Press Release: 8/11/2026
Changing Compensation Costs in the Boston Metropolitan Area — June 2026
Compensation costs for private industry workers increased 2.8 percent in the Boston-Worcester-Providence, MA-RI-NH Combined Statistical Area (CSA) for the year ending in June 2026, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Mark J. Maggi noted that one year ago, Boston experienced an annual gain of 3.0 percent in compensation costs. (See chart 1 and table 1.) Nationwide, compensation costs rose 3.3 percent in June 2026.
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Locally, wages and salaries, the largest component of compensation costs, advanced at a 2.3-percent pace for the 12-month period ended June 2026. (See chart 2.) Nationwide, wages and salaries rose 3.1 percent over the same period.
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Boston is 1 of 15 metropolitan areas in the United States and 1 of 3 areas in the Northeast region of the country for which locality compensation cost data are available. Among these 15 largest areas, over-the-year percentage changes in compensation costs ranged from 4.2 percent in Phoenix-Mesa to 1.7 percent in Minneapolis-St. Paul in June 2026; for wages and salaries, Phoenix registered the largest increase (4.1 percent), and Minneapolis registered the smallest (1.3 percent). (See chart 3.)
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The annual increase in compensation costs in Boston was 2.8 percent in June 2026, compared to 3.3 percent each in New York-Newark and Philadelphia-Reading-Camden, the other two metropolitan areas in the Northeast. Boston’s 2.3-percent gain in wages and salaries over this 12-month period compared to 3.1 percent each in New York and Philadelphia. (See table 2.)
Relative Importance Estimates
Beginning with the publication of Employment Cost Index (ECI) data for June 2026, relative importance estimates for select ECI series will be available in the public database with each ECI publication. Historical relative importance estimates will be available for March 2026; no further historical estimates will be provided. For more information, see Relative importance: putting the Employment Cost Index (ECI) into perspective.
Updated Fixed Employment Weights
Beginning with the publication of Employment Cost Index (ECI) data for December 2026, the ECI will introduce updated employment weights and remove workers’ compensation costs. For more information, see notice on weights and workers' compensation.
The Employment Cost Index news release for September 2026 is scheduled to be published on Friday, October 30, 2026, at 8:30 a.m. (ET).
Technical Note
Locality compensation costs are part of the national Employment Cost Index (ECI), which measures quarterly changes in compensation costs (wages and salaries and employer costs for employee benefits) free from the influence of employment shifts among occupations and industries. More information can be found in the national Employment Cost Index Technical Note. For information on survey concepts, coverage, methods, nonresponse adjustment, and imputation see the Employment Cost Index Handbook of Methods.
In addition to the data presented here, ECI national data by industry, occupational group, and union status, as well as data for civilian, private, and state and local government employees, are available on the Employment Cost Index website. The national Employment Cost Index Summary is also available online. Additional information for regions, states, and local areas may be accessed via our Northeast Information Office regional homepage.
The substate area data published in this news release reflect the Office of Management and Budget Bulletin No. 23-01, dated July 21, 2023. See the Tracking Wage Growth in American Cities page for more information on available geographies and their historical timelines.
The Boston-Worcester-Providence, MA-RI-NH Combined Statistical Area (CSA) includes Barnstable, Bristol, Essex, Middlesex, Norfolk, Plymouth, Suffolk, and Worcester Counties in Massachusetts; Bristol, Kent, Newport, Providence, and Washington Counties in Rhode Island; and Belknap, Hillsborough, Merrimack, Rockingham, and Strafford Counties in New Hampshire.
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| Area | Total compensation (%) | Wages and salaries (%) | ||||||
|---|---|---|---|---|---|---|---|---|
| Mar. | Jun. | Sep. | Dec. | Mar. | Jun. | Sep. | Dec. | |
United States | ||||||||
2022 | 4.8 | 5.5 | 5.2 | 5.1 | 5.0 | 5.7 | 5.2 | 5.1 |
2023 | 4.8 | 4.5 | 4.3 | 4.1 | 5.1 | 4.6 | 4.5 | 4.3 |
2024 | 4.1 | 3.9 | 3.6 | 3.6 | 4.3 | 4.1 | 3.8 | 3.7 |
2025 | 3.4 | 3.5 | 3.5 | 3.4 | 3.4 | 3.5 | 3.6 | 3.3 |
2026 | 3.4 | 3.3 | 3.4 | 3.1 | ||||
Northeast | ||||||||
2022 | 4.2 | 5.1 | 4.8 | 4.9 | 4.4 | 5.1 | 4.6 | 4.9 |
2023 | 4.5 | 4.4 | 4.3 | 3.8 | 4.4 | 4.5 | 4.4 | 3.9 |
2024 | 3.8 | 3.5 | 3.2 | 3.3 | 3.9 | 3.7 | 3.4 | 3.5 |
2025 | 3.3 | 3.6 | 3.6 | 3.5 | 3.6 | 3.6 | 3.6 | 3.4 |
2026 | 3.4 | 3.0 | 3.2 | 2.7 | ||||
Boston-Worcester-Providence | ||||||||
2022 | 5.6 | 5.8 | 5.6 | 5.5 | 6.1 | 5.8 | 5.7 | 5.8 |
2023 | 3.9 | 3.8 | 4.1 | 3.1 | 4.0 | 4.2 | 4.7 | 3.4 |
2024 | 3.2 | 3.1 | 1.7 | 2.6 | 3.5 | 3.3 | 1.6 | 2.6 |
2025 | 3.6 | 3.0 | 3.3 | 3.6 | 3.7 | 2.8 | 3.2 | 3.6 |
2026 | 2.8 | 2.8 | 2.4 | 2.3 | ||||
| Area | Total compensation (%) | Wages and salaries (%) | ||||
|---|---|---|---|---|---|---|
| Jun. 2025 | Mar. 2026 | Jun. 2026 | Jun. 2025 | Mar. 2026 | Jun. 2026 | |
United States | 3.5 | 3.4 | 3.3 | 3.5 | 3.4 | 3.1 |
Northeast | 3.6 | 3.4 | 3.0 | 3.6 | 3.2 | 2.7 |
Boston-Worcester-Providence | 3.0 | 2.8 | 2.8 | 2.8 | 2.4 | 2.3 |
New York-Newark | 3.1 | 3.4 | 3.3 | 3.1 | 3.2 | 3.1 |
Philadelphia-Reading-Camden | 3.7 | 3.1 | 3.3 | 3.9 | 2.7 | 3.1 |
South | 3.5 | 3.4 | 3.5 | 3.5 | 3.5 | 3.5 |
Atlanta-Athens-Clarke County-Sandy Springs | 3.2 | 2.5 | 2.7 | 3.2 | 2.5 | 2.6 |
Dallas-Fort Worth | 3.7 | 2.3 | 2.7 | 3.4 | 1.8 | 2.5 |
Houston-Pasadena | 4.9 | 0.3 | 2.8 | 5.5 | 3.4 | 2.7 |
Miami-Port St. Lucie-Fort Lauderdale | 3.0 | 4.7 | 3.6 | 2.7 | 4.6 | 3.5 |
Washington-Baltimore-Arlington | 2.5 | 3.7 | 3.6 | 2.1 | 3.8 | 3.8 |
Midwest | 3.5 | 3.3 | 3.0 | 3.7 | 3.4 | 2.9 |
Chicago-Naperville | 3.6 | 4.1 | 3.9 | 3.6 | 4.1 | 3.9 |
Detroit-Warren-Ann Arbor | 2.1 | 2.3 | 3.4 | 3.5 | 3.5 | 3.2 |
Minneapolis-St. Paul | 5.3 | 1.4 | 1.7 | 5.7 | 1.0 | 1.3 |
West | 3.5 | 3.6 | 3.6 | 3.4 | 3.3 | 3.2 |
Los Angeles-Long Beach | 3.9 | 3.5 | 3.3 | 4.1 | 3.1 | 2.8 |
Phoenix-Mesa | 3.3 | 4.3 | 4.2 | 3.0 | 4.2 | 4.1 |
San Jose-San Francisco-Oakland | 3.3 | 3.8 | 3.6 | 3.1 | 4.0 | 3.5 |
Seattle-Tacoma | 4.7 | 3.3 | 4.0 | 4.6 | 2.8 | 3.5 |
Last Modified Date: Monday, August 10, 2026