohio) .................................. Northwestern Steel and Wire Co. (Sterling, 111.)............................................ Communication Communication Retail trade . . . Primary metals Communications Workers ............... Telephone Traffic Union (New York) (Ind.) Telephone Traffic Union (Ind.) . . . . Communications Workers ............... Food and Commercial Workers . . . Steelworkers ..................................... Ohio Bell Telephone Co. (Ohio) ..................................................................... Communication Communications Workers 17,250 Pacific Northwest Bell Telephone Co. (Interstate) ....................................... Pacific Telephone and Telegraph Company and 1 other, 3 agreements (California and Nevada) Phoenix Steel Corp. (Claymont, D el.)............................................................. Communication Communication 17.800 59,450 Primary metals ................... Communications Workers ................... Communications Workers and Electrical Workers (IBEW) Steelworkers .......................................... Quester Corp., Spalding Division (Chicopee, M a ss.)..................................... Miscellaneous manufacturing Boilermakers .......................................... 1.300 Republic Steel Corp. (In terstate)..................................................................... Reserve Mining Co. (Silver Bay and Babbitt, Minn.) .................................. Roofing Contractors Association of Southern California, Inc. (California) . Primary metals M in in g .......... Construction . Steelworkers Steelworkers Roofers . . . 27.900 2.300 1,650 South Central Bell Telephone Co. (In terstate)............................................... Southern Bell Telephone and Telegraph Co. (In terstate)............................. Southern New England Telephone Co. (Connecticut).................................. Southwestern Bell Telephone Co. (Interstate) ............................................... Communication Communication Communication Communication Communications Workers Communications Workers Telecommunications (Ind.) Communications Workers 60,650 50.000 9.000 62.000 Teletype Corp., 2 agreements (Illinois and A rk an sas).................................. Electrical products Machinery............ Electrical Workers (IBEW) and Teletype Employees’ Industrial Union (Ind.) Steelworkers .......................................... 3.300 Timken Co. (Canton, Ohio) ............................................................................ U and I, Inc., Sugar Division (In terstate)...................................................... United States Steel Corp.: American Bridge Division (In terstate).................................................... Master Nation-wide agreement (Interstate)............................................ Minnesota Ore Operations (Minnesota) ................................................. Salaried Employees (Interstate)................................................................ Food products . . . Grain M illers.......................................... 3.000 Fabricated metal products . . Primary metals .................... M in in g .................................. Primary metals .................... Steelworkers Steelworkers Steelworkers Steelworkers 10,000 3.700 20.900 1,200 4.000 1.050 8,400 2.300 90,000 4.000 5.800 See footnotes at end of table. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 55 MONTHLY LABOR REVIEW July 1980 • M a jo r A g reem en ts E x p irin g N e x t M o n th Continued—Major Agreements Expiring Next Month Industry Union1 Number of workers Western Electric Co.: Allentown Works (Allentown, P a . ) ........................................................ Atlanta Works (Norcross, G a .) ................................................................ Baltimore Works (Maryland) .................................................................. Denver Works (Colorado) ....................................................................... H a w th o rn e Works, 2 agreements (Illinois) ............................................ Indianapolis Works (Indianapolis, I n d .) ................................................. Installation Department (Interstate) ...................................................... Kansas City Works (Jackson County, Mo.) .......................................... Kearny Works (New Jersey)..................................................................... Montgomery Works (In terstate)................................................. ............ Merrimack Valley Works (Massachusetts) ............................................ North Carolina Works ............................................................................ Oklahoma City Works (O klahom a)........................................................ Omaha Works (Omaha, Neb.) ................................................................ Phoenix Works (Arizona).......................................................................... Reading Works (Pennsylvania)................................................................ Service Division (In terstate)..................................................................... Shreveport Works (Shreveport, L a .)........................................................ Wheeling Pittsburgh Steel Corp., 2 agreements (Ohio and Pennsylvania) . . Wisconsin Electric Power Co. (Wisconsin) ................................................... Wisconsin Telephone Co. (Wisconsin) ........................................................... Electrical p ro d u cts.................... Electrical p ro d u cts.................... Electrical p ro d u c ts................... Electrical p ro d u c ts.................... Electrical p ro d u c ts.................... Electrical p ro d u c ts.................... Com m unication........................ Electrical p ro d u cts.................... Electrical p ro d u cts.................... Electrical p ro d u c ts.................... Electrical p ro d u c ts.................... Electrical p ro d u c ts.................... Electrical p ro d u c ts.................... Electrical p ro d u c ts.................... Primary metals ........................ Electrical p ro d u c ts.................... Com m unication........................ Electrical p ro d u c ts.................... Primary metals ........................ Utilities ..................................... Com m unication........................ Electrical Workers (IBEW) ................. Communications Workers ................... Communications Workers ................... Electrical Workers (IBEW) ................. Electrical Workers (IBEW) ................. Electrical Workers (IBEW) ................. Communications Workers .................... Communications Workers .................... Electrical Workers (IBEW) ................. Electrical Workers (IBEW) ................. Communications Workers .................... Communications Workers .................... Electrical Workers (IBEW) ................. Electrical Workers (IBEW) ................. Communications Workers ................... Electrical Workers (IBEW) ................. Communications Workers .................... Electrical Workers (IBEW) ................. Steelworkers .......................................... Electrical Workers (IBEW) ................. Communications Workers .................... 3,250 1,350 2,200 1,850 6,800 6,250 17,300 3,350 5,150 1,550 5,250 3,750 4,200 3,400 1,150 1,650 14,200 5,700 14,400 1,050 6,500 Youngstown Sheet & Tube Co. (Ohio and Pennsylvania) Primary metals ........................ Steelworkers 13,000 Employer and location ........................... 1Affiliated with AFL-CIO except where noted as independent (Ind.). 2Industry area (group of companies signing same contract). 56 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis .......................................... Developments in Industrial Relations AFL-CIO remains committed to ‘national accord’ At its spring meeting, the Executive Council of the AFL-CIO contended that President Carter’s efforts to cotinter inflation by cutting the Federal budget had re sulted in a “budget that was ‘balanced’ in dollars, but which was unbalanced in human terms, creating in creased joblessness and needless suffering and hardship for millions.” The Council asserted that the President’s actions amounted to abandonment of some of the prin ciples and commitments of the “national accord” between organized labor and the Administration on stemming inflation. However, the 35-member Council reaffirmed the AFL-CIO’s commitment to the accord; the only dissenting vote was cast by Rubber Workers president Peter Bommarito. Federation President Lane Kirkland said there was no other choice because “we’re here to maintain repre sentational relations with the institutions of policy and of power and of government in this country. . . . The game may be rigged, but it’s the only game in town.” Turning to the issue of wage negotiations, Kirkland said he would “advise our members to engage in vigor ous collective bargaining in representing their members as forcefully as they can.” Asked if this meant ignoring the current 7.5- to 9.5-percent annual pay guideline first advocated by himself and the other members of the Pay Advisory Committee established in conjunction with the national accord, Kirkland replied that the voluntary pay program hadn’t “repealed” Federal labor laws re quiring union leaders to represent their members’ best interests. However, he later softened his stance, saying that the pay standard is flexible enough to generally permit union negotiators to negotiate economic gains approaching those that could be won if there was no pay standard. Master agreement covers Atlantic and Gulf ports The International Longshoremen’s Association and shipping associations along the Atlantic and Gulf Coasts tentatively agreed on the first master contract for all major ports, except New Orleans. In the past, a master agreement was reached for the major North At lantic Coast ports which set the pattern for agreements https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis in other Atlantic and Gulf Coast ports. The agreement, subject to worker ratification after lo cal port agreements have been reached, covers 45,000 workers. The agreement will be effective on the October 1, 1980, termination date of existing contracts. The ear ly settlement on master terms was part of the parties’ plan to permit the maximum possible time for settle ment of difficult local port issues, such as guaranteed annual income plans, which vary from port to port and guarantee eligible ILA members specified numbers of hours of pay per year. The new 3-year agreement provided for increases in the basic wage rate of $1.20 an hour on October 1, 1980 (the previous rate was $10.40) and on October 1, of 1981 and 1982. The current employer contribution to the pension funds of $2.25 an hour will increase by 25 cents in each year of the contract and the current con tribution to the health and welfare funds of $1.50 an hour will increase by 17 cents in each of the first 2 con tract years and 16 cents in the third year. Also, the contract permits the union to refuse to load and unload ships of ocean carriers which refuse to subscribe to the Job Security Program, which requires ocean carriers to pay uniform assessments, regardless of the port, into a common pool to meet shortfalls in local guaranteed an nual income, pension, and health and welfare funds. During the first bargaining sessions, which began in February, the parties reviewed the legal status of the Rules on Containers—a key contract item— which have been in litigation before the National Labor Rela tions Board and the Federal courts for nearly 7 years. The rules were developed over the years to preserve specified container cargo handling work for ILA mem bers. In 1977, an adverse ruling on the legality of the container clause precipitated strikes aimed at containerships. No such problem was expected in 1980 because the Supreme Court is scheduled to review the rules. However, the union can cancel the agreement on 60 days’ notice after December 1, 1980, if the Supreme Court strikes down the Rules on Containers. “Developments in Industrial Relations” is prepared by George Ruben and other members of the staff of the Division of Trends in Employee Compensation, Bureau of Labor Statistics, and is largely based on in formation from secondary sources. 57 MONTHLY LABOR REVIEW July 1980 • Developments in Industrial Relations Harvester employees end 172-day strike One of the longest strikes in the history of the Auto Workers ended when employees of International Har vester Co. ratified a 3-year contract. Throughout the 172-day walkout, which involved 35,000 workers in nine States, the chief issues were demands for changes in overtime work and job transfer provisions the com pany said were needed to reduce a labor cost imbalance with its competitors in the farm and construction equip ment industry. International Harvester did not gain its demand for the right to require employees to work overtime, but there were some changes in the voluntary approach to overtime. The company will be permitted to establish a pool of volunteers who will work the overtime, if enough regular employees refuse the work. If this pool is not adequate, additional volunteers will be available from a pool of laid-off employees who are not eligible for Supplemental Unemployment Benefits or have exhausted their benefits. The final source will be a pool of retirees who have volunteered to perform overtime work. The company’s demand that employee-initiated job transfers be limited to two a year was shifted from the national bargaining table to the local bargainers for res olution, resulting in some variation in the final provi sions. Reportedly, most of the local agreements contin ue to permit employees to make an unlimited number of upward transfers in a year but limit the number of lat eral and downward moves. According to the union, the economic terms of the national contract meet or exceed the pattern established by the union with the International Harvester’s compet itors, such as Deere and Co. Continued cutbacks in steel and auto industries The depressed state of the steel industry was reflected in U.S. Steel Corp.’s announcement that its manage ment employees will not receive a general salary increase in 1980. In the letter to the employees, dis tributed after U.S. Steel and other major basic pro ducers settled with the Steelworkers for production and related workers (see Monthly Labor Review, June 1980, p. 57), the company indicated that funds had beenallocated for merit increases. The management employees are not represented by a union. U.S. Steel, like other steel producers, also was cutting back out put and employment to counter the industry’s prob lems, which, it says, stemmed from continuing increases in steel imports and production cuts by steel-using industries, such as construction and auto mobile manufacturing. The continuing decline in sales of domestically manu 58 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis factured automobiles and trucks was evident, as steel manufacturers announced some permanent plant clos ings as well as some short-term closings. About 300,000 workers were affected by layoffs or permanent job losses, and about 40,000 salaried jobs were expected to be eliminated by June. During the last sales slump, in 1974-75, fewer salaried employees were affected and virtually all of them were recalled when the slump end ed. The latest announcement of white-collar job termi nations came at the end of April, when General Motors Corp. said that it was reducing its worldwide staff of 180,000 salaried workers about 10 percent, on top of some 2,000 jobs it had eliminated earlier. Cuts in sala ried jobs at Ford Motor Co. had reportedly totaled more than 6,000 in recent months and, at Chrysler Corp., more than 15,000 white-collar employees have been terminated since last fall. The manufacturers also were making other moves to reduce labor costs. Ford Motor Co. ceased granting merit increases to its 70,000 salaried workers for at least the balance of 1980 and also ceased contributing to the workers’ investment plan for an indefinite peri od. The 56,000 participants in the investment plan were permitted to invest a portion of their salary in Ford stock, with the company contributing 60 cents for each dollar. For 1979, Ford’s contribution totaled $78 million. New contract for General Telephone employees More than 20,000 employees of General Telephone Co. of California are covered by a 3-year contract nego tiated by the Communications Workers. It provides for a wage increase of 7 percent, retroactive to the March 5 termination date of the prior contract, and for increases of 2.5 percent in October 1980, 3 percent in March 1981, and 2.5 percent in March 1982. The agreement also establishes a wage escalator clause providing for in creases of up to 6 percent in October 1981 and 6.5 per cent in October 1982, calculated at the rate of 0.7 percent for each 1-percent rise in the BLS Consumer Price Index for Urban Wage Earners and Clerical Workers for the Los Angeles area during the preceding 12 months. Benefit improvements included a fifth week of paid vacation after 25 years of service (beginning in 1982), a 12th annual paid holiday, and an increase in the annual pension rate to 1.35 (formerly 1.3 percent) percent of average annual preretirement earnings for each year of credited service. Union president Glenn E. Watts said that the agree ment was within the 7.5- to 9.5-percent guidelines for increases in employee compensation specified in Presi dent Carter’s anti-inflation program. Watts, an alternate member of the President’s Pay Advisory Committee, earlier had said that the Communications Workers would stay within the pay guidelines in its negotiations with the Bell telephone system companies to replace contracts expiring in August 1980 for more than 500,000 workers. General Telephone Co. of California is not part of the Bell system. Workers gain access to medical records Another development in the continuing effort to im prove job safety and health occurred when the Depart ment of Labor announced a new rule giving employees access to their on-the-job medical records. Effective Au gust 21, employers must furnish medical records within 15 days after an employee requests them. The only in formation that can be withheld is that regarding a ter minal illness or mental problems; such information will be furnished to a person chosen by the employee, who will decide if it is in the employee’s best interest to see it. Employers are also required to furnish medical re cords to unions representing the workers, if the workers give their consent. However, OSHA investigators can obtain the records without the prior consent of the em ployees. Another provision of the rule requires that medical records be kept for up to 30 years after an em ployee stops working. OSHA officials indicated that the new rule will not require additional recordkeeping by employers. Eula Bingham, Assistant Secretary of Labor for Occupational Safety and Health, said that the regulation fulfills a ba sic right of workers— the right to know “what they are working with and its effect on them,” vital information which previously has been “locked away in employers’ files.” Jewelry Workers to merge with Service Workers Delegates to the Jewelry Workers triennial conven tion voted to merge their 10,000-member union into the Service Employees union, which currently has about 625,000 members. Jewelry Workers President Leon Sverdlove said that the move will help in efforts to or ganize unrepresented workers in the industry. Under the merger, Jewelry Workers locals will retain their identity in a new jewelry division of the Service Employees union that will be headed by Sverdlove, who will also become a member of the Service Employees executive board. In welcoming the Jewelry Workers, Service Employ ees President George Hardy assured them that there would be no change in the basic structure of their union, that his union had added 50,000 members in the past 10 years through mergers and affiliations and the incoming groups have been strengthened while uphold https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ing their autonomy and contracts. Pattern-setting contract for Las Vegas hotels More than 12,000 employees of resort hotels on “The Strip” in Las Vegas were affected by a 4-year settlement between the Nevada Resort Association and the Hotel and Restaurant Employees Union. The accord also was expected to influence settlements for a similar number of employees the union represents at other hotels in the city. Skilled workers, who previously earned about $55 a shift, received a 75-cent-an-hour wage increase, retroac tive to April 2, 70 cents in the second year, 60 cents in the third, and 55 cents in the fourth year. Semi skilled employees, who earned about $40 a shift, re ceived increases of 60, 50, 40, and 40 cents an hour on the corresponding dates. Tipped employees, who are paid about $25 a shift by the hotels, received 40, 35, 35 and 30 cents increases. In addition, their guar anteed tip was increased to 16 percent from 15 per cent, in the first contract year and to 17 percent in the second year. Other wage provisions included a requirement that bell captains either have at least two of the three con cessions they formerly operated returned to them or be paid an additional $30 a shift. The concessions are for show reservations, tours, and car rentals. The association agreed to permit the international union to take over as the administrative agency for the health and welfare fund, which the union claimed could reduce operating costs and, thus, permit improved bene fits. Other changes included a 5-cent-an-hour increase (to 45 cents) in the employers’ payment into the pension fund; a new provision permitting employees of either sex to take a leave of absence of 90 days to 1 year to rear an infant child; extension of sickness and accident benefits to cover childbearing; and a ban on using lie detectors for screening job applicants, except those who will be bonded. Kansas City bakery workers get new contract The Bakery, Confectionery and Tobacco Workers ne gotiated 2-year contracts with four Kansas City baker ies that the union said would set a pattern for 25,000 other bakery employees in eight midwestern States. The accords provided for a 75-cent-an-hour wage in crease in the first year, 70 cents in the second, and 3 cents to be used for special wage adjustments or benefit improvements. Other provisions included accelerated progression to top pay rates for new employees; increased employer pension funding to permit an increase in the normal 59 MONTHLY LABOR REVIEW July 1980 • Developments in Industrial Relations pension to $550 a month; a 2-year reduction in the ser vice required for 4 weeks’ vacation; and an increased employer contribution to maintain the level of health benefits for pensioners. The four companies involved were ITT Continental Baking Co., Campbell-Taggert, Inc., Interstate Brands, and American Bakeries Co. GPO female bookbinders awarded back pay Federal District Judge Charles R. Richey awarded an estimated $6 million in back pay and $10 million in in creased future earnings to 324 female bindery workers at the Government Printing Office to settle a class ac tion job discrimination suit initiated in 1974. Richey, who had found the Federal facility guilty of the job dis crimination in October 1979, held that 28 of the women had been paid only about 70 percent of the amount re ceived by male bookbinders, despite the fact that they performed essentially the same operations. An attorney for the women said that they earned about $15,000 a year, compared with $25,000 for men. The women will receive the difference between the amounts for each year back to 1971. The remaining 296 women will share an estimated $3 million that they would have earned had they not been denied an equal opportunity to be promoted to book binders. Richey also awarded so-called “forward pay” to com pensate the women for the continuing inequities in salaries, pensions, and other benefits that resulted from the unfair job policies. This pay will continue until 50 percent of all bookbinders positions are filled by wom en. Currently, only one of GPO’s 106 bookbinders is a woman. 60 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Residency requirement struck down New York City’s efforts to require its employees to live in the city suffered a blow when the State’s highest court struck down the residency ordinance the city had enacted in 1978. The Court of Appeals ruling immedi ately applied only to the uniformed employees repre sented by the unions that had initiated the suit but city officials were studying the possibility that the principle might extend to nonuniformed employees. There was no immediate impact on the city’s employees because the city had agreed not to enforce the ordinance pending the outcome of the court tests. In a unanimous ruling, the court held, “While the structure and control of the municipal service depart ments in issue here may be considered of local concern within the meaning of municipal home rule, the resi dence of their members, unrelated to job performance or departmental organization, is a matter of statewide con cern not subject to municipal home rule.” More speci fically, the court said that the ordinance was inconsis tent with parts of the State’s Public Officers Law, which prohibits residency requirements for firefighters and cor rections officers in cities of a million or more popula tion, of police officers in departments of 200 officers or more, and sanitation workers in cities of any size. Mayor Edward Koch indicated that he would ask the State Legislature to pass a law allowing such a local re quirement. The city had unsuccessfully sought such a State law a number of times before enacting the residen cy ordinance. No other city in New York State has a residency law. Elsewhere in the Nation, residency re quirements have been adopted by a number of cities, in cluding Houston, San Francisco, Chicago, and by Washington, D.C. □ Book Reviews Nice protection if you can get it Facing Mechanization: The West Coast Longshore Plan. By Lincoln Fairley. Los Angeles, University of California, Institute of Industrial Relations, 1979. 447 pp. (Monograph Series, 23.) $8.50, paper. Twenty years have passed since the much-heralded mechanization and modernization agreement was nego tiated by the Pacific Maritime Association and the inde pendent International Longshoremen’s and Warehouse men’s Union covering Pacific Coast longshore opera tions. This was a major cynosure coming as it did in a climate in which work rules were active issues also in east coast longshoring, in railroads, meatpacking, and in steel among other leading bargaining situations. The personalities and backgrounds of the leading protago nists and the history of west coast longshore labor rela tions added to the attention given to the maritime agreement. There was Harry Bridges, long-time presi dent of the ILWU, with his left-wing background, and his leadership of the union through the initial period of virtual internecine warfare with stevedores over work rules, which culminated in what was touted as the “new look” in the labor-management relationship. It re mained for Paul St. Sure, negotiating for almost a de cade on behalf of the Pacific Maritime Association, with Bridges, to turn the new look from a standoff relation ship, to one which is regarded as innovative and pattern setting. It is the long, tortuous, and delicate foundation lay ing for the M and M agreement, together with the metamorphoses of the agreement, that Lincoln Fairley treats in this study. That it is an admirable narrative analysis is due to Fairley’s long service, from 1946 to 1967, as research director of the International Long shoremen’s and Warehousemen’s Union; his analytical abilities and background; and his subsequent service as an area arbitrator under the agreement by appointment of both the association and the union. Fairley had am ple association with and understanding of the factors involved in the preparations for and modification of the M and M plan. Fairley does not claim to have been in volved in deliberations which took place at the leader ship levels, notably involving Bridges and St. Sure directly; rather it is clear that his evaluation is that of an observer. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Fairley takes us through the background and struc ture of the west coast relationship. Underlying the abili ty to achieve agreement was the coastwide organization of employers and the International Longshoremen’s and Warehousemen’s Union as well as the joint control of the longshore labor force through the dispatch halls in each of the ports. The hiring halls assured a balance be tween labor supply and demand, with relative equality in longshoremen’s earnings and equitable labor distribu tion among ship operators and stevedores, as basic op erational features. In the fifties, the prewar legalistic ap proach to contract enforcement was carefully avoided, and expressed employer dissatisfaction with restrictive work rules in the ports was approached through con tinuing discussions. In the union, the periodic coast wide caucuses of dele gates representing the union locals played an integral role in the educative process, with full and frank study of the impact of mechanization and of the likely delete rious effect of adhering to the former union policy of re fusing to alter work rules. Mutual agreement in 1959 that none of the registered workforce would be laid off made possible the agreement in 1960 for basically a “buy-out” of the restrictive provisions, with reductions in gang size and increased flexibility in worker use. Funds were set up to encourage early retirement and to guarantee 35 hours work or pay per week. The former was effective; the latter was not required and was dropped in 1966. The success of the first contract re sulted in renewal with substantial wage increases. As Fairley points out, it was during the renewal peri od of the M and M agreement, from 1966 to 1971, that a combination of unanticipated factors led to dissatis faction. Despite the substantial increase in earnings un der the 1966 agreement, these were eroded by the unanticipated rise in living costs from 1968 on. The an nual hours worked by the “A” men fell off, with the decline in shipments to Southeast Asia, and the unexpected explosive effect of the container revolution. The work or pay guarantee was restored. An effort to retain some of the lost work opportunities by agreement to have containers loaded at waterfront container freight stations, under jurisdiction of the International Longshoremen’s and Warehousemen’s Union, proved to be abortive in the face of Teamster jurisdiction and de cisions by the National Labor Relations Board. 61 MONTHLY LABOR REVIEW July 1980 • Book Renews There is a continuous questing approach throughout Fairley’s intensive analysis of this adaptation of the modernization of maritime transport. All of the criti cisms leveled against the union acceptance of the change are set out. He cites the great gains made in productivity and labor-cost savings which accrued to shippers, ship operators, and stevedores. The continuing undercurrent of skepticism and actual opposition of sec ondary union officials and substantial minorities of rank-and-file union members, as expressed in the voting on the agreements, are detailed. Cited are the views of Marxists that the agreement was class collaborationist, betraying the union’s apparent left-wing orientation. Cited at several points is the view that the west coast union should have held out for protection of the role of the gang, as had the east coast International Long shoremen’s Association. Acceptance of technology, in the view of some critics, has made for alienation in work relationships, through growing routinization of the longshoremen’s work, displacement of gangs, and growing “steady” work. While stress is placed on the contrasting east coast resistance to the manning and work rule concessions, there is insufficient treatment of the contrasting institu tional and structural labor-management relations on the two coasts. Rather submerged is explanation of the decentralized bargaining structure on the east coast, the difference in waterfront jurisdiction on the two coasts, and hardly treated at all are the divergent approaches to job security. As this reviewer has pointed out, the International Longshoremen’s and Warehousemen’s Union apparently did not emphasize the role of the gang because sufficient job security was achieved through the dispatch hall, with equalization of earnings and assurance of employment for registered long shoremen. On the east coast, in the absence of dispatch halls, the regular gangs provided the persistent and ba sic avenues for job security and earnings. Fairley con cludes that institutional differences probably accounted for the apparently divergent policies. (“Longshoremen and the Modernization of Cargo Handling in the Unit ed States,” International Labor Review, March 1973, pp. 272-74.) Fairley finds the 20-year developments advantageous to the union and its members, although he apparently is unwilling to concede completely that there could not have been a more deliberate and gradual yielding of the work rules. While the registered longshore workforce and man-hours worked have declined by 40 percent since 1960, the longshore hourly rate has increased fourfold with earnings averaging $26,000 to $30,000 per year for registered longshoremen. He points out that even the older men tend to welcome the elimination of the former back-breaking work, and enjoy operating the new machines. Even with the work or pay guarantee, 62 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis they continue to have the contractual right to work onl) when they please, and to go hunting and fishing when they want to. The young men in the southern ports, who have not experienced the early issues and battles of the union, are more concerned about wages. Thus, in contrast to the rank-and-file opposition in the thirties to “steady” work for single employees, the younger men are prepared to accept such work now re quired for the operation of complex and costly machin ery. Fairley concludes that: “ . . . though membership has declined, no one has been laid off, earnings have ris en, and with a wage guarantee and a good pension plan west coast longshoremen continue to enjoy a unique de gree of lifetime security.” In summary, the labor-management adjustments to maritime industry modernization mean that, so long as the volume of cargo handled grows in the United States, the longshoring occupation will continue to be in the forefront of regular and well-paid occupations in sharp contrast to the casual employment offered in this industry hardly 50 years ago. — Joseph P. G oldberg Special Assistant to the Commissioner Bureau of Labor Statistics Working women on the rise? Yes and no The Subtle Revolution: Women At Work. Edited by Ralph E. Smith. Washington, The Urban Institute, 1979. 255 pp. $7.50, paper. The rapid growth of the female labor force— and the expectation that this growth will continue to mushroom as we look towards the 1990’s— has created the need for a comprehensive analysis of women at work. The Subtle Revolution, edited by Ralph E. Smith, appears to be the most ambitious effort so far to provide historical analyses and long-range projections. And because it is the intent of the volume’s six authors to make a signifi cant impact on public policy, the ambitiousness of the work is both its strength and its weakness. Over the past 30 years, 6 out of 10 additions to the workplace have been female and it is estimated one mil lion women will be entering the work force each year in the 1980’s. But despite some gains in certain areas, the ratio of women’s earnings to men’s has actually dropped from about 63 percent in the mid-1950’s to be low 60 percent in the mid-1960’s and 1970’s. This alone demonstrates the importance of a volume that analyzes the effects of women’s employment on the family struc ture, the workplace, and the tax and social security sys tems, and examines the many myths that keep women’s pay so far below men’s. For example, studies included in this book indicate clearly that most women work because they have to, al- though inflation— unfortunately relegated to a lesser role because of the long-range nature of the study— of ten blurs the line between choice and need. Women’s workplace commitment, the authors show, is compara ble to men’s, although because many women’s jobs are dead end and low-paying, women’s commitment toward individual jobs may be less. And myths and early stud ies that indicate damage to marriages or to the children of working women are carefully examined and con tradicted. Also examined closely are what the authors consider the inequities facing the growing army of female second earners from the Federal income tax system and the so cial security system. Their recommendations are some what controversial—measures to ease the marriage tax penalty and earnings-sharing in social security— but they can provide a framework for significant policy de bate. In one major area, however, the authors’ analysis and conclusions are likely instead to distort discussion on a fundamental question— the pay gap between men and women and how to narrow it. In her study, Nancy Barrett correctly identifies occupational segregation as the main obstacle to narrowing the pay gap. But her basic conclusion is that the chief way to narrow it is for women to “increase their representation in jobs former ly dominated by men’’ and to move into “more respon sible jobs with good pay.” This ignores high unemployment in many fields considered “nontraditional” for women and further con signs the jobs held by the majority of women—clerical, service, health— to unimportance. One of the most significant current efforts in relation to women in the workplace is research into comparable worth— analysis of jobs in terms of various factors rather than tradition al market value— to determine their worth. Pioneering in these efforts are labor unions that represent women officeworkers, particularly in the public sector. This book contains not one word about upgrading the pay of “women’s-type” jobs, and there are only two para graphs that discuss unions. Women workers currently constitute 23.5 percent of all union membership, and approximately 17 percent of the female work force is covered by a collective bargaining agreement. This can be a major avenue for upgrading women’s pay and other conditions of em ployment; women in unions make significantly more than nonunion women. Unions such as the American Federation of State, County and Municipal Employees have pioneered comparable worth studies across the Nation. The Amalgamated Clothing Workers of Ameri ca has instituted child-care centers for employees. A number of unions sponsor training programs to help break down obstacles to promotions many women workers face. By ignoring these developments, the book https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis obscures a major avenue for improvement of the pay and jobs that are largely held and will continue to be held by women. However, The Subtle Revolution does provide a useful and comprehensive compilation of data and analysis. But because its historical perspective and long-range ap proach do not take into account a number of current economic trends and situations, some of its conclusions and recommendations should be examined carefully in terms of immediate public policy. — Ju d y Ba s t o n Public Affairs Coordinator American Federation of State, County and Municipal Employees Economic portrait of China China ’s Economy: A Basic Guide. By Christopher Howe. New York, Basic Books, Inc., 1978. 248 pp., appen dix. $16 cloth; $4.95, paper. Recognition of the People’s Republic of China last year did for Americans of this generation what Marco Polo did centuries earlier for Europeans—it opened trade, economic exchange, and tourism between the United States and China. It also made Americans in creasingly interested in the basic economic facts of one of the largest land masses in the world under a single government and a country with the largest population. Economic data on the People’s Republic of China has been almost nonexistent from 1960 to 197 U and sketchy after 1971. Christopher Howe fills part of this gap by presenting a chronology of events in China, as well as tables and text on the current status of Chinese resources. Among the valuable appendixes are bio graphical notes on persons frequently referred to in lit erature on the Chinese economy, Chinese measures and Western equivalents, and how to find out about and keep up with economic developments in China. The author makes the point that Chinese leaders have had a continuous struggle with problems of food and population. At the international level, China now shares with other developing countries a growing preoccupa tion with raw material prices, the working of interna tional economic institutions, and the general problems of world economic order. Howe writes that in 1949 the Chinese economy re flected two fundamental developments: a crisis in the long-term relationship between the growth of popula tion and the growth of the food supply and the begin ning of industrialization that started during the First World War. Much of the economic dislocation and lack of investment in China was due to war. From 1927, the Chinese were fighting a civil war and from 1937, they 63 MONTHLY LABOR REVIEW July 1980 • Book Reviews were fighting the Japanese, according to Howe. China’s development since 1949 has been uneven. The first phase lasted from 1949 to 1952. The Communist Party took control of the monetary, fiscal, and trade systems and implemented a land reform. The latter was a traumatic event which eliminated the political and economic power of the landlords and distributed land and other assets to the rural population. Howe labels the four phases of development since 1952 as (1) the periods of fastest growth (1952-59); (2) the Great Depression (1959-61); (3) readjustment and the Cultural Revolution (1961-70); and (4) the revival of growth with trade (1970-77). The First Five-Year Plan (1953-57) raised by about 20 percent the share of the nation’s resources to be in vested and proposed that these resources be used for the development of heavy industry. The Plan’s impact on agricultural collectivism was dramatic. By March 1956, more than 90 percent of all the Chinese peasants were in cooperatives and by 1957, virtually all were in the 680,000 more sophisticated co operatives. Thus, a revolution planned to take 15 years was over in little more than 1 year, says Howe. But the results were not satisfactory. Growth of agri culture was still too slow. Growth of urban employ ment was slow. Relations with the Soviet Union (upon which industrial assistance depended) were worsening. This crisis led Chairman Mao (who dominated China’s political life from the 1930’s to his death) to launch the most extraordinary economic adventure the world has ever seen— the Great Leap Forward of 1958. It embod ied changes in ownership and organization combined with a radical psychological transformation that would stimulate people to work more intensively, more cre atively, more selflessly. As the Leap went on into 1959, administrative confu sion deepened and the consequences of strain, of the misuse of resources, and of sheer human exhaustion be came increasingly serious. When the end came, it coin cided with the withdrawal of Soviet assistance and a succession of natural disasters. From 1962 to 1965, China’s economic position im proved. However, Howe points out that the political sit uation remained difficult. Mao believed the retreat from the Leap had led to corruption— to selfish, anti-Socialist economic behavior, and to the entrenchment of his enemies in the bureaucracy. By mid-1966, the revival of the economy finally made it possible for Mao to launch a campaign against his enemies. Thus, unlike his Leap, Mao’s Cultural Revolution was not launched to remedy economic problems. It was mainly a political struggle. In the 1970’s, claims Howe, the Chinese economy re awoke after years of isolation. Chou En-lai, prime min ister and a power in economic matters, died in April 1976. Mao died in September 1976, and his death was 64 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis followed immediately by signs of a decisive new phase of economic policy. The critics of Chou’s program were identified as the “Gang of Four” and included Mao’s widow. Howe says that the disgrace of the Gang has been very important because it has been possible to blame them for many of China’s economic troubles. Howe indicates that the 1953 census was the first count in China to approach modern standards of enu meration. It was undertaken because information about the population was needed for preparation of the First Five Year Plan. The Chinese population is a young one, Howe points out. The bulk of it is of working age (15 to 64). The number of trained or educated workers grew very rapidly between the 1950’s and the early 1960’s. The basic sectors of the Chinese economic system are producers, consumers, and the government. The “pro ducers” are mainly industrial enterprises, people’s com munes, and other collectively organized units. The State owns nearly all industrial organizations with significant capital equipment. A collective sector (collective units are owned by their workers) employs over a third of all industrial workers and produces 14 percent of total out put. In agriculture, approximately 90 percent of culti vated land and irrigation equipment is collectively owned, mainly by “teams” which often correspond to villages. China's Economy draws on standard Chinese, Japa nese, U.S., and English sources and on documents as well as on firsthand observations and interviews. It is the best up-to-date survey of the Chinese economy now in print with an analysis of agriculture, industry, foreign trade, population, and incomes for the nonspecialist reader. — M ary Ellen A yres Office of Publications Bureau of Labor Statistics Publications received Agriculture and natural resources Brown, Michael H., Laying Waste: The Poisoning o f America by Toxic Chemicals. New York, Pantheon Books, 1980, 351 pp. $11.95. Burt, Oscar R., Won W. Koo, Norman J. Dudley, “Optimal Stochastic Control of U.S. Wheat Stocks and Exports,” American Journal o f Agricultural Economics, May 1980, pp. 172-87. Sant, Roger W„ “Coming Markets for Energy Services,” Har vard Business Review, May-June 1980, beginning on p. 6. Economic and social statistics Duncan, Joseph W., “Recent Developments in Reorganization of Statistical Policy,” Statistical Reporter, April 1980, pp. 157-67. Fellegi, Ivan P., “Data, Statistics, Information—Some Issues of the Canadian Statistics Scene,” Statistical Reporter, April 1980, pp. 168-81. Greenhut, John, M. L. Greenhut, Sheng-yung Li, “Spatial Pricing Patterns in the United States,” The Quarterly Journal o f Economics, March 1980, pp. 329-50. Konda, Suresh L. and Shelby Stewman, “An Opportunity La bor Demand Model and Markovian Labor Supply Mod els: Comparative Tests in an Organization,” American Sociological Review, April 1980, pp. 276-301. Kushner, Harvey W. and Gerald De Maio, Understanding Ba sic Statistics. San Francisco, Holden-Day, Inc., 1980, 381 pp. $12.95. Reynaud, Jean-Daniel, “Industrial Relations and Political Systems: Some Reflections on the Crisis in Industrial Re lations in Western Europe,” British Journal o f Industrial Relations, March 1980, pp. 1-13. Rosen, Gerald E., “Labor Law Reform: Dead or Alive?” Journal o f Urban Law, University of Detroit, Fall 1979, pp. 1-40. Shalev, Michael, “Industrial Relations Theory and the Com parative Study of Industrial Relations and Industrial Conflict,” British Journal o f Industrial Relations, March 1980, pp. 26-43. The Rockefeller Foundation, Bakke, Weber, and Affirmative Economic growth and development 251 pp. “U.S. Workers and Their Unions, 1959-1979,” The AFL-CIO American Federationist, March 1980, pp. 5-8. Wagner, David and Marcia B. Cohen, “Labor’s Political Ac tion in the 1930’s and 1940’s,” Labor Center Review, Fall-Winter 1980, pp. 8-23. Castells, Manuel, The Economic Crisis and American Society. Princeton, N.J., Princeton University Press, 1980, 285 pp. $20, cloth; $7.50, paper. McGranahan, David A., “The Spatial Structure of Income Distribution in Rural Regions,” American Sociological Review, April 1980, pp. 313-24. Ratner, Sidney, James H. Soltow, Richard Sylla, The Evolu tion o f the American Economy: Growth, Welfare, and D e cision Making. New York, Basic Books, Inc., Publishers, 1979, 548 pp. $18.50. Tolbert, Charles, Patrick M. Horan, E. M. Beck, “The Struc ture of Economic Segmentation: A Dual Economy Ap proach,” American Journal o f Sociology, March 1980, pp. 1095-1116. Industrial relations Anton, Frank R., Worker Participation: Prescription fo r Indus trial Change. Calgary, Alberta, Canada, Detselig Enter prises Limited, 1980, 135 pp., bibliography. $5.95, paper. Bohlander, George W., “Fair Representation: Not Just a Union Problem,” The Personnel Administrator, March 1980, beginning on p. 36. Great Britain, Department of Employment, “Strikers’ Occupa tions: An Analysis,” by Stephen Creigh and Peter Makeham, Employment Gazette, March 1980, pp. 23739. Kamer, Gregory J., “Employee Participation in Settlement Negotiations and Proceedings Before the OSHRC,” L a bor Law Journal, April 1980, pp. 208-22. Marmo, Michael, “Arbitrating Sex Harassment Cases,” The Arbitration Journal, March 1980, pp. 35-40. Marovich, Joseph M., “The Applicability of the AttorneyWitness Rule to Labor Arbitration,” The Arbitration Journal, March 1980, pp. 41-51. Martin, James E., “A Framework for Analyzing Public-Sector Union-Management Relations: An Exploration with Six Cases,” Quarterly Review o f Economics and Business, Spring 1980, pp. 49-62. Minarcini, Joanne G., “Illegal Aliens: Employment Restric tions and Responses,” The Personnel Administrator, March 1980, pp. 71-78. Rand, James E., “Creative Problem-Solving Applied to Grievance/Arbitration Procedures,” The Personnel Administra tor, March 1980, pp. 50-52. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Action: A Rockefeller Foundation Conference Held July 12 -1 3 , 1979. New York, The Rockefeller Foundation, 1979, Westin, Alan F., “What Should Be Done About Employee Privacy?” The Personnel Administrator, March 1980, pp. 27-30. Industry and government organization America, Richard F., “How Minority Business Can Build on Its Strength,” Harvard Business Review, May-June 1980, pp. 116-21. American Enterprise Institute for Public Policy Research, M a jo r Regulatory Initiatives During 1979: The Agencies, the Courts, the Congress. Washington, 1980, 46 pp. (AEI Spe cial Analysis, 80-2.) $3.75, paper. Holtz, Herman, The $100 Billion Market: How to Do Business With the U.S. Government. New York, AMACOM, A di vision of American Management Associations, 1980, 272 pp. Toffler, Alvin, “The Third Wave: The Corporate Identity Cri sis,” Management Review, May 1980, pp. 8-17. “Twenty-Five Years of Change in the Fortune 500,” by Linda Snyder Hayes; “The Year There Was No Inflation,” by Daniel Seligman; “Veterans Who Make the 500 Run,” by Andrew C. Brown, Fortune, May 5, 1980, beginning on p. 88. International economics Adkins, Lynn, “Recycling OPEC’s Surplus,” Dun's Review, May 1980, pp. 100-02. Burton, David, “Expectations and a Small Open Economy with a Flexible Exchange Rate,” The Canadian Journal o f Economics, February 1980, pp. 1-15. Driskill, Robert and Stephen McCafferty, “Speculation, Ra tional Expectations, and Stability of the Foreign Ex change Market,” Journal o f International Economics, Feb ruary 1980, pp. 91-102. Fapohunda, Olanrewaju J., “Urbanisation and Employment in Developing Countries: The Role of the Informal Sector,” Labour and Society, Quarterly Journal of The Institute for Labour Studies, January 1980, pp. 31-48. Gladstone, Alan, “Trade Unions, Growth and Development,” Labour and Society, Quarterly Journal of the Internation- 65 MONTHLY LABOR REVIEW July 1980 • Book Reviews al Institute for Labour Studies, January 1980, pp. 49-68. Great Britain, National Institute of Economic and Social Re search, “The Economic Situation,” National Institute Eco nomic Review, February 1980, pp. 8-77. Jabara, Cathy L. and Robert L. Thompson, “Agricultural Comparative Advantage Under International Price Un certainty: The Case of Senegal,” American Journal o f Ag ricultural Economics, May 1980, pp. 188-98. Koizumi, Tetsunori and Kenneth J. Kopecky, “Foreign Direct Investment, Technology Transfer and Domestic Employ ment Effects,” Journal o f International Economics, Febru ary 1980, pp. 1-20. Soffan, Linda U., “The Role of Women in the Economy of the United Arab Emirates,” Labour and Society, Quarter ly Journal of the International Institute for Labour Stud ies, January 1980, pp. 3-17. “Special Report, World Economic Outlook: Pt. I, Synchro-, nous Slump in the West; Pt. II, Socialist Nations Have Economic Troubles, Too,” Business Week, beginning on p. 70. “The World of Islam,” Current History, April 1980, pp. 145— 86. Thursby, Marie C., “The Resource Reallocation Costs of Fixed and Flexible Exchange Rates,” Journal o f Interna tional Economics, February 1980, pp. 79-90. U.S. Bureau of International Labor Affairs, Country Labor Profile: Canada (by Franz Groemping, 8 pp.); Kenya (by Ronald A. Watts, 8 pp.); Malaysia (by Donald S. Harris, 6 pp.); Nigeria (by Donald S. Harris and Badru I. O. Rabiu, 8 pp.), Washington, U.S. Department of Labor, Bureau of International Labor Affairs, 1980, 60 cents each, Superintendent of Documents, Washington 20402. By William James Knight. Washington, U.S. Department of Labor, Bureau of International Labor Affairs, 1980, 36 pp. (Monograph, 4.) Stock No. 029-000-00395-5. $2.50, Superintendent of Documents, Washington 20402. ----------- The World's Exploited Children: Growing Up Sadly. Labor force Berman, Eleanor, Re-entering: Successful Back-to-Work Strate gies fo r Women Seeking a Fresh Start. New York, Crown Publishers, Inc., 1980, 179 pp. $8.95. Carliner, Geoffrey, Christopher Robinson, Nigel Tomes, “Fe male Labour Supply and Fertility in Canada,” The Cana dian Journal o f Economics, February 1980, pp. 46-64. Coelho, Richard J., “A Severe Employment Handicap: A Criminal Record,” Journal o f Employment Counseling, March 1980, pp. 75-80. Fogel, Walter, ed., “Immigration Issues in an Era of Un sanctioned Migration: A Symposium,” Industrial and L a bor Relations Review, April 1980, pp. 295-354. Freeman, Richard B. and David A. Wise, Youth Unemploy ment: NBER Summ ary Report. Cambridge, Mass., National Bureau of Economic Research, Inc., 1980, 24 pp. Great Britain, Department of Employment, “The Anatomy of Youth Unemployment,” by Peter Makeham, Employment Gazette, March 1980, pp. 234-36. Greenberg, Edward S., “Participation in Industrial Decision 66 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Making and Work Satisfaction: The Case of Producer Cooperatives,” Social Science Quarterly, March 1980, pp. 551-69. Jacobson, Carolyn J., “New Challenges for Women Workers,” The AFL-CIO American Federationist, April 1980, pp. 18. James, Dilmus D., James H. Street, Allen D. Jedlicka, “Issues in Indigenous Research and Development in Third World Countries,” Social Science Quarterly, March 1980, pp. 588-603. Presser, Harriet B. and Wendy Baldwin, “Child Care as a Constraint on Employment: Prevalence, Correlates, and Bearing on the Work and Fertility Nexus,” American Journal o f Sociology," March 1980, pp. 1202-13. Sandell, Steven H., “Job Search by Unemployed Women: De terminants of the Asking Wage,” Industrial and Labor Relations Review, April 1980, pp. 368-78. Scharf, Lois, To Work and to Wed: Female Employment, Fem inism, and the Great Depression. Westport, Conn., Green wood Press, 1980, 240 pp. (Contributions in Women’s Studies, 15.) $18.95. U.S. Bureau of Labor Statistics, Measuring Labor Force Move ments: A New Approach. By Alan Eck. Washington, 1980, 24 pp. (Report 581.) Warner, John T., J. Carl Poindexter, Jr., Robert M. Fearn, “Employer-Employee Interaction and the Duration of Unemployment,” The Quarterly Journal o f Economics, March 1980, pp. 211-33. Management and organization theory Baskin, Otis W. and Craig E. Arnoff, Interpersonal Communi cation in Organizations. Santa Monica, Calif., Goodyear Publishing Co., Inc., 1980, 173 pp. Dailey, Charles A. and Ann M. Madsen, How to Evaluate People in Business: The Track-Record M ethod o f M aking Correct Judgments. New York, McGraw-Hill Book Co., 1980, 225 pp., bibliography. $12.95. Gardner, James E., Training the New Supervisor. New York, AMACOM, A division of American Management Asso ciations, 1980, 192 pp. $14.95. Griffith, Albert R., “Career Development: What Organiza tions Are Doing About It,” Personnel, March-April 1980, pp. 63-69. Hunt, Bridgford, “Managers of Change: Why They Are in Demand,” S.A.M. Advanced Management Journal, Winter 1980, pp. 40-44. Jackson, Lauren Hite and Mark C. Mindell, “Motivating the New Breed,” Personnel, March-April 1980, pp. 53-61. Jain, Hem C, “Worker Participation: Lessons from the Euro pean Experience,” Management Review, May 1980, pp. 46-52. Koehn, Hank, “Conference Report: Work, Aging and Retire ment,” Personnel Journal, May 1980, pp. 359-62. Koontz, Harold, “The Management Theory Jungle Revisit ed,” Academy o f Management Review, April 1980, pp. 175-87. Kuzmits, Frank E., “How Good Is Your Absenteeism Con trol System?” S.A.M. Advanced Management Journal, Winter 1980, pp. 4-15. Larson, Steven H., “The Behavioral Side of Productive Meet ings,” P erso n n el Jou rn al, April 1980, pp. 292-95. Mode, V. Alan, “System Dynamics: A Tool for Manage ment,” M a n a g e m e n t R eview , May 1980, pp. 18-22. Munson, Lawrence S., “Performance Standards: Do Training Directors Practice What They Teach?” P erso n n el Jou rn al, May 1980, pp. 365-67. Nieva, Veronica F. and Barbara A. Gutek, “Sex Effects on Evaluation,” A c a d e m y o f M a n a g e m e n t R eview , April 1980, pp. 267-76. Osgood, William R., B asics o f S u cc e ssfu l B u sin ess P lan ning. New York, AMACOM, A division of American Manage ment Associations, 1980, 252 pp. $21.95. Unni, V. K., “Action Learning: On-the-Job Training for the Top Manager of the Future,” S .A .M . A d v a n c e d M a n a g e m e n t Jou rn al, Winter 1980, pp. 28-34. Weed, Stanley E. and Terence R. Mitchell, “The Role of En vironmental and Behavioral Uncertainty as a Mediator of Situation-Performance Relationships,” A c a d e m y o f M a n a g e m e n t Jou rn al, March 1980, pp. 38-60. Wolf, William B.,ed., Top M a n a g e m e n t o f th e P erso n n el F u n c tion: C u rre n t Issu es a n d P ractices. Ithaca, N.Y., Cornell University, New York State School of Industrial and La bor Relations, 1980, 76 pp. $8.95, cloth; $5.95, paper. Zeldman, Maurice I., “How Management Can Develop and Sustain a Creative Environment,” S .A .M . A d v a n c e d M a n a g e m e n t Jou rn al, Winter 1980, pp. 23-27. Pfeffer, Jeffrey and John Lawler, “Effects of Job Alternatives, Extrinsic Rewards, and Behavioral Commitment on Atti tude toward the Organization: A Field Test of the Insuf ficient Justification Paradigm,” A d m in is tra tiv e S cien ce Q u a rterly, March 1980, pp. 38-56. Potter, Beverly A., T u rn in g A ro u n d : T he B e h a v io ra l A pproach to M a n a g in g P eople. New York, AMACOM, A division of American Management Associations, 1980, 266 pp. $15.95. Ballentine, J. Gregory and Charles E. McLure, Jr., “Taxation and Corporate Financial Policy,” T h e Q u a rterly J o u r n a l o f E con om ics, March 1980, pp. 351-72. Great Britain, National Institute of Economic and Social Re search, “Some Issues of Monetary Policy,” by David Sav age, N a tio n a l In s titu te E c o n o m ic R eview , February 1980, pp. 78-85. Poza, Ernesto J. and M. Lynn Markus, “Success Story: The Team Approach to Work Restructuring,” O r g a n iza tio n a l D y n a m ics, Winter 1980, pp. 2-25. McLure, Charles E., Jr., M u s t C orp o ra te I n c o m e B e T a x e d T w ice? Washington, The Brookings Institution, 1979, 262 pp. $11.95, cloth; $4.95, paper. Ranson, Stewart, Bob Hinings, Royston Greenwood, “The Structuring of Organizational Structures,” A d m in is tra tiv e S cien ce Q u a rterly, March 1980, pp. 1-17. Rostain, Hana, Peter Allan, Stephen Rosenberg, “New York City’s Approach to Problem-Employee Counseling,” P er so n n e l J o u rn al, April 1980, beginning on p. 305. Runcie, John F., “By Days I Make the Cars,” H a r v a r d B u si n ess R eview , May-June 1980, pp. 106-15. Tsiang, S. C., “Keynes’s ‘Finance’ Demand for Liquidity, Robertson’s Loanable Funds Theory, and Friedman’s Monetarism,” T he Q u a rterly J o u r n a l o f E con om ics, May 1980, pp. 467-91. Sassman, Thomas C., “Postretirement Increase Plans: Why You Need Them and How to Pick the Right One,” P er so n n e l Jou rn a l, April 1980, pp. 285-91. Sheldon, Alan, “Organizational Paradigms: A Theory of Or ganizational Change,” O rg a n iza tio n a l D yn a m ics, Winter 1980, pp. 61-80. Siegel, Irving H., C o m p a n y P ro d u c tiv ity : M e a su re m e n t f o r I m p ro v e m e n t. Kalamazoo, Mich., The W. E. Upjohn Insti tute for Employment Research, 1980, 88 pp. $3.50, paper. Stockard, James G., R e th in k in g P eople M a n a g e m e n t: A N e w L o o k a t th e H u m a n R eso u rces F un ction. New York, AMACOM, A division of American Management Asso ciations, 1980, 225 pp. $14.95. Sundstrom, Eric, Robert E. Burt, Douglas Kamp, “Privacy at Work: Architectural Correlates of Job Satisfaction and Job Performance,” A c a d e m y o f M a n a g e m e n t Jou rn al, March 1980, pp. 101-17. Teel, Kenneth S., “Performance Appraisal: Current Trends, Persistent Progress,” P erso n n el Jou rn al, April 1980, be ginning on p. 296. Monetary and fiscal policy Prices and living conditions Foss, Murray, “Measuring the Rate of Inflation,” E co n o m ist, April 1980, pp. 4-8. The A E I Philips, Louis, “Intertemporal Price Discrimination and Sticky Prices,” T h e Q u a rte r ly J o u r n a l o f E con om ics, May 1980, pp. 525-42. Rosen, Gerald R., “The CPI Controversy,” D u n 's R eview , May 1980,'beginning on p. 54. U.S. Bureau of Labor Statistics, C P I Issues. By Janet L. Nor wood. Washington, 1980, 12 pp. (Report 593.) Productivity and technological change Hatry, Harry P. and others, E fficien cy M e a su re m e n t f o r L o c a l G o v ern m e n t S e rv ice s— S o m e I n itia l S u ggestion s. Washing ton, The Urban Institute, 1979, 204 pp. (URI, 27700.) $6.50. Kendrick, John W. and Elliot S. Grossman, P ro d u c tiv ity in th e U n ite d S ta tes: T ren d s a n d C ycles. Baltimore, The Johns Hopkins University Press, 1980, 172 pp., bibliography. $14.95. Rosenberg, Richard D. and Eliezer Rosenstein, “Participation and Productivity: An Empirical Study,” I n d u s tr ia l a n d L a b o r R e la tio n s R eview , April 1980, pp. 355-67. Social institutions and social change Thomas, William C., “A Career Development Program That Works,” M a n a g e m e n t R eview , May 1980, pp. 38-40. Sandmaier, Marian, University of Chicago, A n n u a l R eport, 1979. Chicago, Univer sity of Chicago, Human Resources Center, 1980, 20 pp. Co., 1980, 298 pp. $12.95. Shields, Dorothy, “The American Family: Children in Trou- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T he In visib le A lcoh olics: W om en a n d A lc o h o l A b u se in A m erica . New York, McGraw-Hill Book 67 MONTHLY LABOR REVIEW July 1980 • B o o k R eview s ble,” The AFL-CIO American Federationist, April 1980, pp. 15-18. “The American Family: Labor’s View,” The AFL-CIO Ameri can Federationist, April 1980, pp. 9-14. The Canadian Journey: Rivers o f Memory, River o f Dreams. Montreal, Quebec, Canada, The Seagram Co., Ltd., 1980, 34 pp. Williams, James D., ed., The State o f Black America 1980. New York, National Urban League, Inc., 1980, 279 pp. $12.50. Wynne, Edward A., “Youth Attitudes: Some Disturbing Trends,” The AFL-CIO American Federationist, April 1980, pp. 19-22. Wages and compensation Bosworth, D. L. and P. J. Dawkins, “Compensation for Workers’ Disutility: Time of Day, Length of Shift and Other Features of Work Patterns,” Scottish Journal o f Po litical Economy, February 1980, pp. 80-96. Parsley, C. J., “Labor Union Effects on Wage Gains: A Sur vey of Recent Literature,” Journal o f Economic Litera ture, March 1980, pp. 1-31. Scarth, William M. and Anthony Myatt, “The Real WageEmployment Relationship,” The Economic Journal, March 1980, pp. 85-94. U.S. Bureau of Labor Statistics, Wage Chronology: Dan River Inc., and the Textile Workers (UTWA), 19 4 3 - 79. Wash ington, 1980, 14 pp. (Bulletin 2048.) Stock No. 029-001-02439-8. $1.50, Superintendent of Documents, Washington 20402. ----------- Wage Differences Among Large City Governments and Comparisons with Industry and Federal Pay, 1977- 78. Washington, 1980, 10 pp. (Report 596.) U.S. Employment and Training Administration, Financing America's Unemployment Compensation Program. (Pre pared by Donald L. Diefenbach.) Washington, U.S. De partment of Labor, Employment and Training Adminis tration, 1979, 115 pp. (Unemployment Insurance Technical Staff Paper 4.) Welfare programs and social insurance Krogman, Robert, “Help for Small Pension-Plan Sponsors,” Management Review, March 1980, pp. 25-28. Leman, Christopher, The Collapse o f Welfare Reform: Political Institutions, Policy, and the Poor in Canada and the Unit ed States. Cambridge, The Massachusetts Institute of Technology, 1980, 292 pp. $19.95, The MIT Press, Cam bridge, Mass. Macarov, David, Work and Welfare: The Unholy Alliance. Beverly Hills, Calif., Sage Publications, Inc., 1980, 232 pp. (Sage Library of Social Research, Vol. 99.) $18, cloth; $8.95, paper. Munnell, Alicia H. and Ann M. Connolly, “Financing Public 68 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Pensions,” New England Economic Review, Federal Re serve Bank of Boston, January-February 1980, pp. 3044. van den Haag, Ernest, “Realistic Steps for ‘Reforming’ Wel fare,” The Journal I The. Institute for Socioeconomic Stud ies, Winter 1979, pp. 73-79. Worker training and development Burns, John L., “Benefits of Training the Hard-to-Employ,” Harvard Business Review, May-June 1980, pp. 141-51. Hughes, James J. and Ian Brinkley, “The Measurement of Secondary Labour Market Effects Associated with Gov ernment Training,” Scottish Journal o f Political Economy, February 1980, pp. 63-79. U.S. Bureau of Labor Statistics, Exploring Careers. Washing ton, 1979, 547 pp. (Bulletin 20001.) $10, Superintendent of Documents, Washington 20402. ----------- Occupational Employment in Manufacturing Industries, 1977. Washington, 1980, 91 pp. (Bulletin 2057.) Stock No. 029-001-02451-7. $4, Superintendent of Documents, Washington 20402. U.S. Employment and Training Administration, A Guide fo r Communities Facing Major Layoffs or Plant Shutdowns. Washington, U.S. Department of Labor, Employment and Training Administration, 1980, 32 pp. Stock No. 029-000-00391-2. $2, Superintendent of Documents, Washington 20402. ----------- Areawide Planning in CETA. Washington, U.S. De partment of Labor, Employment and Training Adminis tration, 1979, 128 pp. (R&D Monograph, 74.) Stock No. 029-000-00388-4. $4.50, Superintendent of Documents, Washington 20402. ----------- Dateline: CETA: A Selection o f Programs, Washington, U.S. Department of Labor, Employment and Training Administration, 1980, 24 pp. ----------- The Socioeconomic Status o f Households Headed by Women: Results from the National Longitudinal Surveys. Washington, U.S. Department of Labor, Employment and Training Administration, 1979, 68 pp. (R&D Mono graph, 72.) Stock No. 029-000-00390-4. $3.50, Superin tendent of Documents, Washington 20402. ----------- Training Information fo r Policy Guidance. Washington, U.S. Department of Labor, Employment and Training Administration, 1980, 209 pp., bibliography. (R&D Monograph 76.) $6, Superintendent of Documents, Washington 20402. Vandergoot, David and John D. Worrall, eds., Placement in Rehabilitation: A Career Development Perspective. Balti more, Md., University Park Press, 1979, 236 pp. Verheyen, Leland G., and Louis Olivas, “Attitude Survey Supports Training Needs,” Public Personnel Management, January-February 1980, pp. 31-35. Wyant, Dennis R., “Employment Services for Veterans,” L a bor Law Journal, April 1980, pp. 195-99. Current Labor Statistics Notes on Current Labor Statistics .................................................................................................................................... Schedule of release dates for major BLS statistical series .......................................................................... Employment data from household survey. Definitions and notes 1. 2. 3. 4. 5. 6. 7. ............................................................. Employment status of noninstitutional population, selected years,1950-79 .................................................................. Employment status by sex, age, and race, seasonally adjusted .............. Selected employment indicators, seasonally adjusted ....................................................................................................... Selected unemployment indicators, seasonally adjusted ..................................................................................................... Unemployment rates, by sex and age, seasonally adjusted ............................................................................................... Unemployed persons, by reason for unemployment, seasonallyadjusted .............................. Duration of unemployment, seasonally adjusted ............................................................................................................... Employment, hours, and earnings data from establishment surveys. Definitions and notes 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. Employment by industry, 1950-79 .......................................................................................................; ............................. Employment by State ............................................................................................................................................................... Employment by industry division and major manufacturing group ................................................................................ Employment by industry division and major manufacturing group, seasonally adjusted ........................................ Labor turnover rates in manufacturing, 1977 to date ........................................................................................................ Labor turnover rates in manufacturing, by major industry group ................................................................................... Hours and earnings, by industry division, 1949-79 .......................................................................................................... Weekly hours, by industry division and major manufacturing g r o u p .............................................................................. Weekly hours, by industry division and major manufacturing group, seasonally adjusted ...................................... Hourly earnings, by industry division and major manufacturing group ........................................................................ Hourly Earnings Index, by industry division, seasonally adjusted ................................................................................ Weekly earnings, by industry division and major manufacturing group ........................................................................ Gross and spendable weekly earnings, in current and 1967 dollars, 1960 to date ..................................................... Unemployment insurance data. Definitions and notes 71 71 72 73 74 75 75 75 76 77 77 78 79 80 80 81 82 83 84 84 85 86 87 .......................................................................................................................................... Consumer Price Index, 1967-79 ............................................................................................................................................ Consumer Price Index, U.S. city average, general summary and selected items .......................................................... Consumer Price Index, cross classification of region and populationsize class ............................................................ Consumer Price Index, selected areas ..................................................................................................................................... Producer Price Indexes, by stage of processing .................................................................................................................. Producer Price Indexes, by commodity groupings ............................................................................................................. Producer Price Indexes, for special commodity groupings ............................................................................................... Producer Price Indexes, by durability of product ............................................................................................................... Producer Price Indexes for the output of selected SIC industries .................................................................................. 88 89 89 95 96 97 98 100 100 100 Price data. Definitions and notes Productivity data. Definitions and notes 31. 32. 33. 34. 70 ....................................................................................... ........................................................................................ 21. Unemployment insurance and employment service operations 22. 23. 24. 25. 26. 27. 28. 29. 30. 70 ....................................................................................................................... Indexes of productivity and related data, selected years, 1950-79 ....................................................................... Annual percent change in productivity and related data, 1969-79 ....................................................................... Indexes of productivity, hourly compensation, and unit costs ........................................................................................ Percent change in productivity, hourly compensation, and unit costs .......................................................................... Labor-management data. Definitions and notes ....................................................................................................... 35. Wage and benefit settlements in major collective bargaining units, 1975 to date ........................................................ 36. Effective wage rate adjustments going into effect in major collective bargaining units, 1975 to d a t e ..................... 37. Work stoppages, 1947 to date ............................................................................................................................................... https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 87 103 103 104 104 105 106 106 107 107 NOTES ON CURRENT LABOR STATISTICS This section of the R e view presents the principal statistical se ries collected and calculated by the Bureau of Labor Statistics. A brief introduction to each group of tables provides defi nitions, notes on the data, sources, and other material usually found in footnotes. Readers who need additional information are invited to consult the BLS regional offices listed on the inside front cov er of this issue of the R eview . Some general notes applicable to several series are given below. Seasonal adjustment. Certain monthly and quarterly data are adjusted to eliminate the effect of such factors as climatic conditions, industry production schedules, opening and closing of schools, holiday buying periods, and vacation practices, which might otherwise mask short term movements of the statistical series. Tables containing these data are identified as “seasonally adjusted.” Seasonal effects are estimated on the basis of past experience. When new seasonal factors are com puted each year, revisions may affect seasonally adjusted data for sev eral preceding years. For a technical discussion of the method used to make seasonal adjustments, see “Appendix A. The BLS Seasonal Fac tor Method,” B L S H an dbook o f M ethods f o r S urveys a n d Studies, Bul letin 1910 (Bureau of Labor Statistics, 1976), pp. 272-78, and X - l l Variant o f the Census M e th o d I I Seasonal A d ju stm e n t Program , Tech nical Paper No. 15 (Bureau of the Census, 1967). Seasonally adjusted labor force data in tables 2 - 7 were last revised in the February 1980 issue of the R eview to reflect the preceding year’s experience. Begin ning in January 1980, the BLS introduced two major modifications in the seasonal adjustment methodology for labor force data. First, the data are being seasonally adjusted with a new procedure called X - l l / ARIMA, which was developed at Statistics Canada as an extension of the standard X -ll method. A detailed description of the procedure appears in The X - l l A R IM A Seasonal A d ju stm e n t M e th o d by Estela Bee Dagum (Statistics Canada Catalogue No. 12-564E, September 1979). The second change is that seasonal factors are now being calculated for use during the first 6 months of the year, rather than for the entire year, and then are calculated at mid-year for the July-December peri od. Revisions of historical data continue to be made only at the end of each calendar year. Annual revision of the seasonally adjusted payroll data in tables 11, 13, 16, and 18 was last introduced in the November 1979 issue of the Review. New seasonal factors for productivity data in tables 33 and 34 are usually introduced in the September issue. Sea sonally adjusted indexes and percent changes from month to month and from quarter to quarter are published for numerous Consumer and Producer Price Index series. However, seasonally adjusted indexes are not published for the U.S. average All Items CPI. Only seasonally adjusted percent changes are available for this series. Adjustments for price changes. Some data are adjusted to eliminate the effect of changes in price. These adjustments are made by dividing current dollar values by the Consumer Price Index or the appropriate component of the index, then multiplying by 100. For example, given a current hourly wage rate of $3 and a current price index number of 150, where 1967 = 100, the hourly rate expressed in 1967 dollars is $2 ($3/150 X 100 = $2). The resulting values are described as “real,” “constant,” or “ 1967” dollars. Availability of information. Data that supplement the tables in this section are published by the Bureau of Labor Statistics in a variety of sources. Press releases provide the latest statistical information published by the Bureau; the major recurring releases are published according to the schedule given below. The H an dbook o f L a b o r S ta tis tics 1978, Bulletin 2000, provides more detailed data and greater his torical coverage for most of the statistical series presented in the M o n th ly L a b o r Review. More information from the household and es tablishment surveys is provided in E m p lo ym en t a n d Earnings, a monthly publication of the Bureau, and in two comprehensive data books issued annually — E m p lo ym en t a n d Earnings, U nited S tates and E m p lo ym en t a n d Earnings, S tates a n d Areas. More detailed informa tion on wages and other aspects of collective bargaining appears in the monthly periodical, C urrent W age D evelopm ents. More detailed price information is published each month in the periodicals, the C P I D eta iled R eport and P roducer Prices a n d Price Indexes. Symbols p = preliminary. To improve the timeliness of some series, preliminary figures are issued based on representative but incomplete returns. r = revised. Generally this revision reflects the availability of later data but may also reflect other adjustments, n.e.c. = not elsewhere classified. S c h e d u le o f re le a s e d a te s fo r m a jo r B LS s ta tis tic a l s e rie s Title and frequency (monthly except where indicated) Release date Period covered Release date Period covered MLR table number 1 -1 1 E m p lo y m e n t s i t u a t io n .......................................................................................... J u ly 3 Ju n e August 1 Ju ly P ro d u c e r P rice Index J u ly 8 Ju n e A u g u st 15 Ju ly 2 6 -3 0 2 2 -2 5 C o n s u m e r P rice Index R eal e a rn in g s .......................................................................................... Ju n e A u g u st 22 Ju ly J u ly 23 Ju n e A u g u s t 22 Ju ly ................................. J u ly 25 1st half .............................................. J u ly 28 2nd q u a rte r ....................................................................................... ........................................................................................................ M a jo r c o lle c tiv e b a rg a in in g s e ttle m e n ts (q u a rte rly ) J u ly 23 1 4 -2 0 3 5 -3 6 P ro d u c tiv ity an d c o s ts (q u a rte rly ): N o n fa rm b u sin e ss and m a n u fa c tu rin g N o n fin a n cia l c o rp o ra tio n s .............................. ........................................ 31 - 3 4 A u g u st 27 2n d q u a rte r 3 1 -3 4 W o rk s to p p a g e s ..................................................................................................... J u ly 29 Ju n e A u g u st 28 Ju ly 37 L a b o r tu rn o v e r in m a n u fa c tu rin g J u ly 30 June A u g u s t 29 Ju ly 1 2 -1 3 70 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis .................................................................... EMPLOYMENT DATA FROM THE HOUSEHOLD SURVEY E m p l o y m e n t d a t a in this section are obtained from the Current Population Survey, a program of personal interviews conducted monthly by the Bureau of the Census for the Bureau of Labor Statistics. The sample consists of about 65,000 households beginning in January 1980, selected to represent the U S. population 16 years of age and older. Households are interviewed on a rotating basis, so that three-fourths of the sample is the same for*any 2 consecutive months. those not classified as employed or unemployed; this group includes persons retired, those engaged in their own housework, those not working while attending school, those unable to work because of longterm illness, those discouraged from seeking work because of personal or job market factors, and those who are voluntarily idle. The noninstitutional population comprises all persons 16 years of age and older who are not inmates of penal or mental institutions, sanitariums, or homes for the aged, infirm, or needy. Definitions part-time workers are those who work fewer hours. Workers on part- Full-tim e workers are those employed at least 35 hours a week; time schedules for economic reasons (such as slack work, terminating or starting a job during the week, material shortages, or inability to find full-time work) are among those counted as being on full-time status, under the assumption that they would be working full time if conditions permitted. The survey classifies unemployed persons in full-time or part-time status by their reported preferences for full-time or part-time work. Employed persons are (1) those who worked for pay any time during the week which includes the 12th day of the month or who worked unpaid for 15 hours or more in a family-operated enterprise and (2) those who were temporarily absent from their regular jobs because of illness, vacation, industrial dispute, or similar reasons. A person working at more than one job is counted only in the job at which he or she worked the greatest number of hours. Notes on the data Unemployed persons are those who did not work during the survey week, but were available for work except for temporary illness and had looked for jobs within the preceding 4 weeks. Persons who did not look for work because they were on layoff or waiting to start new jobs within the next 30 days are also counted among the unemployed. The unemployment rate represents the number unemployed as a percent of the civilian labor force. From time to tjme, and especially after a decennial census, adjustments are made in the Current Population Survey figures to correct for estimating errors during the preceding years. These adjustments affect the comparability of historical data presented in table 1. A description of these adjustments and their effect on the various data series appear in the Explanatory Notes of E m p lo y m e n t The civilian labor force consists of all employed or unemployed persons in the civilian noninstitutional population; the total labor force includes military personnel. Persons not in the labor force are 1. a n d E a rn in g s. Data in tables 2 - 7 are seasonally adjusted, based on the seasonal experience through December 1979. E m p l o y m e n t s t a t u s o f t h e n< ^ i n s t i t u t i o n a l p o p u l a t i o n , 1 6 y e a r s a n d o v e r , s e l e c t e d y e a r s , 1 9 5 0 - 7 9 [N um bers in thousands] Total lattor force Year 1950 1955 1960 1964 1965 .......................... .................................. ............................... ................. .......................... Total non institutional population Civilian labor force Employed Number Percent o f population Total Unem ployed Total Agriculture Nonagricultural industries Number Percent o f labor force Not in labor force 106,645 112,732 119,759 127,224 129,236 63,858 68,072 72,142 75,830 77,178 59.9 60.4 60.2 59.6 59.7 62,208 65,023 69,628 73,091 74,455 58,918 62,170 65,778 69,305 71,088 7,160 6,450 5,458 4,523 4,361 51,758 55,722 60,318 64,782 66,726 3.288 2.852 3.852 3,786 3,366 1966 .......................... 1967 ............................. 1968 ........................ 1969 ............................. 1970 ........................ 4.5 42,787 44,660 47,617 51,394 52,058 131,180 133,319 135,562 137,841 140,182 78,893 80.793 82,272 84.240 85,903 60.1 60.6 60.7 61.1 61.3 75,770 77,347 78,737 80,734 82,715 72,895 74.372 75,920 77,902 78,627 3,979 3,844 3,817 3,606 3,462 68,915 70,527 72,103 74,296 75,165 2,875 2,975 2,817 2,832 4,088 1971 1972 1973 1974 1975 ........................ ................................. ...................... ...................... .................................. 3.8 3.8 3.6 3.5 4.9 52,288 52,527 53,291 53,602 54,280 142,596 145,775 148,263 150,827 153,449 86,929 88,991 91,040 93.240 94.793 61.0 61.0 61.4 61.8 61.8 84,113 86,542 88,714 91,011 92,613 79,120 81,702 84,409 83,935 84,783 3,387 3,472 3,452 3,492 3,380 75,732 78,230 80,957 82,443 81,403 4,993 4,840 4,304 5,076 7,830 5.9 5.6 4.9 5.6 8.5 1976 1977 1978 1979 .......................... ............................. ............................... .................................. 55,666 56,785 57,222 57,587 58,655 156,048 158,559 161,058 163,620 96,917 99,534 102,537 104,996 62.1 62.8 63.7 64.2 94,773 97,401 100,420 102,908 87,485 90,546 94.373 96,945 3.297 3,244 3,342 3.297 84,188 87,302 91,031 93,648 7.288 6,855 6,047 5,963 7.7 59,130 59,025 58,521 58,623 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 5.3 4.4 5.5 5.2 7.0 6.0 5.8 71 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Household Data 2. E m p lo y m e n t s ta tu s b y s e x , a g e , an d ra c e , s e a s o n a lly a d ju s te d [N um bers in thousands] 1978 1979 1980 1979 Annual Average Employment status May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May TOTAL T o ta l nonin stitu tio n a l p o p u la tio n 1 .............................. T o ta l la b o r fo rc e .................................................... 163,620 1 63,290 163,469 163,685 163,891 164,106 164,468 164,682 164,898 165,101 165,298 165,506 165,693 1 65,886 102,537 104,996 1 04,476 104,552 105,475 105,218 105,586 105,688 105,744 106,088 106 ,3 1 0 1 06,346 106,184 106,511 1 07,230 162,589 162,809 1 63,020 163,211 163,416 163,601 163,799 .............................. 158,941 161,532 1 61,182 1 61,393 161,604 161,801 162,013 162,375 ............................................ 1 00,420 102,908 102,398 1 02,476 103,093 103,128 103,494 103,595 1 03,652 1 03,999 1 04,229 104,260 104,094 104,419 105,142 .................................................... 9 4 ,373 9 6 ,945 9 6 ,495 9 6 ,6 5 2 9 7 ,184 9 7 ,004 9 7 ,504 9 7 ,474 9 7 ,608 9 7 ,912 9 7 ,804 9 7 ,9 5 3 9 7 ,6 5 6 97,154 9 6 ,988 3,342 3,297 3,246 3,243 3,267 3,315 3,364 3,294 3,385 3,359 3,2 7 0 3 ,3 2 6 3,358 3,242 3,379 9 4 ,223 9 4 ,5 5 3 9 4 ,534 9 4 ,6 2 6 9 4 ,298 9 3 ,912 9 3 ,6 0 9 C iv ilia n n o n in s t it u tio n a l p o p u la tio n 1 C ivilian la b o r fo rc e E m p lo y e d 161,058 A g ric u ltu re ......................................... ........... 91,031 9 3 ,648 9 3 ,249 9 3 ,409 9 3 ,917 9 3 ,689 9 4 ,1 4 0 9 4 ,180 .............................................. 6,047 5,963 5,903 5,824 5,909 6,124 5,990 6,121 6,044 6,087 6,425 6 ,3 0 7 6,438 7,265 6.0 5.8 5.8 5.7 5.7 5.9 5.8 5.9 5.8 5.9 6.2 6.0 6.2 7.0 7.8 N o n a g ric u ltu ra l in d u strie s U n e m p lo y e d U n e m p lo y m e n t ra te N o t In la b o r fo rc e ................................. .............................................. 8,154 58,521 5 8 ,623 5 8 ,784 5 8 ,917 58,511 5 8 ,673 5 8 ,519 5 8 ,780 5 8 ,937 5 8 ,8 1 0 58,791 58,951 5 9 ,322 59,182 5 8 ,6 5 7 6 7 ,0 0 6 6 8 ,293 6 8 ,123 6 8 ,227 6 8 ,3 1 9 6 8 ,417 6 8 ,522 6 8 ,697 68,804 6 8 ,9 4 0 6 9 ,047 6 9 ,140 6 9 ,238 6 9 ,3 2 9 6 9 ,428 53,464 5 4 ,4 8 6 5 4 ,288 5 4 ,3 7 0 5 4 ,579 54,597 5 4 ,735 5 4 ,7 6 0 5 4 ,709 54,781 5 4 ,855 5 5 ,038 5 4 ,996 55,114 5 5 ,467 5 1 ,212 52,264 5 2 ,158 52,201 5 2 ,325 52,311 5 2 ,453 52,443 5 2 ,374 5 2 ,478 5 2 ,279 52,531 5 2 ,3 0 0 5 1 ,868 2,361 2,350 2,301 2,305 2,327 2,375 2,377 2,371 2,438 2,427 2,387 2 ,4 3 5 2,394 2,3 2 0 2,384 4 9 ,548 4 9 ,412 3,671 Men, 20 years and over C ivilian n o n in stitu tio n a l p o p u la tio n 1 .............................. N o n a g ric u ltu ra l Industries ...................... 4 9 ,857 4 9 ,896 49,998 4 9 ,9 3 6 5 0 ,0 7 6 5 0 ,072 4 9 ,936 50,051 4 9 ,892 5 0 ,0 9 6 2 ,2 8 6 2,282 2,317 2,335 2,303 2,577 2 ,5 0 7 2 ,6 9 6 3,246 2,252 2,223 2,130 2,169 ......................................... 4.2 4.1 3.9 4.0 4.1 4.2 4.2 4.2 4.3 4.2 4.7 4.6 4.9 5.9 6.6 ...................................................... 13,541 13,807 13,835 13,857 13,740 13,820 13,787 13,937 14,095 14,159 14,192 14,102 14,242 14,215 13,961 U n e m p lo y m e n t ra te N o t in la b o r fo rc e 4 9 ,913 5 1 ,796 2,254 ...................................................... U n e m p lo y e d 4 8 ,852 4 9 ,906 Women, 20 years and over .............................. 7 5 ,489 7 6 ,860 7 6 ,6 7 0 7 6 ,784 7 6 ,897 7 7 ,0 0 6 7 7 ,124 7 7 ,308 7 7 ,426 7 7 ,5 4 2 7 7 ,6 5 6 7 7 ,7 6 6 7 7 ,8 7 6 77,981 7 8 ,0 9 0 .................................................... 3 7 ,416 3 8 ,910 3 8 ,6 1 9 3 8 ,6 5 3 3 9 ,033 3 9 ,304 39,239 3 9 ,362 3 9 ,445 3 9 ,659 3 9 ,8 7 8 3 9 ,857 39,751 4 0 ,137 4 0 ,2 4 6 3 5 ,180 36,698 36,411 3 6 ,457 3 6 ,873 3 7 ,0 0 0 3 7 ,0 7 5 3 7 ,112 3 7 ,248 3 7 ,402 37,574 3 7 ,604 3 7 ,4 9 6 3 7 ,602 586 591 577 583 585 600 628 572 612 582 540 567 582 552 61 6 C ivilian n o n in stitu tio n a l p o p u la tio n 1 C ivilian la b o r fo rc e N o n a g ric u ltu ra l in d u s trie s U n e m p lo y e d ...................... ...................................................... 2,236 3 6 ,107 2,213 3 5 ,834 2,208 3 5 ,874 2,1 9 6 3 6 ,288 3 6 ,400 3 6 ,447 3 6 ,540 3 6 ,636 3 6 ,820 3 7 ,034 3 7 ,037 3 6 ,914 37,051 2 ,1 6 0 2,304 2,164 2,2 5 0 2,197 2,257 2,304 2,254 2,255 2,534 2,6 7 0 ......................................... 6.0 5.7 5.7 5.7 5.5 5.9 5.5 5.7 5.6 5.7 5.8 5.7 5.7 6.3 6.6 ....................................................... 3 8 ,073 3 7 ,949 38,051 38,131 37,864 3 7 ,702 3 7 ,8 8 5 3 7 ,946 37,981 3 7 ,883 3 7 ,778 3 7 ,909 38,125 3 7 ,844 3 7 ,844 .............................. 16,447 16,379 16,389 16,381 16,387 16,377 16,367 16,370 16,360 16,326 16,317 16,305 16,302 16,291 16,281 .................................................... 9,540 9,512 9,491 9 ,4 5 3 9,481 9,227 9,520 9,473 9,498 9,559 9,497 9,365 9,3 4 6 9,168 9,429 7,986 7,693 7,976 7,919 7,986 8,032 7,952 7,818 7,859 7,6 8 3 7 ,6 1 6 U n e m p lo y m e n t ra te N o t in la b o r fo rc e 34,593 3 7 ,576 3 6 ,9 6 0 Both sexes, 16 19 years C ivilian n c 'in s titu tio n a l p o p u la tio n 1 C ivilian la b o r fo rc e N o n a g ric u ltu ra l in d u s trie s U n e m p lo y e d ...................... ....................................................... 7,984 7,926 395 356 368 355 355 34 0 359 351 335 350 344 325 381 37 0 379 7,586 7,628 7,558 7,639 7,631 7,353 7,617 7,5 6 8 7,651 7,682 7,608 7,493 7,478 7,313 7,237 1,554 1,512 1,527 1,545 1,547 1,487 1,485 1,813 1,559 1,528 1,565 1,459 1,495 1,534 1,544 ......................................... 16.3 16.1 16.5 15.4 15.8 16.6 16.2 16.4 15.9 16.0 16.3 16.5 15.9 16.2 19.2 ...................................................... 6,907 6,867 6,898 6,928 6,9 0 6 7 ,1 5 0 6,847 6,897 6,862 6,767 6 ,8 2 0 6,940 6,956 7,123 6,852 .............................. 139,580 141,614 141,331 141,492 141,661 1 41,822 141,981 142 ,2 9 6 142,461 142,645 142,806 142,951 143,115 143,254 1 43,403 .................................................... 8 8 ,456 9 0 ,602 9 0 ,1 2 0 9 0 ,215 9 0 ,659 9 0 ,759 9 1 ,082 9 1 ,147 9 1 ,242 9 1 ,579 9 1 ,852 9 1 ,977 91,821 9 2 ,083 9 2 ,5 3 5 8 6 ,425 8 6 ,454 86,571 8 6 ,894 8 6 ,895 87,081 8 6 ,822 8 6 ,385 8 6 ,148 4,999 5,698 U n e m p lo y m e n t ra te N o t in la b o r fo rc e 7,981 7,994 White C ivilian n o n in stitu tio n a l p o p u la tio n 1 C ivilian la b o r fo rc e E m p lo y e d ............................................................ 8 3 ,836 8 6 ,0 2 5 8 5 ,632 8 5 ,775 8 6 ,1 2 0 8 5 ,9 7 6 ...................................................... 4 ,6 2 0 4,577 4,488 4,440 4,539 4,783 4,6 5 7 4,693 4,671 4,685 4,957 4,896 5.2 5.1 5.0 4.9 5.0 5.3 5.1 5.1 5.1 5.1 5.4 5.3 5.4 6.2 6.9 51,171 5 0 ,868 2 0 ,395 U n e m p lo y e d U n e m p lo y m e n t ra te N o t in la b o r fo rc e ......................................... ....................................................... 51,124 51,011 5 1 ,313 5 1 ,213 5 1 ,107 51,161 5 0 ,9 0 0 5 1 ,149 5 1 ,219 5 1 ,066 50,954 5 0 ,975 5 1 ,294 6,3 8 6 Black and other .............................. 19,361 19,918 19,850 19,901 19,943 19,979 2 0 ,032 2 0 ,079 2 0 ,1 2 8 2 0 ,163 2 0 ,214 20,261 20,301 2 0 ,346 .................................................... 11,964 12,306 12,219 12,260 12,386 12,343 12,404 12,512 12,391 12,432 12,453 12,362 12,266 12,319 12,559 ............................................................ 10,537 10,920 10,816 10,887 11,023 10,982 11,063 11,076 11,044 11,024 10,979 10,937 10,823 10,771 10,813 ...................................................... 1,427 1,386 1,403 1,373 1,363 11.9 11.3 11.5 11.2 11.0 11.0 10.8 11.5 10.9 11.3 11.8 7,579 7,639 7,264 7 ,5 6 7 7,737 7,731 7,761 C ivilian n o n in s titu tio n a l p o p u la tio n 1 C ivilian la b o r fo rc e E m p lo y e d U n e m p lo y e d U n e m p lo y m e n t ra te N o t in la b o r fo rc e ......................................... ....................................................... 7,397 7,612 7,674 7,629 1A s in ta b le 1, p o p u la tio n fig u re s a re n o t s e a s o n a lly a d ju ste d . N O T E : T he m o n th ly d a ta in th is ta b le ha ve b e e n re vise d to re fle c t se a s o n a l e x p e rie n c e th ro u g h 1979. 72 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1,361 1,341 1,436 1,347 1,408 1,474 1,424 11.5 7,899 ... 1,443 1,549 1,746 11.8 12.6 13.9 8,035 8,027 7,836 3. S e le c te d e m p lo y m e n t in d ic a to rs , s e a s o n a lly a d ju s te d [ In thousands] Annual average 1979 Selected categories 1978 1979 May June July Aug. 9 6 ,652 1980 Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May CHARACTERISTIC T o ta l e m p lo y e d , 16 y e a rs a n d o v e r .............................. 9 4 ,3 7 3 9 6 ,945 9 6 ,495 9 7 ,184 97,004 9 7 ,504 9 7 ,474 9 7 ,608 9 7 ,912 9 7 ,804 9 7 ,9 5 3 9 7 ,6 5 6 97,154 9 6 ,988 55,491 5 6 ,499 5 6 ,372 5 6 ,477 5 6 ,5 7 0 56,408 5 6 ,714 5 6 ,629 5 6 ,580 56,734 5 6 ,4 8 6 5 6 ,7 3 2 56,601 55,998 5 5 ,823 W o m e n ................................................. 3 8 ,882 4 0 ,4 4 6 4 0 ,123 4 0 ,175 4 0 ,614 4 1 ,318 41,221 4 1 ,1 5 6 4 1 ,165 M a rrie d m en, s p o u s e p re s e n t ................................. 3 8 ,688 3 9 ,0 9 0 3 9 ,045 3 9 ,079 3 9 ,1 7 6 3 9 ,180 39,198 3 9 ,124 3 8 ,845 3 8 ,924 3 8 ,749 3 8 ,9 5 5 3 8 ,745 3 8 ,342 3 8 ,147 M a rrie d w o m e n , s p o u s e p r e s e n t ........................... 21,881 2 2 ,7 2 4 2 2 ,5 4 7 2 2 ,664 2 2 ,908 2 2 ,8 6 9 2 2 ,937 2 2 ,9 1 9 2 2 ,9 4 0 2 3 ,027 23,111 2 3 ,178 2 3 ,2 0 2 2 3 ,0 8 0 2 3 ,155 4 7 ,205 4 9 ,342 4 9 ,136 4 9 ,192 4 9 ,5 3 6 4 9 ,663 4 9 ,8 1 6 4 9 ,738 4 9 ,912 49,911 5 0 ,3 1 3 5 0 ,4 4 8 5 0 ,302 50,405 5 0 ,6 0 6 14,245 15,050 15,100 15,010 15,057 15,068 15,141 15,057 15,131 15,272 15,337 15,444 15,397 15,542 15,551 10,105 10,516 10,427 10,534 10,612 10,698 10,659 10,639 10,617 10,535 10,608 10,971 M en ......................................................... 4 0 ,5 9 6 4 0 ,790 4 0 ,845 4 1 ,028 4 1 ,178 41,051 OCCUPATION W h ite -c o lla r w o r k e r s ......................................................... P ro fe s s io n a l an d te c h n ic a l ...................................... M a n a g e rs an d a d m in is tra to rs , e x c e p t fa rm .................................................................. S a le s w o r k e r s ......................................................... C le ric a l w o r k e r s ......................................................... B lu e -c o lla r w o r k e r s ...................................................... C ra ft an d k in d re d w o rk e rs 10,755 10,745 10,882 5,951 6,163 6,101 6,103 6,163 6,145 6,181 6,261 6,362 6,3 4 6 6,452 6,185 6,113 5,988 6,022 16,904 17,613 17,508 17,545 17,704 17,752 17,835 17,781 17,802 17,758 17,915 17,848 18,037 18,129 18,152 31,531 3 2 ,066 3 1 ,904 31,992 32,051 31,849 3 2 ,209 3 2 ,205 3 2 ,1 1 0 3 2 ,3 0 2 3 1 ,882 3 1 ,754 3 1 ,6 7 0 3 1 ,127 30,681 ...................................... 12,386 12,880 12,820 12,944 12,876 12,761 12,993 13,001 12,925 13,041 12,814 12,728 12,767 12,773 12,523 O p e ra tiv e s , e x c e p t t r a n s p o r t .................................... 10,875 10,909 10,755 10,804 10,884 10,909 10,964 10,967 10,963 11,042 10,678 10,661 10,579 10,408 10,336 3,421 T ra n s p o rt e q u ip m e n t o p e ra tiv e s ........................... 3,541 3,6 1 6 3,571 3,558 3,483 N o n fa rm la b o r e r s ......................................................... 4,729 4,665 4,685 4,639 4,664 4,575 4,635 4,644 4,594 4,584 4,774 4,795 4,767 4,463 4,402 12,839 12,834 12,772 12,805 12,766 12,621 12,859 12,937 12,899 12,970 12,979 13,080 12,981 13,034 12,932 2,798 2,703 2,628 2,679 2 ,6 7 8 2,707 2,722 2,695 2,718 2,694 2 ,6 6 0 2,764 2,7 3 3 2,658 2,745 W a g e a n d s a la ry w o r k e r s ......................................... 1,419 1,413 1,424 1,423 1,419 1,384 1,399 1,381 1,475 1,451 1,428 1,417 1,449 1,370 1,405 S e lf-e m p lo y e d w o r k e r s .............................................. 1,607 1,580 1,519 1,539 1,558 1,614 1,642 1,602 1,622 1,596 1,554 1,648 1,600 1,591 1,662 31 6 304 283 291 291 31 0 325 313 310 310 293 283 300 281 289 8 4 ,253 8 6 ,5 4 0 8 6 ,232 8 6 ,309 8 6 ,454 86,421 8 6 ,912 8 6 ,982 S e rvic e w o rk e rs F a rm w o rk e rs ............................................ ............................................................... 3,612 3,644 3,605 3,627 3,604 3,617 3 ,5 9 3 3,628 3,635 MAJOR INDUSTRY AND CLASS OF WORKER A g ricu ltu re : U n paid fa m ily w o rk e rs ...................................... N o n a g ric u ltu ra l industries: W a g e an d s a la ry w o r k e r s ......................................... G o v e rn m e n t .................................................... 8 7 ,578 8 7 ,419 87,221 86,741 86,631 15,616 15,318 15,393 15,279 15,407 15,423 15,358 15,397 15,414 15,540 15,622 15,668 15,799 7 0 ,616 70,991 71,061 7 1 ,142 71,505 7 1 ,559 7 1 ,662 7 1 ,987 7 2 ,163 7 1 ,879 7 1 ,599 7 1 ,072 7 0 ,832 ................................... 1,363 1,240 1,195 1,235 1,219 1,211 1,313 1,261 1,211 1,228 1,132 1,178 1,115 1,123 1,206 ......................................... 6 7 ,603 69,931 69,421 6 9 ,756 6 9 ,8 4 2 69,931 7 0 ,192 70,298 70,451 7 0 ,759 71,031 7 0 ,702 70,484 6 9 ,949 6 9 ,625 6,305 6,652 6,608 6,6 2 9 6,7 5 2 6,689 6,731 6,812 6,781 6 ,7 3 7 6,752 6,899 6,825 6,813 6,648 472 455 460 474 519 450 449 43 0 417 409 379 397 376 363 411 S e lf-e m p lo y e d w o r k e r s ...................................... U n paid fa m ily w o rk e rs 87,384 15,369 71,171 P riva te h o u s e h o ld s O th e r in dustries 8 7 ,0 2 0 15,289 6 8 ,966 P riva te in d u s tr ie s ......................................... ............................................ PERSONS AT W ORK1 N o n a g ric u ltu ra l in d u s trie s .............................. ................................. 8 5 ,693 8 8 ,133 8 7 ,785 8 7 ,7 4 9 8 8 ,7 6 9 8 8 ,855 8 8 ,723 8 8 ,638 8 8 ,617 8 9 ,1 8 0 8 9 ,454 8 8 ,985 8 8 ,585 8 7 ,6 6 0 8 7 ,6 8 0 7 0 ,5 4 3 7 2 ,647 7 2 ,496 7 2 ,243 7 2 ,915 7 3 ,053 7 3 ,159 7 3 ,204 7 2 ,997 7 3 ,137 7 3 ,223 7 3 ,110 7 2 ,749 7 1 ,807 71,224 P a rt tim e fo r e c o n o m ic r e a s o n s .............................. 3,216 3,281 3,283 3,284 3,274 3,298 3,167 3,315 3,392 3,519 3,5 1 3 3,4 0 6 3,418 3,816 4,349 U s u a lly w o rk fu ll t i m e ................................. 1,249 1,325 1,273 1,322 1,334 1,401 1,273 1,354 1,413 1,491 1,549 1,380 U s u a lly w o rk p a rt t i m e ........................... 1,463 1,709 2 064 1,967 1,956 2,0 1 0 1,962 1,940 1,897 1,894 1,961 1,979 2,028 1,964 2 ,0 2 6 1,955 2,107 2,285 11,934 12,205 12,006 12,222 12,580 12,504 12,397 12,119 12,228 12,524 12,718 12,469 12,418 12,037 12,106 F u ll-tim e s c h e d u le s P a rt tim e fo r n o n e c o n o m ic r e a s o n s ...................... 'E x c lu d e s p e rs o n s "w ith a jo b b u t n o t a t w o r k " d u rin g th e s u rv e y p e rio d fo r su c h re a s o n s as v a ca tio n , illness, o r ind u stria l disputes. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N O T E : T he m o n th ly d a ta in th is ta b le ha ve been re vise d to re fle c t s e a so n a l e xp e rie n ce th ro u q h 1979 73 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Household Data 4. S e le c te d u n e m p lo y m e n t in d ic a to rs , s e a s o n a lly a d ju s te d [U n e m p lo y m e n t ra te s ] 1978 1979 1980 1979 Annual average Selected categories May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May CHARACTERISTIC T o ta l, 16 y e a rs and o v e r .................................................... 6.0 5.8 5.8 5.7 5.7 5.9 5.8 5.9 5.8 5.9 6.2 6.0 6.2 7.0 7.8 M en, 20 y e a rs an d o v e r ............................................ 4.2 4.1 3.9 4.0 4.1 4.2 4.2 4.2 4.3 4.2 4.7 4.6 4.9 5.9 6.6 5.7 6.3 6.6 ................................... 6.0 5.7 5.7 5.7 5.5 5.9 5.5 5.7 5.6 5.7 5.8 5.7 ...................................... 16.3 16.1 16.5 15.4 15.8 16.6 16.2 16.4 15.9 16.0 16.3 16.5 15.9 16.2 19.2 W o m e n , 2 0 y e a rs a n d o v e r Both s e xe s, 1 6 - 1 9 y e a rs 5.2 5.1 5.0 4.9 5.0 5.3 5.1 5.1 5.1 5.1 5.4 5.3 5.4 6.2 6.9 ................................. 3.7 3.6 3.4 3.5 3.6 3.7 3.7 3.7 3.7 3.7 4.1 4.0 4.4 5.3 5.9 W o m e n , 2 0 y e a rs an d o v e r ........................... 5.2 5.0 5.0 4.9 4.8 5.2 4.8 5.0 4.9 5.0 5.1 5.2 4.9 5.5 5.8 .............................. 13.9 13.9 14.2 13.2 13.8 14.8 14.3 14.1 13.9 13.9 14.0 13.8 13.8 14,6 17.4 B la c k and o ther, t o t a l ................................................. 11.9 11.3 11.5 11.2 11.0 11.0 10.8 11.5 10.9 11.3 11.8 11.5 11.8 12.6 13.9 8.6 8.4 8.4 8.1 8.4 8.1 8.0 8.6 8.4 8.6 9.6 9.2 9.3 10.9 12.0 W hite, to ta l .................................................................... M en, 2 0 y e a rs and o v e r Both s e x e s , 1 6 - 1 9 y e a rs M en, 2 0 y e a rs an d o v e r ................................. W o m e n , 20 y e a rs and o v e r ........................... 10.6 10.1 10.0 10.4 10.0 10.3 9.8 10.2 9.5 10.0 10.0 9.0 10.5 11.4 11.9 B o th se xe s, 1 6 - 1 9 y e a rs .............................. 36.3 33.5 361 33.5 31.5 32.6 32.3 35.1 32.8 34.3 34.6 37 .9 33 .0 29.8 35.2 M a rrie d m en, s p o u s e p r e s e n t ................................. 2.8 2.7 2.5 2.7 2.8 2.9 2.9 2.9 2.9 2.8 3.4 3.1 3.4 4.1 4.7 M a rrie d w o m e n , sp o u se p r e s e n t ........................... 5.5 5.1 5.2 5.1 4.9 5.3 4.8 5.2 4.8 5.0 5.2 5.4 5.3 5.7 6.3 W o m e n w h o h ead f a m i l i e s ...................................... 8.5 8.3 8.6 9.0 8.1 7.9 7.7 8.4 8.4 8.4 9.2 8.5 8.7 9.3 8.3 5.4 5.4 5.7 5.6 5.8 6.6 7.5 8.3 8.5 8.7 8.9 8.3 8.9 9.3 F u ll-tim e w o r k e r s ......................................................... 5.5 5.3 5.2 5.2 5.3 5.4 5.3 5.4 P a rt-tim e w o rk e rs 9.0 8.7 9.3 8.6 8.3 8.8 8.4 8.9 ....................................................... U n e m p lo y e d 15 w e e k s and o v e r ........................... 1.4 1.2 1.2 1.1 1.0 1.1 1.1 1.2 1.1 1.2 1.3 1.2 1.3 1.6 1.6 L a b o r fo rc e tim e lo s t1 .............................................. 6.5 6.3 6.3 6.3 6.4 6.4 6.2 6.4 6.4 6.4 6.7 6.6 6.8 7.5 8.8 ......................................................... 3.5 3.3 3.2 3.4 3.3 3.5 3.3 3.4 3.2 3.3 3.4 3.4 3.3 3.7 3.9 ...................................... 2.6 2.4 2.1 2.5 2.5 2.5 2.4 2.7 2.4 2.3 2.2 2.3 2.3 2.4 2.7 2.2 2.4 OCCUPATION W h ite -c o lla r w o rk e rs P ro fe ssio n a l and te c h n ic a l M a n a g e rs and a d m in is tra to rs , e x c e p t fa rm 2.1 2.2 2.1 2.0 2.3 2.2 2.2 1.9 2.0 1.9 2.6 2.7 4.1 3.9 4.0 4.4 3.5 4.0 3.8 3.8 3.7 3.8 4.4 4.5 4.0 4.7 4.5 ......................................................... 4.9 4.6 4.5 4.6 4.5 4.9 4.5 4.7 4.4 4.6 4.8 4.7 4.5 5.1 5.4 ............................................................ 6.9 6.9 6.8 6.6 6.8 7.3 7.1 7.2 7.5 7.2 8.0 7.7 8.0 9.7 11.3 8.1 14.0 ............................................................................ S a le s w o rk e rs ............................................................... C le ric a l w o rk e rs B lu e -c o lla r w o rk e rs C ra ft an d k indred w o rk e rs ...................................... O p e ra tiv e s , e x c e p t tra n s p o rt ................................. 4.6 4.5 4.2 4.3 4.4 4.7 4.3 4.6 4.9 4.4 4.9 4.8 5.4 6.7 8.1 8.4 8.2 7.7 8.3 8.9 9.0 9.1 9.0 9.0 9.9 9.2 9.3 11.6 ........................... 5.2 5.4 5.4 5.7 5.1 6.2 6.1 5.6 5.2 5.0 6.9 6.7 6.6 8.9 9.0 ...................................................... 10.7 10.8 11.1 10.6 11.0 11.3 11.0 10.7 12.2 12.2 12.3 12.0 13.0 14.1 15.4 6.9 7.1 8.0 8.5 3.9 4.0 5.0 4.8 T ra n s p o rt e q u ip m e n t o p e ra tive s N o n fa rm la b o re rs 2.1 S e rv ic e w o r k e r s .................................................................... 7.4 7.1 7.2 7.2 7.1 7.1 6.7 6.8 6.6 6.6 6.9 F a r m w o r k e r s ......................................................................... 3.8 3.8 3.6 3.2 4.2 3.9 4.1 4.3 4.5 4.3 4,4 INDUSTRY 5.9 5.7 5.7 5.6 5.7 6.0 5.8 5.9 5.8 5.8 6.2 6.0 6.2 7.1 8.2 ................................................................. 10.6 10.2 10.0 10.0 10.0 10.1 9.6 9.9 10.2 10.3 10.8 10.5 13.0 15.1 17.5 M a n u fa c tu r in g ............................................................... 5.5 5.5 5.4 5.7 5.9 6.0 6.0 5.9 5.9 6.7 6.4 N o n a g ric u ltu ra l p riv a te w a g e and s a la ry w o r k e r s 2 C o n s tru c tio n 6.5 7.9 9.9 .................................................... 4.9 5.0 4.4 4.9 5.4 5.4 5.3 5.5 5.6 5.5 6.7 6.3 6.4 8.3 10.5 N o n d u ra b le g o o d s .............................................. 6.3 6.4 6.9 6.3 6.2 6.8 7.1 6.8 6.3 6.4 6.8 6.7 6.7 7.4 3.7 3.7 3.6 3.1 3.8 3.7 4.0 3.8 4.2 4.1 4.4 4.4 3.8 4.6 5.1 D u ra b le g o o d s T ra n s p o rta tio n and p u b lic utilities ........................ 5.4 W h o le s a le and retail t r a d e ...................................... 6.9 6.5 6.4 6.7 6.3 6.5 6.4 6.4 6.5 6.4 6.6 6.4 6.3 7.0 F in a n c e a n d se rv ic e in d u s trie s .............................. 5.1 4.9 4.9 4.7 4.9 5.2 4.7 4.9 4.6 4.7 4.6 4.6 4.9 5.1 5.7 ......................................................... 3.9 3.7 3.6 3.6 3.6 3.7 3.3 4.0 3.6 3.6 3.8 4.0 4.2 4.4 4.2 8.8 9.1 9.3 7.8 9.7 9.9 10.0 9.9 10.1 9.4 10.3 9.2 10.2 11.9 11.7 G o ve rn m e n t w o rk e rs A g ric u ltu ra l w a g e an d s a la ry w o rk e rs ........................ 1 A g g re g a te ho u rs lo s t by the u n e m p lo y e d and p e rs o n s on p a rt tim e fo r e c o n o m ic re a so n s a s a p e rc e n t o f p o te n tia lly a v a ila b le la b o r fo rc e hours. 2 In clu d e s m ining, n o t s h o w n s e p a ra te ly . 74 8.8 7.6 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N O TE: T he m o n th ly d a ta in th is ta b le h a ve b een re vise d to re fle c t se a so n a l e x p e rie n c e th ro u g h 1979. 5. U n e m p lo y m e n t ra te s , b y s e x a n d a g e , s e a s o n a lly a d ju s te d Annual average Sex and age 1978 T o ta l, 16 y e a rs a n d o v e r .................................................... 6.0 1979 May June July Aug. 1980 S ept Oct. Nov. Dec. Jan. Feb. Mar. Apr. May 5.8 5.8 5.7 5.7 5.9 5.8 5.9 5.8 5.9 6.2 6.2 7.0 7.8 16.3 16.1 16.5 15.4 15.8 16.6 16.2 16.4 15.9 16.0 16.3 16.5 15.9 16.2 19.2 16 to 17 y e a rs .................................................... 19.3 18.1 18.9 17.5 17.3 18.5 16.9 18.4 17.3 18.0 19.0 18.7 17.4 18.7 21.7 18 to 19 y e a rs 16 to 19 y e a rs ............................................................ 6 .0 .................................................... 14.2 14.6 15.0 14.4 14.5 15.4 15.6 15.0 14.7 14.5 14.0 15.1 14.7 14.4 17.7 ............................................................ 9.5 9.0 8.9 8.9 9.1 9.3 9.2 9.6 8.8 9.8 10.1 9.5 9.7 11.4 12.7 2 5 y e a rs and o v e r ....................................................... 4.0 3.9 3.9 2 0 to 24 y e a rs 3.9 3.9 4.0 3.9 4.0 4.0 3.8 4.2 4.1 4.4 5.0 .................................................... 4.2 4.1 4.0 4.1 4.0 4.2 4.1 4.2 4.3 4.1 4.4 4.5 4.7 5.4 5.9 55 y e a rs a n d o v e r .............................................. 3.2 3.0 3.1 2.9 3.2 3.1 2.9 3.0 2.7 2.7 3.5 2.8 2.8 3.4 3.6 25 to 54 y e a rs M en, 16 y e a rs a n d o v e r ............................................ 5.5 5.2 5.1 5.0 4.9 5.1 5.2 5.2 5.2 5.2 5.7 5.5 5.7 6.7 .................................................... 15.7 15.8 16.1 14.5 15.4 16.3 16.1 15.7 15.8 15.6 16.2 15.6 14.8 16.1 19.7 16 to 17 y e a r s ............................................ 19.2 17.9 18.9 16.8 16.1 18.0 16.7 17.1 17.8 17.9 19.0 18.0 15.9 18.3 22 .0 18 to 19 y e a r s ............................................ 16 to 19 y e a rs 5.2 7.7 13.2 14.2 14.0 14.0 14.8 15.1 15.3 14.4 14.0 13.6 13.9 14.1 14.0 14.2 17.9 .................................................... 9.1 8.6 8.2 8.3 8.8 8.8 8.8 9.5 8.4 9.4 10.4 9.9 10.4 12.3 13.7 25 y e a rs a n d o v e r .............................................. 3.3 3.3 3.1 3.2 3.3 3.4 3.3 3.4 3.5 3.2 3.7 3.6 3.9 4.7 5.3 2 5 to 54 y e a r s ............................................ 3.4 3.4 3.2 3.2 3.4 3.5 3.6 3.5 3.8 3.4 3.8 3.8 4.2 5.0 5.7 55 y e a rs a n d o v e r ................................... 3.1 2.9 2.8 3.1 3.3 3.1 2.8 2.8 2.6 2.6 3.5 2.6 2.7 3.4 3.5 W o m e n , 16 y e a rs an d o v e r .................................... 7.2 6.8 6.9 6.8 6.6 7.0 6.6 6.9 6.6 6.8 6.8 6.8 2 0 to 24 y e a rs 16 to 19 y e a rs 6.8 7.3 7.8 .................................................... 17.0 16.4 16.9 16.5 16.2 17.0 16.4 17.2 16.1 16.4 16.3 17.6 17.3 16.3 18.7 16 to 17 y e a r s ............................................ 19.5 183 18.8 18.3 18.6 19.0 17.2 19.8 16.7 18.0 19.1 19.5 19.2 19.1 21.4 18 to 19 y e a r s ............................................ 15.3 15.0 16.0 14.9 14.2 15.7 15.9 15.6 15.5 15.5 14.2 16.2 15.6 14.6 17.5 .................................................... 10.1 9.6 9.7 9.7 9.4 9.8 9.6 9.7 9.3 10.2 9.8 9.1 9.0 10.2 11.6 25 y e a rs a n d o v e r .............................................. 5.1 4.8 4.9 4.8 4.7 4.9 4.6 4.9 4.7 4.7 4.9 4.9 5.0 5.5 5.7 25 to 54 y e a r s ............................................ 5.4 5.2 5.2 5.2 5.0 5.3 5.0 5.2 5.0 5.1 5.2 5.4 5.5 6.0 6.1 55 y e a rs and o v e r 3.3 3.2 3.6 28 3.1 3.2 2.9 3.4 2.9 2.9 3.4 3.0 2.9 3.4 3.6 Apr. May 2 0 to 24 y e a rs 6. 1979 .................................... U n e m p lo y e d p e rs o n s , b y re a s o n fo r u n e m p lo y m e n t, s e a s o n a lly a d ju s te d [N u m b e r s in th o u s a n d s ] 1979 Reason fo r unem ploym ent 1980 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. 2,356 2,449 2,5 2 6 2 ,6 8 0 2,632 2,731 2,729 2,728 2,988 2,907 3,047 NUMBER OF UNEMPLOYED L o s t la s t jo b ..................................................................................... O r la y o ff ........................................................................................................ O th e r jo b lo s e rs .................................................................................. Le ft la s t j o b .................................................................................................. R e e n te re d la b o r fo rc e ............................................................................................. S e e kin g firs t j o b ............................................................................... 3,611 4,301 725 816 797 915 855 929 987 944 1,019 1,031 1,129 1,424 1,944 1,631 1,633 1,729 1,765 1,777 1,802 1,742 1,784 1,969 1,876 1,918 2,188 2,3 5 7 94 0 857 846 875 825 835 845 800 779 813 788 92 6 992 1,767 1,753 1,762 1,788 1,760 1,762 1,698 1,771 1,797 1,784 1,803 1,967 2,015 824 781 726 745 801 804 736 858 811 827 805 743 884 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100 0 100.0 100.0 100.0 100.0 100.0 40 .0 41.9 43.1 44.0 43.7 4 4.5 45.4 44.3 46.9 45.9 47 .3 49.8 52.5 PERCENT DISTRIBUTION T o ta l u n e m p lo y e d ................................................................. J o b l o s e r s .......................................................................................... O r la y o ff ................................................................................................ 12.3 14.0 13.6 15.0 14.2 15.2 16.4 15.3 16.0 16.3 17.5 19.6 23.7 27.7 2 8.0 29 .5 29 .0 29.5 29.4 2 9.0 29.0 30.9 2 9.6 29.8 30.2 28.8 J o b l e a v e r s ............................................................................... 16.0 14.7 14.4 14.4 13.7 13.6 14.1 13.0 12.2 12.8 12.2 12.8 12.1 R e e n tra n ts 300 3 0.0 30.1 29.4 2 9.2 28.7 28.3 28.8 28.2 28.2 28 .0 27.1 2 4.6 14.0 13.4 12.4 12.2 13.3 13.1 12.3 13.9 12.7 13.1 12.5 10.3 10.8 2.3 2.4 2.5 2.6 2.5 2.6 2.6 2.6 2.9 2.8 2.9 3.5 4.1 .9 8 .8 .8 .8 .8 8 .8 .7 .8 .8 9 .9 1.7 1.7 1.7 1.7 1.7 1.7 1.6 1.7 1.7 1.7 1.7 1.9 1.9 .8 .8 .7 .7 .8 .8 .7 .8 .8 .8 .8 .7 .8 O th e r jo b lo s e rs .................................................................. .................................................................... N e w e n t r a n t s ....................................................................................... UNEMPLOYED AS A PERCENT OF THE CIVILIAN LABOR FORCE J o b l o s e r s ........................................................................................................... J o b l e a v e r s ............................................................................................. R e e n tra n ts .......................................................................... N e w e n t r a n t s ............................................................................... 7. D u ra tio n o f u n e m p lo y m e n t, s e a s o n a lly a d ju s te d [ N u m b e r s in th o u s a n d s ] Weeks o f unem ploym ent Annual average 1978 1979 1979 1980 May June July Aug. S ept O ct Nov. Dec. Jan. Feb. Mar. Apr. May Less th a n 5 w e e k s ............................................................... 2,793 2,869 2,823 2 ,8 8 0 2 ,8 2 0 3,168 2 ,7 7 8 2 ,9 5 5 2,919 2,9 1 6 3,184 2,995 2,995 3,309 3,872 5 to 14 w e e k s 1,875 1,892 1,919 1,808 1,934 1,738 2 ,0 3 5 1,963 1,869 1,966 1,907 2,081 2,169 2,391 2,697 ............................................................ 1,379 1,202 1,212 1,152 1,067 1,185 1,152 1,195 1,191 1,230 1,334 1,286 1,363 1,629 1,722 15 to 2 6 w e e k s ............................................................ 74 6 684 705 65 6 615 658 644 67 8 660 711 795 790 776 953 1,014 27 w eeks and over 633 518 507 49 6 452 527 508 517 531 519 539 49 6 58 7 676 709 11.9 10.8 10.9 10.5 10.1 10.7 10.7 10.5 10.6 10.5 10.5 10.7 11.0 11.3 10.5 ....................................................................... 15 w e e k s a n d o v e r .................................................... A v e ra g e (m e a n ) du ra tio n , in w e e k s .............................. N O T E : T he m o n th ly d a ta in th e s e ta b le s h a v e b een re v is e d to re fle c t s e a s o n a l e x p e rie n c e th ro u g h 1979. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 75 EMPLOYMENT, HOURS, AND EARNINGS DATA FROM ESTABLISHMENT SURVEYS E m p l o y m e n t , h o u r s , a n d e a r n i n g s d a t a in this section are compiled from payroll records reported monthly on a volun tary basis to the Bureau of Labor Statistics and its cooperat ing State agencies by 162,000 establishments representing all industries except agriculture. In most industries, the sampling, probabilities are based on the size of the establishment; most large establishments are therefore in the sample. (An estab lishment is not necessarily a firm; it may be a branch plant, for example, or warehouse.) Self-employed persons and others not on a regular civilian payroll are outside the scope of the survey because they are excluded from establishment records. This largely accounts for the difference in employment figures between the household and establishment surveys. L a b o r t u r n o v e r d a t a in this section are compiled from per sonnel records reported monthly on a voluntary basis to the Bureau of Labor Statistics and its cooperating State agencies. A sample of 40,000 establishments represents all industries in the manufacturing and mining sectors of the economy. Bureau of Labor Statistics computes spendable earnings from gross weekly earnings for only two illustrative cases: (1) a worker with no dependents and (2) a married worker with three dependents. Hours represent the average weekly hours of production or nonsupervisory workers for which pay was received and are different from standard or scheduled hours. Overtime hours represent the por tion of gross average weekly hours which were in excess of regular hours and for which overtime premiums were paid. Labor turnover is the movement of all wage and salary workers from one employment status to another. Accession rates indicate the average number of persons added to a payroll in a given period per 100 employees; separation rates indicate the average number dropped from a payroll per 100 employees. Although month-to-month changes in employment can be calculated from the labor turnover data, the re sults are not comparable with employment data from the employment and payroll survey. The labor turnover survey measures changes dur ing the calendar month while the employment and payroll survey measures changes from midmonth to midmonth. Notes on the data Definitions Employed persons are all persons who received pay (including holi day and sick pay) 12th of the month. cent of all persons ment which reports for any part of the payroll period including the Persons holding more than one job (about 5 per in the labor force) are counted in each establish them. Production workers in manufacturing include blue-collar worker supervisors and all nonsupervisory workers closely associated with production operations. Those workers mentioned in tables 14-20 in clude production workers in manufacturing and mining; construction workers in construction; and nonsupervisory workers in transporta tion and public utilities, in wholesale and retail trade, in finance, in surance, and real estate, and in service industries. These groups account for about four-fifths of the total employment on private nonagricultural payrolls. Earnings are the payments production or nonsupervisory workers receive during the survey period, including premium pay for overtime or late-shift work but excluding irregular bonuses and other special payments. Real earnings are earnings adjusted to eliminate the effects of price change. The H ourly Earnings Index is calculated from aver age hourly earnings data adjusted to exclude the effects of two types of changes that are unrelated to underlying wage-rate developments: fluctuations in overtime premiums in manufacturing (the only sector for which overtime data are available) and the effects of changes and seasonal factors in the proportion of workers in high-wage and lowwage industries. Spendable earnings are earnings from which estimat ed social security and Federal income taxes have been deducted. The 76 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Establishment data collected by the Bureau of Labor Statistics are periodically adjusted to comprehensive counts of employment (called “benchmarks”). The latest complete adjustment was made with the re lease of September 1979 data, published in the November 1979 issue of the Review. Consequently, data published in the R eview prior to that issue are not necessarily comparable to current data. Complete compa rable historical unadjusted and seasonally adjusted data are published in a Supplement to Employment and Earnings (unadjusted data from April 1977 through June 1979 and seasonally adjusted data from Jan uary 1974 through June 1979) and in E m p lo ym en t a n d Earnings, U nit e d States, 1 9 0 9 -7 8 , BLS Bulletin 1312-11 (for prior periods). Data on recalls were shown for the first time in tables 12 and 13 in the January 1978 issue of the Review. For a detailed discussion of the recalls series, along with historical data, see “New Series on Recalls from the Labor Turnover Survey,” E m p lo ym en t a n d Earnings, Decem ber 1977, pp. 10-19. A comprehensive discussion of the differences between household and establishment data on employment appears in Gloria P. Green, “Comparing employment estimates from household and payroll sur veys,” M on th ly L a bor Review, December 1969, pp. 9-2 0 . See also B L S H an dbook o f M ethods f o r Surveys a n d Studies, Bulletin 1910 (Bu reau of Labor Statistics, 1976). The formulas used to construct the spendable average weekly earn ings series reflect the latest provisions of the Federal income tax and social security tax laws. For the spendable average weekly earnings formulas for the years 1978-80, see E m p lo y m e n t-a n d Earnings, March 1980, pp. 10-11. Real earnings data are adjusted using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). 8. E m p lo y m e n t b y in d u s try , 1 9 5 0 -7 9 [N onagricultural payroll data, in thousands] Total Mining Construc tion Manufac turing Trans portation and public utilities Whole sale and retail trade Wholesale trade Retail trade Finance, insur ance, and real estate Services 1950 4 5 ,197 901 2,364 15,241 4,034 9 ,3 8 6 2,635 6,751 1,888 5,357 1951 4 7 ,819 929 2,637 16,393 4,226 9,742 2,727 7,015 1,956 5,547 State and local 6 ,0 2 6 1,928 4,098 6,389 2,302 4,087 1952 48,793 898 2,6 6 8 16,632 4,248 10,004 2,812 7,192 2,035 5,699 6 ,6 0 9 2 ,4 2 0 4,188 1953 5 0 ,202 866 2,659 17,549 4,290 10,247 2,854 7,393 2,111 5,835 6,645 2,305 4,340 1954 4 8 ,990 791 2,646 16,314 4,084 10,235 2,867 7,368 2,200 5,969 6,751 2,188 1955 4,563 50,641 792 2 ,8 3 9 16,882 4,141 10,535 2,926 7,6 1 0 2,298 6,2 4 0 6 ,9 1 4 2,187 4,727 1956 5 2 ,369 822 3,039 17,243 4,244 10,858 3,018 7,840 2,389 6,497 7,278 2,209 1957 5,069 52,853 828 2,962 17,174 4,241 10,886 3,028 7,858 2,438 6,708 7 ,6 1 6 2 ,2 1 7 1958 5,399 51,324 751 2,817 15,945 3,976 10,750 2,980 7 ,7 7 0 2,481 6 ,7 6 5 7,839 2,191 1959' 5,648 5 3 ,268 732 3,004 16,675 4,011 11,127 3,082 8,045 2,5 4 9 7,087 8,083 2,233 1960 5,850 54,189 712 2 ,9 2 6 16,796 4,004 11,391 3,143 8,248 2,629 7,378 8,353 2 ,2 7 0 6,083 8,594 1961 5 3 ,999 672 2,859 16,326 3,903 11,337 3,133 8,204 2,688 7,620 1962 5 5 ,549 65 0 2,948 16,853 3,906 11,566 3,198 8,368 2,754 7,982 8,890 2,340 1963 6,550 56,653 635 3 ,0 1 0 16,995 3,903 11,778 3,248 8,5 3 0 2,830 8,277 9,2 2 5 2,358 1964 6,868 5 8 ,283 634 3,097 17,274 3,951 12,160 3,337 8,823 2,911 8 ,6 6 0 9,5 9 6 2,348 7,248 1965 6 0 ,765 632 3,232 18,062 4,036 1 2 ,716 3,466 9 ,2 5 0 2,977 9,036 10,074 2,378 7,696 1966 63,901 627 3,317 19,214 4,158 13,245 3,597 9,6 4 8 3,058 9,498 10,784 2,564 8,220 2,279 6,315 1967 6 5 ,803 61 3 3,248 19,447 4,268 10,045 11,391 2,719 1968 8,672 6 7 ,897 606 3,350 19,781 4,318 14,099 3,779 10,320 3,337 10,567 11,839 2,737 1969 9 ,1 0 2 70,384 619 3,575 20,167 4,442 14,705 3,907 10,798 3,512 11,169 12,195 2,758 9,437 1970 7 0 ,8 8 0 623 3,588 19,367 4,515 15,040 3,993 11,047 3,645 11,548 12,554 2,731 9,823 1971 71,214 60 9 3,704 18,623 4,476 15,352 4,001 11,351 3,772 11,797 13,606 3,689 9,917 3,185 12,881 2,6 9 6 1972 10,185 73,675 628 3,889 19,151 4,541 15,949 4,113 11,836 3,908 12,276 13,334 2,684 10,649 1973 7 6 ,790 642 4,097 20,154 4 ,6 5 6 16,607 4,277 12,329 4,046 12,857 1974 13,732 2,663 11,068 78,265 697 4 ,0 2 0 20,077 4,725 16,987 4,433 12,554 4,148 13,441 14,170 2,724 1975 11,446 7 6 ,945 752 3,525 18,323 4,542 17,060 4,415 12,645 4,165 13,892 14,686 2,748 11,937 1976 79,382 779 3,5 7 6 18,997 4,582 17,755 4,546 13,209 4,271 14,551 14,871 2,733 12,138 1977 8 2 ,423 813 3,851 19,682 4,713 18,516 4,708 13,808 4,467 15,303 15,079 2,727 1978 12,352 8 6 ,446 851 4,271 2 0 ,476 4,927 19,499 4,957 14,542 4,727 16,220 15,476 1979 2 ,7 5 3 12,723 89,482 957 4,644 20,972 5,154 2 0 ,137 5,170 14,966 4,963 17,043 15,612 2,773 12,839 ’ D a ta in c lu d e A la s k a and H a w a ii b eginning in 1959. 9. E m p lo y m e n t b y S ta te [N o n a g r ic u ltu r a l p a y r o ll d a ta , in th o u s a n d s ] State A la b a m a Apr. 1979 ................... Mar. 1980 Apr. 1980» ...................... 97 3 .0 A rka n sa s ................... 749.8 C a lif o r n ia ................... 9 ,541.7 C o lo ra d o 1.197.6 ................... C o n n e c tic u t .............. 1.394.7 D e la w a r e ................... 254.4 D istrict o f C o lu m b ia , 612.8 F l o r i d a ........................ 3 .365.0 G e o r g i a ...................... 2 ,109.3 H a w a i i ........................ 393.4 I d a h o ........................... 333.1 Illinois ......................... 4 ,762.5 In d ia n a ........................ 2 .251.7 Iow a 1,130.2 ........................... K a n sa s ...................... 94 6 .0 ................... 1.247.1 L o u is ia n a ................... 1.490.8 K e n tu cky M a in e ......................... 4093 2 ,5 8 9 5 M ich ig a n ................... 3,621.1 M in n e so ta ................ 1,743,3 M ississippi ................ 83 4 1 M is s o u r i...................... 2 0 03.0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mar. 1980 Apr. 1980» 1,364.2 1,008.4 754.0 9,788.6 1,008.7 754.2 9,804.2 M ontana............................................. N e b ra ska .................................................. Nevada ................................................ New Hampshire ........................ New Jersey ......................... 2774 622.5 374.5 369.2 2,994.4 279.9 624.3 394.7 379.5 3,0140 279.3 628.5 396.9 373.8 3,030.7 1,248.1 1,404.7 256.0 614.0 3,548.5 1,246.0 1,411.1 254.1 615.8 3,533.1 New M e x ic o ................................. New Y o rk ............................... North Carolina ............................. North Dakota ............................. Ohio ................................................ 455.9 7,122.3 2,362.0 236.8 4,473.4 469.7 7,140.3 2,410.2 243.1 4,438.2 473,5 7,096.5 2,4206 245.5 4,445.6 2,137.9 411.3 327.7 4,712.3 2,206.5 2,136.8 410.5 325.9 4,712.5 2,219.3 Oklahoma ...................... Oregor ................................. Pennsylvania ...................................... Rhode Island ............................. South Carolina ........................................... 1,075.3 1,036.7 4,819.4 396.5 1,174,7 1,120.0 1,051.9 4,773.2 392.5 1,194.4 1,128.4 1,040.6 4,805.5 393.9 1,200.7 1,124.7 953.3 1,223.3 1,520.9 406.9 1,131.7 955.0 1,227.2 1,525.6 412.0 South D a k o ta ............................. Tennessee ........................ Texas ................................................ Utah ........................................... V e rm o n t.................................... 237.3 1,776.2 5,543.1 5400 192.1 2345 1,789.1 5,742.8 562.9 201.1 236.4 1.788.3 5,754.3 566.6 196.0 2,097.5 2,665.7 3,439.1 1,781.8 835.7 1,997.5 Virginia............................. Washington ................................. West Virginia ........................ W isconsin............................. Wyoming ................... Virgin Islands ........................ 2,082.8 2,634.5 3,505.2 1,770.0 836.6 1.985.2 2,106,5 6399 1,931.6 193.8 360 6299 1,962 6 211.3 37.8 6334 1,973.0 213.5 37.3 M a r y l a n d ................... M a ssa ch u s e tts Apr. 1979 1,362.8 A l a s k a ........................ A rizo n a State & c 77 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Establishment Data 10. E m p lo y m e n t b y in d u stry d iv is io n an d m a jo r m a n u fa c tu rin g g ro u p [ N o n a g r ic u ltu r a l p a y r o ll d a ta , in th o u s a n d s ] 1980 1979 Annual average Industry division and group TOTAL ................................................................... MINING CONSTRUCTION MANUFACTURING P ro d u c tio n w o rk e rs .................................................... Durable goods P ro d u c tio n w o r k e r s ............................................ 1978 1979 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. A p r.p May p 8 6 ,446 8 9 ,482 89,671 90,541 8 9 ,618 8 9 ,673 90,211 9 0 ,678 9 0 ,902 9 1 ,009 8 9 ,285 8 9 ,417 8 9 ,960 90,295 9 0 ,606 980 982 984 984 982 986 996 1,007 1,034 851 957 944 968 976 986 4,271 4,644 4,662 4,881 4,993 5,048 4,984 4,9 7 6 4,879 4,711 4,350 4,261 4,305 4,444 4,615 2 1 ,094 2 0 ,966 2 0 ,902 20,699 2 0 ,648 2 0 ,709 20,448 2 0 ,256 15,082 14,954 14,891 14,674 14,615 14,662 14,398 14,175 2 0 ,4 7 6 2 0 ,972 2 0 ,988 2 1 ,234 20,965 2 0 ,996 2 1 ,192 14,714 15,010 15,061 15,240 14,946 14,960 15,172 12,246 12,690 12,739 12,877 12,712 12,598 12,805 12,737 12,661 12,649 12,525 12,523 12,569 12,344 12,149 8 ,7 8 6 9,053 9,129 9,223 9,031 8,907 9,116 9,058 8,983 8,971 8 ,8 2 5 8,813 8 ,8 5 0 8,6 2 0 8,399 ................................... 752.4 758.4 763.8 783.2 776.8 780.0 776.3 771.3 748.9 729.2 709.2 710.6 708.5 671.1 659.1 F u rn itu re and f ix t u r e s ................................................. 491.1 487.3 48 3 .9 484.2 4 7 5 .5 483.5 485.3 487.6 488.7 486.9 484.4 480.7 480.7 475.1 46 1 .3 723.6 721.0 712.9 6 9 9 .6 680.8 677.5 682.5 67 9 .8 669.4 1 ,162.0 L u m b e r a n d w o o d p ro d u c ts ........................... 69 8 .0 710.8 718.6 733.1 727.1 728.2 P rim a ry m e ta l in d u s tr ie s ............................................ 1,2 12.7 1,243.9 1,258.6 1,274.3 1,260.7 1,244.5 1,244.3 1,225.1 1,216.7 1,204.4 1,201.6 1,199.4 1,197.9 1,187.7 F a b ric a te d m e ta l p ro d u c ts ...................................... 1,6 73.4 1,727.2 1,727.8 1,749.0 1,715.7 1,716.1 1,735.3 1,738.3 1,738.2 1,730.4 1,703.8 1,706.5 1,711.0 1,678.8 1,624.3 M a c h in e ry , e x c e p t e l e c t r ic a l................................... 2 ,319.2 2 ,462.5 2 ,4 6 3 .6 2 ,491.2 2,485.1 2,467.1 2,496.4 2 ,447.2 2,440.9 2 ,455.8 2 ,522.5 2 ,520.8 2 ,522.9 2 ,505.2 2 ,4 9 9 .0 2 ,143.7 2 ,146.3 2,153.1 2 ,1 4 4 .5 2 ,138.3 2,147.4 2 ,133.9 2 ,110.9 1,823.0 S to n e , c la y , and g la s s p ro d u c ts 2 ,108.7 2 ,095.2 2 ,1 2 8 .2 2 ,111.7 2 ,089.5 2,136.1 1,991.7 2 ,048.3 2 ,091.8 2 ,077.9 2,027.7 1,933.2 2 ,051.0 2 ,040.9 2 ,009.7 2 ,043.4 1,943.6 1,950.4 1,972.1 1,866.9 ......................... 653.5 690.4 686.5 698.8 692.9 695.3 692.7 695.4 695.9 699.8 698.9 701.2 704.4 704.3 704.2 ................................. 454.0 452.4 44 8 ,9 457.4 438.6 46 0 .6 463.8 466.9 462.8 446.4 435.9 437.2 441.4 440.7 435.8 8 ,2 3 0 8,283 8,249 8,357 8 ,2 5 3 8,398 8,387 8,357 8,305 8,253 8,174 8,125 8,140 8,104 8,107 5,928 5,957 5,932 6,017 5,915 6,053 6,0 5 6 6,024 5,971 5,920 5,849 5,802 5,812 5,778 5,776 1,737.8 1,810.0 1,814.1 1,766.8 1,725.0 1,695.9 1,650.5 1,634.9 1,632.5 1,615.7 1,633.8 E le c tric an d e le c tro n ic e q u ip m e n t ........................ 1,999.5 T ra n s p o rta tio n e q u ip m e n t......................................... In s tru m e n ts and re la te d p ro d u c ts M is c e lla n e o u s m a n u fa c tu rin g P ro d u c tio n w o r k e r s ............................................ F o o d a n d k in d re d p r o d u c ts ...................................... 1,721.2 1,716.3 1,669.6 1,716.6 61.1 59.9 59.3 69.6 66.2 61.9 62.1 62.1 69.0 72.2 71.9 64.8 66.7 900.2 891.9 892.5 900.4 87 5 .5 890.4 888.9 889.8 893.9 893.5 887.4 887.9 890.6 887.1 877.1 1,292.0 1,284.4 1,305.9 1,317.0 1,304.4 1,301.0 T o b a c c o m a n u fa c tu re s A p p a re l an d o th e r te x tile p ro d u c ts ...................... 1,332.5 1,313.1 1,327.5 1,333.1 1,278.7 1,308.9 1,309.1 1,317.0 1,306.2 65.1 63.4 ............................................ T e x tile m ill p r o d u c t s .................................................... ...................................... 700.9 714.1 712.7 7 2 4 .6 719.6 723.3 718.5 717.7 715.9 71 4 .0 711.8 71 0 .0 710.7 707.8 702.6 Printing an d p u b lis h in g .............................................. 1,193.1 1,242.9 1,234.7 1,243.4 1,245.8 1,245.4 1,246.1 1,254.5 1,265.6 1,272.0 1,269.5 1,274.0 1,275.8 1,273.2 1,270.1 C h e m ic a ls and a llie d p ro d u c ts .............................. 1,096.3 1,112.7 1,110.9 1,126.6 1,123.0 1,121.2 1,114.9 1,115.0 1,115.2 1,115.6 1,113.9 1,113.0 1,118.5 1,121.0 1,121.2 ................................. 2087 2138 212.9 216.8 2 1 8 .0 218.3 218.1 218.1 217.2 214.9 213.1 159.1 156.3 168.2 204.9 R u b b e r and m is c e lla n e o u s p la s tic s p ro d u c ts 751.9 767.5 77 7 .0 779.4 767.4 765.8 76 2 .0 7 6 2 .6 757.6 747.5 742,2 738.3 738.7 7 2 7 .9 696.4 L e a th e r and le a th e r p ro d u c ts 255.6 243.8 24 9 .2 253.7 224.7 245.8 243.1 243.1 2 4 3 .2 240.7 236.1 238.3 238.8 239.2 240.9 5,210 5,242 5,244 5,255 5,254 5,149 5,142 5,156 5,153 5,182 P a p e r an d a llie d p ro d u c ts P e tro le u m an d c o a l p ro d u c ts ................................. TRANSPORTATION AND PUBLIC UTILITIES 4,927 5,154 5,125 5,231 5,200 19,499 2 0 ,137 2 0 ,119 2 0 ,222 2 0 ,118 2 0 ,137 2 0 ,2 6 0 2 0 ,314 2 0 ,580 2 0 ,932 2 0 ,224 20,041 2 0 ,112 2 0 ,217 20,361 4,957 5,170 5,146 5,211 5,208 5,211 5,206 5,235 5,251 5,234 5,211 5,221 5,241 5,212 5,217 14,542 14,966 14,973 15,011 14,910 14,926 15,054 15,079 15,329 15,698 15,013 14,820 14,871 15,005 15,144 4,727 4,963 4,9 3 6 5,003 5,032 5,053 5,002 5,013 5,029 5,041 5,040 5,051 5,076 5,092 5,131 SERVICES 16,220 17,043 17,039 17,239 17,314 17,312 17,225 17,292 17,281 17,270 17,111 17,294 17,460 17,596 17,738 GOVERNMENT 15,476 15,612 15,858 15,763 15,020 14,931 15,326 15,763 15,928 15,915 15,730 15,994 16,146 16,338 16,289 2,753 2,773 2,773 2,824 2,838 2,844 2,751 2,7 5 6 2,760 2,770 2,763 2,803 2,869 3,103 3 ,0 2 9 13,277 13,235 13,260 WHOLESALE AND RETAIL TRADE WHOLESALE TRADE RETAIL TRADE FINANCE, INSURANCE, AND REAL ESTATE F e d e r a l ............................................................................ S ta te a n d lo ca l ............................................................ 78 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12,723 12,839 13,085 12,939 12,182 12,087 12,575 13,007 13,168 13,145 12,967 13,191 11. E m p lo y m e n t b y in d u s try d iv is io n a n d m a jo r m a n u fa c tu rin g g ro u p , s e a s o n a lly a d ju s te d [N onagricultural payroll data, in thousands] 1979 1980 Industry division and group May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. A p r.p M ayp TOTAL ...................................................................... 89,398 89,626 89,713 89,762 89,803 89,982 90,100 90,241 90,652 90,845 90,819 90,508 90,328 MINING .......................................................................... 944 949 956 968 973 979 983 991 1,000 1,009 1,011 1,016 1,034 4,648 4,662 4,688 4,674 4,671 4,694 4,714 4,783 4,893 4,831 4,700 4,591 4,601 21,059 15,112 21,063 15,096 21,079 15,090 20,957 14,956 20,949 14,957 20,899 14,894 20,836 14,829 20,881 14,865 20,890 14,848 20,892 14,826 20,889 14,815 20,603 14,522 20,328 14,226 12,739 9,119 12,760 9,123 12,786 9,124 12,714 9,044 12,737 9,066 12,650 8,972 12,587 8,908 12,615 . 8,931 12,601 8,894 12,655 8,926 12,653 8,924 12,396 8,658 12,153 8,393 762 487 715 1,254 1,730 2,471 2,106 2,077 688 449 757 485 715 1,257 1,737 2,484 2,124 2,057 693 451 753 488 711 1,256 1,730 2,500 2,131 2,073 694 450 752 484 710 1,245 1,714 2,492 2,092 2,079 695 451 758 480 708 1,236 1,716 2,496 2,117 2,086 692 448 760 482 709 1,226 1,723 2,455 2,125 2,025 696 449 751 483 704 1,223 1,726 2,438 2,125 1,994 694 449 740 483 706 1,208 1,725 2,444 2,140 2,019 698 452 737 484 708 1,208 1,712 2,512 2,149 1,938 700 453 740 481 709 1,210 1,724 2,511 2,147 1,980 703 450 730 482 703 1,205 1,723 2,513 2,158 1,982 707 450 682 477 687 1,189 1,687 2,503 2,149 1,869 706 447 658 465 666 1,157 1,626 2,507 2,122 1,810 706 436 8,320 5,993 8,303 5,973 8,293 5,966 8,243 5,912 8,212 5,891 8,249 5,922 8,249 5,921 8,266 5,934 8,289 5,954 8,237 5,900 8,236 5,891 8,207 5,864 8,175 5,833 1,725 70 893 1,324 714 1,236 1,114 213 784 247 1,720 69 892 1,312 715 1,242 1,119 212 775 247 1,707 68 892 1,324 718 1,250 1,116 212 777 229 1,696 64 886 1,302 717 1,247 1,111 213 764 243 1,691 65 884 1,294 714 1,245 1,110 215 751 243 1,707 65 887 1,299 715 1,252 1,113 217 751 243 1,710 60 889 1,292 714 1,262 1,114 217 749 242 1,715 62 893 1,297 713 1,263 1,119 217 745 242 1,707 64 891 1,309 718 1,273 1,123 219 745 240 1,705 65 891 1,312 717 1,278 1,121 163 744 241 1,701 65 893 1,314 718 1,278 1,123 160 744 240 1,685 66 889 1,306 714 1,276 1,126 170 737 238 1,688 67 877 1,297 704 1,271 1,125 205 703 238 CONSTRUCTION MANUFACTURING ...................................................................... Production workers ................................................................. Durable goods Production w o rk e rs ........................................................................... Lumber and wood p ro d u c ts .................................................. Furniture and fix tu re s ............................................................................. Stone, clay, and glass products .............................................................. Primary metal industries................................................................. Fabricated metal p ro d u c ts .......................................................... Machinery, except e le c tric a l...................................................................... Electric and electronic e q u ip m e n t................................................ Transportation equipm ent....................................................... Instruments and related products .............................................................. Miscellaneous manufacturing ................................................................... Nondurable goods Production w o rk e rs ............................................................................. Food and kindred prod ucts.......................................................................... Tobacco manufactures ............................................................................. Textile mill prod ucts.................................................................................... Apparel and other textile products ............................................................ Paper and allied products .......................................................................... Printing and publishing.................................................................................. Chemicals and allied products ................................................................... Petroleum and coal products ................................................................... Rubber and miscellaneous plastics products ........................................... Leather and leather products ................................................................. TRANSPORTATION AND PUBLIC UTILITIES ...................................... WHOLESALE AND RETAIL TRADE WHOLESALE TRADE ................................................................. RETAIL T R A D E ................................................................. FINANCE, INSURANCE, AND REAL ESTATE ........................................... 5,130 5,190 5,169 5,194 5,180 5,218 5,229 5,223 5,212 5,210 5,213 5,189 5,187 20,129 20,116 20,122 20,126 20,169 20,243 20,308 20,254 20,428 20,521 20,499 20,349 20,371 5,156 5,180 5,182 5,185 5,190 5,209 5,235 5,218 5,248 5,274 5,278 5,238 5,227 14,973 14,936 14,940 14,941 14,979 15,034 15,073 15,036 15,180 15,247 15,221 15,111 15,144 4,936 4,958 4,972 5,003 4,997 5,018 5,039 5,056 5,081 5,092 5,107 5,107 5,131 SERVICES .................................................................................... 16,954 17,051 17,092 17,141 17,191 17,257 17,298 17,357 17,442 17,522 17,548 17,578 17,650 GOVERNMENT F ede ral..................................................................................................... State and local ......................................................................................... 15,598 2,770 12,828 15,637 2,788 12,849 15,635 2,785 12,850 15,699 2,813 12,886 15,673 2,762 12,911 15,674 2,770 12,904 15,693 2,771 12,922 15,696 2,771 12,925 15,706 2,791 12,915 15,768 2,823 12,945 15,852 2,886 12,966 16,075 3,112 12,963 16,026 3,026 13,000 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 79 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Establishment Data 12. L a b o r tu rn o v e r ra te s in m a n u fa c tu rin g , 19 77 to d a te [Per 100 employees] Year Annual average Jan. Mar. Feb. June May Apr. July Aug. Sept. Oct. Nov. Dec. 4.3 4.4 4.3 5.3 5.4 4.9 4.6 4.9 4.4 3.9 4.3 4.1 3.1 3.3 2.9 2.4 2.4 2.2 3.0 3.3 3.1 4.0 4.2 3.7 3.5 3.9 3.4 3.0 3.5 3.1 2.2 2.6 2.2 1.6 1.7 1.5 .9 .8 9 1.0 .9 .9 .8 .7 .8 .6 .6 .7 .6 .5 .5 .6 .5 .5 4.3 4.1 4.3 5.1 5.3 5.7 4.9 4.8 4.7 3.8 4.1 4.2 3.4 3.5 3.8 3.4 3.4 3.5 1.9 2.1 2.0 3.1 3.5 3.3 2.8 3.1 2.7 1.9 2.3 2.1 1.5 1.7 1.6 1.2 1.3 1.1 1.5 1.0 1.4 1.0 .8 1.3 1.1 ' .8 1.1 1.1 .9 1.2 1.1 1.0 1.5 1.5 1.4 1.7 Total accessions 1977 1978 1979 1980 ....................................................... ....................................................... ....................................................... ....................................................... 3.7 3.2 3.4 3.3 3.7 3.8 4.0 3.8 4.0 4.1 3.9 4.0 3.8 3.8 3.5 3.8 4.0 3.9 p 3.1 4.9 4.9 4.8 4.6 4.7 4.7 New hires 3.7 3.9 3.8 1977 1978 1979 1980 ....................................................... ....................................................... ....................................................... ....................................................... 2.8 3.1 2.9 2.2 2.5 2.8 2.4 2.1 2.2 2.5 2.2 2.6 2.7 2.8 2.3 2.7 2.9 2.9 p2.0 3.5 3.6 3.6 1977 1978 1979 1980 ....................................................... ....................................................... ....................................................... ....................................................... .9 .7 .7 1.2 1.0 .9 1.1 1.3 .7 .7 .9 1.1 .8 .7 .9 .9 .8 .7 p .8 .8 .8 .8 3.9 3.6 3.8 4.1 3.4 3.1 3.2 3.5 3.4 3.5 3.6 3.7 3.4 3.6 3.6 p 4.6 3.5 3.7 3.8 Recalls .8 .7 .7 Total separations 1977 1978 1979 1980 ....................................................... ....................................................... ....................................................... ....................................................... 3.8 3.9 4.0 3.5 3.8 3.9 Quits 1977 1978 1979 1980 ....................................................... ....................................................... ....................................................... ....................................................... 1.4 1.5 1.8 1.6 1.8 2.1 2.0 1.7 2.0 2.0 p 1.5 1.6 1.8 1.9 1.6 1.3 1.4 1.6 1.5 1.9 2.2 2.1 1.9 2.1 2.1 Layoffs 1977 1978 1979 1980 13. ....................................................... ....................................................... ....................................................... ....................................................... 1.4 .9 .8 .12 1.7 1.2 1.1 1.6 1.1 .9 1.1 .8 .7 .7 .9 .8 .9 p 2.3 1.0 .9 .8 1.3 .8 .7 .8 L a b o r tu rn o v e r ra te s in m a n u fa c tu rin g , b y m a jo r in d u s try g ro u p [Per 100 employees] Separation rates Accession rates New hires Total Major industry group Layoffs Quits Total Recalls Apr. 1979 Mar. 1980 Apr. 1980 p Apr. 1979 Mar. 1980 Apr. 1980 p Apr. 1979 Mar. 1980 Apr. 1980 p Apr. 1979 Mar. 1980 Apr. 1980p Apr. 1979 Mar. 1980 Apr. 1980 p Apr. 1979 Mar. 1980 Apr. 1980p MANUFACTURING Seasonally a d ju s te d ................. 3.9 3.5 3.1 2.9 2.3 2.0 0.7 0.9 0.8 3.6 3.7 4.6 2.0 1.6 1.5 0.9 1.3 2.3 Durable goods Lumber and wood p ro d u c ts ............ Furniture and fixtures ...................... Stone, clay, and glass products . .. Primary metal industries ................. Fabricated metal p ro d u cts.............. Machinery, except e lectrical............ Electric and electronic equipment .. Transportation equipment .............. Instruments and related products . . Miscellaneous m anufacturing......... 3.6 6.6 5.0 5.1 2.6 3.9 2.8 3.1 3.3 2.8 5.0 3.1 4.4 4.0 3.9 2.7 3.6 2.5 2.9 3.0 2.8 4.6 2.6 4.1 3.4 3.6 2.0 3.0 2.0 2.6 2.7 5.1 4.3 3.4 1.9 3.0 2.3 2.4 2.1 2.4 3.8 2.0 2.9 3.2 2.0 1.2 2.3 1.8 2.1 1.4 2.3 2.9 1.7 2.3 2.8 1.8 .9 1.9 1.6 1.8 .6 1.3 .6 1.5 .5 .7 .2 .4 .8 .2 1.0 .8 1.3 .6 1,7 1.2 1.0 .4 .4 1.2 .2 1.4 .7 1.6 .4 1.6 .8 .9 .3 .5 3.2 5.7 5.4 3.6 2.2 3.9 2.5 3.0 2.9 2.4 4.7 3.5 6.5 4.5 3.7 2.7 4.0 2.6 2.9 4.1 2.2 4.8 4.7 10.0 5.1 4.5 3.8 6.0 3.6 3.5 1.7 3.7 3.3 2.0 .9 2.0 1.4 1.5 1.2 1.4 2.5 1.3 2.3 2.5 1.3 .6 1.5 1.1 1.3 .9 1.2 2.0 1.2 2.5 2.3 1.3 6 1.5 1.1 1.2 .7 .9 .9 .7 .4 .9 .3 .6 .9 .3 1.2 1.3 3.2 .9 1.6 1.2 1.6 .8 ,6 2.3 .4 1.8 2.6 6.4 1.8 2.3 2.4 3.6 1.8 1.4 Nondurable goods Food and kindred products ............ Tobacco m anufacturers................... Textile mill products ........................ Apparel and other p ro d u c ts ............ Paper and allied products .............. Printing and publishing...................... Chemicals and allied products . . . . Petroleum and coal p ro d u c ts .......... Rubber and miscellaneous plastics products .......................... Leather and leather p ro d u cts......... 4.3 5.9 2.2 4.9 5.2 2.9 3.3 1.9 2.6 4.0 5.2 1.8 4.3 5.4 2.5 3.1 1.7 2.2 3.7 5.4 2.8 3.1 .7 3.4 3.9 1.6 2.6 1.3 1.5 2.6 3.3 1.0 1.8 .4 .6 1.3 .7 .4 .3 .6 .9 1.8 3.9 5.2 4.8 4.0 5.1 2.8 3.1 1.5 2.0 2.0 2.2 .4 2.5 3.0 1.0 1.8 .7 .8 2.7 2.8 .9 1.8 .6 .7 1.1 2.2 2.3 .6 1.7 .6 .6 .3 .5 1.2 2.1 3.2 .5 1.4 1.1 .6 .3 .6 1.7 2.8 4.8 5.6 2.9 3.1 1.7 2.8 2.3 2.9 .6 3.2 3.0 1.4 2.0 .7 .8 1.9 2.3 .5 1.5 .7 .3 .2 .8 4.3 5.9 3.8 4.8 5.6 2.7 3.3 1.6 1.9 4.5 5.9 4.0 5.2 2.2 2.8 1.5 2.6 3.1 4.0 .8 3.8 3.4 2.1 2.8 1.4 1.9 5.0 7.0 4.1 7.1 3.1 6.5 4.0 5.0 2.9 4.6 2.1 4.8 .9 2.1 .7 1.3 4.8 6.9 4.8 6.5 6.7 6.7 2.8 4.1 2.2 3.3 1.9 3.6 1.0 1.8 1.6 2.1 3.6 2.0 80 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 2.4 4.4 2.0 3.1 3.2 3.5 1.4 2.4 1.2 1.8 .9 1.7 .7 .6 1.5 .6 .4 .4 .5 .7 1.6 .2 1.1 3.0 5.2 1.3 1.9 .9 2.2 1.1 2.0 1.3 .7 .6 1.5 14. H o u rs an d e a rn in g s , b y in d u s try d iv is io n , 1 9 4 9 -7 9 [G r o s s a v e r a g e s , p r o d u c tio n o r n o n s u p e r v is o r y w o r k e r s o n n o n a g r ic u ltu r a l p a y r o lls ] Year Average weekly earnings Average weekly hours Average hourly earnings Average weekly earnings Total private Average weekly hours Average hourly earnings Average weekly earnings Mining Average weekly hours Average hourly earnings Average weekly earnings Construction Average weekly hours Average hourly earnings Manufacturing 1949 ...................... 1950 ...................... $50.24 53.13 39.4 39.8 $1,275 1.335 $62.33 67.16 36.3 37.9 $1,717 1.772 $67.56 69.68 37.7 37.4 $1,792 1.863 $53.88 58.32 39.1 40.5 $1,378 1.440 1 9 5 1 ...................... 1952 ...................... 1953 ...................... 1954 ...................... 1955 ...................... 57.86 60.65 63.76 64.52 67.72 39.9 39.9 39.6 39.1 396 1.45 1.52 1.61 1.65 1.71 74.11 77.59 83.03 82.60 89.54 38.4 38.6 38.8 38.6 40.7 1.93 2.01 2.14 2.14 2.20 76.96 82.86 86.41 88.91 90.90 38.1 38.9 37.9 37.2 37.1 2.02 2.13 2.28 2.39 2.45 63.34 66.75 70.47 70.49 75.30 40.6 40.7 40.5 39.6 40,7 1.56 1.64 1.74 1.78 1.85 1956 ...................... 1957 ...................... 1958 ..................... ■959' ................... 1960 ...................... 70.74 73.33 75.08 78.78 80.67 39.3 38.8 38.5 39.0 386 1.80 1.89 1.95 2.02 2.09 9506 98.25 96.08 103.68 105.04 40.8 40.1 38.9 40.5 40.4 2.33 2.45 2.47 2.56 2.60 96.38 100.27 103.78 108.41 112.67 37.5 37.0 36.8 37.0 36.7 2.57 2.71 2.82 2.93 3.07 78.78 81.19 82.32 88.26 89.72 40.4 39.8 39.2 40.3 39.7 1.95 2.04 2.10 2.19 226 1 9 6 1 ...................... 1962 ..................... 1963 ..................... 1964 ..................... 1965 ...................... 82.60 85.91 88.46 91.33 95.45 38.6 38.7 38,8 38.7 388 2.14 2.22 2.28 2.36 2.46 106.92 110.70 114.40 117.74 123.52 40.5 41.0 41.6 41.9 42.3 2.64 2.70 2.75 2.81 2.92 118.08 122.47 127.19 132.06 138.38 36.9 37.0 37.3 37.2 37.4 3.20 3.31 3.41 3.55 3.70 9234 96.56 99.23 102.97 107.53 39.8 40,4 40.5 40.7 41.2 2.32 2.39 2.45 2.53 2.61 1966 1967 1968 1969 1970 ...................... ...................... ..................... ...................... ...................... 98.82 101.84 107.73 114.61 119.83 38.6 38.0 37.8 37.7 37.1 2.56 2.68 2.85 3.04 3.23 130.24 135.89 142.71 154.80 164.40 42.7 42.6 42.6 43.0 42.7 3.05 3.19 3.35 3.60 3.85 146.26 154.95 164.49 181.54 195.45 37.6 37.7 37.3 37.9 37.3 389 4.11 4.41 4.79 5.24 112.19 114.49 122.51 129.51 133.33 41.4 40.6 40.7 40.6 398 2.71 2.82 3.01 3.19 3.35 1971 1972 1973 1974 1975 ...................... ...................... ...................... ...................... ...................... 127.31 136.90 145.39 154.76 163.53 36.9 37.0 36.9 36.5 36.1 3.45 3.70 3.94 4.24 4.53 172.14 189.14 201 40 219.14 249.31 42.4 42.6 42.4 41.9 41.9 4.06 4.44 4.75 5.23 5.95 211.67 221.19 235.89 249.25 266.08 37.2 36.5 36.8 36.6 364 5.69 6.06 6.41 6.81 7.31 142.44 154.71 166.46 176.80 190.79 399 40.5 40.7 40.0 395 3.57 3.82 4.09 4.42 4.83 1976 1977 1978 1979 ...................... ...................... ...................... ...................... 175.45 189.00 203.70 219.91 36.1 36.0 358 35.7 4.86 5.25 5.69 6.16 273.90 301.20 332.11 364.64 42.4 43.4 43.3 43.0 6.46 6.94 7.67 8.48 28373 295 65 318.32 341.69 36.8 36.5 368 36.9 7.71 8.10 8.65 9.26 209.32 228.90 249.27 268.94 40.1 40.3 40.4 40.2 5.22 5.68 6.17 6.69 Transportation and public utilities Finance, insurance, and real estate wnoiesaie ana retail trade 1949 ...................... 1950 ...................... Services $42.93 44.55 40.5 40.5 $1.060 1.100 $47 63 50.52 37 8 37.7 $1 260 1 340 ..................... ...................... ...................... ...................... ...................... 47.79 49.20 51.35 53.33 55.16 40.5 40.0 39.5 39.5 39.4 1.18 1.23 1.30 1.35 1.40 54.67 57.08 59.57 62.04 63 92 37 7 37 8 37 7 37.6 37 6 1 45 1 51 1 58 1 65 1 70 1956 ...................... 1957 ...................... 1958 ...................... 19591 ................... 1960 ...................... 57.48 59.60 61.76 64.41 66.01 39.1 38.7 38.6 38.8 38.6 1.47 1.54 1.60 1.66 1.71 65 68 67 53 7012 72.74 75 14 36 9 36 7 37 1 37 3 37 2 1 78 1 84 1 89 1 95 2 02 1961 1962 1963 1964 1965 ...................... ...................... ...................... ..................... ..................... $118.78 125.14 41.1 41.3 $2.89 3.03 67.41 69.91 72.01 7466 76.91 38.3 38.2 38.1 37.9 37.7 1.76 1.83 1.89 1.97 2.04 77 12 80 94 84.38 85.79 88.91 36 9 37 3 37 5 37.3 37.2 2 09 2 17 2 25 2.30 2.39 $70.03 73.60 36.1 35.9 $1.94 2.05 1966 1967 1968 1969 1970 ...................... ...................... ...................... ..................... ..................... 128.13 130.82 138 85 147.74 155.93 41.2 40.5 40.6 40.7 40.5 3.11 3.23 3.42 3.63 3.85 79.39 82.35 87 00 91.39 96.02 37.1 36.6 36.1 35.7 35.3 2.14 2.25 2.41 2.56 2.72 92.13 95.72 101.75 108.70 112.67 37.3 37.1 37.0 37.1 36.7 2.47 2.58 2.75 2.93 3.07 77.04 80.38 83.97 90.57 96.66 35.5 35.1 34.7 34.7 34.4 2.17 2.29 242 2.61 2.81 1971 1972 1973 1974 1975 ...................... ..................... ...................... ..................... ...................... 168.82 187.86 203.31 217.48 233.44 40.1 40.4 40.5 40.2 39.7 4.21 4.65 5.02 5.41 5.88 101.09 106 45 111.76 119.02 126.45 35.1 34.9 34.6 34.2 339 2.88 3.05 3.23 3.48 3.73 117.85 122.98 129.20 137.61 148.19 36.6 366 366 36.5 36.5 3.22 3.36 3.53 3.77 4.06 103.06 110.85 117.29 126.00 134.67 33.9 339 338 336 33.5 3.04 3.27 3.47 3.75 4.02 1976 1977 1978 1979 ..................... ..................... ...................... ...................... 256.71 278.90 302.80 326.38 39.8 39.9 40.0 39.9 6.45 6.99 7.57 8.18 133.79 142.52 15364 164.96 33.7 33.3 32.9 32.6 3.97 4.28 4.67 5.06 155.43 165.26 178.36 191.66 36.4 364 364 36.3 4.27 4.54 4.90 5.28 143.52 153.45 163.67 175.27 33.3 330 32.8 32.7 4.31 4.65 4.99 5.36 1951 1952 1953 1954 1955 ' Data include Alaska and Hawaii beginning in 1959. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 81 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Establishment Data 15. W e e k ly h o u rs , b y in d u s try d iv is io n an d m a jo r m a n u fa c tu rin g g ro u p [G r o s s a v e r a g e s , p r o d u c tio n o r n o n s u p e r v is o r y w o r k e r s o n p r iv a te n o n a g r ic u ltu r a l p a y r o lls ] 1980 1979 Annual Average Industry division and group TOTAL PR IVA TE .................................................. MINING 1978 1979 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. A pr.p May» 35 8 35.7 35.5 359 36.0 36.0 35.8 35.7 35.6 35.9 35.1 35.1 35.2 35.0 35.0 43.3 43.0 42.8 43.3 41.7 43.1 43.5 43.7 43.7 43.9 43.4 43.2 43.3 42.9 42.8 CONSTRUCTION 36.8 36.9 37.2 37.9 37.7 38.0 37.9 37.6 36.5 37.1 35.1 35.5 36.0 36.5 36.9 MANUFACTURING ..................................................... Overtime h o u r s ............................................. 40.4 3.6 40.2 3.3 40.1 3.3 40.4 3.4 39.9 3.2 40.0 3.3 40.3 3.6 40.3 3.4 40.4 3.4 40.9 3.4 39.8 3.0 39.8 2.9 39.8 3.0 39.4 2.7 39.4 2.5 Durable goods Overtime h o u r s ............................................. 41.1 3.8 40.8 3.5 40.8 3.6 41.0 3.6 40.4 3.4 40.4 3.4 40.8 3.6 40.8 3.5 40.8 3.5 41.6 3.5 40.3 3.1 40.3 3.0 40.4 3.1 39.9 2.7 39.8 2.5 Lumber and wood products ............................... Furniture and fixtures ........................................... Stone, clay, and glass products.......................... Primary metal indu stries...................................... Fabricated metal products .................................. 39.8 39.3 41.6 41.8 41.0 39.5 38.6 41.5 41.4 408 39.6 38.2 41.9 41.4 40.7 40.2 38.8 42.1 41.6 41.0 39.4 38.0 41.5 41.3 40.3 39.9 38.6 41.7 40.8 40.5 40.1 39.0 41.7 41.3 40.8 39.8 39.3 41.7 40.9 41.0 38.8 39.2 41.7 40.7 41.0 39.2 39.9 41.8 40.9 41.9 38.1 38.4 40.1 40.7 40.6 38.5 38.3 40.1 40.7 40.4 38.3 38.5 40.7 40.7 40.6 37.1 38.0 40.4 40.6 40.2 37.3 37.2 40.9 39.8 39.9 Machinery except e lectrical.................................. Electric and electronic equipment ..................... Transportation equipment .................................... Instruments and related products ...................... Miscellaneous manufacturing ............................. 42.0 40.3 42.2 40.9 38.8 41.8 40.3 41.2 40.8 38.9 41.7 40.2 41.6 40.8 38,5 42.0 40.5 41.3 40.7 39.0 41.2 39.6 40.9 40.3 387 41.3 39.7 40.5 40.3 38.9 41.9 40.5 40.7 40.7 39.3 41.6 40.3 41.3 40.8 39.3 41.9 40.9 40.8 41.4 39.6 42.8 41.3 42.6 41.6 39.7 41.5 40.2 40.1 41.0 39.1 41.5 40.2 40,4 40.7 38.8 41.6 40.0 40.4 40.6 38.9 41.1 39.6 39.7 40,4 38.6 41.0 39.5 39.7 40.5 38.4 Nondurable goods Overtime h o u r s ............................................. 39.4 3.2 39.3 3.1 39.1 2.9 39.4 3.0 39.2 30 39.4 3.2 39.6 3.5 39.4 3.2 39.6 3.3 39.9 3.2 39.0 2.9 38.9 2.8 38.9 2.9 38.7 2.7 38.8 2.6 Food and kindred p ro d u c ts .................................. Tobacco m anufactures......................................... Textile mill p ro d u c ts .............................................. Apparel and other textile pro d u cts ..................... Paper and allied p ro d u cts.................................... 39.7 38.1 40.4 35.6 42.9 39.9 38.0 40.3 35.2 42.6 39.6 38.9 40.1 35.1 42.4 39.8 39.0 40.6 35.6 42.8 40.1 36.1 39.9 35.4 42.5 40.3 37.6 40.3 35.6 42.6 40.6 39.1 40.8 35.4 42.7 40.0 38.8 40.8 35.5 426 40.2 39.0 41.3 35.6 42.9 40.3 39.5 41.5 35.9 43.5 39.5 37.4 40.9 35.2 42.6 39.0 36.9 40.8 35.5 42.4 39.0 37.7 40.9 35.5 42.4 38.9 38.1 39.8 35.3 42.2 39.7 37.9 40.1 35.3 41.6 Printing and publishing ......................................... Chemicals and allied products............................. Petroleum and coal products ............................. Rubber and miscellaneous plastics products Leather and leather products ............................. 37.6 41.9 43,6 40.9 37.1 37.5 41.8 43.8 40.5 36.5 37.3 41.8 43.7 40.5 36.4 37.4 41.8 43.4 40.7 37.1 37.4 41.7 44.1 40.2 36.9 37.9 41.8 4 36 40.0 36.6 37.9 41.8 44.7 40.5 36.8 37.5 41.7 44.1 40.5 36.5 37.9 42.1 44.8 40.3 36.8 38.1 42.2 43.4 40.7 37.3 37.2 41.7 36.1 40.3 36.7 37.0 41.6 39.6 39.9 36.8 37.2 41.6 39.4 40.0 36.4 36.8 41.6 41.8 39.7 36.6 36.7 41.4 42.4 39.1 36.9 40.0 39.9 39.6 40.0 40.0 40.3 39.9 39.9 40.2 40.0 39.5 39.4 39.5 39.3 39.1 WHOLESALE AND RETAIL TRADE 32.9 32.6 32.4 32.9 33.3 33.2 32.7 32.5 32.4 32.9 31.9 31.9 32.0 31.8 31.9 WHOLESALE TRADE 388 38.8 38.9 39.0 39.0 38.9 38.8 38.9 38.9 39.1 38.5 38.4 38.4 38.4 38.5 RETAIL TRADE 31.0 30.7 30.4 31.0 31.5 31.4 30.7 30.4 30.4 31.0 29.8 29.8 29.9 29.8 29.8 TRANSPORTATION AND PUBLIC UTILITIES FINANCE, INSURANCE, AND REAL ESTATE ..................................................................... 36.4 36.3 36.1 36.2 36.4 362 36.3 36.3 36.4 36.4 36.3 36.4 36.4 36.3 36.3 SERVICES 328 32.7 32.5 32.9 33.3 33.2 32.7 32.6 32.6 32.8 32.5 32.5 32.5 32.5 32.3 82 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 16. W e e k ly h o u rs , b y in d u s try d iv is io n an d m a jo r m a n u fa c tu rin g g ro u p , s e a s o n a lly a d ju s te d [G ross averages, production o r nonsupervisory w orkers on private nonagricultural payrolls] 1979 1980 Industry division and group TOTAL PRIVATE .................................................. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. A pr.p M ayp 35.7 35.6 35.6 35.6 35.7 35.6 35.7 35.7 35.7 35.5 35.4 35.3 35.1 MINING ............................................................................... 42,8 43.0 41.6 43.2 43.1 43.1 43.2 43.9 44.4 43.7 43.5 43.2 42.8 CONSTRUCTION 37.1 37.2 36.8 37.2 37.5 36.6 36.8 37.1 37.6 36.7 36.1 36.5 36.8 MANUFACTURING Overtime h o u rs ..................................................... 40.2 3.5 40.1 3.4 40.2 3.3 40.1 3.2 40.2 3.2 40.2 3.2 40.1 3.3 40.2 3.2 40.3 3.2 40.1 3.1 39.8 3.2 39.6 2.9 39.4 2.6 Durable goods Overtime h o u rs ..................................................... 40.9 3.8 40.7 3.6 40.7 3.5 40.7 3.3 40.7 3.3 40.8 3.3 40.6 3.4 40.7 c 3"2 408 3.3 40.6 3.1 40.4 3.2 40.1 2.8 39.8 2.6 Lumber and wood products ...................................... Furniture and fix tu re s .................................................. Stone, clay, and glass products ............................... Primary metal industries.............................................. Fabricated metal products ......................................... 39.4 38.5 41.7 41.4 40.7 39.4 38.5 41.6 41.2 40.7 39.3 38.4 41.4 41.3 40.8 39.5 38.3 41.3 41.0 40.6 39.7 38.6 41.5 41.0 40.7 39.4 38.8 41.3 41.1 40.9 38.9 38.9 41.5 40.7 40.7 39.0 39.0 41.6 40.6 41.0 39.5 39.0 41.3 40.8 40.9 39.1 39.0 41.0 40.8 40.8 38.6 38.6 40.9 40.8 40.6 37.1 38.6 40.5 40.7 40.5 37.1 37.5 40.7 39.8 39.9 Machinery, except e le c tric a l....................................... Electric and electronic equip m e n t............................. Transportation equipm ent........................................... Instruments and related products ............................. Miscellaneous manufacturing .................................... 4 20 40.4 41.5 40.8 38.6 42.0 40.3 40.8 40.6 38.9 41.9 40.2 40.9 40.7 39.3 41.6 39.8 41.7 40.5 39.1 41.9 40.3 40.6 40.6 39.1 41.6 40.3 41.3 40.7 39.1 41.6 40.6 40.6 41.0 39.1 41.6 40.5 41.0 40.8 39.2 41.7 40.4 41.0 41.5 39.5 41.5 40.4 40.9 40.9 39.2 41.4 40.0 40.4 40.5 38.7 41.3 39.8 39.7 40.7 38.6 41.2 39.7 39.6 40.5 38.5 Nondurable goods Overtime h o u rs ..................................................... 39.2 3.0 39.2 3.0 39.2 3.0 39.2 3.0 39.3 3.1 39.3 3.0 39.4 3.2 39.4 3.1 39.5 3.1 39.4 3.0 39.1 3.1 39.0 2.9 38.9 2.7 Food and kindred prod ucts......................................... Tobacco manufactures .............................................. Textile mill p rod ucts..................................................... Apparel and other textile products .......................... Paper and allied products ......................................... 39.8 38.9 40.0 35.2 42.6 39.8 37.6 40.1 35.2 42.5 39.8 38.5 40.1 35.5 42.5 39.7 38.0 40.1 35.3 42.6 40.0 38.6 40.6 35.3 42.4 39.9 38.3 40.8 35.3 42.6 40.0 37.8 41.1 35.3 42.7 39.9 38.8 41.0 35.6 42.9 40.0 385 41.7 35.9 42.8 39.6 37.7 41.1 36.0 42.9 39.4 37.6 40.8 35.5 426 39.5 38.1 40.0 35.6 42.4 39.9 37.9 40.0 35.4 41.8 Printing and publishing................................................ Chemicals and allied products .................................. Petroleum and coal products .................................... Rubber and miscellaneous plastics products .......... Leather and leather products .................................... 37.4 41.9 43.7 40.9 36.1 37.4 41.7 43.3 40.7 36.4 37.5 41.9 43.6 40.6 36.6 37.7 42.0 43.7 40.2 36.5 37.5 41.7 44.1 40.3 37.0 37.4 41.7 43.7 40.3 36.5 37.6 41.9 44.4 40.0 36.7 37.4 41.7 43.5 39.9 36.9 37.8 42.0 36.6 40.6 37.2 37.4 41.9 40.4 39.9 37.3 37.2 41.6 396 39 9 36.8 37.1 41.4 41.8 40.0 36.9 36.8 41.5 42.4 39.5 36.6 TRANSPORTATION AND PUBLIC UTILITIES 39.8 39.8 39.7 39.9 39.9 39.9 40.2 39.8 39.9 c 39.5 39.7 39.5 39.3 WHOLESALE AND RETAIL TRADE 32.6 32.6 32.6 32.5 32.6 32.6 32.7 32.6 32.5 32.3 32.3 32.1 32.0 WHOLESALE TRADE 39.0 38.8 38.8 38.7 38.7 38.8 38.9 38.9 38.8 38.7 38.5 38.5 38.6 RETAIL T R A D E ................................................................... 30.6 3 06 30.6 30.5 30.7 30.6 30.7 30.6 30.5 30.3 30.3 30.1 29.9 FINANCE, INSURANCE, AND REAL ESTATE ........................................................................ 36.1 36.2 36.3 36.1 36.4 36.2 36.5 36.4 36.2 36.4 36.5 36.4 36.3 SERVICES 32.7 32.7 32.8 32.7 32.7 32.6 32.7 32.9 32.7 32.7 32.7 32.7 32.5 c=corrected. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 83 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Establishment Data 17. H o u rly e a rn in g s , b y in d u s try d iv is io n an d m a jo r m a n u fa c tu rin g g ro u p [G r o s s a v e r a g e s , p r o d u c tio n o r n o n s u p e r v is o r y w o r k e r s o n p r iv a te n o n a g r ic u ltu r a l p a y r o lls ] Annual average Industry division and group TOTAL PR IVA TE........................................................... 1979 1980 1978 1979 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. A pr.p M ayp $5.69 $6.16 $6.09 $6.12 $6.16 $6.19 $6.31 $6.32 $6.35 $6.39 $6.42 $6.46 $6.51 $6.53 $6.57 M IN IN G ................................................................................... 7.67 8.48 8.45 8.49 8.52 8.48 8.57 8.57 8.70 8.73 8.85 8.88 8.92 9.05 9.05 CONSTRUCTION................................................................... 8.65 9.26 9.14 9.13 9.24 9.32 9.51 9.49 9.50 9.57 9.47 9.60 9.66 9.64 9.68 MANUFACTURING .............................................................. 6.17 6.69 6.63 6.66 6.71 6.69 6.80 6.82 6.86 6.97 6.96 6.99 7.06 7.08 7.12 Durable goods Lumber and wood products ................................. Furniture and fix tu re s ............................................. Stone, clay, and glass products .......................... Primary metal industries......................................... Fabricated metal products .................................... 6.58 5.60 4.68 6.32 8.20 6.34 7.12 6.08 5.06 6.84 8.97 6.82 7.07 5.97 4.97 6.78 8.83 6.77 7.11 6.16 5.05 6.85 8.91 6.81 7.15 6.23 5.04 6.89 9.04 6.80 7.12 6.23 5.10 6.90 9.10 6.83 7.24 6.32 5.18 6.98 9.16 6.93 7.25 6.24 5.20 7.00 9.10 6.96 7.29 6.23 5.23 7.07 9.26 6.99 7.41 6.25 5.27 7.10 9.28 7.12 7.39 6.22 5.27 7.05 9.30 7.06 7.45 6.34 5.34 7.13 9.44 7.12 7.54 6.36 5.38 7.26 9.45 7.22 7.55 6.28 5.42 7.34 9.53 7.25 7.59 6.39 5.43 7.42 9.52 7.30 Machinery, except e le c tric a l................................. Electric and electronic equip m e n t........................ Transportation equipm ent...................................... Instruments and related products ........................ Miscellaneous manufacturing ............................... 6.77 5.82 7.91 5.71 4.69 7.33 6.31 8.53 6.17 5.04 7.25 6.21 8.56 6.11 5.00 7.34 6.25 8.53 6.11 4.99 7.35 6.27 8.55 6.16 5.03 7.35 6.36 8.44 6.14 5.04 7.48 6.46 8.59 6.21 5.07 7.45 6.48 8.67 6.32 5.12 7.51 6.51 8.68 6.39 5.15 7.65 6.64 8.90 6.49 5.22 7.67 6.67 8.78 6.57 5.31 7.71 6.71 8.84 6.58 5.33 7.78 6.78 9.01 6.62 5.36 7.83 6.79 9.00 6.63 5.40 7.89 6.80 9.02 6.71 5.47 Nondurable goods Food and kindred prod ucts.................................... Tobacco m anufactures........................................... Textile mill prod ucts................................................ Apparel and other textile products ...................... Paper and allied products...................................... 5.53 5.80 6.13 4.30 3.94 6.52 6.00 6.27 6.69 4.66 4.24 7.12 5.91 6.22 6.83 4.52 4.20 6.96 594 6.22 6.82 4.54 4.21 7.05 6.03 6.28 6.83 4.65 4.23 7.17 6.04 6.28 6.59 4.77 4.21 722 6.11 6.33 6.54 4.82 4.28 7.32 6.14 6.36 6.43 4.83 4.32 7.34 6.21 6.51 7.01 4.86 4.32 7.42 6.26 6.56 7.04 4.87 4.39 7.48 6.28 6.62 7.13 4.90 4.45 748 6.27 6.64 7.41 4.90 4.46 7.51 6.30 6.69 7.61 4.93 4.49 7.54 6.37 6.77 7.81 4.93 4.47 7.62 6.42 6.82 7.70 4.92 4.44 7.61 Printing and publishing........................................... Chemicals and allied products ............................. Petroleum and coal products ............................... Rubber and miscellaneous plastics products .. . Leather and leather products ............................... 6.50 7.01 8.63 5.52 3.89 6.91 7.59 9.37 5.96 4.23 6.83 7.47 9.39 5.90 4.18 6.88 7.53 9.32 5.91 4.19 6.90 760 9.39 5.95 4.19 6.94 7.65 9.35 5.94 4.22 7.04 7.73 9.51 6.03 4.29 7.06 7.82 9.49 6.12 4.31 7.09 7.87 9.57 6.14 4.34 7.17 7.91 9.49 6.21 4.36 7.20 7.96 9.48 6.25 4.46 7.25 7.99 9.40 6.25 4.48 7.30 804 9.32 6.27 4.52 7.30 8.11 9.84 6.31 4.53 7.41 8.15 10.16 6.32 4.57 TRANSPORTATION AND PUBLIC U TILIT IE S ................. 7.57 8.18 7.94 8.03 8.23 8.32 8.45 8.45 8.52 8.55 8.56 8.59 8.64 8.71 8.74 WHOLESALE AND RETAIL TRADE ................................. 4.67 5.06 5.00 5.02 5.05 5.06 5.13 5.15 5.18 5.18 5.34 5.36 5.40 5.40 5.42 WHOLESALE TRADE 5.88 6.39 6.29 6.34 6.39 6.41 6.51 6.51 6.57 6.68 6.72 6.76 6.82 6.84 6.88 RETAIL TRADE 4.20 4.53 4.49 4.50 4.51 4.52 4.58 4.59 4.62 4.61 4.78 4.78 4.81 4.81 4.83 FINANCE, INSURANCE, AND REAL ESTATE ............................................................................... 4.90 5.28 5.22 5.22 529 5.29 5.38 5.37 5.42 549 5.55 5.62 5.69 5.70 5?0 SERVICES............................................................................... 4.99 5.36 5.27 5.27 5.29 5.30 5.45 5.48 5.54 5.60 5.65 5.70 5.74 5.75 5.78 18. H o u rly E arn in g s In d e x fo r p ro d u c tio n o r n o n s u p e rv is o ry w o rk e rs o n p riv a te n o n a g ric u ltu ra l p a y ro lls , b y in d u s try d iv is io n [S e a s o n a lly a d ju s te d d a ta : 1 9 6 7 = 1 0 0 ] 1979 1980 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. A pr.p May» Apr. 1980 to May 1980 227.5 229.0 230.9 232.2 234.3 234.9 237.3 239.5 240.5 242.6 245.3 246.4 247.9 0.6 - 9 .0 262.7 220.4 232.3 243.7 221.0 207.0 224.3 264.9 220.4 233.9 246.4 222.6 208.0 225.7 266.9 222.1 235.4 251.3 223.8 210.8 227.0 265.6 223.1 236.9 252.6 225.4 211.5 228.4 266.1 224.4 238.7 255.6 227.0 214.4 231.5 268.0 224.0 240.0 255.8 227.4 213.1 232.3 271.6 225.8 242.1 258.9 229.5 216.2 234.7 273.2 227.6 244.3 260.7 231.3 218.5 237.7 274.0 225.1 245.3 261.2 234.7 218.6 238.0 275.5 229.8 248.1 262.7 235.5 221.2 239.9 278.4 231.9 250.1 266.2 238.0 226.0 243.1 283.2 232.0 252.3 267.4 238.4 226.0 243.6 284.1 232.5 254.3 268.8 239.9 225.8 245.4 .3 .2 8 .5 .6 -.1 .7 -8 .1 - 5 .5 - 9 .5 -1 0 .3 - 8 .5 -9 .1 - 9 .4 106.3 105.8 105.6 105.1 104.9 104.1 104.1 103.8 102.8 102.3 102.0 101.5 (’ ) ( ') Industry TOTAL PRIVATE (in current dollars) M in in g .................................................. Construction ...................................... Manufacturing .................................... Transportation and public utilities . . . Wholesale and retail trade .............. Finance, insurance, and real estate Services ............................................. TOTAL PRIVATE (in constant dollars) 1 Not available. 84 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis May 1979 to May 1980 (’ ) 19. W e e k ly e a rn in g s , b y in d u s try d iv is io n an d m a jo r m a n u fa c tu rin g g ro u p [Gross averages, production or nonsupervisory workers on private nonagricultural payrolls] Annual average 1979 1980 Industry division and group 1978 TOTAL PRIVATE $203,70 1979 $219.91 May $216.20 June $219.71 July $221.76 Aug. Sept. $22284 $225.90 Oct. $225.62 Nov. $226.06 Dec. Jan. Feb. $229.40 $225.34 $226.75 Mar. A pr.p May» $229.15 $228.55 $229.95 MINING .......................................................................... 332.11 364.64 361.66 367.62 355.28 365.49 372.80 374.51 380.19 383.25 384.09 383.62 386.24 388.25 387.34 CONSTRUCTION 318.32 341.69 340.01 346.03 348.35 354.16 360.43 356.82 346.75 355.05 332.40 340.80 347.76 351.86 357.19 MANUFACTURING ....................................................... 249.27 268.94 265.86 269.06 267.73 267.60 274.04 274.85 277.14 285.07 277.01 278.20 280.99 278.95 280.53 Durable goods Lumber and wood products ............................... Furniture and fixtures ........................................... Stone, clay, and glass prod ucts.......................... Primary metal ind u strie s...................................... Fabricated metal products ................................. 270.44 222.88 183.92 262.91 342.76 259.94 290.50 240.16 195.32 283.86 371.36 278.26 288.46 236.41 189.85 284.08 365.56 275.54 291.51 247.63 195.94 288.39 370.66 279.21 288.86 245.46 191.52 285.94 373,35 274.04 287.65 248.58 196.86 287.73 371.28 276.62 295.39 253.43 202.02 291.07 378.31 282.74 295.80 248.35 204.36 291.90 372.19 285.36 297.43 241.72 205.02 294.82 376.88 286.59 308.26 245.00 210.27 296.78 379.55 298.33 297.82 236.98 202.37 282.71 378.51 286.64 300.24 244.09 204.52 285.91 384.21 287.65 304.62 243.59 207.13 295.48 384.62 293.13 301.25 232.99 205.96 296.54 386.92 291.45 302.08 238.35 202.00 303.48 378.90 291.27 Machinery except e lectrical................................. Electric and electronic equipment ..................... Transportation equipment .................................... Instruments and related products ...................... Miscellaneous manufacturing ............................. 284.34 234.55 333.80 233.54 181.97 306.39 254.29 351.44 251.74 196.06 302.33 249.64 356.10 249.29 192.50 308.28 253.13 352.29 248.68 194.61 302.82 248 29 349.70 248.25 194.66 303.56 252.49 341.82 247.44 196.06 313.41 261.63 349.61 252.75 199.25 309.92 261.14 358.07 257.86 201.22 314.67 266.26 354.14 264.55 203.94 327.42 274.23 379.14 269.98 207.23 318.31 268.13 352.08 269.37 207.62 319.97 269.74 357.14 267.81 206.80 323.65 271.20 364.00 268.77 208.50 321.81 268.88 357.30 267.85 208.44 323.49 268.60 358.09 271.76 210.05 Nondurable goods Food and kindred p ro d u c ts .................................. Tobacco m anufactures......................................... Textile mill p ro d u c ts .............................................. Apparel and other textile pro d u cts...................... Paper and allied p ro d u c ts .................................... 217.88 230.26 233.55 173 72 140.26 279.71 23580 250.17 254.22 187.80 149.25 303.31 231.08 246.31 265.69 181.25 147.42 295.10 234.04 247.56 265.98 184.32 149.88 302.74 236.38 251.83 246.56 185.54 149.74 304.73 237.98 253.08 247.78 192.23 149.88 307.57 241.96 257.00 255.71 196.66 151.51 312.56 241.92 254.40 249.48 197.06 153.36 312.68 245.92 261.70 273.39 200.72 153.79 318.32 249.77 264.37 278.08 202.11 157.60 325.38 244.92 261.49 266.66 200.41 156.64 318.65 243.90 258.96 273.43 199.92 158.33 318.42 245.07 260.91 286.90 201.64 159.40 319.70 246.52 263.35 297.56 196.21 157.79 321.56 249.10 270.75 291.83 197.29 156.73 316.58 Printing and publishing ......................................... Chemicals and allied prod ucts............................. Petroleum and coal products ............................. Rubber and miscellaneous plastics prod ucts................................................ Leather and leather products ............................. 244.40 293.72 376.27 259.13 317.26 410.41 254.76 312.25 410.34 257.31 314.75 404.49 258.06 316.92 414.10 263 03 319.77 407.66 266.82 323.11 425.10 264.75 326.09 418.51 268.71 331.33 428.74 273.18 333.80 411.87 267.84 331.93 342.23 268.25 332.38 372.24 271.56 334.46 367.21 268.64 337.38 411.31 271.95 337.41 430.78 225.77 144.32 241.38 154.40 238.95 152.15 240.54 155.45 239.19 154.61 237.60 154.45 244.22 157.87 247.86 157.32 247.44 159.71 252.75 162.63 251.88 163.68 249.38 164.86 250.80 164.53 250.51 165.80 247.11 168.63 TRANSPORTATION AND PUBLIC UTILITIES 302.80 326 38 314.42 321.20 329.20 335.30 337.16 337.16 342.50 342.00 338.12 338.45 341 28 342.30 341.73 WHOLESALE AND RETAIL TRADE 153.64 164.96 162.00 165.16 168.17 167.99 167.75 167.38 167.83 170.42 170.35 17098 172.80 171.72 172.90 WHOLESALE TRADE 228.14 247.93 244.68 247.26 249.21 249.35 252.59 253.24 255.57 261.19 258.72 259.58 261.89 262.66 264.88 RETAIL TRADE 130.20 139.07 136.50 139.50 142 07 141.93 140.61 139.54 140.45 142.91 142.44 142.44 143.82 143.34 143.93 FINANCE, INSURANCE, AND REAL ESTATE 178.36 191.66 188.44 188.96 192 56 191.50 195.29 194.93 197.29 199.84 201.47 204.57 207.12 206.91 206.91 SERVICES 163.67 175.27 171.28 173.38 176.16 175.96 178.22 178.65 180.60 183.68 183.63 185.25 186.55 186.88 186.69 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 85 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Establishment Data 20. G ro s s an d s p e n d a b le w e e k ly e a rn in g s , in c u rre n t an d 19 67 d o lla rs , 1 9 60 to d a te [A v e r a g e s fo r p r o d u c tio n o r n o n s u p e r v is o r y w o r k e r s o n p r iv a te n o n a g r ic u ltu r a l p a y r o lls ] Manufacturing workers Private nonagricultural workers Year and month Gross average weekly earnings Spendable average weekly earnings Worker with no dependents Married worker with 3 dependents Gross average weekly earnings Spendable average weekly earnings Worker with no dependents Married worker with 3 dependents Current dollars 1967 dollars Current dollars 1967 dollars Current dollars 1967 dollars Current dollars 1967 dollars Current dollars 1967 dollars Current dollars 1967 dollars $101.15 $72.57 $81.82 $80.11 $90.32 74.60 77.86 79.51 84.40 89.08 83.26 85.94 86.71 90.85 94.26 82.18 85.53 87.25 92.18 96.78 91.72 94.40 95.15 99.22 102.41 $80.67 $90.95 $65.59 $73.95 $72.96 $82.25 $89.72 1961 1962 1963 1964 1965 .................................................. .................................................. .................................................. .................................................. .................................................. 82.60 85.91 88.46 91.33 95.45 92.19 94.82 96.47 98.31 101.01 67.08 69.56 71.05 75.04 79.32 74.87 76.78 77.48 8078 83.94 74.48 76.99 78.56 82.57 86.63 83.13 84.98 85.67 88.88 91.67 92.34 96.56 99.23 102.97 107.53 103.06 106.58 108.21 110.84 113.79 1966 1967 1968 1969 1970 .................................................. .................................................. .................................................. .................................................. .................................................. 98.82 101.84 107.73 114.61 119.83 101.67 101.84 103.39 104.38 103.04 81.29 83.38 86.71 90.96 96.21 83 63 83.38 83.21 8284 82.73 88.66 90.86 95.28 99.99 104.90 91.21 90.86 91.44 91.07 90.20 112.19 114.49 122.51 129.51 133.33 115.42 114.49 117.57 117.95 114.64 91.45 92.97 97.70 101.90 106.32 94.08 92.97 93.76 92.81 91.42 99.33 100.93 106.75 111.44 115.58 102.19 100.93 102.45 101.49 99.38 1971 1972 1973 1974 1975 .................................................. .................................................. .................................................. .................................................. .................................................. 127.31 136.90 145.39 154.76 163.53 104.95 109.26 109.23 104.78 101.45 103.80 112.19 117.51 124.37 132.49 85.57 89.54 88.29 84.20 82.19 112.43 121.68 127.38 134.61 145.65 92.69 97.11 95.70 91.14 90.35 142.44 154.71 166.46 176.80 190.79 117.43 123.47 125.06 119.70 118.36 114.97 125.34 132.57 140.19 151.61 94.78 100.03 99.60 94.92 94.05 124.24 135.57 143.50 151.56 166.29 102.42 108.20 107.81 102.61 103.16 1976 1977 1978 1979 .................................................. .................................................. .................................................. .................................................. 175.45 189.00 203.70 219.91 102.90 104.13 104.30 101.02 143.30 155.19 165.39 178.00 84.05 85.50 84.69 81.76 155.87 169.93 180.71 194.82 91.42 93.63 92.53 89.49 209.32 228.90 249.27 268.94 122.77 126.12 127.63 123.54 167.83 183.80 197.40 212.43 98.43 101.27 101.08 97.58 181.32 200.06 214.87 232.07 106.35 110.23 110.02 106.60 1979: May ...................................... June ...................................... 216.20 219.71 100.89 101.30 175.29 177.85 81 80 82.00 191.93 194.67 89.56 89.75 265.86 269.06 124.06 124.05 210.04 212.51 98.14 97.98 229.74 232.17 107.20 107.04 J u ly ......................................... August .................................. September .......................... 221.76 222.84 225.90 101.08 100.60 100.98 179.35 180.13 182.36 81.75 81.32 81.52 196.26 197.11 199.42 89.45 88.99 89.15 267.73 267.60 274.04 122.03 120.81 122.50 211.61 211.52 215.89 96.45 95.49 96.51 231.16 231.06 235.94 105.36 104.32 105.47 O cto b e r.................................. N o ve m b e r............................. D e ce m b e r............................. 225.62 226.06 229.40 100.01 99.32 99.74 182.16 182.48 184.84 80.74 80.18 80.37 199.21 199.54 202.08 88.30 87.67 87.86 274.85 277.14 285.07 121.83 121.77 123.94 216.44 217.99 223.38 95.94 95.78 97.12 236.56 238.30 244.31 104.86 104.70 106.22 1980: J a n u a ry.................................. F e b ru a ry ............................... M a rc h .................................... 225.34 226.75 229.15 96.59 95.88 95.52 181.96 182.98 184.67 77.99 77.37 76.98 199.00 200.07 201.89 85.30 84.60 84.16 277.01 278.20 280.99 118.74 117.63 117.13 217.91 218.71 220.61 93.40 92.48 91.96 238.20 239.10 241.22 102.10 101.10 100.55 A prilp .................................... M ayp .................................... 228.55 229.95 94.21 (’) 184.25 185.23 75.95 (’ ) 201.43 202.49 83.03 (’ ) 278.95 280.53 114.98 ( ') 219.22 220.30 90.36 (’ ) 239.67 240.87 98.79 (’ ) 1960 ................................................... 'N o t available. NOTE: The earnings expressed in 1967 dollars have been adjusted for changes in price level as measured by the Bureau's Consumer Price Index for Urban Wage Earners and Clerical Workers. 86 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis These series are described in “ The Spendable Earnings Series: A Technical Note on its Calculation," Employment and Earnings and Monthly Report on the Labor Force, February 1969, pp. 6 -1 3 . See also "Spendable Earnings Formulas, 197 8 -8 0 ," Employment and Earnings, March 1980, pp. 1 0 -1 1 . UNEMPLOYMENT INSURANCE DATA U n e m p l o y m e n t i n s u r a n c e d a t a are compiled monthly by the Employment and Training Administration of the U.S. De partment of Labor from records of State and Federal unem ployment insurance claims filed and benefits paid. Railroad unemployment insurance data are prepared by the U.S. Rail road Retirement Board. ployed. Persons not covered by unemployment insurance (about onethird of the labor force) and those who have exhausted or not yet earned benefit rights are excluded from the scope of the survey. In i tial claims are notices filed by persons in unemployment insurance programs to indicate they are out of work and wish to begin receiv ing compensation. A claimant who continued to be unemployed a full week is then counted in the insured unemployment figure. The rate of insured unemployment expresses the number of insured unem ployed as a percent of the average insured employment in a 12-month period. Definitions Data for all programs represent an unduplicated count of insured unemployment under State programs, Unemployment Compensation for Ex-Servicemen, and Unemployment Compensation for Federal Employees, and the Railroad Insurance Act. An application for benefits is filed by a railroad worker at the be ginning of his first period of unemployment in a benefit year; no ap plication is required for subsequent periods in the same year. Num ber of payments are payments made in 14-day registration periods. The average amount of benefit payment is an average for all com pensable periods, not adjusted for recovery of overpayments or set tlement of underpayments. However, total benefits paid have been adjusted. Under both State and Federal unemployment insurance programs for civilian employees, insured workers must report the completion of at least 1 week of unemployment before they are defined as unem 21. U n e m p lo y m e n t In s u ra n c e an d e m p lo y m e n t s e rv ic e o p e ra tio n s [All item s except average benefits am ounts are in thousands] 1979 Item All programs: Insured unem ploym ent.......................... Apr. May 2,610 June 2,230 July 2,119 2,429 1980 Aug. Sept 2,377 2,164 O ct 2,236 Nov. Dec. Jan. Feb 2,559 3,047 3,740 Mar. 3,730 Apr. 3,652 3,627 State unemployment insurance program:1 Insured unemployment (average weekly volume) ................................. Rate of insured unemployment ............ Weeks of unemployment 1,589 1,309 1,400 1,978 1,545 1,219 1,641 1,827 2,263 2,837 1,818 1,705 2,440 3.1 2,078 2.6 1,991 2.5 2,300 2.8 2,245 2.7 2,024 2.4 2,057 2.4 2,384 2.8 2,864 3.4 3,537 4.1 3,518 4.1 3,356 3.9 13,792 12,800 13 170 $96 41 $98 46 $1,283,946 $1,229,877 $99 15 $1,218,231 8,956 8,442 7,197 7,889 8,830 6,993 7,638 8 107 9,171 $89.25 $777,699 $88.37 $725,229 $87.25 $610,269 $86.40 $665,687 $88 56 $767,025 $89 07 $606,095 $90 59 $673,965 $92 39 $728,370 $94 54 $843,869 3,278 3.8 Average weekly benefit amount Unemployment compensation for exservicemen:3 Insured unemployment (average weekly volume) .................................. Weeks of unemployment 20 20 24 28 28 23 26 24 24 25 21 21 48 45 45 51 52 52 52 54 56 60 58 63 207 $19,617 214 $20,440 193 $18,623 216 $20,965 234 $23,861 211 $19,634 236 $23,325 232 $23,093 233 $23,093 299 $29,635 255 $25,414 249 $24,928 12 12 13 16 13 13 18 15 15 19 11 12 52 Unemployment compensation for Federal civilian employees:4 Insured unemployment (average weekly volume) .................................. Weeks of unemployment 27 24 23 2.5 25 25 28 29 31 34 32 30 112 $10,345 106 $9,330 91 $8,341 96 $8,802 107 $9,829 91 $8,453 109 $10,093 118 $11,063 118 $11,047 150 $14,118 129 $12,387 123 $11,901 3 3 9 15 8 13 11 10 11 22 7 5 18 40 10 29 8 19 11 20 12 26 21 32 18 51 20 36 19 41 40 80 39 71 30 68 $195.55 $7,276 $177.39 $5,681 $183.13 $3,314 $190.10 $3,699 $195.61 $3,767 $189 08 $5,747 $189.61 $8,003 $183.38 $6,462 $197 22 $8,085 $199.01 $14,967 $208 73 $14,573 $210.79 $13,884 9,180 2,291 10,452 2,616 11,907 3'051 13,186 3,482 14,479 3,935 15,525 4,349 1,855 458 25 Railroad unemployment insurance: Insured unemployment (average Average amount of benefit Employment service:5 Nonfarm placements ............................. 11nitial claims and State insured unemployment include data under the program for Puerto Rican sugarcane workers. 2 Includes interstate claims for the Virgin Islands. Excludes transition claims under State programs. 3 Excludes data on claims and payments made jointly with other programs. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 4,378 1,044 8,553 1 '816 4 Includes the Virgin Islands. Excludes data on claims and payments made jointly with State programs. 5 Cumulative total for fiscal year (October 1 - September 30). NOTE: Data for Puerto Rico included. Dashes indicate data not available. 87 PRICE DATA P r ic e d a t a are gathered by the Bureau of Labor Statistics from retail and primary markets in the United States. Price indexes are given in relation to a base period (1967 = 100, unless otherwise noted). Definitions The Consumer Price Index is a monthly statistical measure of the average change in prices in a fixed market basket of goods and ser vices. Effective with the January 1978 index, the Bureau of Labor Sta tistics began publishing CPI’s for two groups of the population. One index, a new CPI for All Urban Consumers, covers 80 percent of the total noninstitutional population; and the other index, a revised CPI for Urban Wage Earners and Clerical Workers, covers about half the new index population. The All Urban Consumers index includes, in addition to wage earners and clerical workers, professional, manageri al, and technical workers, the self-employed, short-term workers, the unemployed, "retirees, and others not in the labor force. The CPI is based on prices of food, clothing, shelter, fuel, drugs, transportation fares, doctor’s and dentist’s fees, and other goods and services that people buy for day-to-day living. The quantity and quali ty of these items is kept essentially unchanged between major revi sions so that only price changes will be measured. Prices are collected from over 18,000 tenants, 24,000 retail establishments, and 18,000 housing units for property taxes in 85 urban areas across the country. All taxes directly associated with the purchase and use of items are included in the index. Because the CPI’s are based on the expendi tures of two population groups in 1972-73, they may not accurately reflect the experience of individual families and single persons with different buying habits. Though the CPI is often called the “Cost-of-Living Index,” it mea sures only price change, which is just one of several important factors affecting living costs. Area indexes do not measure differences in the level of prices among cities. They only measure the average change in prices for each area since the base period. Producer Price Indexes measure average changes in prices received in primary markets of the United States by producers of commodities in all stages of processing. The sample used for calculating these in dexes contains about 2,800 commodities and about 10,000 quotations per month selected to represent the movement of prices of all com modities produced in the manufacturing, agriculture, forestry, fishing, mining, gas and electricity, and public utilities sectors. The universe includes all commodities produced or imported for sale in commercial transactions in primary markets in the United States. Producer Price Indexes can be organized by stage of processing or by commodity. The stage of processing structure organizes products by degree of fabrication (that is, finished goods, intermediate or semifinished goods, and crude materials). The commodity structure organizes products by similarity of end-use or material composition. To the extent possible, prices used in calculating Producer Price In dexes apply to the first significant commercial transaction in the Unit ed States, from the production or central marketing point. Price data are generally collected monthly, primarily by mail questionnaire. 88 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Most prices are obtained directly from producing companies on a vol untary and confidential basis. Prices generally are reported for the Tuesday of the week containing the 13th day of the month. In calculating Producer Price Indexes, price changes for the vari ous commodities are averaged together with implicit quantity weights representing their importance in the total net selling value of all com modities as of 1972. The detailed data are aggregated to obtain in dexes for stage of processing groupings, commodity groupings, dura bility of product groupings, and a number of special composite groupings. Price indexes for the output of selected S IC industries measure av erage price changes in commodities produced by particular industries, as defined in the S ta n d a rd In du strial Classification M a n u a l 1972 (Washington, U.S. Office of Management and Budget, 1972). These indexes are derived from several price series, combined to match the economic activity of the specified industry and weighted by the value of shipments in the industry. They use data from comprehensive in dustrial censuses conducted by the U.S. Bureau of the Census and the U.S. Department of Agriculture. Notes on the data Beginning with the May 1978 issue of the Review, regional CPI’s cross classified by population size, were introduced. These indexes will enable users in local areas for which an index is not published to get a better approximation of the CPI for their area by using the appropri ate population size class measure for their region. The cross-classified indexes will be published bimonthly. (See table 24.) For further details about the new and the revised indexes and a comparison of various aspects of these indexes with the old unrevised CPI, see F acts A bou t the R evised C onsum er Price Index, a pamphlet in the Consumer Price Index Revision 1978 series. See also The C onsum er Price Index: Concepts a n d C ontent O ver the Years. Report 517, revised edition (Bureau of Labor Statistics, May 1978). For interarea comparisons of living costs at three hypothetical stan dards of living, see the family budget data published in the H an dbook o f L ab o r Statistics, 1977, Bulletin 1966 (Bureau of Labor Statistics, 1977), tables 122-133. Additional data and analysis on price changes are provided in the C P I D eta iled R eport and P roducer Prices a n d Price Indexes, both monthly publications of the Bureau. As of January 1976, the Wholesale Price Index (as it was then called) incorporated a revised weighting structure reflecting 1972 val ues of shipments. From January 1967 through December 1975, 1963 values of shipments were used as weights. For a discussion of the general method of computing consumer, producer, and industry price indexes, see B L S H an dbook o f M ethods f o r S urveys a n d Studies, Bulletin 1910 (Bureau of Labor Statistics, 1976), chapters 13-15. See also John F. Early, “Improving the mea surement of producer price change,” M on th ly L ab o r Review, April 1978, pp. 7-1 5 . For industry prices, see also Bennett R. Moss, “In dustry and Sector Price Indexes,” M on th ly L a b o r Review, August 1965, pp. 974-82. 22. C o n s u m e r P ric e In d e x fo r U rb a n W a g e E a rn e rs an d C le ric a l W o rk e rs , an n u al a v e ra g e s an d c h a n g e s , 1 9 6 7 - 7 9 [1 9 6 7 = 1 0 0 ] Food and beverages All items Year Index Percent change Index Apparel and upkeep Housing Percent change Index Percent change Index Transportation Percent change Index Percent change Medical care Index Other goods and services Entertainment Percent change Index Percent change Index Percent change 1967 1968 1969 1970 ..................... ..................... ..................... ..................... 100.0 104.2 109.8 116.3 4.2 5.4 5.9 100.0 103.6 108.8 114.7 3.6 5.0 5.4 100.0 104.0 110.4 118.2 4.0 6.2 7.1 100.0 105.4 111.5 116.1 5.4 5.8 4.1 100.0 103.2 107.2 112.7 3.2 3.9 5.1 100.0 106.1 113.4 120.6 6.1 6.9 6.3 100.0 105.7 111.0 116.7 5.7 5.0 5.1 100.0 105.2 110.4 116.8 5.2 4.9 5.8 1971 1972 1973 1974 1975 ..................... ...................... ..................... ...................... ...................... 121.3 125.3 133.1 147.7 161.2 4.3 3.3 6.2 11.0 9.1 118.3 123.2 139.5 158.7 172.1 3.1 4.1 13.2 13.8 8.4 123.4 128.1 133.7 148.8 164.5 4.4 3.8 4.4 11.3 10.6 119.8 122.3 126.8 136.2 142.3 3.2 2.1 3.7 7.4 4.5 118.6 119.9 123.8 137.7 150.6 5.2 1.1 3.3 11.2 9.4 128.4 132.5 137.7 150.5 168.6 6.5 3.2 3.9 9.3 12.0 122.9 126.5 1300 139.8 152.2 5.3 2.9 2.8 7.5 8.9 122.4 127.5 132.5 142.0 153.9 4.8 4.2 3.9 7.2 8.4 1976 1977 1978 1979 ..................... ...................... ..................... ..................... 170.5 181.5 195.3 217.7 5.8 6.5 7.6 11.5 177.4 188.0 206.2 228.7 3.1 6.0 9.7 10.9 174.6 186.5 202.6 227.5 6.1 6.8 8.6 12.3 147.6 154.2 159.5 166.4 3.7 4.5 3.4 4.3 165.5 177.2 185.8 212.8 9.9 7.1 4.9 14.5 184.7 202.4 219.4 240.1 9.5 9.6 8.4 9.4 159.8 167.7 176.2 187.6 5.0 4.9 5.1 6.5 162.7 172.2 183.2 196.3 5.7 5.8 6.4 7.2 23. C o n s u m e r P ric e In d e x fo r A ll U rb an C o n s u m e rs an d re v is e d C P I fo r U rb an W a g e E a rn e rs an d C le ric a l W o rk e rs , U .S. c ity a v e r a g e — g e n e ra l s u m m a ry an d g ro u p s , su b g ro u p s , an d s e le c te d ite m s [1 9 6 7 = 1 0 0 u n le s s o th e r w is e s p e c ifie d ] All Urban Consumers General summary 1979 Urban Wage Earners and Clerical Workers (revised) 1980 1979 1980 Apr. Nov. Dec. Jan. Feb. Mar. Apr. Apr. Nov. Dec. Jan. Feb. Mar. Apr. All items 211.5 227.5 2299 233.2 236.4 239.8 242.5 211.8 227.6 230.0 233.3 236.5 239.9 242.6 Food anc beverages ................................................................................. H ousing......................................................................................................... Apparel and u p ke e p ................................................................................... Transportation............................................................................................. Medical care ................................................................................................ Entertainment ............................................................................................. Other goods and services.......................................................................... 226.3 219.8 165.4 202.9 235.1 186.5 193.2 233.1 240.8 171.7 224.9 248.0 192 8 202.9 235.5 243.6 172.2 227.7 250.7 193.4 204.0 237.5 247.3 171.0 233.5 253.9 195.3 206.3 238.6 250.5 171.9 239.6 257.9 197.8 208.1 241.0 254.5 176.0 243.7 260.2 200.6 208.9 242.8 257.9 177.3 246.8 262.0 202.5 209.8 226.7 219.7 165.4 203.7 235.2 185.5 193.1 233.1 240.7 171.3 225.7 249.1 192.0 202.0 235.7 243.6 171.4 228.3 251.7 192.3 203.0 237.8 247.3 169.8 234.1 254.9 193.9 206.0 239.0 250.5 171.5 240.2 258.7 196.2 207.7 241.2 254.4 175.1 244.3 260.9 199.5 208.3 243.2 257.8 176.1 247.7 263.1 201.3 209.2 C om m odities................................................................................................ Commodities less food and beverages ........................................... Nondurables less food and beve rages......................................... D u ra b 'o s ........................................................................................... 203.3 190.1 191.9 187.2 217.4 206.9 216.6 198 4 219.4 208.8 219.0 199.8 222.4 212.0 224.6 201.3 225.2 215.5 231.8 202.1 228.0 218.4 237.5 203.0 229.9 220.4 239.5 204.9 203.6 190.2 192.7 186.8 217.4 206.9 218.1 196.9 219.4 208.7 220.5 198.2 222.3 212.0 226.3 199.6 225.3 215.7 234.1 200.3 228.1 218.7 239.8 201.2 230.1 220.6 241.7 203.3 Servces ....................................................................................................... Rent, residential............................................................................... Household services less rent ....................................................... Transportation services................................................................... Medical care services..................................................................... Other se rvic e s................................................................................. 227.0 172.0 256.5 208.2 253.1 196.2 246.2 182.1 2846 221.5 267.6 2065 249.3 182 9 289.2 224.2 270.7 207.1 253.1 184.1 295.1 226.8 274.4 209.0 256.8 185.6 300.2 229.6 279.0 211.1 261.3 186 6 307.3 233.4 281.5 212.9 265.3 187.0 313.4 238.1 283.4 214.5 227.1 171.9 257.2 209.0 252.9 196.4 246.7 181.9 286.3 221.5 268.8 207.3 249.6 182.7 291.1 224.0 271.8 207.4 253.6 183.9 297.2 226.6 275.6 209.3 257.3 185.5 302.4 229.3 279.8 211.4 261.7 186.4 309.6 232.7 282.2 213.5 265.8 186.9 315.8 238.0 284.5 214.6 All items less food ...................................................................................... All items less mortgage interest costs ..................................................... Commodities less fo o d ............................................................................... Nondurables less food ............................................................................... Nondurables less food and a p p a re l......................................................... Nondurables ................................................................................................ Services less rent ...................................................................................... Services less medical c a r e ........................................................................ Domestically produced farm foods ......................................................... Selected beef c u ts ...................................................................................... Energy ......................................................................................................... All items less energy ................................................................................. All items less food and energy ..................................................... Commodities less food and e n ergy........................................... Energy commodities ................................................................... Services less e n e rg y ................................................................... 206.3 206.4 188 9 189.6 205.2 209.9 237.1 222.7 222.4 264.0 250.2 208.8 202.3 182.1 253.2 225.6 224 1 219.8 205.4 212.9 236.8 225.8 258.2 242.3 224.5 256.5 307.8 221.4 216.1 191.4 332.5 244.6 226.4 221.7 207.2 215.2 240.1 228.2 261.6 245.3 227.5 263.2 313.7 223.6 218.1 192.6 340.0 247.6 229.9 224.3 210.4 220.5 248.6 232.0 266.1 249.2 229.2 265.7 327.9 225.9 220.6 193.7 361.5 251.6 233.5 227.1 213.8 227.3 258.2 236.3 270.2 252.7 229.1 267.2 344.6 228.0 222.8 194.9 385.0 255.2 237.1 229.8 216.7 232.6 264.1 240.3 275.4 257.4 231.2 270.2 355.0 230.8 225.7 196.5 398.5 259.6 239.9 231.8 218.6 234.6 266.5 242.2 280.0 261.5 232.7 268.0 358.8 233.4 228.5 198.2 402.3 263.5 206.3 206.8 189.0 190.2 205.8 210.6 237.3 222.9 222.3 265.6 251.2 209.0 202.1 181.8 253.9 225.8 224.2 220.1 205.4 214.4 238.2 226.5 258.8 242.6 224.4 259.2 310.7 221.0 215.4 190.4 333.8 245.1 226.4 222.0 207.1 216.7 241.5 229.0 262.1 245.5 227.5 265.2 317.0 223.0 217.3 191.4 341.5 248.0 230.0 224.7 210.3 222.1 250.2 232.9 266.7 249.5 229.0 268.1 331.5 225.3 219.6 192.4 362.8 252.2 233.7 227.6 214.0 229.4 260.1 237.4 270.8 253.1 229.2 270.3 348.7 227.3 221.8 193.5 386.4 255.7 237.3 230.2 216.9 234.8 266.3 241.4 275.9 257.7 231.0 272.3 359.6 230.0 224.6 195.1 400.3 260.0 240.2 232.4 218.9 236.7 268.7 243.3 280.8 261.9 232.4 269.5 363.3 232.7 227.5 196.9 404.0 264.2 Purchasing power of the consumer dollar, 1967 = $1 ........................ $0,473 $0,440 $0,435 $0,429 $0,423 $0,417 $0,412 $0,472 $0,439 $0,435 $0,429 $0,423 $0,417 $0412 Special indexes: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 89 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Consumer Prices 23. C o n tin u e d — C o n s u m e r P ric e In d e x — U .S. c ity a v e ra g e [1 9 6 7 = 1 0 0 unless otherw ise specified] All Urban Consumers General summary 90 1979 Urban Wage Earners and Clerical Workers (revised) 1980 1980 1979 Apr. Nov. Dec. Jan. Feb. Mar. Apr. Apr. Nov. Dec. Jan. Feb. Mar. Apr. FOOD AND BEVERAGES ................................................................................. 226.3 233.1 235.5 237.5 238.6 241.0 242.8 226.7 233.1 235.7 237.8 239.0 241.2 243.2 Food ..................................................................................................................... 232.3 239.1 241.7 243.8 244.9 247.3 249.1 232.7 239.1 241.8 244.0 245.2 247.5 249.5 Food at home ....................................................................................................... Cereals and bakery p ro d u c ts ...................................................................... Cereals and cereal products (12/77 - 1 0 0 ).................................... Flour and prepared flour mixes (12/77 = 1 0 0 )........................ Cereal (12/77 - 100) ................................................................. Rice, pasta, and cornmeal (12/77 = 100) ............................... Bakery products (12/77 = 100) ....................................................... White b re a d .................................................................................... Other breads (12/77 = 100) ..................................................... Fresh biscuits, rolls, and muffins (12/77 = 1 0 0 ) ...................... Fresh cakes and cupcakes (12/77 = 100) ............................. Cookies (12/77 = 100) .............................................................. Crackers and bread and cracker products (12/77 = 100) .. Fresh sweetrolls, coffeecake, and donuts (12/77 = 100) . . . Frozen and refrigerated bakery products and fresh pies, tarts, and turnovers (12/77 = 100) ............ 231.7 214.5 114.0 114.8 114.6 112.5 113.3 188.4 112.6 113.3 112.0 113.1 112.4 112.0 236.0 228.7 121.1 122.8 119.7 121.6 121.0 204.5 121.3 121.2 119.4 117.1 114.5 119.9 238.7 231.6 122.9 123.8 122.8 122.2 122.4 207.4 123.3 123.1 120.3 117.8 116.2 121.5 240.6 234.2 125.0 125.7 123.7 126.4 123.5 208.6 123.8 124.8 121.7 119.7 117.5 122.2 241.3 236.8 125.8 125.7 124.9 127.4 125.1 210.7 124.6 126.2 122.8 122.8 119.9 123.8 243.6 238.6 126.6 126.6 126.0 127.6 126.1 212.0 125.6 127.0 124.4 124.4 120.2 125.0 245.3 242.0 129.4 127.8 129.4 130.8 127.6 215.1 127.0 126.9 126.5 125.3 122.0 126.6 231.4 215.2 114.1 115.5 114.6 112.2 113.8 188.0 114.2 113.2 113.0 114.5 113.1 114.0 235.4 229.7 122.1 124.6 119.9 122.7 121.3 203.9 124.2 120.8 119.1 118.4 116.1 121.9 238.3 232.3 123.8 125.1 122.9 123.9 122.7 206.6 126.0 122.3 120.1 119.6 116.3 123.4 240.1 234.7 126.1 126.9 124.2 127.9 123.6 207.4 126.9 123.1 120.8 121.5 118.4 124.1 241.1 237.4 127.2 127.3 125.5 129.2 125.1 209.7 127.5 124.3 122.2 124.0 121.0 125.4 243.1 239.3 127.7 127.5 126.6 129.4 126.2 212.1 129.3 124.9 123.2 125.6 121.8 126.2 245.0 242.2 130.1 128.9 129.7 131.9 127.5 215.1 129.3 125.3 125.4 126.3 122.2 128.0 114.9 123.7 124.8 125.7 127.2 127.9 129.7 112.9 120.8 121.4 122.5 123.8 124.0 125.3 Meats, poultry, fish, and e g g s ...................................................................... Meats, poultry, and f is h ........................................................................ Meats .............................................................................................. Beef ana v e a l............................................................................. Ground beef other than canned ......................................... Chuck roast ........................................................................... Round roast ........................................................................... Round steak .......................................................................... Sirloin steak .......................................................................... Other beef and veal (12/77 = 100) .................................. P o rk .............................................................................................. Bacon ....................................................................................... Pork chops ............................................................................. Ham other than canned (12/77 = 1 0 0 )............................. Sausage .................................................................................. Canned h a m ........................................................................... Other pork (12/77 = 1 0 0 ) .................................................. Other m e a ts ............................................................................... Frankfurters .......................................................................... Bologna, liverwurst, and salami (12/77 = 100) .............. Other lunchmeats (12/77 = 1 0 0 ) ...................................... Lamb and organ meats (12/77 = 1 0 0 ) ............................. Poultry ........................................................................................... Fresh whole chicken ............................................................ Fresh and frozen chicken parts (12/77 = 100) .............. Other poultry (12/77 = 100) .............................................. Fish and seafood .......................................................................... Canned fish and seafood (12/77 = 1 0 0 ).......................... Fresh and frozen fish and seafood (12/77 = 1 0 0 ) .......... E g g s ......................................................................................... 240.0 245.1 248.3 262.5 273.7 278.5 235.8 247.8 248.4 148.4 248.4 220.8 212.8 103.7 282.0 234.4 127.8 239.4 240.1 132.5 121.8 131.2 189.9 191.5 121.5 123.0 295.6 108.9 114.8 179.3 230.2 235.2 237.4 255.5 264.2 263.1 229.1 241.9 247.0 146.3 201.0 186.3 188.8 95.9 254.5 214.8 112.9 242.0 238.9 133.4 121.6 138.3 171.6 166.7 110.8 115.9 312.2 116.8 120.1 170.1 235.5 239.8 242.3 262.2 271.2 268.1 238.1 247.5 250.8 150.2 205.0 193.6 187.8 102.5 256.5 218.9 112.6 243.0 239.3 134.4 121.5 140.0 176.2 175.2 112.3 116.9 312.6 117.1 120.2 185.9 238.0 243.0 244.1 264.6 271.4 274.7 241.9 249.8 250.9 151.8 206.4 194.5 192.1 99.1 256.6 220.8 116.2 243.2 239.0 134.1 121.2 141.6 187.8 191.1 120.7 119.3 316.7 118.5 121.9 178.2 236.2 242.6 244.1 266.2 273.3 277.7 244.5 252.3 251.1 152.2 202.8 190.1 189.7 95.7 255.1 219.5 114.3 244.7 242.7 135.6 120.7 142.4 182.6 183.6 116.8 118.8 320.4 120.3 123.0 157.2 237.8 243.8 245.7 269.1 275.3 286.2 244.2 254.2 254.3 153.8 202.6 187.6 190.7 95.8 257.6 219.3 113.6 245.8 244.6 135.5 121.8 142.3 180.7 179.5 116.8 118.2 322.6 120.4 124.3 164.5 235.1 241.1 242.6 267.0 272.9 277.9 242.7 253.5 256.1 153.3 197.1 182.1 187.0 90.6 255.1 213.5 110.7 243.9 240.6 134.9 121.9 140.1 177.2 174.7 114.5 117.3 325.3 122.9 124.5 161.2 239.4 244.4 247.6 263.9 273.2 286.8 237.2 245.1 247.5 149.1 225.6 223.2 214.1 101.5 280.9 234.3 127.3 236.1 238.9 130.9 119.0 131.2 187.2 187.8 121.0 120.6 292.9 107.9 113.9 179.8 230.0 235.0 237.3 257.7 266.0 273.1 232.7 239.7 247.4 146.6 201.5 188.7 188.1 95.4 255.8 214.6 112.7 238.5 237.2 130.4 119.5 139.8 170.1 163.3 110.7 116.0 307.5 116.0 117.8 169.6 235.1 239.2 241.8 263.7 273.0 274.2 240.5 246.2 253.5 149.9 205.6 195.8 189.1 100.9 258.3 219.1 112.7 239.5 238.7 130.8 119.4 141.7 173.9 169.8 111.8 117.4 309.1 116.5 118.5 186.6 237.5 242.5 243.7 266.7 272.7 283.6 245.1 249.4 253.5 151.9 206.8 195.3 194.8 96.5 260.3 219.3 116.2 239.3 239.5 130.5 118.7 142.5 184.3 183.8 118.7 120.1 315.4 118.4 121.2 177.0 236.4 242.8 244.3 268.9 276.2 288.7 245.8 250.5 253.0 152.8 204.1 193.8 191.0 95.2 257.0 218.9 114.6 240.9 242.1 132.3 118.6 143.4 118.1 178.9 117.0 119.4 317.9 119.7 122.0 156.7 237.1 243.0 245.0 270.8 278.7 293.4 244.5 251.1 256.0 153.7 203.0 189.4 190.5 94.7 259.8 217.4 113.7 241.5 242.8 132.2 118.8 144.3 177.4 172.5 116.3 117.7 320.2 119.5 123.5 164.3 234.3 240.2 241.3 268.2 274.7 286.1 242.1 249.6 257.8 153.1 196.7 183.9 184.7 88.7 258.0 214.5 110.0 239.0 239.3 131.1 118.4 141.3 176.0 170.6 114.7 118.1 325.1 121.8 125.1 161.5 Dairy products ...................................................................................... Fresh milk and cream (12/77 = 100) ...................................... Fresh whole m ilk ........................................................................ Other fresh milk and cream (12/77 = 100) ........................ Processed dairy products (12/77 = 1 0 0 ).................................. B u tte r........................................................................................... Cheese (12/77 = 1 0 0 ) ............................................................ Ice cream and related products (12/77 = 1 0 0 )................... Other dairy products (12/77 = 100) .................................... 202.4 114.0 186.5 114.1 114.9 196.6 115.5 114.3 111.9 216.0 121.9 200.4 120.6 122.3 214.4 122.7 121.4 117.8 216.9 122.7 201.2 122.0 122.5 214.0 122.6 122.6 117.9 218.4 123.2 202.3 122.1 123.8 216.9 123.5 124.0 119.8 219.5 123.7 203.2 122.7 124.5 218.3 124.2 124.6 120.9 220.3 124.1 204.0 122.7 125.1 218.3 124.9 125.1 121.6 222.4 124.7 204.9 123.5 127.0 219.9 126.2 128.6 124.0 203.0 114.3 187.2 114.1 115.3 199.1 115.4 115.3 112.0 216.3 121.8 199.7 121.1 123.0 217.1 122.5 123.4 118.2 217.4 122.6 200.9 122.2 123.3 216.6 122.7 124.3 118.3 218.9 123.2 201.8 122.8 124.5 219.8 123.6 125.6 120.4 219.8 123.6 202.7 123.0 125.1 220.9 124.4 125.6 121.3 221.1 124.2 203.8 123.1 126.2 220.9 125.5 127.2 121.9 223.1 124.9 204.8 124.1 128.0 222.7 126.8 130.4 123.6 Fruits and vegetables ........................................................................... Fresh fruits and vege tables.......................................................... Fresh fru its .................................................................................. Apples .................................................................................... Bananas .................................................................................. Oranges .................................................................................. Other fresh fruits (12/77 = 100) ....................................... Fresh vegetables ..................................................................... Potatoes .................................................................................... L e ttu c e .................................................................................... T o m a to e s ............................................................................... Other fresh vegetables (12/77 = 100) ............................. 226.5 230.7 237.1 223.1 217.9 267.7 121.9 224.7 197.3 195.7 250.9 132.5 229.5 230.1 242.7 207.2 209.0 293.9 127.5 218.4 195.7 244.2 225.3 119.1 230.2 230.1 234.9 221.8 225.2 256.7 121.1 225.7 207.0 227.5 227.9 128.0 229.8 227.2 233.6 230.4 221.9 236.2 122.5 221.2 203.8 197.6 216.7 132.0 228.3 223.1 235.8 239.6 238.5 231.1 121.4 211.2 203.3 198.7 184.9 125.1 232.4 229.9 245.4 250.2 243.9 238.1 127.4 215.5 203.3 208.3 201.4 125.4 240.9 245.2 257.0 265.5 242.8 240.6 136.5 234.2 201.7 271.9 201.2 134.6 224.6 228.5 234.2 219.8 213.7 259.9 121.8 223.4 197.1 196.9 250.4 131.0 226.7 226.7 238.3 207.7 206.5 283.3 125.7 216.4 191.7 239.0 225.4 118.9 228.3 228.5 233.3 220.2 222.0 249.5 121.6 224.2 199.6 231.3 224.8 128.1 227.2 224.9 232.7 230.1 219.5 231.3 122.7 217.9 200.9 193.2 213.2 130.5 225.9 220.6 234.7 237.6 234.6 228.4 121.3 207.9 199.8 191.7 184.3 123.9 230.1 227.4 245.4 249.0 240.8 240.9 126.9 211.3 200.3 203.8 197.2 123.0 239.8 244.8 255.6 264.4 243.5 234.3 135.7 235.2 198.2 281.9 197.7 135.3 Processed fruits and vegetables ................................................ Processed fruits (12/77 = 1 0 0 ).............................................. Frozen fruit and fruit juices (12/77 = 100) ...................... Fruit juices and other than frozen (12/77 = 1 0 0 )............ Canned and dried fruits (12/77 = 1 0 0 )............................. Processed vegetables (12/77 = 100) .................................. Frozen vegetables (12/77 = 100) .................................... 223.9 117.0 114.8 115.2 120.9 108.0 106.9 231.0 121.2 116.6 122.1 124.2 110.9 110.2 232.3 121.8 116.8 123.6 124.2 111.7 110.6 234.7 122.9 117.2 125.1 125.3 113.0 111.9 236.2 123.4 117.6 126.0 125.5 114.0 113.0 237.2 123.9 117.7 127.2 125.5 114.6 112.6 238.4 125.0 119.3 128.3 126.3 114.5 113.3 222.1 116.8 114.5 115.3 120.2 107.1 106.8 228.6 121.1 115.7 122.4 124.0 109.4 109.6 230.0 121.3 115.9 123.4 123.5 110.5 110.8 231.8 122.4 116.5 124.5 124.8 111.2 111.4 233.9 123.6 117.8 126.3 125.3 112.2 111.7 235.0 123.9 116.5 127.4 125.9 113.0 111.9 236.2 124.9 118.4 128.4 126.4 113.2 113.0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 23. C o n tin u e d — C o n s u m e r P ric e In d e x — U.S. c ity a v e ra g e [1 9 6 7 = 1 0 0 unless otherw ise specified] Urban Wage Earners and Clerical Workers (revised) All Urban Consumers General summary 1980 1979 1980 1979 Apr. Nov. Dec. Jan. Feb. Mar. Apr. Apr. Nov. Dec. Jan. Feb. Mar. Apr. Fruits and vegetables— Continued Cut corn and canned beans except lima (12/77=100) . . . Other canned and dried vegetables (1 2 /7 7 = 1 0 0 ).............. Other foods at h o m e .................................................................................... Sugar and s w e e ts ......................................................................................... Candy and chewing gum (1 2 /7 7 -1 0 0 ) ........................................... Sugar and artificial sweeteners (1 2 /7 7 = 1 0 0 ).......................... Other sweets (12/77=100) ....................................................... Fats and oils (12/77=100) ................................................................. Margarine ...................................................................................... Nondairy substitutes and peanut butter (12/77=100) ............ Other fats, oils, and salad dressings (12/77=100) ................. Nonalcoholic beverages ..................................................................... Cola drinks, excluding diet c o la .................................................. Carbonated drinks, including diet cola (1 2 /7 7 = 1 0 0 ).............. Roasted coffee ............................................................................. Freeze dried and instant c o ffe e .................................................. Other noncarbonated drinks (1 2 /7 7 = 1 0 0 )............................... Other prepared foods .......................................................................... Canned and packaged soup (1 2 /7 7 = 1 0 0 )............................... Frozen prepared foods (1 2 /7 7 = 1 0 0 )......................................... Snacks (1 2 /7 7 - 1 0 0 ) ................................................................... Seasonings, olives, pickles, and relish (1 2 /7 7 = 1 0 0 ).............. Other condiments (12/77=100) ................................................ Miscellaneous prepared foods (12/77=100) .......................... Other canned and packaged prepared foods (12/77=100) .. 112.7 106.3 264.0 274.2 116.0 114.8 110.6 222.5 236.7 110.9 115.4 347.7 234.8 114.5 343.6 330.8 113.3 204.7 110.2 115 9 112.6 114.2 112.2 112.8 114.1 113.4 110.0 279.6 283.2 120.1 116.2 116.4 232.3 246.2 115.1 121.0 374.3 247.5 118.4 438.1 370.2 115.7 215.3 114.3 124.5 120.4 118.9 116.8 119.0 117.7 114.4 110.9 281.1 284.6 120.1 117.2 117.5 233.0 247.7 115.7 121.1 375.4 247.2 118.7 440.7 374.3 116.3 217.4 115.9 125.6 121.3 120.1 119.5 118.9 118.6 114.5 112.9 283.5 289.8 121.3 122.2 118.7 233.9 248.3 115.3 121.9 378.5 249.5 119.9 443.2 378.2 116.8 218.8 116.5 126.0 121.8 121.4 120.8 119.6 119.4 115.2 113.9 2880 297.5 122.4 131.5 119.5 235.9 247.9 116.4 123.6 384.5 255.9 122.3 439.6 382.2 118.3 221.8 118.1 126.6 123.4 123.6 123.7 120.7 121.2 116.0 114.8 292.0 313.5 123.8 153.0 120.4 236.8 248.8 117.9 123.7 387.1 259.3 123.5 437.6 381.7 118.6 224.1 118.0 128.2 124.1 124.9 126.0 122.2 122.2 115.6 114.7 295.1 319.5 126.3 156.9 121.3 238.3 247.9 119.8 124.8 390.3 261.7 125.6 434.0 3802 120.7 226.6 120.5 130.4 124.8 125.2 127.1 124.4 123.1 111.4 105 0 263.7 273.6 115.8 115.1 109.4 223.0 235.9 111.2 115.9 347.8 234.1 112.2 344.3 329.4 112.7 204.5 110.3 115.0 113.0 113.4 113.0 112.7 113.6 111.8 108.1 278.3 281.9 119.8 116.2 114.6 232.8 246.7 115.0 121.3 370.7 243.6 115.6 430.8 369.3 114.8 215.7 114.8 122.9 121.7 118.2 118.5 118.6 118.0 113.0 109.1 279.9 284.1 119.9 117.6 116.6 233.7 247.8 115.8 121.5 372.3 2e3.4 116.4 435.3 372.9 115.5 217.2 116.3 123.9 122.2 119.0 120.2 118.7 118.6 112.7 110.4 282.6 289.6 121.2 122.7 117.5 234.9 248.8 116.1 122.3 375.6 246.5 116.4 440.1 376.8 116.2 219.1 116.8 125.1 122.8 121.1 121.4 119.7 119.5 113.4 111.9 287.3 297.1 122.2 131.6 118.5 236.5 247.9 117.2 123.8 383.0 253.6 120.2 436.8 380.4 117.5 221.7 117.9 125.5 124.7 123.1 124.6 120.5 120.3 115.4 112.3 2909 314.1 123.9 153.8 119.3 236.8 248.3 118.5 123.4 384.4 255.4 121.1 432.3 380.3 118.1 224.0 117.6 127.1 125.3 124.0 126.6 122.2 122.0 114.3 112.7 294.6 320.8 126.5 158.6 120.0 238.3 248.3 120.0 124.4 389.2 260.1 123.4 430.4 379.2 119.6 226.6 120.6 128.8 126.0 124.5 128.1 123.7 123.3 Food away from h o m e ......................................................................................... Lunch (1 2 /7 7 -1 0 0 ) .................................................................................... Dinner (1 2 /7 7 -1 0 0 ) .................................................................................... Other meals dhd snacks (1 2 /7 7 = 1 0 0 )..................................................... 238.4 116.4 115.3 115.0 251.3 122.3 122.4 120.2 253.4 123.3 123.4 121.4 256.1 124.6 124.8 122.5 258.3 125.9 125.8 123.2 260.9 127.0 127.0 124.9 263.0 127.9 127.9 126.4 240.4 117.6 115.9 116.2 252.7 123.2 123.0 120.9 255.1 124.0 124.2 122.5 258.0 125.7 125.6 123.7 260.1 126.7 126.8 124.4 262.7 127.6 128.1 126.2 265.3 128.9 129.1 127.7 FOOD AND BEVERAGES Food Continued Continued Food at home— Continued Alcoholic beverages 170.2 177.4 178.0 179.3 180.4 181.7 183.9 170.6 178.0 178.7 179.7 181.1 182.8 185.0 Alcoholic beverages at home (1 2 /7 7 = 1 0 0 )..................................................... Bee- and a le .................................................................................................. Whiskey ......................................................................................................... W in e ................................................................................................................. Other alcoholic beverages (1 2 /7 7 = 1 0 0 ).................................................. Alcoholic beverages away from home (1 2 /7 7 = 1 0 0 )...................................... 110.6 167.7 125.4 190.7 105.0 112.8 115.6 176.9 130.7 198.1 107.0 116.4 116.0 177.8 130.8 199.1 106.9 116.8 116.8 179.0 131.6 201.6 107.1 118.0 117.4 179.9 132.6 202.5 107.3 119.2 118.2 182.0 132.8 204.1 107.4 120.0 119.9 185.9 133.4 206.6 108.2 120.5 111.6 168.0 126.8 194.1 104.6 110.2 116.5 176.9 131.9 201.5 106.2 114 9 117.0 177.6 132.0 204.0 106.4 115.2 117.6 178.8 132.9 203.8 106.4 115.9 118.3 179.9 133.8 206.1 106.7 117.6 119.3 181.7 134.4 208.4 107.2 119.1 120.8 185.1 134.6 209.8 107.8 120.5 H O U S IN G .............................................................................................................. 219.8 240.8 243.6 247.3 250.5 254.5 257.9 219.7 240.7 243.6 247.3 250.5 254.4 257.8 Shelter 230.7 255.9 259.4 264.0 267.2 271.6 276.0 231.2 256.9 260.4 265.1 268.3 272.7 277.2 Rent, residential..................................................................................................... 172.0 182.1 182.9 184.1 185.6 186.6 187.0 171.9 181.9 182.7 183.9 185.5 186.4 186.9 Other rental costs ................................................................................................ Lodging while out of to w n ............................................................................. Tenants' insurance (12/77=100) .............................................................. 228.3 239.7 107.1 243.1 256.2 114.6 244.9 258.4 115.1 251.1 267.0 116.2 255.7 272.8 117.8 258.6 276.8 113.6 260.7 279.3 119.9 228.0 238.7 107.1 242.6 254.6 115.0 244.4 256.9 115.5 251.1 266.1 116.8 255.6 271.6 118.5 258.6 275.7 119.3 260.5 278.0 120.1 Homeownership..................................................................................................... Home purchase............................................................................................. Financing, taxes, and insurance ................................................................. Property insurance ............................................................................... Property taxes ...................................................................................... Contracted mortgage interest c o s t ..................................................... Mortgage interest ra te s ................................................................. Maintenance and repairs ............................................................................. Maintenance and repair services ....................................................... Maintenance and repair commodities ................................................ Paint and wallpaper, supplies, tools, and equipment (12/77=100) ......................................................... Lumber, awnings, glass, and masonry (1 2 /7 7 = 1 0 0 ).............. Plumbing, electrical, heating, and cooling supplies (1 2 /7 7 = 1 0 0 ).............................................................. Miscellaneous supplies and equipment (1 2 /7 7 -1 0 0 ) ............ 251.7 215.4 292.1 303.2 181.1 350.8 160.2 250.6 271.5 201.8 282.4 237.3 340.1 320.8 185.1 423.1 175.4 266.4 288.8 214.0 286.9 239.9 348.3 323.1 186.0 435.3 178.3 268.3 290.4 216.6 292.5 242.1 359.8 327.7 186.7 452.8 183.7 270.6 293.2 217.6 296.3 243.0 367.7 333.7 188.2 464.0 187.5 273.7 297.1 218.9 302.0 244.0 379.9 335.7 188.2 483.0 194.4 278.8 303.2 221.4 307.7 246.5 390.6 338.9 188.4 499.4 199.4 282.9 307.9 224.3 252.7 215.4 294.0 303.2 182.6 351.1 160.3 251.7 273.8 202.6 284.1 237.7 343.5 322.6 186.6 424.2 175.6 266.5 290.3 213.6 288.7 240.2 351.6 324.5 187.4 436.1 178.4 268.9 292.8 215.8 294,6 242.3 363.4 328.8 188.2 453.7 183.8 271.9 295.9 218.4 298.4 243.0 371.6 335.2 189.9 465.0 187.8 274.4 299.3 219.5 304.0 243.8 384.1 337.4 189.9 484.1 194.8 278.2 303.5 222.3 310.0 246.5 395.3 3404 1901 500.9 199.8 281.7 307.7 224.3 110.5 110.4 118.8 115.5 121.6 115.4 122.5 115.9 123.5 115.8 125.0 117.6 126.6 118.8 111.3 111.3 118.1 117.2 120.3 118.1 122.2 118.6 122.3 119.3 123.6 119.9 126.0 119.7 106.8 109.5 113.4 113.8 114.7 114.3 114.7 115.4 115.3 116.4 116.4 117.0 119.1 118.2 108.0 107.8 114.0 112.2 114.5 112.3 117.0 113.2 117.9 114.5 119.3 118.2 120.0 119.4 Fuel and other u tilitie s ...................................................................................... 227.5 252.0 255.1 258.6 263.8 268.0 270.5 227.8 252.4 255.7 259.2 264.4 268.7 271.0 Fuels ................................................................................. .................................... Fuel oil, coal, and bottled g a s ..................................................................... Fuel o il..................................................................................................... Other fuels (6/78 = 100) ................................................................... Gas (piped) and electricity .......................................................................... E le ctricity................................................................................................ Utility (piped) gas ................................................................................. 266.8 349.8 358.5 99.5 245.3 210.4 286.3 307.0 477.4 497.2 121.7 267.3 221.5 328.9 311.8 488.0 507.3 126.0 270.8 224.7 332.6 3180 514.0 534.4 132.7 273.0 226.6 335.1 327.1 539.1 561.9 136.6 278.8 233.8 336.8 333.9 553.4 577.9 138.3 2840 237.9 343.9 337.8 556.4 580.7 139.6 288.0 241.5 347.9 266.7 350.3 359.1 99.4 245.1 210.7 284.8 306.9 478.2 497.7 122.2 267.1 221.5 327.8 311.8 489.0 508.1 126.6 270.7 224.9 331.1 318.1 515.1 534.9 133.7 273.0 226.8 333.8 327.0 540.3 562.5 137.9 278.5 233.9 335.4 333.9 554.1 577.9 139.5 283.9 238.1 342.6 337.6 557.1 580.7 140.8 287.6 241.5 346.4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 91 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Consumer Prices 23. C o n tin u e d — C o n s u m e r P ric e In d e x — U.S. c ity a v e ra g e [1967 - 100 unless otherw ise specified] Urban Wage Earners and Clerical Workers (revised) All Urban Consumers General summary 1980 1979 1980 1979 Apr. Nov. Dec. Jan. Feb. Mar. Apr. Apr. Nov. Dec. Jan. Feb. Mar. Apr. Other utilities and public services ........................................................................ Telephone services ......................................................................................... Local charges (12/77 = 100) .............................................................. Interstate toll calls (12/77 = 100) ....................................................... Intrastate toll calls (12/77 = 100) ....................................................... Water and sewerage maintenance .............................................................. 158.8 132.1 100.4 98.3 100.7 240.2 161.0 133.3 101.8 98.4 101.5 247.1 161.9 134.3 103.2 98.4 101.5 247.2 161.5 133.4 102.6 97.7 100.8 250.0 161.3 132.8 102.7 97.4 98.8 252.3 161.9 133.2 103.3 97.4 98.7 253.9 162.3 133.4 103.5 97.3 99.0 255.2 158.9 132.1 100.5 98.3 100.6 240.7 160.9 133.3 101.8 98.4 101.3 247.2 161.8 134.2 103.2 98.4 101.3 247.3 161.5 133.4 102.6 97.7 100.6 250.5 161.4 132.8 102.7 97.5 98.7 253.0 161.9 133.1 103.2 97.5 98.6 254.7 162.3 1332 103.3 97.4 98.9 256.2 Household furnishings and operations .......................................................... 188.6 195.1 195.8 196.9 199.0 201.3 203.0 187.3 193.2 193.9 194.9 196.8 199.2 200.7 Housefurnishings ..................................................................................................... Textile housefurnishings.................................................................................. Household linens (12/77 - 100) .......................................................... Curtains, drapes, slipcovers, and sewing materials (12/77 = 100) . Furniture and bedding .................................................................................... Bedroom furniture (12/77 - 100) ....................................................... Sofas (12/77 - 100) ............................................................................. Living room chairs and tables (12/77 = 100) .................................... Other furniture (12/77 - 1 0 0 ).............................................................. Appliances including TV and sound equipm ent........................................... Television and sound equipment (12/77 = 100) ............................... Television ......................................................................................... Sound equipment (12/77 - 100) ................................................ Household appliances............................................................................. Refrigerators and home fre e z e r..................................................... Laundry equipment (12/77 - 100) .............................................. Other household appliances (12/77 = 1 0 0 ) ............................... Stoves, dishwashers, vacuums, and sewing machines (12/77 = 100) ....................................................... Office machines, small electric appliances, and air conditioners (12/77 = 1 0 0 )....................................... Other household equipment (12/77 - 1 0 0 )................................................ Floor and window coverings, infants' laundry cleaning and outdoor equipment (12/77 = 100) .......................... Clocks, lamps, and decor items (12/77 = 100) ............................... Tableware, serving pieces, and nonelectric kitchenware (12/77 = 100) .............................................................. Lawn equipment, power tools, and other hardware (12/77 = 100) . 162.4 173.1 106.2 109.7 176.5 112.7 106.8 103.1 113.8 135.3 104.2 103.0 106.3 154.5 151.4 108.7 109.4 166.6 178.9 108.8 114.4 182.2 117.7 107.9 107.7 116.8 137.5 105.0 103.6 107.4 158.2 156.0 113.1 110.8 166.9 178.6 108.3 114.6 182.8 118.3 108.2 108.1 117.1 137.5 105.3 103.6 107.8 157.9 156.7 113.6 109.9 167.6 176.7 105.4 115.1 184.0 119.1 108.2 108.9 118.1 137.8 105.3 103.7 107.8 158.5 156.7 114.1 110.5 169.3 182.9 110.1 118.2 185.2 120.5 108.5 110.0 118.3 138.3 105.4 103.7 108.1 159.4 156.5 115.0 111.3 171.5 187.2 113.9 119.7 189.2 122.5 110.9 110.8 122.6 138.8 105.7 104.0 108.3 160.2 157.9 116.8 111.2 172.7 188.2 114.8 119.9 190.9 124.3 111.6 110.9 124.0 139.3 105.7 104.0 108.3 161.4 160.6 117.5 111.5 161.9 174.1 106.3 111.1 175.8 111.2 107.0 104.8 112.7 135.2 103.9 102.3 106.2 154.7 155.2 108.5 108.4 165.5 178.4 108.3 114.5 182.1 115.9 111.7 108.6 115.3 136.2 104.4 102.4 107.1 156.2 158.1 112.2 107.6 165.9 177.3 107.2 114.4 182.7 116.0 111.6 109.2 115.9 136.9 104.8 102.2 108.0 157.1 159.0 112.8 108.2 166.5 175.3 106.0 113.2 183.6 116.8 110.6 109.4 117.8 137.2 104.9 102.2 108.2 157.7 159.4 113.8 108.6 167.9 181.2 109.8 116.6 184.3 117.5 110.3 111.2 117.5 137.8 104.9 102.3 108.2 158.8 159.7 114.7 109.5 170.4 185.3 113.2 118.2 187.9 119.2 112.7 111.9 121.3 139.0 105.5 102.9 108.7 160.7 161.4 116.6 110.7 171.5 186.3 113.8 118.9 189.4 120.9 111.8 112.6 123.1 139.7 105.4 102.8 108.6 162.3 163.5 117.8 111.6 110.1 109.7 108.6 110.0 110.8 110.9 110.0 109.5 107.1 108.1 109.2 110.5 111.1 111.6 108.6 109.3 112.1 112.4 111.4 113.0 111.1 114.6 112.0 115.9 111.6 117.3 113.1 118.4 107.2 108.5 108.2 111.6 108.3 111.8 107.8 113.3 108.4 114.4 110.2 116.0 111.6 117.0 109.0 105.6 111.1 110.0 111.7 110.1 113.1 111.6 114.5 112.7 116.4 114.9 118.2 115.6 103.9 106.6 107.7 108.2 107.4 107.3 108.9 109.4 109.4 109.8 110.8 112.3 113.1 112.6 112.8 107.2 116.8 109.0 117.2 110.3 119.9 110.6 121.4 111.7 122.6 112.2 123.4 113.5 110.8 109.4 115.2 111.1 115.2 112.5 117.3 113.0 118.9 114.2 120.8 115.0 121.4 115.9 Housekeeping supp lies........................................................................................... Soaps and detergents .................................................................................... Other laundry and cleaning products (12/77 = 100) ............................... Cleansing and toilet tissue, paper towels and napkins (12/77 = 100) .. Stationery, stationery supplies, and gift wrap (12/77 = 100) ................. Miscellaneous household products (12/77 = 1 0 0 ).................................... Lawn and garden supplies (12/77 = 1 0 0 ).................................................. 219.7 210.9 109.1 115.9 107.4 111.2 110.0 228.3 220.6 114.1 119.2 111.3 115.6 113.8 229.2 221.2 114.7 120.5 111.9 116.9 112.5 231.1 224.1 116.1 120.6 111.6 117.7 114.4 235.0 228.9 117.2 121.2 112.7 119.4 119.4 2380 232.1 117.0 123.9 113.8 120.9 121.4 240.7 233.2 117.6 126.2 115.6 122.0 123.8 218.1 209.6 108.9 116.2 106.4 109.9 106.8 226.7 218.2 113.7 119.6 109.2 114.1 113.2 227.2 219.7 114.5 120.9 109.3 114.7 109.9 228.8 222.2 115.6 121.8 109.0 115.0 111.3 232.8 226.5 117.1 123.4 112.3 116.6 113.3 235.5 230.0 116.9 125.8 113.6 118.3 114.0 238 1 231.1 118.1 128.1 114.9 119.2 116.5 Housekeeping services........................................................................................... Postage ............................................................................................................ Moving, storage, freight, household laundry, and drycleaning services (12/77 = 100) ....................................................... Appliance and furniture repair (12/77 = 100) ........................................... 244.5 257.3 256.6 257.3 258.1 257.3 260.0 257.3 261.6 257.3 263.6 257.3 266.0 257.3 243.1 257.2 255.9 257.2 257.5 257.2 259.2 257.2 261.1 257.2 262.7 257.2 264.3 257.3 112.6 108.0 120.4 112.9 121.2 113.4 122.9 114.0 124.2 114.7 125.4 115.8 128.3 116.5 112.6 107.1 121.2 112.9 122.3 113.4 123.3 114.4 124.6 115.5 126.1 116.0 127.8 116.2 APPAREL AND UPKE EP...................................................................................... 165.4 171.7 172.2 171.0 171.9 176.0 177.3 165.4 171.3 171.4 169.8 171.5 175.1 176.1 Apparel com m odities........................................................................................... 160.2 165.9 166.1 164.3 165.1 169.2 170.2 160.4 165.7 165.7 163.6 165.2 168.7 169.5 Apparel commodities less footw ear.............................................................. Men's and boys’ .............................................................................................. Men's (12/77 = 100) ............................................................................. Suits, sport coats, and jackets (12/77 = 100) .......................... Coats and jackets (12/77 = 1 0 0 ) ................................................ Furnishings and special clothing (12/77 = 100) ........................ Shirts (12/77 = 1 0 0 ) ...................................................................... Dungarees, jeans, and trousers (12/77 - 100) ........................ B o ys '(12/77 = 100) ............................................................................. Coats, jackets, sweaters, and shirts (12/77 = 100) ................. Furnishings (12/77 = 1 0 0 ) ............................................................ Suits, trousers, sport coats, and jackets (12/77 = 100) ......... Women's and girls' ......................................................................................... Women's (12/77 = 1 0 0 )........................................................................ Coats and jackets .......................................................................... Dresses .............................................................................................. Separates and sportswear (12/77 = 1 0 0 ) .................................. Underwear, nightwear, and hosiery (12/77 = 1 0 0 )................... Suits (12/77 = 1 0 0 )........................................................................ Girls (12/77 = 100) ............................................................................... Coats, jackets, dresses, and suits (12/77 = 1 0 0 )...................... Separates and sportswear (12/77 = 1 0 0 ) .................................. Underwear, nightwear, hosiery, and accessories (12/77 = 1 0 0 ) ....................................................... 157.9 159.6 100.8 99.0 94.0 105.4 103.8 99.8 102.5 99.1 106.5 103.6 152.5 101.7 167.2 165.9 100.0 104.6 92.3 100.0 101.5 95.6 162.9 165.4 104.3 101.2 98.1 112.4 109.7 100.5 106.6 103.2 111.5 107.4 155.1 103.0 173.3 164.3 99.2 108.1 95.2 103.9 102.2 103.6 163.0 165.4 104.3 100.9 98.0 112.3 110.5 100.4 106.6 102.4 111.9 107.8 154.6 102.8 170.0 165.3 98.6 108.2 95.8 102.8 100.3 102.6 161.1 162.8 102.6 98.8 95.5 112.2 108.6 98.2 105.6 99.3 111.5 108.2 151.5 100.8 166.4 161.3 96.1 1086 91.0 100.5 97.5 99.9 161.8 162.7 102.3 98.2 93.6 112.7 109.3 97.7 106.3 99.9 110.9 109.5 151.1 100.8 163.1 160.6 97.1 110.2 88.2 98.9 95.7 98.2 166.2 165.6 104.3 99.9 96.9 115.0 111.9 987 107.5 102.5 112.0 109.8 155.5 103.8 167.6 169.3 99.8 111.0 91.6 101.8 98.9 100.8 167.2 166.9 105.0 101.1 96.5 116.6 111.5 99.4 108.9 104.4 113.3 110.7 155.9 103.9 168.3 167.8 101.1 111.5 90.4 102.6 99.8 101.4 158.0 160.1 101.4 96.7 98.1 104.7 105.0 101.9 101.5 97.9 105.5 102.8 152.1 102.1 175.3 160.8 98.9 105.5 95.6 97.4 98.7 92.8 162.7 165.3 104.5 98.7 99.7 110.0 109.4 104.0 105.6 103.4 109.7 105.8 154.5 103.0 172.4 156.8 100.7 108.9 97.5 101.7 97.5 104.3 162.6 165.0 104.2 96.8 99.1 109.9 111.5 103.4 105.8 103.1 110.2 106.2 153.5 102.3 167.9 155.7 99.5 109.3 98.1 101.4 97.7 102.9 160.2 162.4 102.3 94.9 95.6 109.3 108.3 102.2 104.7 99.8 109.7 106.6 149.9 100.1 165.0 150.0 97.1 109.1 94.0 97.9 91.9 99.8 161.9 162.9 102.4 94.4 92.2 111.1 109.4 102.2 105.9 101.9 109.5 107.7 151.3 101.4 162.4 151.2 99.2 110.6 96.8 97.3 92.6 98.1 165.7 166.0 104.4 96.4 96.9 113.2 112.0 102.7 107.5 105.0 110.7 108.2 154.9 103.7 167.0 157.5 101.0 111.5 100.2 100.1 95.7 99.8 166.3 167.3 105.2 97.3 97.0 114.2 111.7 104.2 108.7 107.2 111.6 1088 154.7 103.3 167.8 154.1 101.6 111.7 98.2 101.1 96.8 100.5 105.5 107.2 107.3 106.7 105.6 108.4 109.5 103.3 104.2 104.4 104.4 103.5 107.8 108.9 HOUSING Continued Fuel and other utilities— Continued 92 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 23. [1 9 6 7 = C o n tin u e d — C o n s u m e r P ric e In d e x — U.S. c ity a v e ra g e 1 0 0 u n le s s o th e r w is e s p e c ifie d ] Urban Wage Earners and Clerical Workers (revised) All Urban Consumers General summary 1980 1979 1980 1979 Apr. Nov. Dec. Jan. Feb. Mar. Apr. Apr. Nov. Dec. Jan. Feb. Mar. Apr. Apparel commodities less footwear— Continued Infants'and toddlers’ .................................................................................... Other apparel commodities ........................................................................ Sewing materials and notions (12/77 - 100) .................................. Jewelry and luggage (12/77 - 100) ................................................ 220.7 166.8 101.9 110.4 226.3 177.8 100.8 121.0 227.1 180.9 102.4 123.1 224.9 184.4 103.2 126.1 226.6 191.4 106.3 131.2 231.4 199.9 107.1 138.6 234.3 201.9 107.9 140.1 222.0 167.8 99.0 112.8 228.7 179.8 99.7 123.8 230.5 182.9 100.8 126.2 229.1 185.5 101.2 128.4 232.7 191.8 105.7 132.3 237.3 197.8 107.2 137.3 241.1 198.5 106.9 138.1 Footw ear................................................................................................................. Men's (12/77 - 100) ................................................................................. Boys' and girls' (12/77 - 100) ................................................................. Womens' (12/77 - 1 0 0 ) ............................................................................. 174.2 110.8 108.9 108.0 183.8 117.7 114.0 113.9 184.3 117.3 115.8 113.8 183.7 117.8 117.3 111.6 184.6 118.3 117.9 112.1 187.0 119.0 119.5 114.2 188.3 119.7 119.5 115.6 174.2 111.1 109.3 107.3 183.2 119.1 114.5 111.2 183.8 119.4 114.7 111.8 183.3 119.3 116.9 109.4 183.9 119.4 118.0 109.5 186.3 120.9 119.5 110.9 188.1 122.4 119.5 112.6 Apparel services Laundry and drycleaning other than coin operated (12/77 = 1 0 0 ).............. Other apparel services (12/77 - 100) ............................................................ 201.8 117.6 110.4 214.2 126.3 114.7 216.6 127.1 117.0 220.7 129.3 119.6 222.9 130.6 120.7 225.9 132.5 122.1 230.0 135.5 123.3 201.1 117.5 110.1 212.0 125.7 113.3 213.4 126.6 113.7 216.9 129.0 115.1 219.8 130.6 116.9 223.5 132.3 119.6 226.0 134.1 120.4 TRANSPORTATION ........................................................................................... 202.9 224.9 227.7 233.5 239.6 243.7 246.8 203.7 225.7 228.3 234.1 240.2 244.3 247.7 P riv a te ................................................................................................................... 203.2 225.0 227.5 233.5 239.8 244.0 247.0 203.7 225.7 228.2 234.1 240.4 244.6 248.0 New cars .............................................................................................................. Used c a r s .............................................................................................................. Gaso'ine ................................................................................................................. Automobile maintenance and re p a ir................................................................... Bodywork (12/77 - 1 0 0 ) .......................................................................... Automobile drive train, brake, and miscellaneous mechanical repair (12/77 - 100) ......................................................... Maintenance and servicing (12/77 - 100) ............................................. Power plant repair (12/77 - 100) ............................................................ Other private transportation ............................................................................... Other private transportation commodities ................................................ Motor oil, coolant, and other products (12/77 - 100) ................... Automobile parts and equipment (12/77 - 1 0 0 ) ............................. Tires ................................................................................................ Other parts and equipment (12/77 = 100) ............................. Other private transportation services......................................................... Automobile insurance .......................................................................... Automobile finance charges (12/77 = 100) .................................... Automobile rental, registration, and other fees (12/77 = 100) . . . State registration .......................................................................... Drivers' license (12/77 = 100) .................................................. Vehicle inspection (12/77 = 100) ............................................. Other vehicle related fees (12/77 - 100) ............................... 164.3 200.0 234.7 238.2 113.3 170.6 198.4 306.9 250.8 121.6 171.7 198.2 313.9 252.6 123.3 173.9 197.2 334.6 255.1 125.0 175.3 195.3 357.6 258.2 126.5 175.0 195.2 370.9 260.9 127.3 177.0 196.7 374.7 264.1 129.1 163.9 200.0 235.4 238.7 114.4 170.9 198.4 308.3 251.1 121.7 171.7 198.3 315.6 253.4 123.1 174.1 197.2 335.9 256.2 124.3 175.4 195.3 359.0 259.2 126.1 175.4 195.2 372.7 261.7 127.2 177.7 196.8 376.3 264.3 128.4 113.8 113.5 112.3 194.8 170.2 109.4 110.1 151.2 111.7 203.3 224.7 114.1 105.6 144.0 104.5 112.0 110.9 120.1 118.4 118.5 205.5 183.4 117.4 118.7 161.5 123.0 213.4 233.9 124.6 108.3 144.1 104.5 115.6 117.1 120.6 119.2 119.2 207.5 185.6 118.1 120.3 163.8 124.4 215.3 235.3 127.2 108.5 144.1 104.5 117.5 117.6 121.8 120.2 120.4 209.8 188.4 120.9 121.9 165.8 126.6 217.6 237.1 129.9 109.1 144.2 104.7 117.5 118.8 123.2 121.3 122.5 212.6 191.2 123.9 123.5 168.5 127.3 220.4 240.2 132.1 109.8 145.2 104.8 119.0 119.6 124.1 123.1 123.5 216.5 192.7 126.4 124.3 170.1 127.2 225.0 244.0 137.4 110.8 145.3 104.7 119.7 122.0 126.1 124.7 124.4 221.3 194.1 129.8 124.8 171.2 127.1 230.6 245.2 148.6 111.5 146.4 104.7 119.7 122.7 114.8 113.0 112.6 195.5 171.4 107.3 111.3 153.1 112.6 203.8 224.7 113.5 106.4 143.9 104.3 112.8 114.8 120.8 118.2 118.6 206.3 183.9 118.1 119.0 163.0 121.5 214.3 233.9 124.1 108.9 144.0 104.2 116.5 121.3 121.8 119.3 119.6 208.4 186.4 119.3 120.6 165.7 122.4 216.3 235.2 126.5 109.2 144.0 104.2 118.3 122.2 123.6 120.4 120.9 210.6 188.0 122.4 121.4 166.3 124.0 218.7 236.8 129.4 109.8 144.1 104.5 118.3 123.8 124.8 121.3 123.1 213.6 191.7 124.0 123.9 170.6 125.0 221.5 239.7 131.3 110.9 145.3 104.5 119.7 125.4 126.1 122.8 124.0 217.1 193.2 126.1 124.7 172.5 124.4 225.7 243.8 135.2 111.6 145.5 104.4 120.2 127.0 127.4 124.2 124.6 223.1 195.8 129.1 126.2 174.9 125.1 232.6 244.9 147.8 112.2 146.5 104.4 120.3 127.8 APPAREL AND UPKEEP— Continued Apparel commodities— Continued P u b lic..................................................................................................................... 192.6 216.5 223.0 226.8 229.5 232.1 235.9 193.6 214.0 219.1 221.9 223.9 226.1 229.7 Airline fa r e .............................................................................................................. Intercity bus ‘are .................................................................................................. Intracity mass transit ........................................................................................... Taxi fare ................................................................................................................. Intercity train fa r e .................................................................................................. 192.5 249.2 187.8 215.0 205.0 232.1 279.8 195.6 237.0 231.0 245.5 282.2 196.4 238.5 236.3 251.1 284.7 198.5 243.1 237.2 255.4 288.5 199.7 244.0 237.2 259.9 290.7 200.8 245.6 237.2 264.3 291.5 2030 256.4 237.3 192.1 248.5 187.9 220.7 205.0 232.4 279.9 195.1 242.4 232.1 245.8 282.3 195.7 243.9 236.6 251.0 284.8 196.7 248.9 237.1 255.2 288.2 197.6 249.3 237.0 259.3 290.2 198.6 251.2 237.1 263.9 291.0 200.8 261.6 237.2 MEDICAL CARE 235.1 248.0 250.7 253.9 257.9 260.2 262.0 235.2 249.1 251.7 254.9 258.7 260.9 263.1 151.6 157.8 159.2 160.5 162.1 163.5 164.9 152.5 158.5 159.9 161.0 162.7 164.4 166.0 147.4 116.8 118.3 112.3 148.8 118.2 119.7 113.0 150.7 119.8 121.0 114.2 152.0 120.1 122.2 114.7 153.5 120.4 122.7 115.9 124.8 119.0 127.8 120.1 129.6 121.3 131.3 122.6 Medical care commodities description drugs ................................................................................................ Anti-infective drugs (12/77 - 1 0 0 ) ............................................................ Tranquillizers and sedatives (12/77 = 1 0 0 )............................................. Circulatories and diuretics (12/77 - 1 0 0 ) ................................................ Hormones, diabetic drugs, biologicals, and prescription and supplies (12/77 = 100) ............................................. Pain and symptom control drugs (12/77 - 100) .................................... Supplements, cough and cold preparations, and respiratory agents (12/77 - 1 0 0 )......................................................... Nonprescription drugs and medical supplies (12/77 = 100) ........................ Eyeglasses (12/77 - 100) ........................................................................ Internal and respiratory over-the-counter drugs ...................................... Nonprescription medical equipment and supplies (12/77 = 1 0 0 )......... 140.0 110.2 112.6 107.5 145.5 113.9 117.1 111.0 146.4 114.6 118.4 111.4 147.9 115.8 119.9 112.4 149.8 117.2 121.3 113.4 150.9 117.9 122.2 113.3 152.2 118.5 122.9 114.2 140.8 111.0 113.1 108.5 146.2 115.5 116.9 111.6 117.3 111.2 123.2 116.8 123.8 117.8 126.0 1188 128.7 119.7 130.0 120.5 131.3 121.4 117.3 112.0 122.6 117.5 123.1 118.2 108.5 111.9 112.1 112.6 113.7 115.5 117.1 109.6 112.8 113.7 114.2 115.2 116.5 118.5 108.8 106.2 168.1 107.6 113.4 110.9 175.4 111.8 114.6 110.9 177.9 113.1 115.3 111.5 179.1 113.8 116.3 112.9 180.4 114.6 117.3 114.1 182.2 115.1 118.4 115.0 184.4 115.3 109.6 106.5 169.4 108.7 114,0 110.4 176.6 112.7 115.1 110.5 178.5 114.2 115.6 111.4 179.0 115.0 116.6 112.6 180.8 115.6 118.0 114.5 183.0 116.1 119.2 115.3 185.4 116.3 Medical care services 253.1 267.6 270.7 274.4 279.0 281.5 283.4 252.9 268.8 271.8 275.6 279.8 282.2 284.5 Professional services ........................................................................................... Physicians’ services...................................................................................... Dental s e rv ic e s ............................................................................................. Other professional services (12/77 - 1 0 0 )............................................. 222.9 239.1 211.4 1094 233.0 250.8 220.7 112.8 235.9 252.5 224.5 115.1 238.9 256.0 227.4 116.6 242.9 260.2 231.5 118.1 245.3 262.3 234.1 119.5 248.2 264.8 237.2 121.7 224.2 240.0 213.7 109.1 235.9 255.5 222.7 112.2 238.3 256.5 226.1 114.8 241.7 260.3 229.5 115.9 245.5 264.1 233.4 117.4 247.8 266.2 235.7 119.3 251.2 269.7 238.9 121.1 Other medical care s e rv ic e s ............................................................................... Hospital and other medical services (12/77 = 1 0 0 )............................... Hospital ro o m ......................................................................................... Other hospital and medical care services ......................................... 2896 115.2 362.4 114.5 309.5 122.6 385.1 122.0 312.8 123.8 3894 122.9 317.4 125.6 395.3 124.7 322.7 127.8 403.4 126.5 325.3 128.8 405.8 127.8 325.8 129.7 408.0 128.8 287.8 114.3 360.2 113.4 309.3 121.8 383.6 120.8 313.0 123.2 388.7 122.1 317.3 124.9 393.9 123.8 322.1 126.8 398.8 125.9 324.4 127.7 401.2 126.9 325.3 128.6 403.6 128.0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 93 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Consumer Prices 23. C o n tin u e d — C o n s u m e r P ric e In d e x — U .S. c ity a v e ra g e [1 9 6 7 = 1 0 0 unless otherw ise specified] All Urban Consumers General summary 1979 Apr. Nov. Urban Wage Earners and Clerical Workers (revised) 1980 Dec. Jan. Feb, 1979 Mar. Apr. Apr. 1980 Nov. Dec. Jan. Feb. Mar. Apr. ENTERTAINMENT................................................................................................ 186.5 192.8 193.4 195.3 197.8 200.6 202.5 185.5 192.0 r 192.3 193.9 196.2 199.5 201.3 Entertainment commodities 187,4 194.0 195.2 197.6 200.4 203.4 205.7 185.7 191.3 192.4 194.2 196.9 200.3 202.8 Reading materials (12/77 = 1 0 0 ) ...................................................................... Newspapers ................................................................................................... Magazines, periodicals, and books (12/77 = 1 0 0 ).................................. 109.5 211.5 111.7 114.5 222.4 116.0 115.1 223.5 116.8 116.7 226.8 118.1 117.4 227.7 119.2 119.4 232.4 120.8 120.1 234.8 120.8 109.2 211.1 111.6 114.2 222.2 115.8 114.8 223.3 116.6 116.2 226.4 117.8 117.0 227.3 118.9 119.1 232.0 120.7 119.7 234.3 120.6 Sporting goods and equipment (12/77 = 1 0 0 )................................................ Sport vehicles (12/77 = 100) ................................................................... Indoor and warm weather sport equipment (12/77 = 1 0 0 ) ................... Bicycles .......................................................................................................... Other sporting goods and equipment (12/77 = 100) ............................. 108.6 110.1 105.3 158.0 105.7 111.7 112.2 112.9 107.5 167.1 111.0 113.8 117.2 118.7 109.5 177.2 112.9 118.7 120.6 111.3 178.6 113.1 105.4 105.7 102.9 157.2 104.1 106.1 167.4 110.2 107.7 105.8 106.3 167.0 111.3 108.6 107.6 170.5 111.8 115.9 117.4 108.3 174.5 112.4 106.9 107.8 167.1 110.3 106.4 170.5 111.9 110.8 109.1 107.8 174.9 112.6 112.4 110.8 109.3 177.8 113.4 114.1 113.0 110.5 179.8 114.0 Toys, hobbies, and other entertainment (12/77 = 1 0 0 )................................. Toys, hobbies, and music equipment (12/77 = 100) ............................. Photographic supplies and equipment (12/77 = 1 0 0 )............................. Pet supplies and expense (12/77 = 100) ................................................ 107.6 108 6 106.5 106.8 111.2 110.5 109.9 113.5 112.1 111.2 109.7 115.5 113.2 112.1 110.8 116.8 115.1 114.1 114.1 117.6 116.9 115.7 118.2 118.2 118.4 117.3 120.1 119.2 107.7 108.4 106.2 107.5 111.2 109.8 109.6 114.6 111.8 109.9 110.1 116.1 112.6 110.9 111.2 116.7 114.3 112.3 114.2 117.9 116.4 114.9 116.9 119.0 118.0 116.5 118.9 120.0 Entertainment services .................................................................................... 185.4 191.5 191.1 192.5 194.5 197.0 198.5 186.1 194.3 r 193.0 194.4 196.0 199.1 199.9 Fees for participant sports (12/77 = 1 0 0 ) ....................................................... Admissions (12/77 = 1 0 0 ) .................................................................................. Other entertainment services (12/77 = 1 0 0 ) .................................................. 109.5 112.8 107.6 113.8 116.1 110.0 113.8 116.6 108.6 114.6 117.9 109.1 116.0 118.3 111.4 117.5 119.1 113.2 119.0 118.7 114.8 109.4 112.8 108.4 115.2 117.3 112.0 r 115.0 117.8 109.0 115.6 119.4 109.3 116.3 119.7 111.8 118.8 120.0 113.9 119.3 120.1 115.1 OTHER GOODS AND SERVICES...................................................................... 193.2 202.9 204,0 206.3 208.1 208.9 209.8 193.1 202.0 203.0 206.0 207.7 208.3 209.2 Tobacco products 186.1 191.5 192.1 196.7 198.1 198.4 198.8 186.1 191.4 192.1 197.1 198.3 198.6 198.9 C ig a re tte s............................................................................................................... Other tobacco products and smoking accessories (12/77 = 1 0 0 ) .............. 188.6 109.5 194.0 112.8 194.7 113.2 199.7 113.9 200.9 115.6 201.2 116.3 201.4 117.6 188.8 108.8 194.1 112.4 194.8 112.7 200.3 113.4 201.3 114.8 201.6 115.7 201.6 117.2 Personal care ................................................................................................ 192.7 200.9 203.0 204.2 206.5 208.1 209.7 192.3 200.5 202.3 204.4 206.6 207.7 209.5 Toilet goods and personal care appliances....................................................... Products for the hair, hairpieces and wigs (12/77 - 1 0 0 )...................... Dental and shaving products (12/77 = 1 0 0 ) ........................................... Cosmetics, bath and nail preparations, manicure and eye makeup implements (12/77 = 100) ...................................... Other toilet goods and small personal care appliances (12/77 = 100) 185.8 106.4 110.6 193.1 112.2 115.6 195.8 113.0 117.3 196.4 114.2 117.8 198.6 116.1 118.6 200.2 116.6 119.2 201 8 117.9 120.5 186.2 105.3 109.7 192.4 111.4 113.9 194.5 112.4 114.7 196.2 114.0 115.3 198.3 114.9 116.8 199.6 114.9 118.4 201.8 117.9 119.3 107.6 107.5 111.4 109.9 113.0 112.1 112.9 112.1 114.2 112.9 115.1 114.7 115.7 115.4 108.5 109.7 110.2 112.3 112.1 113.1 112.9 114.0 114.0 115.6 114.8 116.6 115.2 117.2 Personal care se rvic e s......................................................................................... Beauty parlor services for w om e n.............................................................. Haircuts and other barber shop services for men (12/77 = 100) . . . . 199.4 201.1 111.1 208.5 210.3 116.1 210.0 212.1 116.8 211.6 213.3 118.1 214.2 216.1 119.3 215.7 217.9 119.7 217.2 218.6 121.7 198.5 200.8 110.0 208.6 210.2 116.3 210.2 212.0 117.1 212.7 214.2 118.8 215.0 216.6 120.0 215.8 217.8 120.1 217.2 218.6 121.5 Personal and educational expenses 208.4 224.2 224.6 226.3 228.0 228.3 228.7 208.8 224.4 224.8 226.2 227.8 228.2 228.7 School books and su p p lie s.................................................................................. Personal and educational services...................................................................... Tuition and other school fees ..................................................................... College tuition (12/77 = 100) ............................................................ Elementary and high school tuition (12/77 = 100) ........................ Personal expenses (12/77 = 1 0 0 ) ............................................................ 191.6 212.8 108.7 108.9 107.5 111.0 202.3 229.6 118.1 117.3 120.9 116.3 202.5 229.9 118.1 117.3 120.9 117.3 206.0 231.4 118.3 117.6 120.9 120.1 206.5 233.3 118.5 117.8 120.9 124.4 206.9 233.6 118.6 117.9 120.9 125.0 207.1 234.0 118.6 117.9 120.9 126.1 194.2 212.8 108.6 108.9 107.4 111.1 205.9 229.3 118.2 117.3 120.7 115.5 206.0 229.7 118.2 117.3 120.7 116.3 209.8 230.6 118.4 117.6 120.7 117.7 210.4 232.5 118.6 117.8 120.7 121.4 210.7 232.9 118.7 117.9 120.7 122.1 210.9 233.4 118.7 117.9 120.7 123.3 232.5 260.5 205.8 265.4 302.9 296.0 220.5 280.6 309.7 302.1 223.5 282.2 329.9 310.5 225.0 284.7 352.5 316.7 227.9 287.6 365.5 326.3 230.9 292.0 369.3 335.2 233.4 295.7 233.0 260.5 206.2 266.0 304.3 295.8 220.3 281.3 311.4 301.6 223.0 283.4 331.3 310.0 224.4 286.0 353.8 316.2 227.2 288.7 367.2 325.6 230.2 292.0 370.8 335.2 232.6 295.1 Special indexes: Gasoline, motor oil, coolant, and other p ro d u c ts .............................................. Insurance and finance ......................................................................................... Utilities and public transportation........................................................................ Housekeeping and home maintenance services .............................................. 94 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 24. C o n s u m e r P ric e In d e x fo r A ll U rb an C o n s u m e rs : C ro s s c la s s ific a tio n o f re g io n a n d p o p u la tio n s iz e c la s s b y e x p e n d itu re c a te g o r y a n d c o m m o d ity an d s e rv ic e g ro u p [D ecem ber 1977 = 1 0 0 ] Size class A (1.25 million or more) Size class B (385,000 -1.25 0 million) Size class C (75,000 - 385,000) Size class D (75,000 or less) Category and group 1979 Dec. 1980 Feb. 1979 Apr. Dec. 1980 Feb. 1979 Apr. Dec. 1980 1980 1979 Feb. Apr. Dec. Feb. Apr. Northeast EXPENDITURE CATEGORY All items .................................................................................................................................. Food and beverages ..................................................................................................... Housing .......................................................................................................................... Apparel and upkeep ..................................................................................................... Transportation................................................................................................................. Medical c a r e ................................................................................................................... Entertainment ................................................................................................................. Other goods and services ........................................................................................... 119.0 120.6 119.8 108.9 123.7 117.3 111.5 112.7 122.1 122.1 122.9 109.5 129.9 120.6 114.4 114.4 125.0 124.5 126.1 112.5 133.8 122.4 116.7 114.7 122.2 121.9 123.7 109.0 127.6 120.0 113.5 114.3 125.6 124.3 126.7 107.1 135.0 121.6 115.7 116.5 129.0 127.1 130.0 111.1 140.8 122.4 117.9 117.5 125.7 123.2 132.1 1,8.5 127.0 118.9 109.8 116.3 129.1 126.0 135.5 107.3 133.1 121.3 112.2 119.2 132.7 128.8 140.2 112.7 136.2 122.5 115.7 119.6 121.8 121.2 123.2 109.8 127.3 119.0 115.1 113.1 124.2 123.4 124.8 106.8 133.5 121.4 118.9 114.8 127.4 125.2 127.9 113.0 138.1 122.7 121.5 116.0 COMMODITY AND SERVICE GROUP C om m odities.......................................................................................................................... Commodities less food and beverages ..................................................................... Services .................................................................................................................................. 120.5 120.4 117.2 124.1 125.3 119.5 126.5 127.8 122.9 123.7 124.6 119.9 127.5 129.1 122.5 130.8 132.5 126.3 125.1 126.0 126.6 128.5 129.7 129.9 131.6 132.9 134.5 122.5 123.2 120.7 125.6 126.6 122.2 128.0 129.3 126.5 North Central EXPENDITURE CATEGORY All items .................................................................................................................................. Food and beverages ..................................................................................................... Housing .......................................................................................................................... Apparel and upkeep ..................................................................................................... Transportation................................................................................................................. Medical c a r e ................................................................................................................... Entertainment ................................................................................................................. Other goods and services ........................................................................................... 126.3 123.2 133.1 105.6 127.9 119.6 113.9 113.6 129.6 124.9 136.7 105.2 133.5 123.2 116.9 115.4 133.2 126.8 141.1 109.2 138.1 125.3 118.9 116.2 124.6 120.2 129.3 110.9 127.5 119.3 111.0 117.7 127.2 122.6 131.5 107.1 133.4 122.2 111.5 119.4 130.9 124.9 135.8 111.2 137.6 125.0 114.0 121.5 123.7 123.4 125.9 109.0 129.1 119.7 114.4 114.0 126.4 124.8 127.6 109.0 135.8 124.5 116.2 115.5 128.9 127.0 130.4 110.7 139.3 125.7 118.7 116.7 123.0 124.8 123.6 111.9 127.3 121.8 113.8 116.1 125.8 126.9 125.9 110.4 132.6 126.8 115.9 119.1 128.7 128.9 129.1 113.6 137.4 127.4 116.1 119.8 COMMODITY AND SERVICE GROUP C om m odities.......................................................................................................................... Commodities less food and beverages ...................................................................... Services .................................................................................................................................. 125.4 126.4 127.7 128.1 129.6 131.8 130.9 132.8 136.6 122.5 123.5 128.0 124.5 125.2 131.6 127.9 129.2 135.6 123.7 123.6 124.1 125.9 126.4 127.1 128.1 128.5 130.3 122.5 121.6 123.8 124.3 123.1 128.2 126.0 124.8 132.9 South EXPENDITURE CATEGORY All items ................................................................................................................................. Food and beverages ..................................................................................................... Housing .......................................................................................................................... Apparel and upkeep ..................................................................................................... Transportation................................................................................................................. Medical c a r e ................................................................................................................... Entertainment ................................................................................................................. Other goods and services ........................................................................................... 123.1 123.5 125.0 112.2 127.6 117.7 109.5 115.8 127.1 125.0 129.1 112.5 135.7 119.7 114.5 118.5 130.7 126.4 133.9 116.4 139.7 121.9 115.7 119.3 124.6 122.9 128.4 110.3 127.8 118.3 113.9 115.1 128.0 124.4 131.9 109.6 134.7 121.6 115.4 117.7 131.7 127.0 136.7 112.9 138.4 123.3 119.8 118.1 14.3 123.9 128.4 105.7 126.4 120.7 113.8 115.5 127.9 126.0 131.8 105.5 133.7 124.8 115.9 117.5 131.3 127.8 136.6 108.2 137.2 126.4 118.3 118.8 122.5 122.5 123.9 104.8 126.3 124.9 119.4 118.3 125.9 124.0 127.7 100.9 133.1 129.0 121.6 121.5 128.3 126.2 129.7 104.7 136.5 131.2 124.4 121.9 COMMODITY AND SERVICE GROUP Commodities .......................................................................................................................... Commodities less food and beverages ..................................................................... Services .................................................................................................................................. 122.6 122.2 123.8 126.7 127.5 127.7 129.3 130.6 132.6 123.1 123.2 126.8 125.9 126.6 131.1 129.0 129.8 135.8 122.7 122.2 126.7 126.4 126.5 130.2 128.7 129.1 135.3 121.9 121.6 123.5 124.7 125.0 127.7 127.2 127.7 129.8 West EXPENDITURE CATEGORY All items .................................................................................................................................. Food and beverages ..................................................................................................... Housing .......................................................................................................................... Apparel and upkeep ..................................................................................................... Transportation................................................................................................................. Medical c a r e ................................................................................................................... Entertainment ................................................................................................................. Other goods and services ........................................................................................... 124.8 123.4 127.0 110.0 129.9 121.9 111.1 115.5 129.6 124.2 132.9 113.6 137.4 125.6 113.5 119.2 132.8 126.5 136.3 115.7 141.2 128.8 117.8 121.2 126.6 125.8 130.2 111.5 128.8 121.3 115.9 116.5 130.6 126.9 134.6 112.4 135.8 124.8 118.6 120.3 134.1 128.8 139.1 115.8 139.2 126.9 123.1 121.5 124.5 122.9 127.8 104.4 129.0 119.9 114.9 113.6 128.1 123.8 131.0 104.2 137.1 124.6 117.8 116.3 131.4 125.7 134.8 107.7 141.2 126.7 121.0 117.7 124.3 123.7 125.4 114.9 128.2 122.7 119.2 116.4 127.1 125.7 127.1 114.7 134.8 126.2 123.6 119.7 130.4 128.0 129.7 121.8 139.6 128.9 127.5 122.5 COMMODITY AND SERVICE GROUP C om m odities.......................................................................................................................... Commodities less food and beverage ........................................................................ Services .................................................................................................................................. 123.1 123.0 126.9 127.0 128.1 133.2 129.5 130.8 137.2 125.3 125.1 128.4 128.8 129.6 133.0 131.5 132.7 137.7 123.6 123.8 125.9 126.7 127.8 130.0 129.0 130.4 134.8 123.0 122.7 126.3 126.7 127.2 127.6 129.8 130.6 131.2 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 95 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Consumer Prices 25. C o n s u m e r P ric e In d e x — U .S. c ity a v e ra g e , an d s e le c te d a re a s [1 9 6 7 = 1 0 0 unless otherw ise specified] All Urban Consumers A rea1 U.S. city average2 .......................................................................... Anchorage, Alaska (10/67=100) ................................................ Atlanta, Ga.......................................................................................... Baltimore, Md..................................................................................... Boston, Mass...................................................................................... Buffalo, N.Y......................................................................................... Chicago, III.-Northwestern Ind.......................................................... Cincinnati, Ohio-Ky.-Ind..................................................................... Cleveland, O h io ............................................................................... Dallas-Ft. Worth, Tex........................................................................ Denver-Boulder, Colo....................................................................... Detroit, Mich....................................................................................... Honolulu, Hawaii ............................................................................. Houston, Tex...................................................................................... Kansas City, Mo.-Kansas .............................................................. Los Angeles-Long Beach, Anaheim, Calif...................................... Miami, Fla. (11/77=100) .............................................................. Milwaukee, Wis.................................................................................. Minneapolis-St. Paul, Minn.-Wis....................................................... New York, N.Y.-Northeastern N.J................................................... Northeast, Pa. (S cran ton).............................................................. 1979 1980 Nov. Dec. Jan. Feb. Mar. Apr. Apr. Nov. Dec. Jan. Feb. Mar. Apr. 211.5 227.5 229.9 233.2 236.4 239.8 242.5 211.8 227.6 230.0 233.3 236.5 239.9 242.6 235.3 208.3 213.7 206.7 206.6 208.7 234.4 227.3 225.9 233.4 228.4 231.3 224.2 San Francisco-Oakland, Calif.......................................................... Seattle-Everett, Wash....................................................................... Washington, D.C.-Md.-Va................................................................. 208.8 221.3 220.0 222.4 232.7 237.2 232.6 223.7 229.2 236.6 225.7 247.8 226.1 224.4 227.2 230.2 'The areas listed include not only the central city but the entire portion of the Standard Metropolitan Statistical Area, as defined for the 1970 Census of Population, except that the Standard Consolidated Area is used for New York and Chicago. 241.3 231.1 235.5 231.2 229.0 234.6 207.2 240.1 208.1 247.3 251.4 216.1 211.4 248.2 227.4 260.8 243.8 244.6 213.3 200.0 227.7 211.0 208.8 244.3 233.1 216.0 208.1 237.4 240.9 209.1 212.3 220.7 225.6 235.6 227.8 225.8 120.5 232.5 220.7 221.1 223.8 243.5 2 Average of 85 cities. 209.3 224.6 229.7 233.3 235.2 249.7 244.1 240.9 236.4 235.0 225.5 225.8 228.0 248.4 249.6 242.4 243.9 248.0 228.4 257.3 242.2 247.8 128.8 247.8 239.6 227.7 231.6 235.9 230.8 231.3 235.1 245.7 232.4 237.9 242.2 251.7 238.5 255.6 240.0 233.8 233.0 239.8 259.4 239.9 221.3 251.9 236.6 240.0 243.5 233.5 251.0 229.0 225.5 226.7 232.5 124.9 240.8 234.8 222.4 236.7 226.3 244.8 243.8 238.8 229.9 241.0 250.9 232.2 215.5 246.0 232.4 229.9 239.3 243.9 234.2 227.9 233.2 233.3 230.8 220.2 233.5 234.5 226.9 248.6 253.6 238.1 258.3 240.7 236.0 231.9 233.7 127.7 242.7 237.9 228.0 244.6 232.7 254.0 227.6 225.4 242.9 215.9 227.0 227.9 222.5 255.2 240.4 220.9 255.9 238.7 237.6 123.3 236.4 234.0 222.9 235.5 247.8 243.5 241.7 247.3 233.2 214.8 248.7 233.7 228.0 119.4 229.8 215.9 208.3 230.3 239.5 211.8 245.0 234.2 227.9 232.5 234.1 245.9 213.2 200.7 228.1 211.5 207.8 230.3 221.2 215.1 211.0 223.5 218.2 223.3 227.2 222.7 207.7 212.0 96 1979 Apr. Philadelphia, Pa.-N.J......................................................................... Pittsburgh, Pa..................................................................................... Portland, Oreg.-Wash....................................................................... St. Louis, Mo.-lll................................................................................. San Diego, Calif................................................................................. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Urban Wage Earners and Clerical Workers (revised) 1980 242.8 24.1.3 239.2 26. P ro d u c e r P ric e In d e x e s , b y s ta g e o f p ro c e s s in g [1967 = 100] Annual 1980 1979 Commodity grouping 1978 May June July Aug. Sept. Oct. Nov. Dec. Jan. ’ Feb. Mar. Apr. May Finished g o o d s ................................................................................. 194.6 212.7 213.7 216.2 217.3 220.7 224.2 226.3 228.1 232.4 235.4 238.2 240.0 241.0 Finished consumer g o o d s ....................................................... Finished consumer foods .................................................. Crude ............................................................................... P'ocessed ........................................................................ Other nondurable g o o d s ..................................................... Durable g o o d s ..................................................................... 192.6 206.7 215.5 204.1 195.4 165.8 211.6 226.6 226.7 224.4 217.1 179.5 212.7 223.6 227.1 221.3 221.7 180.4 215.6 224.9 224.9 222.8 227.1 181.6 217.5 223.5 231.7 220.7 233.4 1816 221.7 228.1 214.0 227.0 '239.0 182.9 224.7 226.7 215.5 225.5 243.3 189.0 227.1 230.5 228.1 228.6 245.5 190.0 229.1 232.1 227.9 230.3 247.9 191.8 233.5 231.4 226.0 229.7 254.7 199.1 237.3 231.6 220.0 230.4 263.0 200.7 240.6 233.0 230.8 231.0 270.8 199.7 241.6 228.7 222.2 227.1 276.5 200.3 242.8 230.0 227.7 228.1 279.1 199.7 Capital e q u ip m e n t................................................................... 199.1 215.1 215.8 217.2 216.5 217.8 222.8 223.9 225.3 229.3 230.3 231.8 235.8 236.0 215.5 238.2 240.3 244.6 247.5 251.0 255.0 256.3 258.7 265.9 271.1 273.2 274.5 275.8 261.8 255.4 254.9 295.1 228.0 FINISHED GOODS INTERMEDIATE MATERIALS Intermediate materials, supplies, and com ponents..................... Materials and components for m anufacturing...................... Materials for food m anufacturing...................................... Materials for nondurable manufacturing .......................... Materials for durable manufacturing.................................. Components for manufacturing ......................................... 208.3 202.3 195.8 237.2 189.1 230.9 222.5 216.7 267.2 204.5 232.1 222.3 218.1 268.9 205.3 236.0 226.7 222.5 273.3 207.7 238.0 225.1 225.3 275.2 209.3 240.7 228.9 227.6 278.8 211.3 244.3 225.5 231.4 284.7 213.2 245.5 227.8 233.4 284.6 214.8 247.8 230.4 235.3 287.8 216.3 255.5 226.0 241.1 303.7 219.2 259.2 245.1 243.3 305.9 222.7 259.0 239.8 246.6 301.1 225.2 259.7 238.7 251.8 296.2 227.4 Materials and components for construction ........................ 224.4 245.2 245.6 247.4 249.2 252.5 254.7 254.0 253.7 257.7 261.6 265.1 265.3 265.3 Processed fuels and lubricants............................................. Manufacturing indu stries..................................................... Nonmanufacturing ind u strie s............................................. 296.4 270.4 320.0 336.8 287.4 385.5 349.5 293.8 404.9 364.8 304.0 425.5 384.6 311.2 458.8 '399.4 317.2 483.0 410.6 322.5 500.6 416.5 325.2 510.0 424.6 332.2 519.1 444.0 340.5 550.3 464.3 352.2 579.7 481.1 357.4 608.9 486.7 358.4 619.5 488.3 363.6 617.0 Containers ............................................................................... 212.5 234.5 234.9 235.4 237.6 237.9 242.6 243.8 247.1 250.9 250.8 253.3 262.5 263.7 S u p p lie s.................................................................................... Manufacturing indu stries..................................................... Nonmanufacturing ind u strie s............................................. Manufactured animal feeds ........................................... Other supplies ................................................................. 196.9 183.6 204.0 200.2 201.9 213.7 201.5 220.3 214.6 218.3 216.1 202.7 223.2 226.2 219.2 219.6 204.2 227.8 241.3 221.5 219.6 208.6 225.4 220.8 223.1 221.2 209.4 227.5 224.0 224.9 224.9 212.2 231.7 228.9 228.9 226.4 213.7 233.3 226.9 231.2 229.2 216.3 236.1 230.4 233.9 232.5 220.9 238.7 224.4 238.3 238.3 222.0 247.0 223.3 248.6 239.9 223.3 248.7 219.1 251.6 240.7 226.8 248.1 207.1 253.5 240.8 228.4 247.5 210.6 251.9 Crude materials for further processing......................................... 240.1 282.3 283.0 287.1 281.7 288.3 289.5 290.8 296.2 296.8 308.3 303.3 296.9 300.7 Foodstuffs and feed stuffs....................................................... 215.3 251.9 248.2 254.1 243.7 248.7 247.5 246.4 249.7 243.0 252.6 245.9 235.5 242.4 Nonfood m a te ria ls................................................................... 286.7 339.6 348.7 349.3 353.6 363.1 368.9 374.9 384.2 398.9 413.9 412.2 413.5 410.4 Nonfood materials except fu e l........................................... Manufacturing industries ................................................ C onstruction..................................................................... 2354 240.8 185.7 276.6 284.7 204.5 286.6 295.9 205.4 285.2 294.0 207.2 286.1 2949 208.6 293.3 302.8 209.9 298.1 307 8 212.6 304.6 314.9 2148 311.6 322.5 216.6 330.1 342.1 226.0 341.5 354.7 228.3 339.4 352.1 229.7 336.9 349.0 232.4 329.2 340.2 232.9 Crude f u e l............................................................................. Manufacturing industries ................................................ Nonmanufacturing industries ......................................... 463.7 481.9 459.6 556.8 593.8 538.8 563.1 601.3 544.3 570.7 610.4 550.7 586.2 629.2 563.6 604.0 651.8 577.8 612.9 662.5 585.5 617.4 667.8 589.3 634.5 688.3 603.9 636.3 690.3 605.7 663.5 724.4 627.7 663.3 723.5 627.9 677.4 740.8 639.8 690.4 756.7 650.6 Finished goods excluding fo o d s ..................................................... Finished consumer goods excluding fo o d s .......................... 188.9 183.7 206.3 202.1 208.5 205.2 211.4 2084 213.2 212.3 216.2 216.3 221.3 220.6 222.8 223.1 224.6 225.3 230.5 232.3 234.3 237.8 237.4 242.0 241.2 245.5 242.0 246.8 Intermediate materials, supplies, and components, excluding intermediate materials for food manufacturing and manufactured animal feeds ........................................... 216.4 238.8 241.3 245.4 249.0 252.5 256.8 258.1 260.5 268.4 273.2 275.7 277.4 278.0 Intermediate foods and feeds ....................................................... 201.0 219.3 223.0 231.0 223.1 226.6 226.0 226.9 229.8 224.8 237.1 232.3 227.5 239.7 Crude materials for further processing excluding crude foodstuffs and feedstuffs, plant and animal fibers, oilseeds, and leaf tobacco ..................................................... 3166 379.2 389.5 391.7 3969 408.6 417.0 424.1 435.0 452.9 468.8 468.4 469.4 464.6 CRUDE MATERIALS SPECIAL GROUPINGS ' Data for January 1980 have been revised to reflect the availability of late reports and corrections by respondents. All data are subject to revision 4 months after original publication. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 97 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Producer Prices 27 . [1 9 6 7 = P ro d u c e r P ric e In d e x e s , b y c o m m o d ity g ro u p in g s 1 0 0 u n le s s o th e r w is e s p e c ifie d ] Annual Code 1979 Commodity group and subgroup 1978 * May June July Aug. S ept 1980 O ct Nov. Dec. Jan.1 Feb. Mar. Apr. May All commodities ...................................................................................... All commodities (1957 - 59 = 100) ..................................................... 20 9 .3 2 3 2 .0 2 3 3 .5 2 3 6 .9 2 3 8 .3 24 2 .0 2 4 5 .6 2 4 7 .2 249.7 25 4 .9 259.8 261.5 262.3 263.7 222.1 245.7 247.7 251.4 2 5 2 .8 256.7 26 0 .6 262.3 267.3 r27 0 .2 27 5 .6 277.5 278.3 279.7 Farm products and processed foods and fe e d s ............................. co m m o d ities .......................................................................... 206.6 230.8 2 2 9 .0 232.2 2 2 7 .5 2 3 1 .8 23 0 .6 232.3 2 3 4 .6 23 1 .9 23 6 .9 23 4 .9 229.2 233.9 209.4 2 3 1 .6 2 3 4 .0 237.5 2 4 0 .6 2 4 4 .2 24 9 .0 250.6 253.1 26 0 .6 265.4 268.2 270.7 271.2 21 2 .5 I n d u s tr ia l FARM PRODUCTS AND PROCESSED FOODS AND FEEDS 01 F a rm p ro d u c ts ........................................................................................................ 245.4 242.8 246.8 2 3 8 .5 2 4 1 .0 23 9 .6 24 0 .2 242.5 236.4 242.3 239.3 2 2 8 .9 2 3 3 .6 0 1 -1 F re s h a n d d rie d fru its an d ve g e ta b le s 216.5 228.2 22 6 .4 226.7 2 4 1 .7 2 0 8 .3 2 1 8 .0 21 6 .5 210.7 2 1 9 .0 220.5 21 8 .3 2 2 3 .0 2 4 3 .8 0 1 -2 G r a in s ...................................................................................................................... 182.5 210.3 21 8 .7 247.4 229.1 224.4 2 2 9 .0 22 6 .6 227.9 2 1 4 .6 223.3 21 7 .9 210.8 2 1 9 .0 0 1 -3 L iv e s to c k ............................................................................................................. 220.1 280.7 2 6 4 .0 2 5 6 .0 2 4 0 .2 256.4 2 5 1 .7 248.3 25 2 .5 2 4 7 .8 257.2 25 1 .8 230.5 0 1 -4 Live p o u l t r y ........................................................................................................... 199.8 2 1 6 .3 182.9 183.8 171.9 173.5 162.0 195.5 194.7 195.2 184.6 180.1 171.9 171.3 0 1 -5 P la n t an d a n im a l f i b e r s ..................................................................................... 193.4 2 0 7 .6 2 1 9 .5 2 0 7 .6 207.9 2 1 1 .3 2 1 2 .9 2 1 5 .4 22 2 .0 2 3 9 .0 2 6 9 .5 254.9 26 6 .9 2 7 2 .7 0 1 -6 F lu id m ilk ....................................................... ............................................................................................................. 2 1 9 .7 2 4 2 .0 2 4 3 .8 24 7 .6 2 5 0 .0 2 5 8 .5 260.8 262.5 26 4 .0 262.3 263.8 263.1 26 5 .4 233.3 265.4 0 1 -7 E g g s ........................................................................................................................ 158.6 163.8 170.7 167.6 166.8 175.4 155.9 178.7 198.4 165.6 150.4 184.2 153.3 145.7 0 1 -8 H ay, ha y s e e d s , a n d o ils e e d s ....................................................................... 215.8 240.7 2 5 8 .4 260.1 25 1 .9 240.9 2 3 5 .6 2 2 9 .8 230.3 218.1 224.7 2 1 5 .9 205.1 2 0 6 .7 0 1 -9 O th e r fa rm p ro d u c ts ....................................................................................... 274.9 264.1 2 8 1 .0 3 1 1 .9 31 0 .8 3 1 5 .9 3 1 3 .6 3 1 8 .3 319.4 301.1 304.7 3 1 1 .5 304.8 3 1 1 .0 02 P ro c e s s e d fo o d s a n d f e e d s ............................................................................... 2 0 2 .6 22 2 .0 2 2 0 .6 2 2 3 .3 220.5 22 5 .8 227.1 2 2 9 .3 228.5 233.1 23 1 .5 2 2 8 .5 0 2 -1 C e re a l a n d b a k e ry p r o d u c t s .......................................................................... 190.3 204.9 20 6 .3 21 2 .4 21 6 .0 21 8 .7 2 1 9 .8 2 2 2 .5 2 2 3 .6 225.4 229.7 23 1 .3 2 3 1 .5 23 3 .5 0 2 -2 M e a ts, p o u ltry , a n d fish 217.1 250.4 24 1 .4 237.7 2 2 5 .5 23 9 .9 234.2 2 3 9 .3 242.8 239.6 239.5 239.2 2 2 6 .0 22 4 .8 0 2 -3 .................................................................................. 2 2 4 .8 233.1 D a iry p r o d u c t s ..................................................................................................... 188.4 207.9 208.4 2 0 9 .0 2 1 5 .2 21 8 .3 218.1 2 1 9 .3 219.9 2 2 1 .0 22 1 .2 22 3 .3 227.8 22 8 .9 0 2 -4 P ro c e s s e d fru its an d v e g e t a b le s .................................................................. 20 2 .6 221.4 221.5 2 2 3 .6 2 2 4 .6 225.1 22 3 .4 2 2 2 .4 2 2 2 .6 2 2 2 .9 223.1 22 3 .6 224.5 22 5 .2 0 2 -5 S u g a r an d c o n fe c tio n e ry ............................................................................... 197.8 2 0 7 .6 211.1 21 5 .7 218.3 2 1 7 .2 21 8 .9 2 2 2 .9 234.4 2 3 5 .0 287.1 26 3 .6 27 4 .8 327.4 0 2 -6 Beverages and beverage m a te ria ls ............................................................ 200.0 205.3 208.5 214.1 21 6 .5 217.9 218.9 2 2 1 .2 2 2 1 .6 2 2 4 .0 224.7 22 6 .0 22 7 .9 231.4 0 2 -7 F a ts a n d o i l s ........................................................................................................ 225.3 2 4 1 .8 2 4 3 .6 .................................................................. 199.0 2 2 0 .2 211.1 212.7 2 1 7 .6 2 1 9 .0 220.8 222.2 223.1 225.4 223.5 2 2 4 .7 225.1 2 2 3 .2 .......................................................................... 197.4 2 1 0 .8 2 2 0 .5 234.9 21 6 .2 2 1 9 .2 22 4 .0 22 2 .4 2 2 4 .9 2 1 9 .7 219.8 2 1 6 .8 205.4 207.3 167.2 168.4 181.5 0 2 -8 M is c e lla n e o u s p ro c e s s e d fo o d s 0 2 -9 M a n u fa c tu re d a n im a l fe e d s 25 3 .2 2 5 1 .7 253.3 24 6 .0 2 4 1 .9 2 3 5 .6 225.1 2 2 5 .9 222.4 21 4 .7 212.1 INDUSTRIAL COMMODITIES 03 ............................................................................. 159.8 169.3 170.5 171.3 172.0 172.8 173.1 175.2 176.5 178.9 180.6 0 3 -1 S y n th e tic fib e rs (1 2 /7 5 = 1 0 0 ) .................................................................... 109.6 117.4 118.5 119.5 120.6 123.6 124.7 124.2 124.7 127.0 127.1 129.4 130.7 0 3 -2 P ro c e s s e d y a m s a n d th re a d s (1 2 /7 5 = 100) ...................................... 102.4 107.8 108.6 109.5 110.6 111.7 112.1 112.5 112.7 114.6 117.3 118.9 122.1 123.5 0 3 -3 G ra y fa b ric s ( 1 2 /7 5 = 1 0 0 ) .......................................................................... 118.6 124.7 125.4 128.3 128.7 128.7 129.7 130.7 132.3 132.7 131.7 133.7 136.1 135.3 115.2 0 3 -4 T e x tile p ro d u c ts an d a p p a re l Finished fa b ric s ( 1 2 /7 5 = 100) 103.8 107.0 108.2 109.0 109.1 108.9 109.7 109.9 110.5 110.8 113,1 114.5 0 3 -8 1 A p p a r e l................................................................................................................... 152.4 159.8 160.2 160.3 161.4 161.6 162.2 163.1 162.6 165.5 167.3 168.3 169.1 169.7 0 3 -8 2 T e x tile h o u s e fu m is h in g s .................................................................................. 178.6 188.0 189.3 189.9 190.5 193.9 196.3 196.5 197.1 199.0 20 0 .0 20 1 .2 2 0 1 .6 20 2 .6 04 H ides, s kins, le a th e r, an d re la te d p ro d u c ts ................................................. 107.6 2 0 0 .0 269.6 26 8 .0 26 1 .9 2 5 7 .9 251.1 2 5 3 .9 24 8 .9 249.2 2 5 5 .7 2 5 1 .0 246.8 2 4 3 .6 240.7 0 4 -1 H id e s an d s k i n s ................................................................................................... 360.5 66 6 .9 6 1 1 .0 566.5 5 1 1 .9 465.3 478.8 44 7 .6 443.9 468.8 404.8 348.7 3 2 8 .6 289.7 0 4 -2 L e a th e r ................................................................................................................... 238.6 429.4 4 1 4 .6 38 5 .2 3 6 5 .9 3 3 0 .0 3 4 3 .6 319.8 324.8 3 4 7 .6 31 1 .0 297.6 0 4 -3 F o o tw e a r ............................................................................................................. 183.0 21 6 .3 221.1 221.8 225.4 2 2 6 .9 227.5 227.9 22 7 .9 229.1 228.1 2 3 1 .8 23 1 .9 231.9 0 4 -4 O th e r le a th e r an d re la te d p r o d u c t s ............................................................ 177.0 209.1 2 1 2 .3 212.1 21 0 .9 210.1 209.7 208.4 20 8 .0 213.1 21 4 .9 2 1 7 .9 21 6 .3 2 1 7 .5 05 340.3 290.4 ......................................................... 3 2 2 .5 37 7 .6 393.7 4 1 1 .8 432.8 454.8 468.5 4 7 6 .9 4 8 7 .9 50 8 .0 566.3 5 7 1 .9 0 5 -1 C o a l ........................................................................................................................ 4 3 0 .0 450.8 4 5 2 .0 4 5 2 .5 45 4 .2 452.5 4 5 4 .6 455.1 458.6 459.3 458.7 460.7 463.3 464.8 0 5 -2 C oke 411.8 4 3 0 .6 43 0 .6 4 3 0 .6 43 0 .6 43 0 .6 4 3 1 .2 431.2 4 3 1 .2 43 0 .6 43 0 .6 4 3 0 .6 430.6 4 3 0 .6 F u e ls an d re la te d p ro d u c ts a n d p o w e r ...................................................................................................................... 533.0 5 5 3 .5 0 5 -3 G as fu e ls 2 ........................................................................................................... 572.4 603.4 6 3 7 .0 662.4 730.2 744.8 0 5 -4 E le c tric p o w e r ..................................................................................................... 2 5 0 .6 2 6 5 .9 26 9 .9 274.8 2 7 8 .8 28 0 .5 283.5 2 8 1 .9 2 8 7 .0 290.5 299.5 305.7 310.4 31 6 .4 0 5 -6 1 C ru d e p e tro le u m 3 ............................................................................................. 300.1 3 3 5 .7 356.4 3 7 0 .6 3 8 5 .7 422.1 43 6 .7 450.4 470.8 5 1 3 .6 515.1 522.8 5 3 3 .9 540.1 68 0 .6 0 5 -7 06 0 6 -1 0 6 -2 1 428.7 507.2 52 2 .3 548.4 6 1 9 .9 677.5 719.8 720.3 P e tro le u m p ro d u c ts , re fin e d 4 ....................................................................... 32 1 .0 4 0 0 .0 42 3 .6 44 9 .8 4 8 2 .8 513.7 53 3 .7 545.4 555.2 5 8 3 .3 620.3 65 7 .9 677.3 C h e m ic a ls a n d a llie d p r o d u c t s .......................................................................... 198.8 2 1 8 .0 2 1 9 .2 22 5 .0 228.5 2 3 0 .8 23 4 .2 2 3 6 .0 2 3 8 .2 2 4 6 .0 2 4 7 .6 25 1 .6 258.1 261.1 Industrial c h e m ic a ls 5 ........................................................................................ 22 5 .6 2 5 5 .6 2 5 9 .3 270.4 277.1 2 8 0 .0 285.7 28 8 .4 292.3 302.9 306.7 310.7 316.8 324.8 P re o a re d p a in t ..................................................................................................... 0 6 -2 2 P aint m a te ria ls 0 6 -3 D ru g s an d p h a rm a c e u tic a ls 0 6 -4 F a ts an d oils, in e d ib le 0 6 -5 A g ric u ltu ra l c h e m ic a ls an d ch e m ic a l p ro d u c ts 192.3 2 0 1 .3 201.3 205.3 20 5 .3 2 0 6 .0 206.7 209.4 210.7 223.3 223.3 2 2 3 .3 23 1 .5 236.8 2 1 2 .7 236.1 239.5 2 4 6 .7 24 7 .9 2 5 2 .0 2 5 3 .6 25 6 .6 256.8 2 5 9 .9 2 6 2 .7 2 6 6 .2 271.1 2 7 2 .9 .......................................................................... 148.1 157.7 159.0 159.2 159.6 161.0 162.8 163.0 164.4 166.5 167.7 168.9 172.8 171.8 ..................................................................................... 315.8 41 8 .3 374.1 3 8 1 .6 3 7 6 .4 37 9 .9 366.9 344.3 327.1 32 5 .6 3 0 2 .2 2 9 9 .9 298.2 2 9 4 .7 ............................................................................................. ...................................... 198.4 2 1 0 .0 2 0 9 .2 2 1 1 .2 2 1 5 .3 219.4 22 4 .3 2 2 9 .5 23 2 .9 24 1 .9 2 4 2 .8 2 5 6 .0 258.3 0 6 -6 P la s tic re sin s an d m a te ria ls .......................................................................... 199.8 22 8 .5 230.1 2 4 4 .5 250.1 25 2 .0 2 6 0 .0 261.4 2 6 2 .5 270.4 271.1 2 7 3 .9 2 8 5 .6 287.8 0 6 -7 O th e r c h e m ic a ls a n d a llie d p r o d u c t s ......................................................... 181.8 188.9 190.5 191.8 194.4 195.8 197.0 198.8 2 0 1 .4 209.4 2 1 1 .0 2 1 4 .5 2 2 3 .3 2 2 5 .0 07 R u b b e r an d p la s tic p ro d u c ts ............................................................................. 174.8 190.8 193.1 198.8 200.7 2 1 4 .6 215.1 0 7 -1 R u b b e r an d ru b b e r p r o d u c t s .......................................................................... 185.3 2 0 2 .6 204.8 209.5 2 1 4 .6 217.1 2 2 0 .3 22 3 .7 224.3 226.1 23 2 .2 23 2 .3 2 3 4 .6 23 5 .3 C ru d e ru b b e r ..................................................................................................... 187.2 2 1 4 .2 22 2 .0 226.1 2 3 3 .0 232.2 2 3 6 .5 23 7 .2 24 0 .2 2 5 2 .7 263.1 25 4 .9 2 6 3 .8 26 3 .0 0 7 -1 2 T ire s a n d t u b e s .................................................................................................. 179.2 197.3 198.9 20 6 .2 2 1 1 .6 2 1 5 .0 2 1 8 .3 223.1 223.1 225.1 2 3 1 .2 2 3 1 .2 2 3 1 .3 2 3 1 .8 0 7 -1 3 M is c e lla n e o u s ru b b e r p r o d u c t s .................................................................... 189.6 2 0 2 .6 203.5 205.4 209.4 2 1 1 .9 2 1 4 .7 217.1 21 7 .7 2 1 5 .9 2 2 0 .4 22 3 .4 2 2 5 .9 2 2 7 .5 0 7 -2 P la s tic p ro d u c ts ( 6 /7 8 = 100) 109.5 111.0 111.2 112.2 113.0 114.0 114.3 115.2 116.3 116.5 118.6 119.5 119.6 302.8 2 9 9 .8 300.1 30 4 .7 3 0 9 .7 308.8 2 9 8 .9 290.1 2 9 0 .0 294.8 29 5 .7 2 7 5 .2 2 7 1 .6 35 5 .0 36 5 .3 .................................................................... L u m b e r a n d w o o d p r o d u c t s ............................................................................... 2 7 6 .0 195.5 20 3 .0 20 4 .9 2 5 8 .3 0 7 -1 1 08 2 0 5 .9 2 0 7 .8 21 0 .9 2 1 2 .7 0 8 -1 L u m b e r ................................................................................................................... 3 7 0 .3 3 5 5 .6 34 0 .6 310.1 3 0 1 .3 0 8 -2 M illw o rk 2 3 5 .4 26 1 .6 258.9 2 5 2 .5 24 9 .6 2 5 0 .9 2 5 5 .6 252.3 250.3 254.1 2 5 8 .0 264.7 25 6 .6 2 5 0 .9 0 8 -3 P l y w o o d ............................................................................................. 2 3 5 .6 249.3 2 3 8 .6 2 4 9 .7 25 4 .3 25 7 .9 2 5 4 .0 242.2 2 3 7 .9 23 8 .2 243.7 24 0 .0 21 9 .2 2 2 9 .9 0 8 -4 O th e r w o o d p r o d u c t s ........................................................................................ 2 1 1 .8 238.4 23 8 .5 2 3 7 .6 2 3 7 .4 23 8 .0 2 3 7 .7 2 3 9 .9 2 4 0 .5 24 2 .2 24 3 .4 243.1 24 1 .7 2 4 0 .7 ................................................................................................................ S e e fo o tn o te s a t e n d o f ta b le . 98 ................................................................. 133.5 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 322.4 354.8 354.8 3 7 3 .9 339.5 336.3 3 4 1 .5 27. C o n tin u e d — P ro d u c e r P ric e In d e x e s , b y c o m m o d ity g ro u p in g s [1 9 6 7 = 1 0 0 unless otherw ise specified] Annual Code INDUSTRIAL COMMODITIES 1980 1979 Com m odity group and subgroup 1978 May June July Aug. Sept. Oct. Nov. Dec. Jan. ' Feb. Mar. Apr. May Continued 09 0 9 -1 0 9-1 1 0 9 -1 2 0 9 -1 3 0 9 -1 4 0 9 -1 5 0 9 -2 Pulp, paper, and allied p ro d u cts.............................................................. Pulp, paper, and products, excluding building paper and board . . . W ood p u lp ................................................................................................ Wastepaper ........................................................................................... Paper ....................................................................................................... Paperboard ......................................................... Converted paper and paperboard products ...................................... Building paper and b o a r d ...................................................................... 195.6 195.6 266.5 191.2 206.1 179.6 185.6 187,4 216.2 217.2 306.9 206.2 227.2 199.2 207.0 183.3 216.6 217.8 308.3 207.2 227.5 199.8 207.6 180.8 218.3 219.6 320.3 207.9 228.2 201.7 209.0 178.0 2222 223.6 320.6 206.6 229.5 206.4 214.4 179.1 223,0 224.3 320.6 206.7 230.3 209.6 214.6 182.6 227.5 229.0 337.5 206.7 238.7 211.3 217.3 183.5 229.5 231.1 338.0 220.0 241.8 212.8 219.0 183.6 231.7 233.4 338.0 221.2 242.7 215.4 221.9 184.6 237.4 239.2 356,6 2229 245.5 221.8 227.7 186.2 238.9 240.5 358.5 223.2 247.5 223.4 228.7 191.1 241.6 243.1 359.0 224,9 250.5 225.9 231.3 198.7 246.5 248.0 386.8 242.5 253.6 230.2 234.6 201.3 248.9 250.3 388.0 226 1 256.5 239.2 236.1 206.8 10 1 0 -1 1 0 -1 3 1 0 -2 1 0 -3 1 0 -4 1 0 -5 1 0 -6 1 0 -7 1 0 -8 Metals and metal products ...................................................................... ron and stee. ......................................................................................... Steel mill p rod ucts.................................................................................. Nonferrous m e ta ls .................................................................................. Metal containers .................................................................................... H a rd w a re ................................................................................................ Plumbing fixtures and brass fittin g s ..................................................... Heating equipm ent.................................................................................. Fabricated structural metal p ro d u c ts .................................................. Miscellaneous metal products.............................................................. 227.1 253.6 254.5 207.8 243.4 200.4 199.1 174.4 226.4 212.0 256.2 279.5 276.7 258.2 268.5 216.9 213.8 185.7 247.0 228.5 258.2 283.2 277.3 259.7 267.3 217.1 217.0 185.2 248.2 230.1 260.8 286.8 284.6 262.3 267.2 218.5 219.6 186.0 250.5 231.8 261.8 286.1 284.7 263.1 268.4 220.1 222.4 188.1 252.2 235.6 263.7 285.5 284.8 269.3 268.7 221.5 223.0 191.3 253.7 236.7 269.6 289.2 288.3 283.1 279.9 224.0 223.5 192.2 256.3 238.5 271.1 292.0 2888 284.1 280.9 225.5 225.4 193.1 256.7 238.6 273.6 2928 289.3 291.9 280.9 226.2 226.5 195.6 257.7 239.1 284.6 297.4 2936 3263 283.3 2282 232.8 199.5 2589 240.6 288.6 300.2 294.2 336.5 283.3 229.4 236.6 199.9 259.5 242.5 286.3 301.6 295.6 320.9 287.8 2305 242.4 2020 262.9 245,1 284,6 307.0 304.1 298.9 301.1 236.9 243.7 204.2 268.2 247.1 281.9 304,7 305.5 289.8 302.7 238.2 247.4 204.0 269.4 247.7 11 1 1 -1 1 1 -2 1 1 -3 1 1 -4 1 1 -6 1 1 -7 1 1 -9 Machinery and equipment ........................................................................ Agricultural machinery and equipm ent................................................ Construction machinery and equipm ent............................................. Metalworking machinery and equipment ........................................... General purpose machinery and equipm ent...................................... Special industry machinery and equipment ...................................... Electrical machinery and equipment .................................................. Miscellaneous m a ch in e ry...................................................................... 196.1 213.1 232.9 217.0 216.6 223.0 164.9 194.7 211.4 228.3 253.7 237.6 234.0 245.1 176.5 207.1 212.4 229.4 254.0 239.1 235.1 246.1 177.6 207.4 214.8 231.2 257.0 241.4 237.1 249.8 179.9 209.7 216.0 233.3 258.5 243.5 238.3 251.0 181.2 209.7 217.7 237.4 258.9 246.4 240.2 251 2 182.5 212.0 220.0 240.0 263.9 249.6 242.8 2538 184.3 213.6 221.3 243.4 265.4 252.2 244.2 254.9 184.9 214.9 223.4 244.2 268.8 254.6 247.6 256.1 186.6 216.3 2276 248.4 276.0 258.9 251.0 260.6 190.6 2203 2297 249.1 277.5 261.3 252.0 262.9 194.2 2208 231.9 250.4 278.4 264.1 255.7 265.6 195.9 222.7 235.8 252.8 282.9 269.9 260.0 271.9 198.7 226.8 237.0 254.9 284.2 272.6 262.3 273.1 199.2 226.9 12 1 2 -1 1 2 -2 1 2 -3 1 2 -4 1 2 -5 1 2 -6 Furniture and household durables .......................................................... Household furniture ............................................................................... Commercial fu rn itu re ............................................................................. Floor c o ve rin g s ...................................................................................... Household appliances .......................................................................... Home electronic equipment ................................................................. Other household durable goods ......................................................... 160.4 173.5 201.5 141.6 153.0 90.2 203.1 169.6 184.8 221 9 146.0 159.3 92.4 219.5 170.2 185.3 221.8 146.5 160.0 92.8 2206 170.7 185.8 222.7 149.1 161.1 90.2 223.7 171.5 186.2 222.7 150.0 162.2 90.2 226.6 172.7 188.5 222.7 150.4 162.7 90.3 231.0 175.1 190.1 223.3 152.1 163.2 90.3 245.6 176.4 193.0 223.3 152.8 164.5 90.3 248.2 177.9 194.8 225.1 152.9 165.3 90.5 254.4 183.4 197.4 226.9 159.0 166.5 91.0 287.4 183.4 196.5 230.1 159.4 168.7 88.7 284.2 184.6 196.9 232.8 160.7 169.7 88.8 287.6 183.1 198.9 233.5 161.7 170.2 88.9 266.8 184.1 2003 233.8 163.6 172.1 89.1 265.2 13 13-11 1 3 -2 1 3 -3 1 3 -4 1 3 -5 1 3 -6 1 3 -7 1 3 -8 1 3 -9 Nonmetallic mineral p ro d u cts................................................................... Flat glass ................................................................................................ Concrete ingredients ............................................................................. Concrete p rod ucts.................................................................................. Structural clay products excluding refractories................................. Refractories ........................................................................................... Asphalt roofing ...................................................................................... Gypsum products .................................................................................. Glass containers .................................................................................... Other nonmetallic m ine rals................................................................... 222.8 172.8 217.7 214.0 197.2 216.5 292.0 229.1 244.4 275.6 245.6 183.1 242.5 241.6 215.7 228.5 317.9 248.8 265.2 303.0 246.9 184.0 243.3 243.7 2165 2326 323.0 251.3 265.2 302.0 249.5 184.1 245.1 245.2 2203 240.8 328.4 251.8 265.2 310.5 249.9 184.1 245.9 246.3 222.3 241.7 325.9 252.3 265.2 309.9 254.6 184.5 246.7 248.7 223.7 242.4 333.0 254.9 265.2 336.0 256.2 184.7 248.3 250.1 221 1 244.6 337.5 255.3 265.2 341.2 257.4 185.4 249.6 250.6 221.8 247.4 347.4 256.2 265.2 342.2 259.6 186.4 251.0 253.2 226.7 248.0 346.5 255.0 274.2 342.2 2684 191.0 2650 265.4 2296 248.5 356.6 255.4 274.3 351.8 272.6 190.9 265.2 266.2 231.1 251.9 372.3 262.2 274.6 374.3 276.1 191.4 266.0 268.6 231.5 254.8 387.6 267.6 274,6 386.9 282.8 191.4 270.5 273.0 234.4 262.6 404.7 264.0 294.6 399.5 282.9 191.4 271.1 275.0 229.5 265.2 398.2 256.5 294.6 399.5 14 14-1 1 4 -4 Transportation equipment (12/68 - 1 0 0 ) ............................................. Motor vehicles and equipment ............................................................ Railroad equipment ............................................................................... 173.5 176.0 252.8 187.2 189.8 271.6 187.5 190.1 274.7 188.4 190.8 280.6 185.9 187.8 280.9 186.6 188.6 281 6 194.2 197.1 286.3 194.8 197.4 2882 195.6 198.2 289.0 198.7 200.7 297.5 198.1 199.9 299.3 198.8 200.8 301.3 202.6 204.9 303.9 201.1 203.1 304.6 15 15-1 1 5 -2 1 5 -3 1 5 -4 15-51 1 5 -9 Miscellaneous p ro d u c ts ............................................................................. Toys, sporting goods, small arms, am m unition................................. Tobacco products .................................................................................. N otio ns..................................................................................................... Photographic equipment and supplies ................................................ Mobile homes (12/74 - 1 0 0 ).............................................................. Other miscellaneous products ............................................................ 184.3 163.2 198.5 182.0 145 7 126.4 210.6 203.3 174.3 214.4 190 6 150.6 137.2 250.6 205.2 174.7 214.4 190.6 151.6 137.9 255.8 207.0 176.9 214.8 192.0 152.0 138,2 261.4 208 9 177.6 221.3 191.9 152.2 139.5 261.4 213.1 179.8 221.9 191.9 154.3 140.7 272.5 218.9 181.1 222.1 195.7 157.4 142,9 288.3 221.4 181.2 222.2 195.8 161.2 144.0 293.3 227.4 183.0 226.6 196.8 164.3 144.1 308.8 242.9 190.9 236.6 203.1 165.9 144.7 351 6 261.8 193.2 236.9 203.2 218.7 146.0 375.3 2562 194.2 237.1 2072 219.4 146.6 352.3 252.2 195.3 237.6 2168 212.6 148.9 339.2 250.9 196.4 244.6 217.0 200.0 149.9 339.1 'D a ta for January 1980 have been revised to reflect the availability of late reports and corrections by respondents. All data are subject to revision 4 months after original publication. 2 Prices for natural gas are lagged 1 month. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 3 Includes only domestic production, 4 Most prices for refined petroleum products are lagged 1 month. 5 Some prices for industrial chemicals are lagged 1 month. 99 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Producer Prices 28. P ro d u c e r P ric e In d e x e s , fo r s p e c ia l c o m m o d ity g ro u p in g s [1 9 6 7 = 1 0 0 u n le s s o th e r w is e s p e c ifie d ] Annual 1979 Commodity grouping 1980 1978 May June July Aug. Sept O ct Nov. Dec. Jan.' Feb. Mar. Apr. May 208.4 206.4 206.7 197.2 108.8 106.3 158.9 230.1 226.4 227.5 216.0 112.8 112.5 167.7 232.0 223.8 224.7 217.0 113.5 112.7 168.3 235.4 225.4 226.4 219.0 114.0 114.1 168.5 237.5 224.7 224.8 220.3 115.1 113.0 170.8 241.4 228.5 230.8 222.0 115.8 112.7 170.8 245.3 226.9 228.9 225.9 116.4 113.3 171.2 247.0 230.0 231.8 226.9 117.0 114.6 171.6 249.5 232.2 234.2 228.5 117.2 115.3 172.9 255.7 231.2 233.3 234.7 118.9 119.2 175.3 260.5 235.7 238.5 237.5 119.4 119.6 177.8 262.6 234.7 236.8 238.4 121.1 119.9 181.8 264.3 231.7 234.0 239.9 122.1 120.7 182.0 265.4 237.4 239.0 239.9 123.1 121.5 182.8 All commodities less farm p ro d u c ts .................................... All fo o d s ........................................................................................... Processed foods .......................................................................... Industrial commodities less fuels .................................................. Selected textile mill products (Dec. 1975 = 100) ...................... Hosiery .............................................................................................. Underwear and n ig h tw e a r.............................................................. Chemicals and allied products, including synthetic rubber and manmade fibers and yarns ................................................ Pharmaceutical preparations .......................................................... Lumber and wood products, excluding millwork and other wood products ................................................................... Special metals and metal products .............................................. Fabricated metal p rod ucts.............................................................. Copper and copper pro d u cts.......................................................... Machinery and motive p ro d u c ts ..................................................... 190.5 140.6 207.6 150.1 209.5 151.7 215.0 151.7 218.6 152.0 220.9 153.6 224.3 155.6 226.3 155.4 228.7 156.9 236.3 159.2 238.2 160.4 242.1 161.7 248.4 165.9 251.6 164.7 298.3 209.6 216.2 155.6 190.4 325.1 232.4 234.6 199.0 205.3 321.7 233.7 235.7 193.0 206.0 325.3 235.5 237.4 191.9 207.7 333.9 234.9 239.8 197.1 207.2 341.0 236.4 241.1 200.5 208.5 337.3 243.4 244.0 212.2 213.4 323.3 244.5 244.6 213.8 214.3 310.8 246.3 245.3 217.1 215.9 308.6 253.7 247.2 227.7 219.7 314.0 255.7 248.3 258.2 220.6 312.2 254.8 251.3 240.9 222.2 284.5 255.6 256.0 224.7 226.1 281.7 253.4 257.0 212.3 226.1 Machinery and equipment, except electrical ............................... Agricultural machinery, including tractors .................................... Metalworking machinery ................................................................. Numerically controlled machine tools (Dec. 1971 = 100) . . . . Total tra c to rs .................................................................................... Agricultural machinery and equipment less p a r ts ........................ Farm and garden tractors less parts ........................................... Agricultural machinery excluding tractors less p a rts ................... Industrial valves ............................................................................... Industrial fittings ............................................................................... Abrasive grinding w h e e ls................................................................. Construction materials ................................................................... 214.3 216.3 228.8 179.1 228.7 212.7 216.1 216.7 2323 232.7 208.1 228.3 231.8 232.1 254.3 195.7 247.7 228.1 230.5 233.6 255.0 259.3 221.6 250.3 232.6 233.8 256.8 195.8 248.2 229.5 231.8 235.7 255.8 260.4 222.8 250.3 235.1 235.8 260.1 202.2 251.2 231.4 233.9 237.6 257.0 260.8 222.8 252.3 236.2 238.4 261.7 204.2 253.8 233.7 237.6 239.2 258.2 262.3 224.6 254.3 238.2 243.6 265.6 206.5 256.0 238.4 244.1 243.5 260.1 264.3 224.6 256.6 240.8 246.3 269.5 208.5 261.2 241.0 247.6 245.4 261.8 272.6 239.0 258.5 242.5 250.8 272.7 208.8 262.5 244.9 250.5 251.3 263.1 276.8 239.0 256.7 244.8 251.5 276.0 211.2 266.2 245.8 251.1 252.0 266.1 276.8 239.0 255.4 249.1 256.1 281.9 213.1 273.0 250.0 256.0 256.4 271.0 276.8 239.0 259.3 250.4 256.0 284.8 215.6 273.5 250.4 256.7 255.6 272.2 280.4 244.0 262.2 252.9 257.7 288.1 216.8 274.3 252.1 258.8 257.0 276.1 282.8 244.0 264.6 257.5 259.7 294.3 223.9 278.4 254.2 261.0 259.0 283.5 289.9 258.4 262.1 259.0 261.7 296.8 227.0 280.0 256.1 262.0 261.7 286.6 291.5 261.3 261.4 1 Data for January 1980 have been revised to reflect the availability of late reports and corrections by respondents. All data are subject to revision 4 months after original publication. 29. [1 9 6 7 = P ro d u c e r P ric e In d e x e s , b y d u ra b ility o f p ro d u c t 100] Annual 1979 Commodity grouping 1980 1978 May June July Aug. S ept O ct Nov. Dec. Jan.' Feb. Mar. Apr. May Total durable goods ...................................................................... Total nondurable g o o d s................................................................. 204.9 211.9 224.7 236.9 225.8 238.8 227.6 243.7 228.0 245.8 230.1 251.1 234.6 253.7 235.3 256.2 237.0 259.3 243.8 263.2 246.4 270.0 246.6 273.1 247.2 274.0 246.4 277.3 Total m anufactures........................................................................ D u ra b le .................................................................................... Nondurable ............................................................................. 204.2 204.7 203.0 225.0 223.8 225.6 226.5 224.6 227.8 229.8 226.6 232.5 231.7 227.2 235.9 235.2 229.4 241.0 239.0 234.0 244.0 240.6 234.6 246.6 242.6 236.2 249.0 248.4 242.9 253.9 252.7 245.0 260.7 254.8 245.2 264.7 256.5 246.2 267.3 257.8 245.9 270.3 Total raw or slightly processed goods ...................................... D u ra b le .................................................................................... Nondurable ............................................................................. 234.6 209.6 235.6 268.2 262.9 267.6 269.7 272.8 268.5 274.3 265.4 274.0 272.1 259.8 272.0 276.9 255.7 277.5 278.7 259.2 279.2 281.0 265.8 281.2 285.9 267.8 286.3 287.6 282.8 286.9 295.9 305.2 294.2 295.6 302.5 294.0 290.4 286.0 289.7 292.7 262.2 294.0 1 Data for January 1980 have been revised to reflect the availability of late reports and corrections by respondents. All data are subject to revision 4 months after original publication. 30. [1 9 6 7 = 1972 SIC code P ro d u c e r P ric e In d e x e s fo r th e o u tp u t o f s e le c te d S IC in d u s trie s 1 0 0 u n le s s o th e r w is e s p e c ifie d ] Annual 1979 Industry description 1980 1978 May June July Aug. S ept O ct Nov. Dec. Jan .1 Feb. Mar. Apr. May 121.9 126.6 430.2 358.2 194.6 111.8 131.9 237.5 451.3 427.2 216.0 125.4 136.0 277.0 452.5 444.1 217.0 125.5 136.0 270.8 453.1 457.5 219.3 125.5 138.8 245.8 454.8 476.0 220.1 125.5 138.1 252.1 452.9 508.4 221.0 125.5 140.2 275.0 455.1 522.1 224.0 126.7 140.2 252.1 455.5 533.9 224.7 124.2 142.0 300.0 458.9 551.3 225.6 129.3 142.0 308.3 459.2 582.7 238.8 136.6 147.3 335.4 458.7 597.4 242.1 128.5 147.3 330.0 460.7 600.6 243.6 123.4 152.6 337.5 462.9 612.3 248.4 136.6 152.6 337.5 464.4 620.2 249.4 136.6 216.7 215.2 192.5 205.2 259.2 227.7 203.5 225.3 249.1 217.1 177.8 225.3 243.8 214.7 178.4 227.5 229.3 203.4 169.6 237.9 247.2 211.7 '171.2 240.6 238.9 211.9 163.1 240.1 241.5 213.4 188.3 241.7 243.9 220.0 188.5 243.1 240.8 211.9 186.1 241.8 240.1 207.4 178.2 242.8 238.9 209.1 173.5 243.4 225.6 197.7 164.5 252.8 227.4 194.7 164.7 253.7 MINING 1011 1092 1211 1311 1442 1455 Iron ores (12/75 = 1 0 0 ) .......................................................... Mercury ores (12/75 = 1 0 0 ).................................................. Bituminous coal and lignite ..................................................... Crude petroleum and natural g a s ........................................... Construction sand and gravel ................................................ Kaolin and ball clay (6/76 = 100) ......................................... 2011 2013 2016 2021 Meat packing plants ................................................................. Sausages and other prepared meats .................................... Poultry dressing plants ............................................................ Creamery b u tte r........................................................................ MANUFACTURING See footnotes at end of table. 100 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 30. C o n tin u e d — P ro d u c e r P ric e In d e x e s fo r th e o u tp u t o f s e le c te d S IC in d u s trie s [1967 = 100 unless otherw ise specified] 1972 SIC code Industry description Annual average 1978 May June July Aug. Sept Oct. Nov. Dec. J a n .1 Feb. Mar. Apr. May 1979 1980 2022 2024 2033 2034 2041 2044 2048 2061 2063 2067 MANUFACTURING - C ontinued Cheese natural and processed (12/72 = 1 0 0 ) ................... Ice cream and frozen desserts (12/72 = 100) ................. Canned fruits and vege tables................................................ Dehydrated food products (12/73 = 1 0 0 ).......................... Flour mills (12/71 = 1 0 0 ) ..................................................... Rice m illin g ................................................................. Prepared foods, n.e.c. (12/75 = 1 0 0 ).................................. Raw cane sugar ...................................................................... Beet sugar ............................................................................. Chewing gum ........................................................................ 169.6 154.8 193.2 131.3 147.0 207.6 107.3 190.7 188.5 218.0 185.2 171.0 207.2 182.1 166.7 206.8 115.2 195.6 199.7 242.2 185.6 171.5 207.5 181.0 174.6 206.8 118.9 207.0 199.7 242.2 186.3 171.5 209.9 182.0 190.9 206.8 128.1 209.0 202.0 242.9 195.4 175.0 210.5 180.7 176.9 218.7 119.4 216.8 199.4 242.9 200.8 176.1 212.0 170.0 183.5 223.5 120.9 216.7 200.0 242.9 196.8 177.5 212.9 158.2 184.2 227.3 123.6 224.3 204.7 242.9 193.6 179.9 212.2 156.2 184.4 231.8 124.3 223.3 210.6 262.3 193.9 180.1 212.2 157.3 184.1 218.1 125.0 248.4 223.2 262.3 195.4 180.9 213.4 157.6 181.7 217.5 122.0 260.5 224.6 262.3 194.6 181.5 213.5 159.0 183.6 233.0 122.9 374.9 290.6 262.3 197.4 185.0 214.8 156.4 182.6 258.0 121.8 276.0 303.1 281.9 203.6 191.4 216.3 157.5 175.9 260.4 116.8 320.2 295.4 281.9 203.6 192.1 217.4 156.4 183.3 254.5 117.2 456.1 338.0 282.0 2074 2075 2077 2083 2085 2091 2092 2095 2098 2111 Cottonseed oil m ills ................................................................. Soybean oil m ills ...................................................................... Animal and marine fats and oils ........................................... Malt ................................................................... Distilled liquor, except brandy (12/75 = 100) ................... Canned and cured seafoods (12/73 = 100) ...................... Fresh or frozen packaged fish .............................................. Roasted coffee (12/72 = 1 0 0 )............................................. Macaroni and spaghetti .......................................................... C igare ttes................................................................... 183.1 225.6 287.9 181.5 106.7 136.4 303.8 262.3 176.9 204.6 192.5 237.7 363.8 190.8 113.6 140.9 3824 231.7 186.6 221.4 210.4 251.1 335.3 201.4 113.6 142.1 397.6 244.2 188.6 221.4 224.5 262.8 352.0 201.4 113.6 148.5 403.7 271.0 203.5 221.5 214.1 250.0 321.4 201.4 115.7 148.2 391.5 279.2 210.4 228.9 217.9 248.6 333.8 214.9 117.1 154.0 389.2 279.2 210.4 229.1 214.9 244.7 333.7 214.9 117.1 154.3 400.1 280.0 210.4 229.2 204.7 242.4 315.2 228.2 118.1 155.6 391.4 287.5 221.5 229.2 205.6 241.9 300.7 228.2 118.1 159.8 388.4 287.5 227.7 234.3 182.4 235.1 298.1 244.1 118.6 160.9 389.7 281.3 227.7 245.8 184.3 226.2 292.6 244.1 118.7 164.0 386.6 273.9 227.7 245.9 170.4 219.3 297.3 244.1 118.7 165.7 392.6 274.0 227.7 245.9 154.8 212.6 274.0 244.1 118.7 170.2 371.5 273.9 230.5 246.1 150.5 212.5 263.0 244.1 118.9 173.2 361.6 273.9 230.5 254.2 2121 2131 2211 2221 2251 2254 2257 2261 2262 2271 Cigars .................................................................................... Chewing and smoking to b a c c o .............................................. Weaving mills, cotton (12/72 = 100) .................................. Weaving mills, synthetic (12/77 = 100) ............................. Women's hosiery, except socks (12/75 = 1 0 0 )................. Knit underwear mills .............................................................. Circular knit fabric mills (6/76 = 1 0 0 ).................................. Finishing plants, cotton (6/76 = 100) .................................. Finishing plants, synthetics, silk (6/76 = 100) ................... Woven carpets and rugs (12/75 = 1 0 0 ) ............................. 141.4 222.0 181.1 109.0 91.5 164.1 985 111.0 101.4 114.7 145.4 245.9 192.7 113.6 97.3 173.1 94.1 120.8 106.3 116.7 145.3 245.9 194.3 114.1 97.6 173.3 95.8 120.9 107.0 117.1 149.8 246.4 196.1 116.2 99.6 172.9 96.1 122.5 107.5 ( 2) 150.1 246.4 196.5 116.3 98.1 174.0 96.4 123.2 108.2 (2) 150.1 255.8 198.7 116.2 97.5 174.0 96.2 124.0 108.3 (2) 149.8 260.4 201.1 116.8 98.2 174.3 96.9 126.1 109.3 (2) 150.4 260.8 201.6 117.3 100.3 174.6 98.4 126.3 109.7 (2) 150.4 260.8 201.9 117.2 100.2 178.3 98.6 126.6 109.8 (2) 151.2 260.9 204.4 118.1 103.3 182.5 99.3 128.7 110.3 (2) 151.6 265.1 206.5 117.8 103.6 184.5 100.0 129.5 109.3 (2) 151.8 267.3 209.1 119.6 103.7 186.2 103.1 131.7 110.3 (2) 152.7 274.3 210.9 122.4 104.4 186.4 103.6 131.9 111.3 ( 2) 152.7 274.6 211.6 121.8 105.4 187.1 104.1 133.2 112.1 ( 2) 2272 2281 2282 2284 2298 2311 2321 2322 2323 2327 Tufted carpets and ru g s ........................................... Yarn mills, except wool (12/71 = 1 0 0 ) ............................... Throwing and winding mills (6/76 = 100) ................. Thread mills (6/76 = 1 0 0 )..................................................... Cordage and twine (12/77 = 1 0 0 ) ................................. Men’s and boys' suits and c o a ts ............................... Men’s and boys’ shirts and nightwear ........................ Men's and boys' u nde rw ear...................................... Men's and boys' neckwear (12/75 = 100) ............ Men’s and boys’ separate tro u s e rs ............................... 125.3 167.4 99.2 114.6 99.3 194.3 180.8 180.6 102.3 152.7 127.7 174.5 106.3 120.4 102.8 204.2 192.4 188.7 103.4 162.3 128.1 175.7 107.5 120.4 105.4 204.5 193.5 188.7 103.4 162.5 127.6 177.5 108.5 120.5 105.4 205.8 194.7 188.7 103.4 162.5 128.6 177.4 109.7 128.1 113.5 206.5 195.9 190.0 110.9 162.7 129.0 179.4 111.2 128.1 115.1 206.5 196.0 190.0 110.9 162.7 129.8 181.2 110.4 128.4 114.9 206.6 196.1 190.0 110.9 162.9 130.1 183.0 109.6 128.4 114.9 206.8 196.6 190.0 110.9 163.4 130.1 183.7 109.2 128.6 114.9 206.7 196.3 194.0 110.9 163.5 134.7 188.0 110.1 128.7 115.0 209.0 197.7 199.8 112.4 164.2 135.2 197.4 108.8 129.2 117.2 209.6 196.6 202.2 112.4 174.3 137.5 199.3 111.3 129.3 118.5 209.7 197.3 204.0 112.4 174.4 135.9 203.8 114.8 133.9 123.6 205.7 202.9 204.2 106.3 174.8 138.7 204.5 116.3 142.2 123.8 207.0 203.5 204.3 106.3 174.9 2328 2331 2335 2341 2342 2361 2381 2394 2396 2421 Men's and boys’ work clothing ............................... Women’s and misses' blouses and waists (6/78 = 100) . Women's and misses’ dresses (12/77 = 1 0 0 )................. Women’s and children’s underwear (12/72 = 100) . Brassieres and allied garments (12/75 = 100) ................. Children’s dresses and blouses (12/77 = 1 0 0 ) ................. Fabric dress and work g lo v e s ...................................... Canvas and related products (12/77 = 100) . . . Automotive and apparel trimmings (12/77 = 1 0 0 ) ............ Sawmills and planing mills (12/71 = 1 0 0 )................... 195.2 (2) 100.7 132.1 111.7 (2) 214.4 99.6 106.3 228.9 206.5 100.3 105,9 143.3 116.2 106.7 243.9 105.9 107.1 251.6 209.0 100.5 105.9 143.3 117.5 102.1 243.9 106.9 114.3 250.9 208.9 102.6 106.4 144.2 117.5 102.4 245.4 108.4 114.3 251.3 210.7 102.7 108.3 145.3 117.8 102.4 245.4 111.0 114.3 259.1 210.9 102.8 108.3 145.3 117.8 103.7 245.4 111.4 114.3 265.6 213.4 103.0 108.7 146.7 117.8 105.7 245.4 112.3 114.3 262.2 219.1 105.9 108.8 147,4 117.8 105.7 246.9 112.1 114.3 250.2 219.6 106.8 108.8 147.7 118.8 105.6 246.9 120.1 114.3 237.9 225.1 107.1 112.9 149.4 119.7 105.3 257.7 122.1 114.3 234.8 234.1 107.2 113.9 150.1 123.0 105.3 261.7 122.8 114.3 239.6 235.4 107.2 113.9 152.4 124.9 106.0 264.8 123.4 122.3 239.1 240.9 107.6 113.9 152.4 125.4 106.0 267.5 123.4 122.3 215.7 241.7 107.7 113.9 153.2 125.4 106.0 271.1 123.4 122.3 209.3 2436 2439 2448 2451 2492 2511 2512 2515 2521 2611 Softwood veneer and plywood (12/75 = 1 0 0 ) . . . . Structural wood members, n.e.c. (12/75 = 100) ............ Wood pallets and skids (12/75 = 1 0 0 )..................... Mobile homes (12/74 = 1 0 0 ).................................... Particleboard (12/75 = 100) ...................... Wood household furniture (12/71 = 100) ............ Upholstered household furniture (12/71 = 1 0 0 ) . . . . Mattresses and bedsprings............................................. Wood office fu rn itu re .................................................. Pulp mills (12/73 = 1 0 0 ).................................................. 150.1 136.2 149 4 126.5 159.7 152.4 143.1 156.3 194.4 178 5 151.1 150.1 166.7 137.3 141.6 164.6 149.2 163.2 214.3 195.2 140.7 150.0 167.0 138.0 137.4 164.0 149.4 164.1 214.2 196.6 148.1 150.0 166.9 138.2 134.3 164.5 150.0 164.5 216.8 205.4 153.4 149.9 166.8 139 6 134.7 164.6 150.2 165.8 216.8 205.7 156.0 150.8 167.9 140.7 138.5 168.0 151.6 165.8 216.8 205.8 153.1 158.2 167.9 143.0 139.5 169.3 151.8 168.9 217.6 213.5 142.9 158.2 171.0 144.0 136.8 172.3 153.8 172.3 217.6 213.9 138.9 158.2 170.5 144.1 134.5 174.5 155.7 172.3 221.9 213.9 138.5 158.2 169.8 144.8 136.9 177.5 155.9 169.9 226.2 225.2 143.9 158.2 167.0 146.1 149.0 177.4 156.6 169.7 233.7 227.0 139.8 158.3 166.3 146.7 158.9 177.6 156.6 169.7 233.8 227.4 121.4 158.2 164.6 149.0 161.9 179.7 158.7 171.5 233.9 244.9 129.6 152.1 162.8 150.0 167.3 180.8 158.9 174.8 233.9 246.0 2621 2631 2647 2654 2655 2812 2821 2822 2824 2873 Paper mills, except building (12/74 = 1 0 0 ) ........................ Paperboard mills (12/74 = 100) .................................... Sanitary paper prod ucts...................................... Sanitary food containers .................................................. Fiber cans, drums, and similar products (12/75 = 100) .. Alkalies and chlorine (12/73 = 1 0 0 )............ Plastics materials and resins (6/76 = 1 0 0 )................. Synthetic rubber ................................................ Organic fiber, noncellulosic.................................................. Nitrogenous fertilizers (12/75 = 100) ................................. 115.7 106.4 251.4 1708 123.0 198.8 103.8 180.5 107.6 96.6 129.3 118.1 271.7 189.1 132.2 204.9 117.7 200.9 115.9 101.9 129.5 118.5 271.9 1891 134.0 206.3 118.6 206.6 117.4 101.4 130.2 119.7 276.4 189.6 136.6 209.5 124.9 214.2 118.6 102.8 131.0 121.9 285.9 189.6 136.6 212.2 127.8 2234 119.8 104.1 131.4 123.4 285.4 191.8 136.6 213.1 128.9 2238 123.5 106.1 135.1 125.4 286.3 195.8 138.5 214.1 132.9 225.7 123.6 108.0 136.5 126.3 288.4 198.2 138.5 216.7 133.8 228.0 123.2 111.7 136.8 127.6 290.9 199.9 142.3 217.3 134.1 230.4 122.6 113.5 139.0 131.3 295.8 202.6 143.2 220.4 138.5 240.9 124.1 114.3 140.0 132.3 303.8 202.6 143.2 224.9 139.3 243.2 124.8 119.4 142.7 134.1 311.6 207.3 143.3 227.1 140.6 243.8 127.1 122.2 145.1 137.0 312.2 212.9 145.7 234.0 145.4 255.7 128 8 1239 146.1 141.5 318.1 216.7 147.8 238.6 147.0 258.2 131.9 124.4 2874 2875 2892 2911 2951 2952 3011 Phosphatic fertilizers ........................................... Fertilizers, mixing only .................................................. Explosives ................................................ Petroleum refining (6/76 = 100) ........................ Paving mixtures and blocks (12/75 = 1 0 0 ) ........................ Asphalt felts and coatings (12/75) = 100) ........................ Tires and inner tubes (12/73 = 100) ................... 166.0 181.9 217.3 119.6 117.1 128.2 154.0 185.1 197.8 239.0 146.6 130.1 139.3 169.2 184.2 197.8 239.3 155.1 131.2 141.6 170.6 188 9 198.1 240.1 165.5 134.4 143.6 176.8 199.4 205.6 240.7 176.6 134.9 142.7 181.2 204.3 211.1 250.3 188.9 141.6 145.8 184.2 213.2 218.3 250.8 196.4 145.6 147.6 186.9 221.6 2270 251.7 201.0 145.6 152.2 191.2 223.4 227.1 252.5 204.8 145.7 151.9 191.4 229.2 233.2 2536 213.9 150.0 156.1 193.0 233.9 240.8 255.5 228.7 157.3 162.4 198.2 235.7 243.1 260.5 242.2 167.8 169.5 198.3 237.3 247 9 271.3 2504 172.6 176.5 198.8 2364 246.0 272.6 253.0 172.6 173.6 199.0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 101 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Producer Prices 30. C o n tin u e d — P ro d u c e r P ric e In d e x e s fo r th e o u tp u t o f s e le c te d S IC in d u s trie s [ 1 9 6 7 = 1 0 0 u n le s s o th e r w is e s p e c ifie d ] Annual 1972 SIC code Industry description 3021 3031 3079 3111 3142 3143 3144 3171 3211 3221 Rubber and plastic footwear (12/71 - 100) ........................................... Reclaimed rubber (12/73 - 100) .............................................................. Miscellaneous plastic products (6/78 - 1 0 0 ) ........................................... Leather tanning and finishing (12/77 - 100) ........................................... House slippers (12/75 - 100) ................................................................... Men's footwear, except athletic (12/75 - 100) ...................................... Women’s footwear, except athletic ............................................................ Women's handbags and purses (12/75 - 100) ...................................... Rat glass (12/71 - 100) ............................................................................. Glass containers ........................................................................................... 3241 3251 3253 3255 3259 3261 3262 3263 3269 3271 1980 1979 1978 May June July Aug. Sept Oct. Nov. Dec. Jan.1 Feb. Mar. Apr. May 158.7 154.3 119.1 122.5 127.1 164.1 111.4 142.7 244.3 169.5 167.6 109.0 201.3 138.5 152.8 192.2 131.7 150.8 265.2 169.6 169.1 110.7 195.8 142.0 155.4 195.4 131.8 151.8 265.2 171.0 169.2 111.4 181.8 135.0 155.4 198.7 131.8 151.9 265.2 173.4 169.2 112.3 172.9 135.0 158.2 201.5 131.8 151.9 265.2 173.4 177.7 113.1 155.2 135.0 160.1 201.6 131.8 152.3 265.2 173.5 178.8 114.3 161.9 135.8 160.4 202.3 131.8 152.6 265.2 173.5 179.2 114.6 150.8 135.9 160.3 204.0 131.8 153.3 265.2 173.5 179.5 115.8 153.5 135.9 160.3 204.0 131.8 153.9 274.2 173.5 179.7 116.6 164.3 143.5 160.3 205.6 131.9 157.6 274.3 173.8 177.9 116.8 160.8 146.7 157.9 206.4 131.9 157.4 274.5 173.8 182.7 118.7 146.7 146.7 158.4 213.5 132.1 157.9 274.5 173.8 183.7 120.1 140.8 146.8 158.4 213.8 132.1 157.9 294.5 173.8 184.3 120.3 137.9 146.8 158.4 213.8 140.8 157.9 294.5 Cement, hydraulic ......................................................................................... Brick and structural clay tile ........................................................................ Ceramic wall and floor tile (12/75 - 1 0 0 ) ................................................ Clay refractories ........................................................................................... Structural clay products, n.e.c........................................................................ Vitreous plumbing fix tu re s ............................................................................. Vitreous china food utensils.......................................................................... Rne earthenware food utensils ................................................................... Pottery products, n.e.c. (12/75 - 100) ..................................................... Concrete block and brick ............................................................................. 251.2 230.8 107.7 221.4 176.3 189.7 2688 228.1 122.2 202.0 283.2 258.3 113.0 234.6 186.8 204.6 290.6 237.1 129.2 232.6 283.7 259.7 113.0 236.9 187.8 206.4 290.6 236.4 129.0 232.7 285.4 261.0 120.2 246.5 188.2 210.1 297.5 238.8 131.0 232.7 285.4 263.3 120.2 246.7 192.1 212.4 297.5 238.8 131.0 235.7 285.4 265.9 120.2 247.1 192.1 213.1 298.0 246.0 133.3 237.8 285.4 261.3 120.2 251.0 192.8 214.5 298.0 246.0 133.3 240.0 285.5 261.3 120.2 252.9 192.3 215.7 305.4 248.4 135.5 240.0 286.2 262.7 130.3 2540 196.5 217.3 308.2 294.3 150.1 240.2 305.7 268.3 130.4 255.1 196.3 219.2 308.2 294.3 150.1 249.5 303.2 270.4 130.4 260.9 198.6 224.6 307.9 290.3 148.8 250.6 303.2 271.9 130.4 265.3 196.7 226.7 308.2 294.0 150.0 252.3 309.8 276.4 130.4 275.4 200.6 227.6 313.4 294.8 151.3 259.3 310.7 278.5 117.6 277.1 201.6 236.1 313.4 293.6 151.4 259.4 3273 3274 3275 3291 3297 3312 3313 3316 3317 3321 Ready-mixed concrete .................................................................................. Lime (12/75 - 1 0 0 )...................................................................................... Gypsum prod ucts........................................................................................... Abrasive products (12/71 - 1 0 0 ) .............................................................. Nonclay refractories (12/74 - 100) .......................................................... Blast furnaces and steel mills ...................................................................... Electrometallurgical products (12/75 - 1 0 0 ) ........................................... Cold finishing of steel shapes ...................................................................... Steel pipes and tu b e s .................................................................................... Gray iron foundries (12/68 - 100) ............................................................ 217.6 129.5 229.5 172.3 133.6 262.3 94.8 241.0 255.2 233.5 245.2 139.8 249.4 185.1 140 5 285.3 111.7 2598 264.5 253.3 247.5 140.1 251.9 185.8 143.9 285.8 112.3 261.3 264.5 254.5 249.6 141.8 252.3 187.7 148.1 292.8 116.5 270.6 271.9 253.9 250.5 142.9 252.8 188.6 149.1 293.0 116.5 270.8 271.3 253.8 252.4 144.2 255.4 190.4 149.7 293.2 116.0 270.9 271.3 254.8 254.0 144.6 255.9 195.1 150.1 296.4 116.2 271.7 272.7 267.1 254.6 144.3 256.8 195.3 152.3 297.1 117.5 273.4 273.1 269.6 257.0 144.6 255.6 196.5 152.3 297.7 117.6 273.9 273.2 269.7 270.8 149.5 255.9 199.4 152.6 302.4 117.8 274.1 280.5 273.7 271.9 153.7 262.8 202.2 153.3 302.9 117.8 277.2 281.2 275.4 274.9 155.5 268.1 203.9 154.2 304.1 118.0 277.2 283.6 275.7 278.9 156.7 264.6 210.1 157.4 311.9 118.7 285.9 286.9 278.4 281.6 156.9 257.0 211.9 159.7 313.2 118.5 288.1 286.9 279.0 3333 3334 3351 3353 3354 3355 3411 3425 3431 3465 Primary z in c ..................................................................................................... Primary aluminum ......................................................................................... Copper rolling and d ra w in g ........................................................................... Aluminum sheet plate and foil (12/75 - 100) ......................................... Aluminum extruded products (12/75 - 100) ........................................... Aluminum rolling, drawing, n.e.c. (12/75 - 1 0 0 )....................................... Metal cans ..................................................................................................... Hand saws and saw blades (12/72 - 1 0 0 ) .............................................. Metal sanitary ware ...................................................................................... Automotive stampings (12/75 = 100) ....................................................... 223.2 217.4 170.2 137.6 134.3 119.7 238.5 147.9 209.1 118.8 274.5 237.4 215.6 148.7 147.5 131.5 263.8 161.9 222.2 127.0 275.2 238.5 211.7 148.8 147.6 131.6 262.2 162.5 224.1 127.1 281.4 244.9 211.2 149.6 150.3 132.7 262.2 162.8 226.4 127.8 265.5 247.4 213.6 149.8 151.9 133.1 262.9 166.3 228.9 130.9 264.2 248.2 216.7 150.0 151.9 133.5 263.5 166.4 229.2 131.6 265.2 256.0 226.3 150.7 155.2 136.9 273.8 167.1 230.1 132.4 257.8 263.2 222.6 151.3 157.4 139.9 274.6 169.5 231.7 132.4 265.7 266.6 225.0 151.7 158.0 140.5 274.7 169.8 232.9 132.4 266.1 267.0 231.0 153.2 158.8 140.7 276.6 173.1 237.8 132.4 272.4 267.0 253.2 153.5 158.9 140.8 276.6 173.6 242.1 132.8 279.6 267.8 238.7 155.5 160.8 141.2 279.5 175.4 243.1 133.0 274.2 276.0 230.1 158.0 167.6 143.8 295.1 177.8 245.5 133.8 268.2 287.0 222.9 157.6 167.7 145.2 295.2 181.3 249.7 134.1 3482 3493 3494 3498 3519 3531 3532 3533 3534 3542 Small arms ammunition (12/75 - 1 0 0 ) ..................................................... Steel springs, except w ir e ............................................................................. Valves and pipe fittings (12/71 - 100) ..................................................... Fabricated pipe and fittin g s ........................................................................... Internal combustion engines, n.e.c................................................................. Construction machinery (12/76 - 1 0 0 ) ..................................................... Mining machinery (12/72 - 100) .............................................................. Oilfield machinery and equipment .............................................................. Elevators and moving stairways ................................................................. Machine tools, metal forming types (12/71 - 1 0 0 ).................................. 119.5 204.6 185.5 265.5 220.1 114.0 209.5 246.2 204.2 213.6 130.4 218.7 203.6 288.2 239.0 123.9 228.4 288.4 213.6 238.8 131.4 220.5 204.2 290.7 239.2 124.0 226.4 290.0 214.2 2406 134.0 221.6 205.3 294.8 242.3 125.6 231.2 292.0 215.4 244.6 134.0 222.1 206.2 294.8 245.7 126.3 231.5 293.3 214.6 245.1 134.0 222.8 207.5 294.9 251.8 126.5 232.7 296.8 219.1 247.9 133.2 223.7 210.4 297.3 254.2 128.9 233.1 300.5 219.4 249.8 133.6 224.1 212.5 297.4 254.9 129.4 235.4 302.8 220.6 253.7 143.2 225.6 214.3 297.4 254.9 130.9 236.4 309.1 220.9 256.7 143.2 226.1 216.9 301.7 260.5 134.6 245.8 314.2 225.6 266.1 147.9 226.5 218.8 301.8 260.5 135.3 244.2 315.9 225.4 259.2 147.3 228.4 221.3 303.5 264.2 135.8 244.8 319.0 228.8 271.2 146.3 228.9 227.3 306.8 269.2 138.0 254.1 329.5 232.6 276.1 147.1 228.9 229.1 306.9 270.2 138.7 256.2 332.9 234.1 275.7 3546 3552 3553 3576 3592 3612 3623 3631 3632 3633 Power driven hand tools (12/76 - 100) ................................................... Textile machinery (12/69 - 100) ............................................................... Woodworking machinery (12/72 - 100) ................................................... Scales and balances, excluding labo ratory................................................ Carburetors, pistons, rings, valves (6/76 - 100) .................................... T ransform ers................................................................................................... Welding apparatus, electric (12/72 - 100) .............................................. Household cooking equipment (12/75 - 100) ......................................... Household refrigerators, freezers (6/76 - 1 0 0 ) ....................................... Household laundry equipment (12/73 - 100) ......................................... 111.1 179.9 168.1 179.7 128.2 158.3 178.1 114.8 109.6 141.0 117.8 191.7 183.2 192.8 138.6 168.0 191.5 120.7 111.9 147.0 118.7 192.6 184.5 193.7 138.7 168.5 191.9 120.9 112.6 147.2 119.2 195.0 185.9 194.8 139.2 167.9 193.5 122.0 113.6 148.8 120.2 197.5 187.7 195.4 139.6 167.6 194.1 123.4 114.3 149.9 120.4 198.2 190.0 195.4 140.7 168.4 195.1 124.3 115.1 150.6 122.0 199.3 192.6 195.7 142.8 171.2 196.9 124.4 115.1 150.9 122.8 200.6 192.7 199.5 145.1 170.4 198.6 125.9 115.7 152.3 124.4 200.6 192.9 201.0 145.3 171.6 200.3 126.3 116.3 153.5 126.3 202.6 201.2 204.2 147.5 172.9 201.3 128.7 117.0 154.0 126.5 205.2 202.0 201.9 147.6 176.1 202.6 129.1 118.0 156.5 127.3 207.0 205.5 204.1 148.5 177.4 205.3 129.3 118.2 158.2 128.6 212.5 212.7 205.1 152.5 180.0 207.3 129.6 119.0 159.0 130.4 213.0 212.5 208.2 152.8 181.7 209.8 132.5 119.0 159.7 3635 3636 3641 3644 3646 3648 3671 3674 3675 3676 Household vacuum c le a n e rs ........................................................................ Sewing machines (12/75 - 100) ............................................................... Electric lamps ................................................................................................ Noncurrent-carrying wiring devices (12/72 - 1 0 0 ) .................................. Commercial lighting fixtures (12/75 - 100) .............................................. Lighting equipment, n.e.c. (12/75 - 1 0 0 ).................................................. Electron tubes receiving type ...................................................................... Semiconductors and related devices .......................................................... Electronic capacitors (12/75 - 1 0 0 ) .......................................................... Electronic resistors (12/75 - 100) ............................................................ 135.5 111.2 214.7 185.8 112.7 114.6 200.9 85.3 111.5 118.3 141.2 121.1 229.8 202.6 126.8 124.0 211.3 84.7 120.1 123.2 141.5 121.1 229.7 203.0 127.4 124.6 226.4 84.7 122.1 123.2 141.6 121.8 240.8 203.3 127.9 127.6 226.5 84.2 126.7 124.0 141.7 122.2 244.3 207.7 127.9 128.2 226.6 84.3 129.3 124.6 141.9 122.2 242.7 209.1 130.5 128.5 227.2 84.7 134.1 125.2 144.5 122.6 244.8 210.5 131.4 129.6 227.2 85.1 133.9 126.6 144.7 122.6 238.7 211.9 131.6 129.8 227.4 85.6 135.8 126.7 145.8 122.6 240.8 215.0 131.9 130.5 227.7 86.4 138.0 127.3 146.1 122.6 248.5 212.9 133.4 133.0 229.1 86.8 147.7 127.4 149.6 128.6 252.2 217.5 134.8 133.2 229.4 88.0 149.1 128.8 149.9 128.6 251.8 217.5 136.6 134.5 229.5 88.9 149.0 131.8 150.2 128.6 252.4 219.7 138.4 138.6 253.9 89.7 155.6 131.9 149.2 128.6 252.3 220.3 138.9 139.4 254.3 90.7 156.4 132.8 3678 3692 3711 3942 3944 3955 3995 3996 Electronic connectors (12/75 - 100) ....................................................... Primary batteries, dry and wet ................................................................... Motor vehicles and car bodies (12/75 - 100) ......................................... Dolls (12/75 - 100) .................................................................................... Games, toys, and children's v e h ic le s .......................................................... Carbon paper and inked ribbons (12/75 - 1 0 0 )...................................... Burial caskets (6/76 - 1 0 0 )........................................................................ Hard surface floor coverings (12/75 - 100) ........................................... 118.9 162.0 115.9 103.2 172.3 105.1 113.0 116.3 126.6 172.1 124.6 109.3 182.3 120.2 121.7 123.7 126.9 172.7 124.8 109.3 183.1 116.7 121.7 124.5 133.4 172.8 125.1 111.8 183.5 117.1 123.3 128.3 134.1 172.8 122.1 112.6 184.4 118.3 123.8 128.3 137.6 172.8 122.5 112.6 185.1 118.7 124.8 128.3 138.9 173.1 130.2 112.9 186.2 123.1 123.1 131.0 140.7 173.1 130.1 112.9 186.3 125.2 124.8 134.1 142.1 174.1 130.4 113.0 186.6 125.2 124.8 134.1 145.1 174.2 132.7 122.7 198.7 126.2 128.3 138.6 144.9 176.5 131.4 123.7 202.0 128.1 128.3 138.7 145.1 176.6 131.6 123.9 202.0 128.3 128.3 138.7 147.3 176.8 135.0 126.0 202.6 131.5 128.1 143.2 146.8 176.4 133.2 126.7 203.5 133.3 130.0 143.3 1 Data for January 1980 have been revised to reflect the availability of late reports and corrections by respondents. All data are subject to revision 4 months after original publication. 2 Not available. 102 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PRODUCTIVITY DATA P r o d u c t i v i t y d a t a are compiled by the Bureau of Labor Statistics from establishment data and from estimates of com pensation and output supplied by the U.S. Department of Commerce and the Federal Reserve Board. payroll workers, self-employed persons, and unpaid family workers. D e fin itio n s ity in nonfinancial corporations where there are no self-employed. The use of the term “man-hours” to identify the labor component of productivity and costs, in tables 31 through 34, has been discontin ued. Hours of all persons is now used to describe the labor input of Output per all-employee hour is now used to describe labor productiv Output is the constant dollar gross domestic product produced in a given period. Indexes of output per hour of labor input, or labor pro ductivity, measure the value of goods and services produced per hour N o te s on th e d ata of labor. Compensation per hour includes wages and salaries of em ployees plus employers’ contributions for social insurance and private In the private business sector and the nonfarm business sector, the benefit plans. The data also include an estimate of wages, salaries, and basis for the output measure employed in the computation of output supplementary payments for the self-employed, except for nonfi- per hour is Gross Domestic Product rather than Gross National nancial corporations, in which there are no self-employed. Real com Product. Computation of hours includes estimates of nonfarm and farm proprietor hours. pensation per hour is compensation per hour adjusted by the Output data are supplied by the Bureau of Economic Analysis, U.S. Consumer Price Index for A ll Urban Consumers. Department of Commerce, and the Federal Reserve Boaid. Quarterly Unit labor cost measures the labor compensation cost required to manufacturing output indexes are adjusted by the Bureau of Labor produce one unit of output and is derived by dividing compensation Statistics to annual estimates of output (gross product originating) by output. Unit nonlabor payments include profits, depreciation, in from the Bureau of Economic Analysis. Compensation and hours data terest, and indirect taxes per unit of output. They are computed by are from the Bureau of Economic Analysis and the Bureau of Labor Statistics. subtracting compensation of all persons from the current dollar gross domestic product and dividing by output. In these tables, Unit nonlabor costs contain all the components of unit nonlabor payments Beginning with the September 1976 issue of the R eview, tables 3 1 34 were revised to reflect changeover to the new series— private busi ness sector and nonfarm business sector— which differ from the except unit profits. Unit profits include corporate profits and invento previously published total private economy and nonfarm sector in ry valuation adjustments per unit of output. that output imputed for owner-occupied dwellings and the household The implicit price deflator is derived by dividing the current dollar estimate of gross product by the constant dollar estimate, making the deflator, in effect, a price index for gross product of the sector reported. 31. and institutions sectors, as well as the statistical discrepancy, are omitted. For a detailed explanation, see J. R. Norsworthy and L. J. Fulco, “ New sector definitions for productivity series,” M on th ly L a bor Review, October 1976, pages 4 0 -4 2 . In d e x e s o f p ro d u c tiv ity an d re la te d d a ta , s e le c te d y e a rs , 1 9 5 0 - 7 9 [1 9 6 7 = 1 0 0 ] Item Private business sector: Output per hour of all persons ........................ Compensation per hour ............................. Real compensation per h o u r .......................... Unit labor c o s t .............................................. Unit nonlabor payments ............................... Implicit price deflator ........................................... Nonfarm business sector: Output per hour of all persons ............................. Compensation per hour ......................................... Real compensation per h o u r ...................... Unit labor c o s t ........................................... Unit nonlabor payments .......................... Implicit price deflator .................................... Nonfinancial corporations: Output per hour of all employees ........................ Compensation per hour ............................... Real compensation per h o u r ........................ Unit labor c o s t .................................... Unit nonlabor payments ......................................... Implicit price deflator ......................................... Manufacturing: Output per hour of all persons ............................. Compensation per hour ......................................... Real compensation per h o u r .................................. Unit labor c o s t ................................................ Unit nonlabor payments ...................................... Implicit price deflator .............................................. 1950 1955 1960 1965 1970 1972 1973 1974 1975 1976 1977 1978 1979 61.2 42.6 59.2 69.6 73.1 70.8 70.6 56.1 69.9 79.4 80.4 79.8 79.0 72.2 81.4 91.4 85.4 89.3 95.1 88.7 93.9 93.3 95.9 94.2 104.4 123.3 106.0 118.2 105.8 113.9 111.5 139.8 111.6 125.4 118.9 123.2 113.6 151.3 113.6 133.2 124.9 130.3 110.2 165.2 111.8 149.8 130.3 143.1 112.6 181.7 112.7 161.3 150.3 157.5 116.6 197.6 115.9 169.5 157.9 165.5 118.7 213.3 117.5 179.7 165.5 174.8 119.3 231.5 118.5 194.0 174.3 187.2 118.3 253.2 116.4 214.0 184.4 203.8 67.2 45.6 63.3 68.0 71.4 69.1 74.6 59.0 73.6 79.1 80.1 79.4 81.2 74.5 84.1 91.7 84.4 892 96.0 89.4 94.6 93.2 95.8 94.1 103.2 121.9 104.8 118.1 106.0 114.0 110.1 138.4 110.5 125.7 117.4 122.9 112.0 149.2 112.1 133.2 117.8 127.9 108.6 163.0 110.4 150.1 124.7 141.4 110.7 179.3 111.2 161.9 145.9 156.4 114.6 194.2 113.9 169.5 156.0 164.8 116.4 209.6 115.5 180.1 163.8 174.5 117.0 227.6 116.5 194.6 169.9 186.1 115.7 248.0 114.1 214.4 178.6 202.1 <’ ) (’ ) (’ ) ( ') <’ ) (’ ) (’ ) ( ') (’ ) (’ ) (’ ) (’) 80.6 76.0 85.7 94.3 90.8 93.1 96.9 90.1 95.3 93.0 100.1 95.5 103.7 121.8 104.7 117.4 103.5 112.5 110.6 136.7 109.1 123.7 114.8 120.5 112.9 147.6 110.9 130.7 116.8 125.8 108.7 161.7 109.5 148.8 124.8 140.2 112.2 177.9 110.4 158.6 148.1 154.9 115.8 192.7 113.0 166.4 156.8 163.0 117.0 208.0 114.6 177.7 164.4 173.0 118.1 225.2 115.3 190.6 170.6 183.5 117.7 245.2 112.8 208.4 179.5 198.1 65.8 45.6 63.3 69.4 82.3 73.3 75.0 61.2 76.3 81.6 88.6 83.8 79.8 78.0 88.0 97.7 92.3 96.1 98.4 91.1 96.4 92.6 103.3 95.9 105.0 122.3 105.1 116.5 96.2 110.3 115.7 136.6 109.0 118.1 107.4 114.8 118.9 146.5 110.1 123.2 106.4 118.0 113.0 161.7 109.5 143.1 105.6 131.6 118.8 181.1 112.3 152.4 128.4 145.1 124.0 196.1 115.0 158.2 139.6 152.5 127.7 212.7 117.2 166.6 147.4 160.7 128.3 230.2 117.8 179.4 152.4 171.1 • 129.5 251.3 115.6 194.1 (’ ) (’ ) 1 Not available. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 103 MONTHLY LABOR REVIEW July 1980 • Current Labor Statistics: Productivity 32. A n n u al p e rc e n t c h a n g e in p ro d u c tiv ity a n d re la te d d a ta , 1 9 6 9 - 7 9 Annual rate of change Year Item Private business sector: Output per hour of all persons .. Compensation per h o u r .............. Real compensation per hour Unit labor c o s t............................... Unit nonlabor pa ym e n ts.............. Implicit price d e fla to r................... Nonfarm business sector: Output per hour of all persons .. Compensation per h o u r .............. Real compensation per hour Unit labor c o s t............................... Unit nonlabor p a ym e n ts.............. Implicit price deflator ................... Nonfinancial corporations: Output per hour of all employees Compensation per h o u r .............. Real compensation per hour Unit labor c o s t............................... Unit nonlabor p a ym e n ts.............. Implicit price d e fla to r................... Manufacturing: Output per hour of all persons .. Compensation per h o u r .............. Real compensation per hour Unit labor c o s t............................... Unit nonlabor paym e n ts.............. Implicit price d e fla to r................... 1950-79 1960-79 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 0.2 6.9 1.4 6.6 1.0 4.7 0.7 7.2 1.2 6.4 1.2 4.7 3.3 6.7 2.3 3.3 6.8 4.4 3.4 6.2 2.8 2.8 5.3 3.6 1.9 8.2 1.9 6.2 5.0 5.8 - 3 .0 9.2 - 1 .6 12.5 4.4 9.8 2.1 10.0 .8 7.7 15.3 10.1 3.5 8.8 2.8 5.0 5.1 5.0 1.8 8.0 1.4 6.0 4.8 5.6 0.5 8.5 0.8 8.0 5.3 7.1 - 0 .9 9.3 - 1 .7 10.3 5.8 8.9 2.5 5.9 2.5 3.3 3.0 3.2 2.1 6.9 2.0 4.7 4.2 4.5 -.2 6.4 1.0 6,7 ,4 4.5 .2 6.8 .8 6.5 1.6 4.9 3.0 6.7 2.3 3.5 6.7 4.5 3.6 6.4 3.0 2.7 3.8 3.1 1.7 7.8 1.5 6.0 .3 4.1 -3 .1 9.2 - 1 .6 12.7 5.9 10.5 2.0 10.0 .8 7.9 17.0 10.6 3.5 8.3 2.4 4.7 6.9 5.4 1.5 7.9 1.4 6.3 5.0 5.9 .5 8.6 .9 8.0 3.7 6.6 -1 .1 r 8.9 -2 .1 10.2 5.1 8.6 2.1 5.6 2.2 3.4 2.9 3.3 1.9 6.7 1.7 4.7 4.0 4.5 ,4 6.8 1.3 6.3 0 4.1 -.0 6.8 .8 6.8 .5 4.6 3.3 6.2 1.8 2.7 7.3 4.2 r 3.1 5.7 2.4 2.5 3.3 2.8 2.1 7.9 1.6 5.7 ,1 .8 4.4 - 3 .7 9.6 - 1 .3 13.8 6.8 11.5 3.2 10.0 .8 6.6 18.7 10.5 3.2 8.3 2.4 4.9 5.8 5.2 1.1 7.9 1.4 6.8 4.9 6.1 1.0 8.3 .6 7.3 3.8 6.1 -.4 8.9 -2 .1 9.3 5.2 7.9 (’ ) (’ ) (’ ) (’ ) (’ ) (’ ) 1.9 6.5 1.6 4.5 3.6 4.2 1.3 6.6 1.2 5.2 - 4 .4 2.3 - .1 7.1 1.1 7.2 - 3 .2 4.2 5.2 6.2 1.9 .9 9.2 3.1 4.8 5.2 1.8 .4 2.3 1.0 2.8 7.2 .9 4.3 - 1 .0 2.8 - 5 .0 10.4 -.5 16.1 -.7 11.5 5.1 12.0 2.6 6.6 21.6 10.2 4.4 8.3 2.4 3.8 8.8 5, 3.0 8.5 1.9 5.3 5.5 5.4 .5 8.2 .5 7.7 3.4 6.5 '0.9 9.2 - 1 .9 '8.2 (’ ) '2.5 5.5 2.1 2.9 r 2.5 2.6 2.5 6.5 1.6 '3.9 '2 .5 '3.5 (' ) 1 Not available. 33. In d e x e s o f p ro d u c tiv ity , h o u rly c o m p e n s a tio n , unit c o s ts , a n d p ric e s , s e a s o n a lly a d ju s te d [1967 = 1 0 0 ] _______________________________________________________________________________ Item Private business sector: Output per hour of all persons ................................. Compensation per hour .............................................. Real compensation per h o u r...................................... Unit nonlabor p a ym e n ts............................................. Implicit price deflator .................................................. Nonfarm business sector: Output per hour of all persons .................................. Compensation per hour .............................................. Real compensation per h o u r...................................... Unit nonlabor pa ym e n ts.............................................. Implicit price deflator .................................................. Nonfinancial corporations: Output per hour of all e m p lo ye e s............................. Compensation per hour .............................................. Real compensation per h o u r...................................... Unit nonlabor c o s ts .............................................. Implicit price deflator .................................................. Manufacturing: Output per hour for all persons.................................. Compensation per h o u r .............................................. Real compensation per h o u r...................................... Unit labor c o s t.............................................................. 104 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Quarterly indexes Annual average 1980 19 79 1978 1977 1978 1979 III IV I II III IV I II III IV I 119.3 231.5 118.5 194.0 174.3 187.2 118.3 253.2 116.4 214.0 184.4 203.8 119.6 215.6 117.8 180.2 167.9 176.0 119.0 218.8 117.9 183.9 168.5 178.6 118.5 224.5 118.8 189.4 164.8 180.9 119.1 228.8 118.3 192.1 173.9 1858 119.8 233.9 118.3 195.2 177.0 188.9 119.9 238.7 118.1 199.0 181.2 192.9 119.0 245.1 118.0 205.9 180.8 197.2 118.4 250.6 .7.1 211.7 183.6 202.0 118.0 256.0 115.9 217.0 185.5 206.1 117.9 260.6 114.3 221.1 188.2 209.7 ' 117.6 '267.6 '112.9 ' 227.5 '18 9 8 '214.5 117.0 227.6 116.5 194 6 169.9 186.1 115.7 248.0 114.1 214.4 178.6 202.1 116.9 211.5 115.6 181.0 167.1 176.2 116.4 215.1 115.9 184.8 165.9 178.3 116.1 220.9 116.9 190.2 161.1 180.2 116.7 225.0 116.3 192.8 169.1 184.7 117.5 229.8 116.2 195.6 173.0 187.8 117.7 234.7 116.1 199.4 176.0 191.4 116.8 240.5 115.8 206.0 174.3 195.1 115.5 245.1 114.6 212.2 177.6 200.3 115.1 250.2 113.3 217.3 180.4 204.7 115.4 255.9 112.3 221.8 182.5 208.4 ' 114.9 ' 262.2 ' 110.6 '228.1 '185.5 '213.5 118.1 225.2 115.3 193.3 190.6 201.8 127.2 183.5 117.7 245.2 112.8 210.4 2084 216.6 127.8 198.1 117.7 209.9 114.7 182.4 178.4 194.8 130.9 174.7 116.9 213.2 114.9 186.3 182.3 198.7 122.2 176.8 116.9 218.9 115.8 190.8 187.3 201.5 107.1 178.3 118.1 222.8 115.2 191.6 188.7 200.8 129.2 182.3 118.7 227.3 115.0 194.0 191.5 201.6 132.7 184.9 119.0 231.7 114.6 196.8 194.8 203.1 138.7 188.2 118.4 237.9 114.6 202.3 201.0 206.5 130.3 191.6 117.5 242.5 113.3 208.0 206.4 213.2 129.2 196.3 117.4 247.6 112.1 213.2 210.8 220.5 127.5 200.4 117.3 252.6 110.8 218.0 215.3 226.1 124.0 204.0 p 117.1 p 258.9 p 109.2 p 224.6 p 221.1 p 235.4 p 118.6 p 208.8 128.3 230.2 117.8 179.4 '129.5 251.3 115.6 '194.1 128.9 214.8 117.4 166.7 128.3 218.3 117.6 '170.1 126.3 223.8 118.4 '177.2 127.8 227.3 117.5 177.9 129.5 232.0 117.4 179.1 129.9 237.2 117.3 ' 182.7 128.7 243.2 117.1 r 189.0 '129.2 248.9 116.3 192.6 130.1 253.7 114.9 195.0 '129.6 259.0 113.6 199.8 '128.9 265.1 111.8 '205.8 34. P e rc e n t c h a n g e fro m p re c e d in g q u a rte r an d y e a r in p ro d u c tiv ity , h o u rly c o m p e n s a tio n , unit c o s ts , an d p ric e s , s e a s o n a lly a d ju s te d a t an n u al ra te [1 9 6 7 = 1 0 0 ] Quarterly percent change at annual rate Item Private business sector: Output per hour of all persons ........................ Compensation per hour .................................... Real compensation per h o u r ............................. Unit labor c o s t ..................................................... Unit nonlabor payments .................................... Implicit price deflator ......................................... Nonfarm business sector: Output per hour of all persons ........................ Compensation per hour .................................... Real compensation per h o u r ............................. Unit labor c o s t ..................................................... Unit nonlabor payments .................................... Implicit price deflator ......................................... Nonfinancial corporations: Output per hour of all employees ................... Compensation per hour .................................... Real compensation per h o u r ............................. Total unit costs .................................................. Unit labor costs ............................................. Unit nonlabor c o s ts ......................................... Unit p ro fits ............................................................ Implicit price deflator ......................................... Manufacturing: Output per our of all p e rs o n s .......................... Compensation per hour .................................... Real compensation per h o u r ............................. Unit labor c o s t ..................................................... https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Percent change from same quarter a year ago III 1978 to IV 1978 IV 1978 to I 1979 1 1979 to I1 1979 I1 1979 to III 1979 III 1979 to IV 1979 IV 1979 to 11980 p IV 1977 to IV 1978 1 1978 to 11979 II 1978 to I11979 III 1978 to III 1979 0.3 8.5 -.9 8.1 9.9 8.7 - 3 .0 11.1 - .1 14.6 - 1 .0 9.3 -2 .2 9.3 -3 .1 11.8 '6.6 10.1 - 1 .4 8.8 - 4 .0 10.3 4.2 8.3 - 0 .3 7.4 - 5 .4 7.8 '6.0 7.2 ' - 0 .7 '11.2 '- 4 . 9 '1 2.0 '3.4 '9.3 0.8 9.1 .1 8.3 7.5 8.0 0.4 9.2 -.6 8.7 9.7 9.0 - 0 .6 9.5 - 1 .0 10.2 5.6 8.7 .8 8.8 8.0 7.3 7.8 - 3 .2 10.4 -.7 14.0 - 3 .9 8.1 -4 .1 7.9 - 4 .4 12.5 7.8 11.0 - 1 .4 8.5 - 4 .3 10.1 6.6 9.0 .7 9.4 - 3 .7 8.6 4.6 7.4 ' - 1 .4 '1 0.2 '- 5 . 8 '11.8 '16.8 '10.3 1.1 9.1 .1 7.9 6.1 7.3 .5 8.9 -.9 8.3 8.2 8.3 1.1 8.1 - 1 .3 5.9 6.9 2.9 19.5 7.3 -2 .1 11.0 - .1 11.7 13.4 6.8 -22.1 7.6 - 2 .9 8.0 - 4 .3 11.8 11.2 13.5 - 3 .4 10.2 - 0 .2 8.6 - 4 .3 10.2 8.8 14.6 - 5 .3 8.6 - 0 .5 8.3 - 4 .6 9.3 8.9 10.6 10.4 7.3 p0.7 p 10.4 p 9.8 »12.7 p 11.1 p 17.3 p —16.3 p 9.8 1.8 8.7 -.2 5.6 6.8 2.2 13.6 6.4 '1 .0 9.3 '- . 2 '8.2 '- 3 . 6 10.4 '- . 7 '14.5 '1.8 9.8 - 2 .7 7.9 2.7 8.0 - 4 .8 5.2 - 1 .5 8.6 - 4 .4 10.3 ' - 2 .3 9.8 -6 .1 '12.4 '1 .2 8.7 -.3 '7.4 -.6 IV 1978 to IV 1979 1 1979 to I 1980p - 1 .6 9.4 - 2 .0 11.2 4.8 9.1 - 1 .7 '9.3 - 3 .2 11.1 3.9 8.7 ' - 1 .2 '9.2 ' - 4 .4 '10.5 '5 .0 '8 7 - 1 .0 9.0 - 1 .5 10.1 5.0 8.5 - 2 .0 8.9 - 2 .5 11.1 4.3 9.0 - 2 .0 9.0 - 3 .3 11.3 3.7 8.9 '- 1 5 •9.0 '- 4 . 5 '10.7 '6.5 '9.4 1.3 8.7 -1 .1 6.1 7.3 2.5 21.7 7.5 -.5 8.9 - 1 .6 8.6 9.4 6.2 0 7.7 - 1 .0 8.9 - 2 .5 9.9 10.1 9.4 - 3 .9 8.4 - 1 .4 9.0 - 3 .3 10.8 10.6 11.3 -1 0 .6 8.4 p -1 .1 p 8.8 p - 4 .7 "11.0 p 10.0 »14.0 p - 9 .0 p9.0 '1 .9 8.6 -1 .1 '6.6 '1.2 9.5 -1 .1 8.2 '0.4 9.3 -2 .1 8.9 '0.2 9.2 - 3 .2 '0.1 9.0 - 4 .5 '8.9 '9.4 105 LABOR-MANAGEMENT DATA M a j o r c o l l e c t i v e b a r g a i n i n g d a t a are obtained from contracts on file at the Bureau of Labor Statistics, direct contact with the parties, and from secondary sources. Addi tional detail is published in C u rren t W age D evelo p m en ts, a monthly periodical of the Bureau. Data on work stoppages are based on confidential responses to questionnaires mailed by the Bureau of Labor Statistics to parties involved in work stoppages. Stoppages initially come to the attention of the Bureau from reports of Federal and State mediation agencies, newspapers, and union and industry publications. Definitions Data on wage changes apply to private nonfarm industry agree ments covering 1,000 workers or more. Data on wage and benefit changes c o m b in e d apply only to those agreements covering 5,000 workers or more. First-year wage settlements refer to pay changes go ing into effect within the first 12 months after the effective date of 35. the agreement. Changes over the life of the agreement refer to total agreed upon settlements (exclusive of potential cost-of-living escalator adjustments) expressed at an average annual rate. Wage-rate changes are expressed as a percent of straight-time hourly earnings, while wage and benefit changes are expressed as a percent of total compensation. Effective wage-rate adjustments going into effect in major bargaining units measure changes actually placed into effect during the reference period, whether the result of a newly negotiated increase, a deferred increase negotiated in an earlier year, or as a result of a costof-living escalator adjustment. Average adjustments are affected by workers receiving no adjustment, as well as by those receiving in creases or decreases. W ork stoppages include all known strikes or lockouts involving six workers or more and lasting a full shift or longer. Data cover all workers idle one shift or more in establishments directly involved in a stoppage. They do not measure the indirect or secondary effect on other establishments whose employees are idle owing to material or service shortages. W ag e and benefit se ttlem en ts in m ajor co llec tive bargaining units, 1975 to date (In percent] Quarterly average Annual average 1975 1976 1977 1978 1980 p 1979 1978 Sector and measure 1979 III IV I II III IV 1 Wage and benefit settlements, all industries: First-year settlements ........................................... Annual rate over life of contract .......................... 11.4 8.1 8.5 6.6 9.6 6.2 8.3 6.3 9.0 6.6 7.2 5.9 6.1 5.2 2.8 5.3 10.5 7.8 9.0 6.1 8.5 6.0 8.6 6.4 Wage rate settlements, all Industries: First-year settlements ........................................... Annual rate over life of contract .......................... 10.2 7.8 8.4 6.4 7.8 5.8 7.6 6.4 7.4 6.0 7.5 6.4 7.4 5.9 5.7 6.6 8.9 7.2 6.8 5.1 6.3 5.3 7.8 6.3 Manufacturing: First-year settlem ents.................................... Annual rate over life of contract ................... 9.8 8.0 8.9 6.0 8.4 5.5 8.3 6.6 6.9 5.4 8.4 7.2 9.5 7.4 8.7 7.7 9.7 8.1 6.3 4.7 5.6 4.2 7.0 5.6 Nonmanufacturing (excluding construction): First-year settlem ents...................................... Annual rate over life of contract ................... 11.9 80 8.6 7.2 8.0 5.9 8.0 6.5 7.6 6.2 7.4 5.9 6.4 5.1 3.2 5.6 8.5 5.8 9.4 6.5 7.8 7.4 9.1 7.1 Construction: First-year settlem ents...................................... Annual rate over life of contract ................... 8.0 7.5 6.1 6.2 6.3 6.3 6.5 6.2 8.8 8.3 7.0 7.2 8.4 7.1 9.7 8.2 8.7 8.3 9.7 8.5 7.5 7.6 9.6 9.3 106 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 37. W o rk s to p p a g e s , 19 47 to d a te Number of stoppages Month and year Beginning in month or year In effect during month Workers involved Beginning in month or year (thousands) Days idle In effect during month (thousands) Number (thousands) Percent of estimated working time 1947 1948 1949 1950 ...................... ...................... ...................... ...................... 3.693 3,419 3,606 4,843 2,170 1.960 3,030 2,410 34.600 34.100 50.500 38,800 .30 .28 .44 .33 1951 1952 1953 1954 1955 ...................... ...................... ...................... ...................... ...................... 4,737 5,117 5,091 3,468 4,320 2,220 3,540 2,400 1,530 2,650 22.900 59.100 28.300 22.600 28,200 18 .48 .22 .18 .22 1956 1957 1958 1959 1960 ...................... ...................... ...................... ...................... ...................... 3,825 3,673 3.694 3,708 3,333 1,900 1,390 2,060 1,880 1,320 33.100 16.500 23.900 69,000 19.100 .24 .12 .18 .50 .14 1961 1962 1963 1964 1965 ...................... ...................... ...................... ...................... ...................... 3,367 3,614 3,362 3,655 3,963 1,450 1,230 941 1,640 1,550 16.300 18,600 16.100 22.900 23.300 .13 .11 .15 .15 1966 1967 1968 1969 1970 ...................... ..................... ........................ ........................ ........................ 4,405 4,595 5,045 5,700 5,716 1.960 2,870 2,649 2,481 3,305 25,400 42,100 49,018 42,869 66,414 .15 .25 .28 .24 .37 1971 ...... 1972 ........................ 1973 ........................ 1974 ........................ 1975 ........................ 5,138 5,010 5,353 6,074 5,031 3,280 1,714 2,251 2,778 1,746 47,589 27,066 27,948 47,991 31,237 .26 .15 .14 .24 .16 1976 ........................ 1977 ........................ 1978 ........................ 5,648 5,506 4,230 2,420 2,040 1,623 37,859 35,822 36,922 .19 .17 .17 A p ril.......... M a y ......... June 512 556 536 426 132 137 5,126 3,682 2,989 .27 .19 .16 J u ly .......... August . . . September 471 463 464 168 119 135 3,001 3,152 2,319 .16 .15 October .. November December 443 257 134 230 91 42 2,968 2,720 1,976 .15 .15 .11 Januaryp . February p March p .. A p ril......... 352 354 396 425 3,142 3,025 2,705 2,786 .18 .17 .14 .14 1979: 1980: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 441 590 631 663 207 114 123 116 292 332 310 231 .11 .1 3 107 How to order BLS publications B U L L E T IN S A N D H A N D B O O K S P E R IO D IC A L S O rder fro m (and m a k e checks p a y a b le to) S u p erin ten d en t o f D ocum ents, Washington, D.C. 20402. F or foreign subscriptions, a d d 2 5 percent. M o n th ly L a b o r R ev iew . The oldest and most authoritative government research journal in economics and the social sciences. 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