ECEC Release Briefing: Business Costs June 2022

Transactions on the Instawork platform track the wages paid to hourly workers and the total cost of their shifts to local businesses. This briefing focuses on costs to businesses for dozens of occupations in regions across the United States, in parallel with the Employer Costs for Employee Compensation (ECEC) release from the Bureau of Labor Statistics. Data used in this briefing may include data on future shifts that have been booked on the Instawork platform but have not yet taken place.

Costs for line cooks, event servers, and bussers rose across the country by and average of 1.5% or more between March 2022 and June 2022. These changes may reflect labor demand due to the shift from goods to services in consumer spending. Costs for general labor rose 5% or more in the Austin, Jacksonville, Minneapolis, and Nashville areas. Costs for entry-level warehouse associates rose by 7% or more in Chicago, Miami, New York, and Seattle – the first major increase for this position since last fall, possibly driven by high inflation in urban areas. Indeed, costs in these metro areas rose in at least two-thirds of all roles on the Instawork platform.

Here are the biggest increases in costs from March 2022 to June 2022 by role and region:

 

Role Region Increase
Warehouse / Entry Level Miami 17%
Counter Staff / Cashier Seattle 17%
General Labor Minneapolis 13%
Prep Cook Seattle 11%
Event Server San Diego 11%
General Labor Nashville 9%
Warehouse / Entry Level New York 9%
Event Server Sacramento 9%
Warehouse / Entry Level Chicago 8%
General Labor Austin 7%

Here are shares of roles where business costs increased in major metropolitan areas:

20 Jun 2022 business costs briefing - regions

Here are the shares of regions where business costs rose for a selection of roles:

20 Jun 2022 business costs briefing - roles

 

We will continue to track these changes in business costs in the quarters to come. We welcome your suggestions for additions to this briefing.

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