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U.S. DEPARTMENT OF LABOR
Employment and Training Administration
Washington, D. C. 20210

CLASSIFICATION

UI

CORRESPONDENCE SYMBOL

OWS/OIS/DUIO

ISSUE DATE

October 23, 2000

RESCISSIONS

None

EXPIRATION DATE

October 31, 2001

DIRECTIVE

:

UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 38-96, Change 2

 

TO

:

ALL STATE EMPLOYMENT SECURITY AGENCIES

 

FROM

:

GRACE A. KILBANE
Administrator
Office of Workforce Security

 

SUBJECT

:

Revised Interstate Statistical Data Exchange/Liable -Agent Data Transfer (LADT) Record Format

  1. Purpose. To advise State Employment Security Agencies (SESAs) 1) of the revised LADT record format that accommodates the transfer of data coded in accordance with the revised Ethnic and Race Reporting Requirements; and 2) that LADT data reporting includes the use of the North American Industry Classification System (NAICS) and Standard Occupational Classification (SOC) codes.

  2. References. UIPL No. 24-00, dated May 15, 2000; ET Handbook No. 401, Change 20, dated March 29, 2000; ET Handbook No. 395; ET Handbook No. 392; and the ICON LADT User Guide.

  3. Background. When the LADT record format was developed, the planned implementation of changing to the NAICS and SOC coding of unemployment insurance (UI) data was accounted for in the design. However, the recent change in the ethnic and race data reporting, which requires the collection of data in separate race and ethnic categories, was not included in the design. Therefore, the LADT record has been revised to accommodate the reporting of interstate data as required by ET Handbook No. 401, Change 20, for the ETA 203, Characteristics of the Insured Unemployed.

  4. NAICS. NAICS is a new economic classification system that classifies work establishments by type of economic activity. NAICS replaces the1987 Standard Industrial Classification (SIC) for statistical purposes and is organized in a hierarchical structure. NAICS employs a 6-digit coding system in which the first two digits designate the sector (the NAICS term "sector" replaces the term "division" used in the 1987 SIC), the third digit designates the subsector, the fourth digit designates the industry group, the fifth digit represents the NAICS industry, and the sixth digit designates individual country-level national industries.

    Information on the industry group of the UI benefit recipient's last employer and primary base period employer has been collected using the SIC classifications. Given the current structure of the Benefit Accuracy Measurement (BAM) database, which allocates four cells for the current SIC code, NAICS is being implemented at the Industry Group level for ETA 203 and BAM reporting purposes. Therefore, for LADT reporting, States should enter, at a minimum, the first four (4) digits of the NAICS code in Field 41 of the LADT record, left justified, followed by "00".

  5. SOC / O*NET. The SOC (1998 version) serves as the framework for information collected through the Department of Labor Employment and Training Administration's (ETA) O*NET, which replaces the Dictionary of Occupational Titles (DOT) codes, effective January 1, 2001, for UI reporting purposes. Federal Government agencies that collect occupational information developed SOC to replace several different classification systems supported by these agencies. The SOC is organized in a hierarchical structure. The SOC employs a 6-digit coding system in which the first two digits represent the major group; the third digit represents the minor group; the fourth and fifth digits represent the broad occupation; and the sixth digit represents the detailed occupation.

    The BAM database uses the first three digits of the DOT code(s) to code information on the occupation of the claimant's last job, usual job, and the type of work the claimant is seeking. To accommodate the current structure of the BAM database, which allocates three positions for the occupational code, the 1998 SOC is being implemented at the minor group level for LADT reporting. Therefore, States should enter, at a minimum, the first three (3) digits of the SOC code in Field 29 of the LADT record, left justified, followed by a "0".

  6. Race and Ethnicity. The Office of Management and Budget's, Standards for Maintaining, Collecting, and Presenting Federal Data on Race and Ethnicity allows for a two question format to provide more flexibility in data collection and to ensure data quality. ET Handbook No. 401, Change 20, dated March 29, 2000, issued the reporting instructions for the ES 203 for which this LADT data are necessary.

    To accommodate reporting on race and ethnic group separately in the LADT record format, the name of Field 16 has been changed from Ethnic to Race and an additional field (Field 60) has been added to the record for ethnic classification. An explanation of the information to be reported in the separate categories which was taken from the Office of Management and Budget's notice of revisions to its Statistical Policy Directive No. 15, "Race and Ethnic Standards for Federal Statistics and Administrative Reporting," follows below. The code numbers have been added to provide for LADT reporting of the information.

    1. Ethnicity.  There are two categories for data on ethnicity: "Hispanic or Latino" and "Not Hispanic or Latino". The single term "Hispanic" designation has been changed to "Hispanic or Latino" because it was determined that, whereas the term "Hispanic" is commonly used in the eastern United States, the term "Latino" is used in the western United States.

      The Hispanic/Latino category refers to individuals who trace their origin or descent to Cuba, Mexico, Puerto Rico, Central America, and other Spanish cultures. This information is to be reported under "Ethnic" on LADT in Field 60 as follows:

      Code 1    =    Hispanic or Latino

      Code 2    =    Not Hispanic or Latino.

      Code 3    =    Information not available.

    2. Race.  The minimum categories for data on race are defined and will be coded in Field 16 of the LADT record as follows:

      Code 1    =    White.  A person having origins in any of the original peoples of Europe, the Middle East, or North Africa.

      Code 2    =    Black or African American.  A person having origins in any of the black racial groups of Africa.

      Code 3    =    Asian.  A person having origins in any of the original peoples of the Far East, Southeast Asia, or the Indian subcontinent including, for example, Cambodia, China, India, Japan, Korea, Malaysia, Pakistan, the Philippine Islands, Thailand, and Vietnam.

      Code 4    =    American Indian or Alaska Native.  A person having origins in any of the original peoples of North and South America, (including Central America), and who maintains tribal affiliation or community attachment.

      Code 5    =    Native Hawaiian or Other Pacific Islander.  A person having origins in any of the original peoples of Hawaii, Guam, Samoa, or other Pacific Islands.

      Code 6    =    Information not available.

  7. Summary of LADT Coding Changes.

    1. Field 16 - Race.  States should data enter race classification in Field 16 of the LADT record as defined in (6. b) above.

    2. Field 29 - SOC.  States should data enter, at a minimum, the first three (3) digits of the SOC code in Field 29 of the LADT record, left justified, followed by a "0".

    3. Field 41 - NAICS.  States should data enter, at a minimum, the first four (4) digits of the NAICS code in Field 41 of the LADT record, left justified, followed by "00".

    4. Field 60 - Ethnic.  States should data enter ethnic classification in Field 60 of the LADT record as defined in (6. a) above.

  8. Distribution of ICON LADT User Guide/System Modification Requirements.  An ICON LADT User Guide has been developed in cooperation with the National Association of State Workforce Agencies' (formerly the Interstate Conference of Employment Security Agencies) Interstate Benefit Committee to provide a better understanding of data exchange and the agent and liable State reports produced by the system. The Lockheed Martin ICON support group will distribute the User Guide, which includes the record format and data reporting modification requirements to each State's ICON Programmer and Interstate Program Coordinator and the Employment and Training Administration's Regional Office Interstate Coordinator, on 10/04/00. Any technical questions related to the data exchange, including the modified data records, should be addressed to Carlys Hill at (407) 306-4376 or Martha Hazelrigg at (407) 306-7228. Any policy questions related to the data to be exchanged should be directed to Mary Montgomery at (202) 219-5340 extension 178.

  9. Effective Date. The new NAICS and SOC codes are required to be used on all BAM cases signed off by the BAM investigator and supervisor or reopened on or after January 1, 2001. Information based on the new codes are required to be reported on the ES 203 effective with the report for the month of January 2001. Therefore, LADT data should include these codes as soon as possible, but no later than for data reported for the week ending January 6, 2001.

  10. Action Required. State Administrators are requested to provide copies of these instructions to the appropriate staff.

  11. Inquiries. Questions should be directed to the appropriate ETA Regional Office.

  12. Attachment  - LADT Record Format