U.S. labor costs cool slightly in Q3 while real private wages fall
U.S. compensation costs rose 0.8% in the third quarter, down from 0.9% in Q2; private-sector real wages fell 0.6% year over year.
The U.S. Bureau of Labor Statistics reported that compensation costs for civilian workers rose 0.8% in the third quarter of 2026, seasonally adjusted, slowing from 0.9% in the second quarter. Wages and salaries increased 0.7% and benefit costs 0.9% over the three months ending in September.
Private-industry compensation also increased 0.8% in the quarter and 3.4% over the year. Private-industry wages rose 3.1% over 12 months, while benefits increased 3.9%; health-benefit costs rose 6.4% over the year. Inflation-adjusted private-industry wages and salaries fell 0.6%, indicating that nominal pay gains did not keep pace with consumer prices over the period.
The release puts labor-cost growth at a still-elevated but slightly cooler quarterly pace. For employers, the mix matters: benefits are rising faster than wages, while real wage erosion may influence household purchasing power and wage negotiations. The report is a cost measure, not a forecast or a policy decision.
Quarterly compensation
0.8%
↓ vs. 0.9% in Q2 2026
12-month compensation
3.4%
↓ through September 2026
Real private wages
-0.6%
↓ 12-month change
Sources
This story describes figures the company has published. It is for information only and is not investment advice or a recommendation to buy, sell or hold any security. Check the original filings before relying on any figure. Stoqly is not affiliated with the SEC.
