The Greater Avenues for Independence (GAIN) legislation in California mandated a full range of employment-related training and supportive services designed to provide welfare program applicants and recipients with the skills needed to acquire unsubsidized employment through education and training. Tests to assess the basic reading, mathematics, and functional listening comprehension skills of GAIN participants were developed over 6 years; the GAIN Appraisal Program now contains scores of 191,863 GAIN clients in 58 counties in California for July 1986-April 1990. Some of the results of the data collection include the following: (1) in the GAIN study population, 64.2 percent are female and 35.8 percent are male; (2) more than two-thirds of the GAIN participants are under 35 years old; (3) participants are mainly White (45 percent), Hispanice (25 percent), and Black (17 percent); (4) only 12 percent of the participants have completed more than high school education and 46 percent have completed high school; (5) approximately 76 percent of the GAIN group scored at a high school entry level in reading, and 36 percent could perform functional mathematics in the workplace; and (6) ethnic populations scored much worse than Whites on literacy and mathematics tests. A model was developed to permit simulated educational referrals integrating the recommended educational referral with test score and educational background. (Appendixes include sample GAIN Appraisal answer sheets, listening appraisal referrals, and information on the Levels A and AA tests and basic skills certification test.) (KC)