ABOUT NAICS CODES 
The North American Industry Classification System (NAICS) is the 6-digit standard used by Federal agencies to classify business establishments for the purpose of collecting, analyzing, and publishing statistical data related to the U.S. economy. 

The NAICS standard was adopted in 1997 to replace the 4-digit Standard Industrial Classification (SIC) system, which was initiated in 1937. 

The newer standard provides a uniform comparison and presentation of statistical data by grouping businesses and establishments into industries in line with similar processes used to produce goods and services. 

WHEN ARE NAICS CODES CHANGED OR UPDATED? 
NAICS codes are updated every five years (in years that end in 2 or 7). 

WHY DO NAICS CODES CHANGE OVER TIME? 
In order to keep on track with the changing economy, NAICS codes are scheduled to be reviewed every five years (in years that end in 2 or 7). 

New and emerging industries, revised content, title changes and clarifications of industry definitions are also reviewed. 

The review period is the only time new NAICS codes can be considered. 

WHO MAKES CHANGES TO NAICS CODES? 
The Economic Classification Policy Committee (ECPC) reviews NAICS codes every five years to determine if any changes are needed. 

After reviewing suggestions from the public, the ECPC submits recommendations to the Office of Management and Budget (OMB). After gathering further public comments, and in consultation with the ECPC, the OMB makes the ultimate decisions on changes. 

WHAT HAPPENS TO MY CLASSIFICATIONS WITHIN CLARITY WHEN CHANGES OCCUR? 
Clarity is ready for NAICS codes changes. Please note that it may take some time before the new codes appear in Clarity. 

When you log into Clarity, you will see “Obsolete NAICS codes found” if codes have changed. A link will be provided for you to jump directly to the Customer Accounts screen to find appropriate NAICS codes. If you dismiss the message, you may return to the Customer Accounts section at a later date and sort by “obsolete” to find them again.  

When you click on an “obsolete” code, a modal window will open and suggest new codes based on a NAICS code crosswalk. However, the code crosswalk may not suggest a new code in some cases. 

It is important to note that all codes with an “obsolete” status will not be shown in any of the other screens within Clarity. “Obsolete” codes must all be changed to an appropriate NAICS code to become visible in the dashboard and alignment screens.