This article first appeared on Floating Path.

Compensation costs for civilian workers increased a seasonally adjusted 0.4% in the third quarter, the U.S. Bureau of Labor Statistics reports. This follows a 0.5% increase in the second quarter.

Wages and salaries, which make up about 70 percent of compensation costs, increased 0.3% in Q3, less than the 0.4% increase in Q2. Benefits, which make up the remaining 30% of compensation, increased 0.7% compared to a 0.4% increase in Q2.

Compensation of private industry workers increased 0.4% in Q3, with a 0.3% increase in wages and salaries and a 0.6% increase in benefits costs.

Compensation of state and local government workers increased 0.4% in Q3, with a 0.3% increase in wages and salaries and a 0.5% increase in benefits costs.

Benefits costs, especially for government workers, have generally been outpacing increases in wages and salaries by a wide margin.

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