Beginning with the release of 2001 annual and 2002 quarterly data the program has switched to the North American Industry Classification System (NAICS) as the basis for the assignment and tabulation of economic data by industry. NAICS is the product of a cooperative effort on the part of the statistical agencies of the United States, Canada and Mexico. NAICS provides a common and consistent classification system for the three countries. Due to major differences in NAICS and SIC structures however, data for 2001 and forward is not comparable to the SIC-based data for earlier years.

NAICS uses a production-oriented approach to categorize economic units. Units with similar production processes are classified in the same industry. NAICS focuses on how products and services are created, as opposed to the SIC focus on what is produced. This approach yields significantly different industry groupings than those produced by the SIC approach.

NAICS provides data users with new industrial groupings that better reflect the workings of the US and New Jersey economies and will allow for the improved measurement of new industries. For example, a new industry sector called Information brings together units that turn information into a commodity with units that distribute the commodity and units that provide information services. Information’s major components are publishing, broadcasting, telecommunications, information services, and data processing. Under the SIC system, these units were spread across the manufacturing, communications, business services, and amusement services groups. Another new sector of interest is Professional, Scientific, and Technical Services. This sector is comprised of establishments engaged in activities where human capital is the major input.

Some industry sectors such as Construction will show little employment difference in the migration from SIC to the NAICS system. However, an industry such as Manufacturing is likely to show a significant change. For example, companies in the pharmaceutical industry have been classified in Manufacturing under SIC, whether or not the locations were engaged in actual manufacturing production. Under NAICS, employment at pharmaceutical corporate headquarters, will now become part of a new service-providing sector Management of Companies and Enterprises, while employment at pharmaceutical research and development facilities will become part of the Professional, Scientific and Technical Services sector. While the shift of employment to these new sectors will result in lower manufacturing employment numbers under NAICS, the level of overall total industry employment would remain the same.

Users interested in more information about NAICS can access the Bureau of Labor Statistics Web site or the Bureau of the Census Web site.

For more information on these files, contact William Saley at 609.984.5586.

BUSINESS EMPLOYMENT DYNAMICS (BED) 

Business Employment Dynamics (BED) statistics measure changes in employment at the private business establishment level from the third month of one quarter to the third month of the next. In the BED data series, these changes can come about in one of four ways. Gross job gains are defined as increases in employment resulting from expansions of employment at existing establishments or from the opening of establishments. Gross job losses are defined as declines in employment at existing establishments or from the closing of establishments. The difference between the number of gross jobs gained and the number of gross jobs lost is the net change in employment.

The data series on Business Employment Dynamics are derived from the Quarterly Census of Employment and Wages (QCEW), also known as the ES-202 program. This program is a quarterly census of all establishments covered under state and federal unemployment insurance programs, representing about 98 percent of employment on nonfarm payrolls.

BED data also have a more limited scope than the Quarterly Census of Employment and Wages (QCEW) data. The data in this series, in contrast to the QCEW data, exclude government employees, private households (NAICS 814110), and establishments with zero employment. Please see the BLS Concepts and Methodology for further information.

BED Data by State (Bureau of Labor Statistics) 

BED Data for New Jersey:

Charts:

Tables:

• Table 1. Private sector gross job gains and job losses, seasonally adjusted
  
• Table 2. Private sector gross job gains and job losses, not seasonally adjusted
  
• Table 3. Private sector gross job gains and losses as a percent of total employment, seasonally adjusted
  
• Table 4. Private sector gross job gains and losses as a percent of total employment, not seasonally adjusted
  
• Table 5. Number of private sector establishments by direction of employment change, seasonally adjusted
  
• Table 6. Number of private sector establishments by direction of employment change, not seasonally adjusted
  
• Table 7. Private sector establishments by direction of employment change as a percent of total establishments, seasonally adjusted
  
• Table 8. Private sector establishments by direction of employment change as a percent of total establishments, not seasonally adjusted 
  
• Table 9. Private sector establishment births and deaths, seasonally adjusted 
  
• Table 10. Rates of private sector establishment births and deaths, seasonally adjusted 
  
• Table 11. Private sector establishment births and deaths, not seasonally adjusted 
  
• Table 12. Rates of private sector establishment births and deaths, not seasonally adjusted