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Prevailing Rate Systems; North American Industry Classification System Based Federal Wage System Wage Surveys


Published: 2006-06-20

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ACTION:
Final rule.
SUMMARY:
The Office of Personnel Management is issuing a final rule to replace the Standard Industrial Classification codes currently used in Federal Wage System regulations with the more recent North American Industry Classification System codes, published by the Office of Management and Budget. The purpose of this change is to update the wage survey industry regulations by adopting the new classification system.
DATES:
Effective date: This rule is effective on July 20, 2006.
Applicability date: This rule applies for local wage surveys beginning on or after November 1, 2006.
FOR FURTHER INFORMATION CONTACT:
Mark Allen, (202) 606-2838; e-mail pay-performance-policy@opm.gov; or FAX: (202) 606-4264.
SUPPLEMENTARY INFORMATION:
On November 16, 2005, the Office of Personnel Management (OPM) issued a proposed rule (70 FR 69467) to replace all Standard Industrial Classification (SIC) codes in the Federal Wage System (FWS) regulations with the most closely corresponding North American Industry Classification System (NAICS) codes. Adopting the NAICS system will update the FWS wage survey industry regulations, while making as few changes as possible in the types of industrial establishments already included in FWS wage surveys under the SIC system. These regulations use 2002 NAICS codes. As the Office of Management and Budget updates the NAICS periodically, we will update these regulations to correspond to the updated NAICS codes based on advice we receive from the Federal Prevailing Rate Advisory Committee.
The proposed rule had a 30-day public comment period, during which OPM received no comments. However, the final rule incorporates some formatting changes in the industry charts to improve consistency and readability, and three additional minor changes that are consistent with the intent of the proposed rule. First, section 532.313(b) of title 5, Code of Federal Regulations, limits special job coverage to Automotive Mechanic, Engine Mechanic, and Heavy Mobile Equipment Mechanic only in certain industries included in surveys concerning the Artillery and Combat Vehicles specialized industry, not in all of the specialized industries, as was originally proposed. Second, the four SIC codes in section 532.223(a) have been converted to comparable NAICS codes. We inadvertently overlooked this section in the proposed rule. Third, we are adding NAICS 5175, Cable and other program distribution, to the communications specialized industry in section 532.313 to better match NAICS wage survey industry coverage to the industry coverage of the SIC system. We inadvertently overlooked this industry in the proposed rule.
This final regulation is effective 30 days after publication. However, to provide the lead agency (the Department of Defense) with sufficient time and a fixed date for planning surveys and implementing changes required by the new industry classification system, the regulation is applicable for wage surveys ordered to begin on or after November 1, 2006.
Regulatory Flexibility Act
I certify that these regulations will not have a significant economic impact on a substantial number of small entities because they will affect only Federal agencies and employees.
E.O. 12866, Regulatory Review
The Office of Management and Budget has reviewed this final rule in accordance with Executive Order 12866.
List of Subjects in 5 CFR Part 532
Administrative practice and procedure, Freedom of information, Government employees, Reporting and recordkeeping requirements, Wages.
Office of Personnel Management.
Linda M. Springer,
Director.
Accordingly, the Office of Personnel Management is amending 5 CFR part 532 as follows:
PART 532—PREVAILING RATE SYSTEMS
1. The authority citation for part 532 continues to read as follows:
Authority:
5 U.S.C. 5343, 5346; § 532.707 also issued under 5 U.S.C. 552.
Subpart B—Prevailing Rate Determinations
2. In § 532.213, revise paragraph (a) to read as follows:
§ 532.213
(a) The lead agency must include the industries in the following North American Industry Classification System (NAICS) codes in all regular appropriated fund wage surveys:
2002 NAICS codes
2002 NAICS industry titles
311 through 339 (except 323)
All manufacturing classes except printing and related support activities (NAICS 323).
221
Utilities.
481
Air transportation.
482
Rail transportation.
484
Truck transportation.
485 (except 4853)
Transit and ground passenger transportation except taxi and limousine service (NAICS 4853).
487 (except 4872)
Scenic and sightseeing transportation except scenic and sightseeing transportation, water (NAICS 4872).
488 (except 4883 and 4884)
Support activities for transportation except support activities for water transportation (NAICS 4883) and support activities for road transportation (NAICS 4884).
492
Couriers and messengers.
493
Warehousing and storage.
515
Broadcasting (except Internet).
517
Telecommunications.
5621
Waste collection.
5622
Waste Treatment and Disposal.
423
Merchant wholesalers, durable goods.
424
Merchant wholesalers, nondurable goods.
3. In § 532.221, revise paragraph (a) to read as follows:
§ 532.221
(a) The lead agency must include the following North American Industry Classification System (NAICS) codes in all regular nonappropriated fund wage surveys:
2002 NAICS codes
2002 NAICS industry titles
42312
Motor vehicle supplies and new parts merchant wholesalers.
4232
Furniture and home furnishing merchant wholesalers.
42362
Electrical and electronic appliance, television, and radio set merchant wholesalers.
42369
Other electronic parts and equipment merchant wholesalers.
42371
Hardware merchant wholesalers.
42391
Sporting and recreational goods and supplies merchant wholesalers.
42399
Other miscellaneous durable goods merchant wholesalers.
4241
Paper and paper product merchant wholesalers.
42421
Drugs and druggists' sundries merchant wholesalers.
4243
Apparel, piece goods, and notions merchant wholesalers.
42445
Confectionery merchant wholesalers.
4247
Petroleum and petroleum products merchant wholesalers.
4249
Miscellaneous nondurable goods merchant wholesalers.
44132
Tire dealers.
44311
Appliance, television, and other electronic stores.
44411
Home centers.
44611
Pharmacies and drug stores.
4471
Gasoline stations.
44814
Family clothing stores.
4521
Department stores.
45299
All other general merchandise stores.
45321
Office supplies and stationery stores.
4542
Vending machine operators.
71391
Golf courses and country clubs.
71395
Bowling centers.
72111
Hotels (except casino hotels) and motels.
7221
Full-service restaurants.
7222
Limited-service eating places.
7224
Drinking places (alcoholic beverages).
4. In § 532.223, revise paragraph (a) to read as follows:
§ 532.223
(a) All establishments having 20 or more employees in the prescribed industries within a survey area must be included in the survey universe. Establishments in NAICS codes 4471, 4542, 71391, and 71395 must be included in the survey universe if they have eight or more employees.
5. In § 532.267, revise paragraph (c)(1) to read as follows:
§ 532.267
(c) ***
(1) Surveys must, at a minimum, include the air transportation and electronics industries in the following North American Industry Classification System (NAICS) codes:
2002 NAICS codes
2002 NAICS industry titles
3341
Computer and peripheral equipment manufacturing.
33422
Radio and television broadcasting and wireless communications equipment manufacturing.
33429
Other communications equipment manufacturing.
3343
Audio and video equipment manufacturing.
334412
Bare printed circuit board manufacturing.
334413
Semiconductor and related device manufacturing.
334418
Printed circuit assembly (electronic assembly) manufacturing.
334419
Other electronic component manufacturing.
334511
Search, detection, navigation, guidance, aeronautical, and nautical system and instrument manufacturing.
334613
Magnetic and optical recording media manufacturing.
42342
Office equipment merchant wholesalers.
42343
Computer and computer peripheral equipment and software merchant wholesalers.
4811
Scheduled air transportation.
4812
Nonscheduled air transportation.
4879
Scenic and sightseeing transportation, other.
4881
Support activities for air transportation.
4921
Couriers.
56172
Janitorial services.
62191
Ambulance services.
81142
Reupholstery and furniture repair.
6. In § 532.279, revise paragraphs (c), introductory text, and (c)(1) to read as follows:
§ 532.279
(c) The lead agency must establish survey specifications for the printing survey as follows:
(1) The lead agency must include North American Industry Classification System (NAICS) codes 323110 and 323114 in the printing survey and may add other NAICS codes in subsector 323 to the survey based on its survey experience.
7. In § 532.285, revise paragraph (c)(1) to read as follows:
§ 532.285
(c) ***
(1) Based on Bureau of Reclamation activities and types of supervisory positions in the special wage area, the Bureau of Reclamation must survey private industry companies, with no minimum employment size requirement for establishments, in the following North American Industry Classification System code subsectors:
2002 NAICS codes
2002 NAICS industry titles
211
Oil and gas extraction.
212
Mining (except oil and gas).
213
Support activities for mining.
221
Utilities.
333
Machinery manufacturing.
334
Computer and electronic product manufacturing.
335
Electrical equipment, appliance, and component manufacturing.
484
Truck transportation.
492
Couriers and messengers.
493
Warehousing and storage.
515
Broadcasting (except Internet).
517
Telecommunications.
562
Waste management and remediation services.
811
Repair and maintenance.
8. Revise § 532.313 to read as follows:
§ 532.313
(a) For appropriated fund surveys, the lead agency must use the private sector industries in the following North American Industry Classification System (NAICS) codes when it makes its wage schedule determinations for each specialized Federal industry:
2002 NAICS codes
2002 NAICS industry titles
Aircraft Specialized Industry
332912
Fluid power valve and hose fitting manufacturing.
336411
Aircraft manufacturing.
336412
Aircraft engine and engine parts manufacturing.
336413
Other aircraft part and auxiliary equipment manufacturing.
336415
Guided missile and space vehicle propulsion unit and propulsion unit parts manufacturing.
336419
Other guided missile and space vehicle parts and auxiliary equipment manufacturing.
4811
Scheduled air transportation.
4812
Nonscheduled air transportation.
4879
Scenic and sightseeing transportation, other.
4881
Support activities for air transportation.
4921
Couriers.
54171
Research and development in the physical, engineering, and life sciences.
56172
Janitorial services.
62191
Ambulance services.
81142
Reupholstery and furniture repair.
Ammunition Specialized Industry
32592
Explosives manufacturing.
332992
Small arms ammunition manufacturing.
332993
Ammunition (except small arms) manufacturing.
Artillery and Combat Vehicles Specialized Industry
2211
Electric power generation, transmission, and distribution.
2212
Natural gas distribution.
32732
Ready-mix concrete manufacturing.
332212
Hand and edge tool manufacturing.
332323
Ornamental and architectural metal work manufacturing.
332439
Other metal container manufacturing.
332995
Other ordnance and accessories manufacturing.
332999
All other miscellaneous fabricated metal product manufacturing.
33311
Agricultural implement manufacturing.
33312
Construction machinery manufacturing.
333611
Turbine and turbine generator set units manufacturing.
333618
Other engine equipment manufacturing.
333922
Conveyor and conveying equipment manufacturing.
333923
Overhead traveling crane, hoist, and monorail system manufacturing.
333924
Industrial truck, tractor, trailer, and stacker machinery manufacturing.
3361
Motor vehicle manufacturing.
336211
Motor vehicle body manufacturing.
336212
Truck trailer manufacturing.
336312
Gasoline engine and engine parts manufacturing.
336322
Other motor vehicle electrical and electronic equipment manufacturing.
33633
Motor vehicle steering and suspension components (except spring) manufacturing.
33634
Motor vehicle brake system manufacturing.
33635
Motor vehicle transmission and power train parts manufacturing.
336399
All other motor vehicle parts manufacturing.
33651
Railroad rolling stock manufacturing.
336992
Military armored vehicle, tank, and tank component manufacturing.
4231
Motor vehicle and motor vehicle parts and supplies merchant wholesalers.
42381
Construction and mining (except oil well) machinery and equipment merchant wholesalers.
42382
Farm and garden machinery and equipment merchant wholesalers.
4413
Automotive parts, accessories, and tire stores.
44421
Outdoor power equipment stores.
484
Truck transportation.
4862
Pipeline transportation of natural gas.
492
Couriers and messengers.
5171
Wired telecommunications carriers.
5172
Wireless telecommunications carriers (except satellite).
5173
Telecommunications resellers.
5621
Waste collection.
81299
All other personal services.
Communications Specialized Industry
33422
Radio and television broadcasting and wireless communications equipment manufacturing.
33429
Other communications equipment manufacturing.
334511
Search, detection, navigation, guidance, aeronautical and nautical system and instrument manufacturing.
334514
Totalizing fluid meter and counting device manufacturing.
334515
Instrument manufacturing for measuring and testing electricity and electrical signals.
335311
Power, distribution, and specialty transformer manufacturing.
48531
Taxi service.
5151
Radio and television broadcasting.
5152
Cable and other subscription programming.
5171
Wired telecommunications carriers.
5172
Wireless telecommunications carriers (except satellite).
5173
Telecommunications resellers.
5174
Satellite telecommunications.
5175
Cable and other program distribution.
5179
Other telecommunications.
Electronics Specialized Industry
3341
Computer and peripheral equipment manufacturing.
33422
Radio and television broadcasting and wireless communications equipment manufacturing.
33429
Other communications equipment manufacturing.
33431
Audio and video equipment manufacturing.
334412
Bare printed circuit board manufacturing.
334413
Semiconductor and related device manufacturing.
334414
Electronic capacitor manufacturing.
334415
Electronic resistor manufacturing.
334416
Electronic coil, transformer, and other inductor manufacturing.
334417
Electronic connector manufacturing.
334418
Printed circuit assembly (electronic assembly) manufacturing.
334419
Other electronic component manufacturing.
334511
Search, detection, navigation, guidance, aeronautical and nautical system and instrument manufacturing.
334613
Magnetic and optical recording media manufacturing.
42342
Office equipment merchant wholesalers.
42343
Computer and computer peripheral equipment and software merchant wholesalers.
Guided Missiles Specialized Industry
332912
Fluid power valve and hose fitting manufacturing.
3341
Computer and peripheral equipment manufacturing.
33422
Radio and television broadcasting and wireless communications equipment manufacturing.
33429
Other communications equipment manufacturing.
334418
Printed circuit assembly (electronic assembly) manufacturing.
334511
Search, detection, navigation, guidance, aeronautical and nautical system and instrument manufacturing.
334613
Magnetic and optical recording media manufacturing.
3364
Aerospace product and parts manufacturing.
54131
Architectural services.
54133
Engineering services.
54136
Geophysical surveying and mapping services.
54137
Surveying and mapping (except geophysical) services.
54171
Research and development in the physical, engineering, and life sciences.
Heavy Duty Equipment Specialized Industry
332439
Other metal container manufacturing.
332999
All other miscellaneous fabricated metal product manufacturing.
33312
Construction machinery manufacturing.
333923
Overhead traveling crane, hoist, and monorail system manufacturing.
333924
Industrial truck, tractor, trailer, and stacker machinery manufacturing.
33651
Railroad rolling stock manufacturing.
42381
Construction and mining (except oil well) machinery and equipment merchant wholesalers.
Shipbuilding Specialized Industry
336611
Ship building and repairing.
48839
Other support activities for water transportation.
Sighting and Fire Control Equipment Specialized Industry
333314
Optical instrument and lens manufacturing.
3341
Computer and peripheral equipment manufacturing.
33422
Radio and television broadcasting and wireless communications equipment manufacturing.
33429
Other communications equipment manufacturing.
334418
Printed circuit assembly (electronic assembly) manufacturing.
334511
Search, detection, navigation, guidance, aeronautical and nautical system and instrument manufacturing.
334613
Magnetic and optical recording media manufacturing.
Small Arms Specialized Industry
332994
Small arms manufacturing.
(b) For wage surveys involving the specialized Federal industry “Artillery and Combat Vehicles” in paragraph (a) of this section, the lead agency must limit special job coverage for industries in NAICS codes 2211, 2212, 32732, 484, 4862, 5621, 492, 5171, 5172, and 5173 to automotive mechanic, diesel engine mechanic, and heavy mobile equipment mechanic.
(c) For nonappropriated fund wage surveys, the lead agency must use NAICS codes 71111, 7221, 7222, 72231, 72232, and 7224 (eating and drinking places) when it determines a wage schedule for a specialized industry.
[FR Doc. E6-9667 Filed 6-19-06; 8:45 am]
BILLING CODE 6325-39-P