Appendix B. Conversion to the Standard Industrial Classification Effective with the publication of August 1990 data, all industry employment, hours, and earnings were converted to Standard Industrial Classification () s. 1 This new structure replaces the coding structure in effect since 1978, for the industry estimates derived from the establishment survey. The coding system is periodically updated to reflect structural and technological changes in the economy. Growing, emerging industries may be recognized with independent s for the first time, while s for declining industries may be eliminated by collapsing them with other like industries into a single. The revision marks the first full restructuring since ; there were minor updates to the system in 1977. Scope of the restructuring. Approximately two-thirds of the published industry were unaffected by the revision. There were almost no changes in scope at the major industry division levels, with only very minor shifts between wholesale and retail trade and between the finance, insurance, and real estate division and services. However, there were several significant redefinitions at the 2-digit level. The most notable were in two divisions, manufacturing and services. In manufacturing, a substantial realignment took place between electronic and other electrical equipment ( 36) and instruments and related products ( 38). Rubber and miscellaneous plastics products ( 30) and stone, clay, and glass products ( 32) were also noticeably affected, but to a much lesser degree. In services, a new 2-digit ( 87) was established for "engineering and management services." Most of these activities had previously been classified in business services (Sic 73) or miscellaneous services (Sic 89). At the 3- and 4-digit levels, changes in scope were both more prevalent and more substantial. Table B-l lists all Sic-based published which are not equivalent to a Sic-based and relates them to the -based from which they were derived. Ratios indicate the percentage of employment in each old that was allocated to the new. Table B-l also lists the beginning that all-employee data are available for each of these. Table B-2 lists the 44 previously published -based industry which were deleted in 1 As defined in the Standard Industrial Classification Manual, issued by the Executive Office of the President, Office of Management and Budget. the conversion to the structure. It indicates which -based these were converted to and the percentage of employment from the old which went to each new. It should be noted that, in addition to industry stratification changes required by the redefinitions, some changes were made to improve estimating efficiencies. Reconstruction of estimates. All restructured industries were reestimated using the sic-d sample data from January forward. Some aggregate level industries, without scope changes, were also affected by the retabulations because they are formed from the summation of restratified, reestimated component industries. Historical estimates prior to could not be retabulated from sample data, because sample records provided only s. For industries with relatively minor scope changes, historical data were reconstructed back to the inception of the, wherever possible. The reconstruction of historical was done by adjusting the existing -based employment for the percentage of employment lost or the percentage of employment gained from other industries, using ratios derived from first quarter universe employment data. The first quarter data represent the only dual Sic-d data available for developing these adjustment ratios. 2 Hours and earnings data for restructured were derived by computing a weighted average of the component they were derived from. The weights are the percentages of employment each old contributed to the new. Effects due to restructuring. As indicated in table B-3, the revision had a large impact on only a few major industries. For total nonfarm employment, the revision effect, due entirely to restratification and not to any change in scope, was 56,000 or less than 0.05 percent. At the major division levels, the impact varied from 1,000 in mining to 65,000 in services. Almost all of the effect at the major division levels was also from the restratification of industries within these aggregates, not from sic scope changes. At the detailed industry level, the largest effects of the revision were in business services (-928,000), instruments and related 2 For additional information, see Employment Data Under the New Standard Industrial Classification, First Quarter, Report 772, October 1989. 673
products (+301,000), and electronic and other electrical equipment (-292,000). There were few significant changes at the published aggregate levels. Among average weekly hours estimates, only transportation and public utilities showed a significant effect from recomputation, a downward revision of 0.6 hour. Among average hourly earnings, both electronic and other electrical equipment and instruments and related products showed large, partially offsetting changes, due to sic redefinitions. Other differences were much less significant. At the total private level, hours and earnings were unchanged (table B-3).With respect to seasonally adjusted data, all published were revised for the most recent 5 s (1985-90) for the incorporation of new seasonal factors, as is usual. In addition, affected by the revision which were reconstructed for s prior to 1985 have again been seasonally adjusted, based on the sic-based estimates. For additional information on the revision and its effect on published, see Patricia M. Getz, "BLS Establishment Estimates Revised to March 1989 Benchmarks and Codes," Employment and Earnings, September 1990, pp 6-. 674
Table B-1. Published industries restructured under the and relationship of employment to the industries industry to ratio 1 Mining: Bituminous coal and lignite mining Construction: Heavy construction, except building Highway and street construction Heavy construction, except highway Special trade contractors Manufacturing: Durable goods Lumber and wood products Millwork, plywood, and structural members Millwork Miscellaneous wood products Furniture and fixtures: Office furniture Partitions and fixtures Miscellaneous furniture and fixtures 122 16 161 162 162 17 17 24 24 24 243 243 2431 2431 249 249 252 252 254 254 259 12 16 161 161 162 16 17 24 26 243 4 2431 42 249 2 252 259 254 259 259 94. 96.5214 84.7511 3.2454 3.4785 2 99.6873 3.9717.5094.6518 1.7230 8.9878 64.8231 2.1165 1.6588 96.2246 1947 Stone, clay, and glass products Pottery and related products Miscellaneous nonmetallic mineral products 32 32 326 326 329 32 36 326 367 329 94.5041.0816.2680 72.6864 1947 Primary metal industries: Aluminum foundries 3365 3361 55.64 Fabricated metal products Cutlery, handtools, and hardware Hand and edge tools, and blades and handsaws Plumbing and heating, except electric Plumbing fixture fittings and trim Heating equipment, except electric Fabricated structural metal products Metal doors, sash, and trim 2 2 23,5 23,5 3 3 32 32 33 4 4 42 37 30 2 5 23,5 55 3 307 32 307 33 4 6 42 99.4321.0018.3067.3849.0229.1363 98.5898.5265.5265 95.9318 98.2769.9996 91.0121 1947 1947 675
Table B-1. Published industries restructured under the and relationship of employment to the industries Continued industry to ratio 1 Fabricated metal products Continued Sheet metal work Metal forgings and stampings Metal stampings, nee Miscellaneous fabricated metal products Valves and pipe fittings, nee 44 6 69 9 9 94 44 6 69 9 372 94 91.8514 99.0003 97.1998.8923 37.7579 Industrial machinery and equipment Construction machinery Industrial trucks and tractors Metalworking machinery Special industry machinery Printing trades machinery Food products machinery General industrial machinery Pumps and pumping equipment Speed changers, drives, and gears Computer and office equipment Electronic computers Computer terminals, calculators, and office machines, nee. Refrigeration and service machinery Refrigeration and heating equipment Miscellaneous industrial and commercial machinery Scales, balances, and industrial machinery, nee 31 31 37 37 4 4 4 5 5 5 55 56 6 6 6 61 7 7 71 75,8,9 75,8,9 75,8,9 75,8,9 8 8 85 85 9 9 9 9 96,9 96,9 36 37 31 36 36 37 4 6 362 4 5 363 55 51 3 5 6 61 7 3 73 73 74 72,9 31 8 85 9 6 7 9 372 76 99.0584 99.4217.8759.7329 24.6423 3.0149 98.7786 3.7983 7.4676 1.2213 90.8078 1.1304 87.0550 65.6950 1.4101 7.0169 87.85 61.9609 90.1076 96.8416.41 72.2830 3.9089 2.1568.33 4.3273 8.80 1.4144 2.1324 93.9304 1947 Electronic and other electrical equipment Electric distribution equipment Switchgear and switchboard apparatus 36 36 361 3613 36 361 3613.4018 84.2405 95.9258 91.8226 676
Table B-1. Published industries restructured under the and relationship of employment to the industries Continued industry to ratio 1 Electronic and other electrical equipment Continued Electrical industrial apparatus Relays and industrial controls Household appliances Electric lighting and wiring equipment Electric lamps Communications equipment Telephone and telegraph apparatus Electronic components and accessories Electron tubes Electronic components, nee Miscellaneous electrical equipment and supplies.. 362 362 362 3625 3625 3625 363 364 364 3641 3641 3 31 31 367 3671 3671 3679 361 362 367 3613 3622 3679 363 364 3641 9 3 31 32 367 3671-3 3679 3679 7 3 367 4.0741 92.5323.8433 8.1773 2.0574 98.8695.8295 10.4550 46.9916 97.8431 5.7592 97.2806 1.8918 55.4504 1.7439 5.1537 1.6079 78.1093 Transportation equipment Aircraft and parts Aircraft parts and equipment, nee... Instruments and related products Search and navigation equipment Measuring and controlling devices Medical instruments and supplies Costume jewelry and notions Miscellaneous manufactures 37 372 3728 38 38 381 381 382 382 382 382 384 384 396 399 399 37 372 3728 36 38 3 381 3 381 382 383 384 396 396 399 98.9602 96.9752 87.91 14.8019 47.1027 62.9508.30 37.0491 20.7178 85.8026 14.1973 1947 Nondurable goods Food and kindred products: Poultry slaughtering and processing. Preserved fruits and vegetables Canned specialties Prepared feeds, nee 2015 2015 203 2032 2048 2048 2016 2017 203 2032 2047 2048 2.3127 3 99.0283 95.8883 99.8392 20.1742 677
Table B-1. Published industries restructured under the and relationship of employment to the industries Continued industry to ratio 1 Food and kindred products Continued Bakery products Cookies, crackers, and frozen bakery products, except bread Sugar and confectionery products Candy and other confectionery products Miscellaneous food and kindred products Textile mill products: Knitting mills Yarn and thread mills: Yarn spinning mills Throwing and winding mills Miscellaneous textile goods 205 205 2052,3 206 206 206 2064 209 209 225 225 2281 2281 2282 2282 229 203 205 2038 203 206 209 2065 203 209 225 229 2281 2283 2282 2283 229 3.5699.5247.76 89.1262.0169 99.2643 5.3622 81.68 18.11 94.6377 Apparel and other textile products: Men's and boys' shirts Men's and boys' trousers and slacks Men's and boys' work clothing Paper and allied products Paper mills Sanitary food containers Folding paperboard boxes Paper, coated and laminated, nee Bags: plastics, laminated, and coated 2321 2325 2325 2326 26 262 262 2656 2657 2657 2672 2673 2321 2327 2328 2328 26 262 2 2654 2651 2654 2641 2643 93.9364 44.8317 55.1683 99.81.1768 69.2511 30.7489 70.3688 63.3756 Printing and publishing: Commercial printing Commercial printing, nee Printing trade services Chemicals and allied products: Industrial inorganic chemicals Industrial inorganic chemicals, nee Industrial organic chemicals Industrial organic chemicals, nee 275 2759 2759 279 279 281 281 2819 2819 286 2869 275 2751 2753 275 279 281 286 2819 2861,9 286 2861,9 99.0699 75.3906.9300.1290.1621 99.8709 96.9608 Rubber and miscellaneous plastics products 30 30 30 32 30 5.4958.1745 99.6150 Digitized for FRASER 678
Table B-1. Published industries restructured under the and relationship of employment to the industries -Continued industry to ratio 1 Rubber and miscellaneous plastics products Continued Hose, belting, gaskets, and packing Rubber and plastics hose and belting 305 305 3052 329 303,4 303,4 27.31 96.9608 95.8367 Fabricated rubber products, nee Miscellaneous plastics products, nee 306 306 306 308 5 303,4 306 307 2.1522 3.3092 99.47 Transportation and public utilties: Transportation Water transportation Water transportation of freight, nee Water transportation services Air transportation, scheduled Freight transportation arrangement Communications and public utilities Radio and television broadcasting Television broadcasting stations Cable and other pay television service Electric, gas, and sanitary services Sanitary services Wholesale trade Durable goods Motor vehicles, parts, and supplies Motor vehicle supplies and new parts Construction materials, nee Professional and commercial equipment Computers, peripherals and software Electrical goods Electrical apparatus and equipment Electronic parts and equipment Machinery, equipment, and supplies Industrial machinery and equipment Miscellaneous wholesale trade durable goods 44 444 444 449 449 451 451 473 473 48,49 48,49 483 4833 484 484 49 49 495 495 50-51 50-51 50 50 501 501 5013 5039 504 504 5045 506 5063 5065 508 508 5084 5084 509 509 44 443,4 445 445 446 451 452 471 472 48,49 48,49 483 4833 483 489 44 49 446 495 50-51 52-59 50 59 501 593 5013 5039 504 508 5081 506 5063 5065 506 508 5063 5084 504 509 4 99.9567 99.28 88.6249.63 76.2996 98.5600 54.5385 21.6219 4.0433 96.1980 92.41 3.8019 75.7386.7651 1.4399.1156.9010 28.0278 94.7311 43.9563 31.4240 48.08 55.4221 98.8809 71.38 1.1190 51.9651 2.1547 68.5759 1964 1964 1964 1964 679
Table B-1. Published industries restructured under the and relationship of employment to the industries Continued industry to ratio Retail trade Department stores Miscellaneous general merchandise stores 52-59 531 539 539 52-59 531 531 539 99.8844 97.42 2.6457 Automotive dealers, nee Radio, television, and electronic stores Record and prerecorded tape stores Miscellaneous retail establishments Fuel dealers Retail stores, nee Finance, insurance, and real estate Finance 559 5731 57 59 598 599 599 60-65,67 60-62,67 60-62,67 556,9 5732 5733 59 598 598 599 60-67 60-62,67 32.5205.2163 64.8882 99.0989 99.4440.5559 99.9972 4.7158 Depository institutions Commercial banks State commercial banks Savings institutions Savings institutions, except Federal Credit unions 60 60 602 6022 6022 603 603 603 6036 6036 6036 6036 606 60 61 602 6022 6023,4 602 603 612 6022 603 6123 6124,5 614 59.1658 98.5649 97.01 96.1098 1.40 2.6498 48.2236 Nondepository institutions Personal credit institutions Business credit institutions Commodity contracts brokers, dealers, and exchanges. Security and commodity services 61 61 614 614 615 615 615 622,3 628 61 614 615 611,3 622,3,8 622,3,8 40.81 4.6990 51.7763 3.2421 99.4323 38.6389 1.4632 29.4979 73.7368 Insurance Insurance agents, brokers, and services Real estate Real estate agents and managers 63,64 63,64 64 64 65 65 653 653 63 64 64 65 653 56.2094 37.22 37.3684 Services Personal services 72 72 5.0028 5 90.7985 680
Table B-1. Published industries restructured under the and relationship of employment to the industries Continued industry to ratio 1 Personal services Continued Laundry, cleaning, and garment services Miscellaneous personal services 721 721 729 721 725,9 725,9.7028 56.8650 Business services Personnel supply services Help supply services Prepackaged software Data processing and preparation Miscellaneous business services Detective and armored car services 73 73 736 7363 7363 7372 7374 738 738 7381 72 73 736 7362 7 7372 7374 7 739 7393 1.64 82.4314 96.4391 54.5216 28.40 74.5430 50.7965 91.8657 Motion pictures Amusement and recreation services Miscellaneous amusement and recreation services Health services: Offices and clinics of medical doctors Offices and clinics of dentists Nursing and personal care, nee Home health care services 78 78 79 79 799 799 799 801 801 802 802 8059 808 73 78 72 79 725,9 793 791,9 801 808 802 808 8059 809 1.8798 7.50 99.2701 31.6286 3.8330 90.9632 38.9567.2670 47.0887 81.4568 Legal services Social services: Individual and family services Museums and botanical and zoological gardens Engineering and management services Research and testing services Management and public relations Services, nee 81 81 832 832 84 84 87 87 873 873 874 874 89 81 832 839 79 84 73 89 739 892 736 739 89 1.8565 30.4147.7298 15.6886 97.7588 16.7540 3.5608 20.5757 2.2411 1 Based on microdata files of dual-d industries for first quarter. 2 A small portion of durable goods was reassigned to nondurable goods. 3 A small portion of nondurable goods was reassigned to durable goods. 4 A small portion of transportation was reassigned to communications and public utilities. 5 Services under the structure comprise all of the - based components plus a very small portion of finance, insurance, and real estate. NOTE: Nee is an abbreviation for "not elsewhere classified" and designates broad categories of industries which cannot be more specifically identified. 681
Table B-2. Disposition of employment in industries deleted from the structure industry Disposition in Coal mining 11,12 12 Crude petroleum, natural gas, and natural gas liquids 131,2 131 132 97.6203 2.3797 Aluminum foundries 3361 3363 3365 44.3646 55.64 Food products machinery 51 56 65 65.6950.3050 Electronic computing equipment. 73 71 72 75,8,9 77 5,9 72.2830 7.3603 3.9089 14.4659 1.9818 Machinery, except electrical, nee 99 93 99 6.0696 93.9304 Industrial controls 3622 3625 Radio and TV communication equipment Optical instruments and lenses. Poultry dressing plants Cookies and crackers Cane and beet sugar 32 383 2016 2052 2061,2,3 31 33 39 5,9 3812 3829 382 2015 2052,3 2061 2062 2063 5.7592 24.2616 4.7948 6.3878 58.3813.4153 32.9954 26.3063 40.6983 Confectionery products 2065 2064 2068 89.1262 10.8738 Men's and boys' separate trousers 2327 2325 Men's and boys' work clothing 2328 2325 2326 44.8317 55.1683 Paper and pulp mills 261,2,6 261 262 249 7.5684 90.1270 2.3046 Paper coating and glazing 2641 2671 2672 29.6312 70.3688 Bags, except textile bags 2643 2673 2674 63.3756 36.6244 682
Table B-2. Disposition of employment in industries deleted from the structure Continued Folding paperboard boxes. industry 2651 2657 Disposition in Sanitary food containers.. 2654 2656 2657 69.2511 30.7489 Commercial printing, letterpress 2751 2759 Gum, wood, and industrial organic chemicals, nee 2861,9 2861 2819 2869 4.2875.1621 95.5505 Reclaimed rubber, and rubber and plastics hose and belting 303,4 305 306 96.9608 3.0392 Miscellaneous plastics products 307 308 3 99.47.5265 Trucking and trucking terminals 421,3 421 423 99.6780.3220 Local water transportation, 445 444 448 449.6367 22.1007 77.2626 Water transportation services. 446 449 495 98.5601 1.4399 Air transportation 451,2 451 452 96.6738 3.3262 Freight forwarding 471 4731 Commercial machines and equipment. Professional equipment and supplies. 5081 5086 5044 5045 5046 5047 5048 5049.6186 55.4221 8.9593 65.06 11.8969 23.03 Car dealers 551,2 551 552 94.1289 5.8711 Radio and television stores. 5732 5731 57.2163 33.7837 Music stores. 5733 57 5736 64.8882.1118 State banks, not Federal Reserve Savings and loan associations... 6023,4 612 6022 6036 603 96.1098 3.8902 State associations, insured 6123 6036 683
Table B-2. Disposition of employment in industries deleted from the structure Continued industry Disposition in Combined real estate, insurance, etc. 61 64 65 81 4.6990 56.2094 37.22 1.8565 Temporary help supply services 7362 7363 Miscellaneous business services 739 7 738 784 873 874 7.1406 50.7965 4.7332 16.7540 20.5757 Management and public relations. 7392 8732 8741 8742 8743 8748 16.6894 41.1894 26.7912 5.7954 9.57 Detective and protective services. 7393 7381 7382 91.8657 8.13 Equipment rental and leasing 7394 73 79 7841 15.97 44.7777 39.8626 Outpatient care facilities 808 801 802 809 38.9567.2671 60.7762 NOTE: Nee is an abbreviation for "not elsewhere classified" and designates broad categories of industries which cannot be more specifically identified. 684
Table B-3. The revision effect on nonfarm employment, hours, and earnings, March 1989 Employment 1 Average weekly hours 2 Average hourly earnings 3 Total Total private Mining Construction Manufacturing Durable goods Nondurable goods Transportation and public utilities.. Wholesale trade Retail trade Finance, insurance, and real estate Services Government Industry based estimate 107,017 89,052 702 4,837 19,556 11,550 8,006 5,607 6,154 19,059 6,723 26,414 17,965 based estimate 107,073 89,108 703 4,813 19,585 11,538 8,047 5,646 6,145 19,023 6,714 26,479 17,965 Difference 56 56 1-24 29 12 41 39-9 -36-9 65 0 based estimate.4 42.0 37.4 41.0 41.7 39.9 39.2 37.9 28.5.8 32.4 based estimate.4 42.1 37.4 40.9 41.7 39.9 38.6 37.9 28.5.7 32.4 Difference 0.0.1.0 -.1.0.0 -.6.0.0 -.1.0 based estimate $9.56 13.15 13.26 10.41 10.93 9. 12.46 10.21 6.48 9.43 9.29 based estimate $9.55 13.17 13.32 10.41 10.94 9. 12.47 10.23 6.47 9.40 9.27 Difference $-0.01.02.06.00.01.00.01.02 -.01 -.03 -.02 1 The largest effects of the revision on nonfarm employment were in business services (-928,000), instruments and related products ( + 301,000), and electronic and other electrical equipment (-292,000), not shown separately. 2 The largest effect of the Sic revision on average weekly hours was in transportation and public utilities (-0.6 hour). 3 The largest effects of the sic revision on average hourly earnings were in instruments and related products ( +.53 cents) and electronic and other electrical equipment (-.31 cents), not shown separately. 685