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30.10.202612:30:00UTC+00US Q3 Employment Cost Index Eases to 0.8%, Signaling Slight Cooling in Labor Cost Pressures

The U.S. Employment Cost Index (ECI) slowed in the third quarter of 2026, with labor costs rising 0.8% quarter-over-quarter, down from a 0.9% increase in the second quarter of 2026. The latest data, updated on 30 October 2026, indicate a modest easing in employment cost pressures as wage and benefit growth decelerate slightly.

On a quarter-over-quarter basis, the current reading compares the third quarter’s 0.8% gain to the 0.9% increase recorded in the second quarter, which itself was measured against the first quarter’s performance. While still reflecting solid underlying cost growth for employers, the marginal slowdown may be interpreted as a tentative sign of cooling in the labor market, potentially easing some concerns about persistent wage-driven inflation.

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