July 12, 2002—During 2003-2004, the Occupational Safety and Health Administration (OSHA)will be transitioning to NAICS, the North American Industry Classification System, a 6-digit industry grouping system developed in cooperation with Canada and Mexico. According to OSHA, NAICS provides a new tool that ensures that economic statistics reflect our nation’s changing economy.
The NAICS system is replacing the outdated Standard Industrial Classification (SIC) system, which for over sixty years has served as the structure for the collection, aggregation, presentation, and analysis of the US economy. Under NAICS, establishments that do similar things in similar ways are classified together as industries. NAICS allows for the identification of 1,170 industries compared to the 1,004 found in the SIC system.
Every sector of the economy has been restructured and redefined: A new Information sector combines communications, publishing, motion picture and sound recording, and online services, recognizing our information-based economy. Manufacturing is restructured to recognize new high-tech industries. A new sub-sector is devoted to computers and electronics, including reproduction of software. Retail Trade is redefined. In addition, eating and drinking places are transferred to a new Accommodation and Food Services sector. The difference between Retail and Wholesale is now based on how each store conducts business. For example, many computer stores are reclassified from wholesale to retail. Nine new service sectors and 250 new service industries are recognized.
