Summary
A Look at Compensation Costs from the Employer and Employee Perspectives—The following article is based, in part, on information from the EBRI Databook on Employee Benefits, second edition, which will be released in May 1992 (ordering information is included at the end of this article)
Employee benefits play a major role in the compensation of U.S. employees and represent a large proportion of employers' total compensation costs (wages and salaries, benefits, and other labor income). Between 1960 and 1990, the share of total compensation that public- and private-sector employers spent on employee benefits more than doubled. The composition of the benefit more than doubled. The composition of the benefit component—how much money employers spend on different benefits—varies across industry groups and by firm sizes. The composition also has changed over time. While employers are spending an increasing proportion of their compensation costs on benefit programs, employees undervalue benefits as a component of total compensation, according to recent public opinion surveys conducted by EBRI and The Gallup Organization, Inc.
BLS Survey Shows High Rate of Benefit Participation among Public Employees—Employees of state and local governments—whether full time or part time—have higher rates of participation in employee benefits than their counterparts in medium and large private establishments or small private establishments, according to a newly released biennial survey by the Bureau of Labor Statistics.
Most Americans Favor the U.S. Government Implementing a National Health Insurance System but Admit They Have Limited Knowledge about the Issue, According to Recent EBRI/Gallup Survey—More than eight out of ten Americans (88 percent) said they know either very little or had only some knowledge about national health insurance, but 79 percent said they either strongly favor or favor the U.S. government implementing such a system, according to a recent public opinion survey conducted for EBRI and The Public Agenda Foundation by The Gallup Organization, Ine. However, in a previous EBRI/Gallup survey 48 percent of Americans said they think employers should be most responsible for providing health benfits for full-time employees and their dependents in the United States, 30 percent said the federal government, and 45 percent said individuals themselves.
Washington Update—Congress passed a $77.5 billion tax package on March 20 that contained numerous provisions relating to employee benefits. President Bush immediately vetoed the package because it would raise taxes, and Congress was unable to override the veto. However, the House/Senate conference agreement is likely to serve as a framework for future benefits legislation.