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Index lookup · CIU2013000000000I

US ECI — Total Compensation, Manufacturing

Employment Cost Index for total compensation (wages, salaries and benefits) of private industry workers in manufacturing, not seasonally adjusted. Published quarterly. Index base: December 2005 = 100.

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What this means for your clause

The labor term in the airframe escalation formula of aircraft purchase agreements, where it carries 65% of the adjustment against CPI-U for the rest. Also a sound labor escalator for any manufacturing supply contract, since it counts benefits as well as pay.

Draft a clause

A starting point citing this series by name and code. Replace the bracketed terms with your contract's actual scope before use.

The [affected portion] of the Contract Price shall be adjusted using US ECI — Total Compensation, Manufacturing (BLS series CIU2013000000000I), published by BLS.

Base Period: the index value published for the month of contract signing (or the month of contract signing, if different) is the Base Value.

Adjustment: at each Adjustment Date, the Current Value is the most recently published three-month average of the index (the Averaging Window). The Escalation Factor equals Current Value divided by Base Value.

Cap: the Escalation Factor applied under this clause shall not exceed 1.10 or fall below 0.90 (a 10% cap and floor) in any single Adjustment Date, regardless of the index's actual movement.

[Replace bracketed terms with your contract's actual affected-portion definition and adjustment-date schedule before use. This is a drafting starting point, not legal advice.]

How this index is used

How do you calculate a labor or wage price escalation clause using the ECI?

A labor escalation clause compares a current-period Employment Cost Index value to the value at contract signing (the base period), turns that into a ratio, then applies the ratio to the labor-affected portion of the contract price. The ECI publishes quarterly rather than monthly, so clauses need a longer review cycle and lag than a PPI-based materials clause.

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Escalake tracks US ECI — Total Compensation, Manufacturing, applies your formula, and gives both sides a number they can confirm, no spreadsheet required.