III. Technical Appendix
This technical appendix includes explanations that may be helpful to readers and data users who want additional information on the concepts and methodologies used in the Unemployment Insurance (UI) Covered Employment and Wages program. We describe our data sources, methods of classifying data, data quality control, and discuss the circumstances in which employers are exempt from UI coverage. Additional information on Covered Employment and Wages is available from the Bureau of Labor Statistics (BLS).
Data on UI covered employing units, employment, and wages are compiled from Quarterly UI/Workers’ Compensation Summary Reports (Form WYO056). Described by the BLS as a Quarterly Contributions Report (QCR), the WYO056 form captures total UI wages for the quarter (including tips), bonuses, UI taxable wages, tax due, total UI amount due, and number of workers as of the 12th of each month for each establishment. The Multiple Worksite Report (MWR), the Industry Verification Form, and Federal data collected by the State supplement QCRs. The Industry Verification Form is used to verify or correct industry, geographic, and ownership codes assigned to employers subject to Wyoming UI laws. The MWR is sent quarterly to collect employment and wage data by worksite for employers with a total of ten or more employees at two or more locations. These sources of data together are referred to as the ES-202 report or the Covered Employment and Wages program.
Employment and wage data are classified according to the codes and titles published in the 1987 edition of the Standard Industrial Classification (SIC) Manual prepared by the Executive Office of the President, U.S. Office of Management and Budget. The SIC manual provides a classification of establishments on the basis of their principal economic activity. The SIC classification system was developed for the purpose of promoting a uniform presentation of statistics by Federal agencies, state governments, and private research organizations. Businesses are assigned an industry classification based on the main product or group of products made or distributed, or services rendered. The SIC includes ten divisions (also known as the ten major industries) that are broken down into 1,004 four-digit industry codes. For example, dairy farms are in the Agriculture industry, and have a four-digit SIC code of 0241. A list of SIC titles and codes to three digits is included in Appendix A. For a complete list of SIC codes and their definitions, see U.S. Office of Management and Budget, Standard Industrial Classification Manual, 1987.
Government data (referred to in the SIC manual as Public Administration) are represented as Federal, State, and Local with two- and three-digit SIC breakouts. Prior to 1989, publications of Covered Employment and Wages data did not include Federal government employment.
Quality Control of Data
Records are in the ES-202 database by quarter and are reviewed several times before being considered final. Some items that are corrected include data entry errors, inconsistencies in employment or wage data from previous quarters, and errors due to change in ownership. Data are considered final after a nine-month (three quarters) revision period. For example, data from the fourth quarter of 2000 (the months of October, November, and December) were considered final in September 2001.
To insure that employer data are accurately reported, industry, geographic, and ownership codes assigned to UI-covered reporting units are periodically reviewed and updated via the Industry Verification Form. The Industry Verification Form is also a primary source for collection of new worksite physical location address information for both single and multiple establishment employers.
Wyoming law requires that employers provide UI coverage for employees if the firm (1) has a payroll of $500 or more in a calendar year, or (2) acquires an organization, business, trade, or substantially all of the assets of an employer that is subject to the law at the time of the acquisition.
UI coverage under the Wyoming Employment Security Law has been expanded twice. On January 1, 1972, coverage was extended to firms employing one or more workers, State institutions of higher learning (i.e., the University of Wyoming and seven junior colleges), and State hospitals. On January 1, 1978, coverage was extended to employees of State and local (city, county) governments, non-profit elementary and secondary schools, certain larger agricultural establishments, and certain domestic workers. The full text of the Wyoming Employment Security laws are available from the State of Wyoming.
The following classes of employment are exempt from coverage under the Wyoming Employment Security Law:
(1) Agricultural labor, unless an employer has a payroll of $20,000 or more in any one quarter or employs ten or more workers for at least a part of one day for 20 weeks within a calendar year.
(2) Domestic help (persons employed as household help), unless earnings exceed $1,000 in any one quarter.
(3) Services performed by an individual while in the employ of city, county, or state government if such individual performed such services as (a) an elected official or certain policy making and advisory positions, (b) a member of a legislative body or the judiciary of any political subdivision, (c) an inmate of a State custodial or penal institution, (d) a member of the State National Guard or Air National Guard, or (e) an emergency employee hired temporarily in case of a disaster.
(4) Services performed for churches or conventions or associations of churches or religious organizations.
(5) Services performed by a student of a school, college, or university in which that individual is enrolled and regularly attending classes, or by the spouse of a student if the spouse is informed at the time of hire by the institution that the employment is provided under a financial assistance program and is not covered by unemployment compensation.
(6) Services performed by an individual enrolled in a full-time program at an educational institution combining academic instruction with work experience if the service is an integral part of the program and is certified by the institution to the employer. This does not apply to services performed in a program established for an employer or groups of employers.
(7) Services performed by an individual under the age of 18 in the delivery of newspapers or shopping news. This does not include delivery or distribution to any point for subsequent delivery or distribution.
(8) Services performed by an individual in the employ of a son, daughter, or spouse, and services performed by a child under the age of 21 in the employ of a parent. (In general, this exemption applies only to sole proprietorships or a partnership consisting only of the child’s parents.)
(9) Services performed as a licensed real estate broker or salesperson employed on a commission basis only.
(10) Services of barbers and beauticians if the barber or beautician is responsible to the shop owner for rent only. If the rent agreement is on a percentage basis, the barber or beautician is considered to be an employee.
(11) Services performed by an individual receiving rehabilitative services from a facility providing rehabilitation programs for individuals with reduced earning capacities because of age, physical or mental deficiencies, or injury. Also includes wages paid to workers who are not readily absorbed into the labor market because of physical or mental deficiencies.
(12) Services performed by a hospital patient employed by the hospital.
(13) Services performed for the Federal government or any federal agency exempt by Federal law, except service for those agencies otherwise required by law to contribute to any state unemployment compensation fund.
(14) Services performed by an individual receiving wages as part of a work experience or workfare program assisted or financed by the Federal government or any state or local government, except for those on-the-job training employees who are wholly or partially paid by the employer.
(15) Self-employed individuals.
(16) Workers in the railroad industry who are covered by unemployment programs under the Railroad Retirement Act.
(17) A nonprofit organization paying wages to less than four individuals for less than 20 weeks in the preceding year.
(18) Services performed as casual labor. "Casual labor" means service of less than two (2) consecutive weeks and not within the normal course of business.
(19) Services performed by a private duty nurse employed by a private party.
(20) Services performed by an individual who is the owner and operator of a motor vehicle which is leased or contracted with a driver to a for hire common or contract carrier. The owner-operator shall not be considered an employee if he/she performs the service pursuant to a contract which provides that the owner-operator shall not be treated as an employee for purposes of the Federal Insurance Contributions Act, the Social Security Act, the Federal Unemployment Tax Act, and income tax withholding at source.
(21) Services performed by a member of a limited liability company, unless the limited liability company elects coverage for a period of not less than two years with written approval.
For the calendar year 2001 publication, SIC codes will be replaced by the 2002 North American Industrial Classification System (NAICS, pronounced NAKES). The system is designed to allow comparability of data between all countries participating in the North American Free Trade Agreement (NAFTA). Similar to the industry classifications within the SIC system, NAICS is divided into sectors. The 20 sectors are broken down into 1,170 six-digit industry codes. Using dairy farms again as an example, under NAICS, dairy farms are in the NAICS sector Agriculture, Forestry, Fishing, & Hunting. The six-digit NAICS code assigned to the industry is 112120. Due to differences in the NAICS and SIC structures, data for 2001 will not be comparable to SIC-based data from previous years. However, converted SIC data for 2000 will be included in the tables for comparison purposes. For a complete listing of NAICS titles and codes, see U.S. Office of Management and Budget, North American Industrial Classification System available online.
Through the Annual Refiling Survey (ARS), R&P updated all employer SIC codes to 1997 NAICS codes. Additionally, subsequent to further Federal revision of NAICS, beginning in the fall of 2000 R&P converted selected 1997 NAICS codes to 2002 NAICS codes. Data with all 1997 NAICS codes are available beginning with the first quarter of 2000 on our Internet site. For further discussion of the impact of NAICS, see Research & Planning, "North American Industrial Classification System (NAICS) Major Industry Codes (Two Digit) & Descriptions," Wyoming Labor Force Trends, and Mike Evans, "New Industrial Classification System will Affect All Industry Statistics," Wyoming Labor Force Trends.
Also, the 2003 publication (2001 data) will be available on the
Internet only. Both PDF and HTML versions will be located on our website.
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