Private-Industry Health Benefit Costs Grew More Than Twice as Fast as Wages

Soaring health insurance costs are quietly preventing wages from rising higher, while workers also shoulder a larger share of premiums, economist says

If employer contributions had instead grown at 3%, which was the pace a few years ago, wage growth would be about 0.2-0.3 percentage points faster today.

Private-Industry Health Benefit Costs Grew More Than Twice as Fast as Wages

Economist Guy Berger estimated wage growth would have been 0.2 to 0.3 percentage points higher if employer health contributions had risen 3%.