Definition of Labor Cost Index

The index reflects the level of the total compensation of employees in the economy. Labor costs are defined as core expenditure borne by employers for the purpose of employing staff. They include employee compensation, with wages and salaries in cash and in kind, employers' social security contributions and employment taxes regarded as labor costs minus any subsidies received.

Related Indicators

• Labor Freedom Index
• Labor Force Participation Rate
• Labor Force
• Economic Decline Index
• Consumer Price Index (CPI)