In 1997, the Standard Industrial Classification (SIC) codes were replaced with the North American Industry Classification System (NAICS). NAICS merges U.S. and Canadian SIC codes with Mexico's Classification of Activities and Products (CMAP) and allows them to be synchronized with the United Nations' International SIC codes. NAICS identifies general categories of economic activity, dividing the economy into 20 sectors: five "goods-producing" and 15 "services-producing". Each sector is then grouped according to production criteria. NAICS is an improvement over the SIC system because it is more specific and because it identifies over 350 new occupations and businesses.
Some of the new industries included are Health Care and Social Assistance, Arts, Entertainment, and Recreation, and Information. Some industries or businesses that were separate under SIC may be combined under NAICS if they offer unique services, such as gas stations and convenience stores.
NAICS becomes more specific as it moves from a two-digit sector, three-digit sub-sector, four-digit industry group, five-digit NAICS industry, and finally to a six-digit national industry, which may be country-specific. Here is an example:
51: Information
513 Broadcasting and Telecommunications
5133 Telecommunications
51332 Wireless telecommunications carriers exc. Satellites
513321 Paging services
For a complete listing, use NAICS in Reference at HD1042 or the Census Bureau's NAICS page www.census.gov/pub/epcd/www/naics3dx.htm.
Tip Sheet #64 (September 2007)
Prepared by the Library Team, 900 West Orman Avenue, Pueblo, CO 81004