This indicator represents the extent to which a state's workforce is employed in industries with high employment in science, engineering, and technology (SET) occupations. High SET employment industries are defined as those in which the proportion of employees in SET occupations is at least twice the average proportion for all industries. SET occupations include scientific, engineering, and technical occupations that employ workers who generally possess in-depth knowledge of the theories and principles of science, engineering, and mathematics at a postsecondary level.

The U.S. Census Bureau tracks information on establishments, which it defines as single locations at which business is conducted or where services or industrial operations are performed. An establishment is not necessarily identical with a company or enterprise, which may consist of one establishment or more.

The data on business establishments in high SET employment industries for the years 2003–08 are based on the establishments’ classification according to the 2002 edition of the North American Industry Classification System (NAICS). The data for the years 2009–12 are based on classification according to the 2007 edition of NAICS, and subsequent years use 2012 NAICS codes. See the State Indicators data tool technical notes for a description of how industries are defined as high SET employment industries.

Data on total employment and NAICS industry establishment employment are provided by the U.S. Census Bureau and differ from workforce data provided by the Bureau of Labor Statistics. Total employment refers to all U.S. business establishments with paid employees but does not include crop and animal production, rail transportation, the postal service, public administration, or most government employees.

Data source: U.S. Census Bureau, special tabulations of the Business Information Tracking Series.