Full-time equivalent employees equal the number of employees on full-time schedules plus the number of employees on part-time schedules converted to a full-time basis. The number of full-time equivalent employees in each industry is the product of the total number of employees and the ratio of average weekly hours per employee for all employees to average weekly hours per employee on full-time schedules. An industry’s full-time equivalent employment will be less than the number of its employees on full- and part-time schedules, unless it has no part-time employees.

References

http://www.bea.gov/faq/index.cfm?faq_id=368