Home > Regional Economic Accounts > Regional Definitions > Employment not covered by the UI programs

Employment not covered by the UI programs

  • Railroads-The railroad industry is covered by its own unemployment insurance program, which is administered by the Railroad Retirement Board (RRB), rather than by the state UI system. Data suitable for estimating local area employment of railroads are available from the RRB only on a place-of-residence basis. Because BEA's employment estimates are designed to conform conceptually and statistically with the place-of-work earnings estimates, the RRB data are adjusted to a place-of-work basis by using Journey-to-work data from the 1990 Census of Population. The national totals for all railroad companies combined are allocated to counties in proportion to the adjusted RRB series.
  • Private households-For this largely noncovered industry-mainly domestic servants-the national employment estimates are allocated to counties in proportion to place-of-work private household employment from the 1990 Census journey-to-work data.
  • Farm labor contractors-This industry is classified in agricultural services rather than in farms. The UI coverage in Arizona and California is complete enough to permit the use of the Quarterly Census of Employment and Wages (QCEW) data for both the state and county estimates, but most state UI programs only partially cover this industry. For these states, the county estimates of farm labor contractor employment are based on the geographic distribution of expenditures for contract labor reported in the Census of Agriculture.
  • Private elementary and secondary schools.-Private elementary and secondary schools are treated as a noncovered industry because religiously affiliated elementary and secondary schools, which account for most of the employment in this industry, remain largely outside the scope of the UI program. The state estimates of private elementary and secondary school employment are primarily based on the employment reported annually by the Census Bureau's County Business Patterns (CBP). The CBP data are tabulated from the administrative records of the social security program - old-age, survivors, disability, and hospital insurance - and are more complete for elementary and secondary schools than the data prepared under the UI program. The social security program, although exempting nonprofit religious organizations-including schools-from mandatory coverage, has elective coverage provisions that have resulted in broad participation among religiously affiliated elementary and secondary schools.

    In about half of the states, the UI coverage of elementary and secondary schools is complete enough to permit the use of QCEW data as the basis for the county employment estimates. For the other states, the county estimates are based on the best available series of private elementary and secondary school employment chosen from data published by state departments of education, data from the U.S. Department of Education's 1998 survey of private elementary and secondary schools, or data from CBP, which cannot be used more generally because they are frequently suppressed at the county level to prevent disclosures.

  • Religious membership organizations-The Federal Unemployment Tax Act permits the states to exclude religious membership organizations from mandatory UI coverage. Although most state UI laws do have some provisions for elective coverage, less than 10 percent of the national total employment of religious membership organizations is covered by UI. Therefore, the county estimates of the employment of religious membership organizations are based on CBP data. The CBP data are adjusted by allocation to sum to the BEA national employment totals for this industry.
  • Military-County military employment is measured as the number of military personnel assigned to active duty units that are stationed in the area plus the number of military reserve unit members. The estimates of active duty employment for the Army, Air Force, Navy, Marine Corps, and Coast Guard are based on the annual averages of 12 monthly observations, for a given year, from reports received from each branch of service. Navy personnel assigned to ships and other mobile units and Marines assigned to Fleet Marine Force units are measured according to the units' home ports rather than their actual locations as of the reporting date.

    The measure of the employment of the military Reserves-including the National Guard-is confined to members of reserve units that meet regularly for training. The state estimates are based on fiscal year-ending September 30-tabulations of military reserve pay provided by the Army, Air Force, Navy, Marine Corps, and Coast Guard.

    For consistency with the BEA estimates of military reserve wages, the state totals of military reserve employment are allocated to counties in proportion to civilian population.

  • "Other"-In the local area employment series, this category consists of the number of U.S. residents employed in the United States by international organizations and by foreign embassies and consulates. The category differs from "rest-of-the-world"--the corresponding category in the national employment estimates-in that "rest-of-the-world" also includes the net flow of international border workers-i.e., U.S. residents working across the border in Canada and foreign residents working in the United States. The border workers are not reflected in the county employment estimates.

    The county estimates of "other" employment are made by allocating the national totals for all years to counties in proportion to estimated 1968 administrative expenses of international and foreign organizations operating in the United States. The administrative expenses series was prepared by the BEA.