A study was conducted as a preliminary phase in a classroom-based research project investigating how teachers and students construct understandings of literacy assessment during the first year of secondary school. The study was designed to provide information about teachers' perceptions of assessment to assist primary and secondary teachers and administrators to plan literacy assessment programs and tasks that are responsive to the needs of their students. Another aim was to provide information about concerns raised by teachers in using criteria-based assessment. A survey was developed, using open and closed questions, and sent to 100 state high schools in Queensland, Australia. Data from the 120 returned surveys were analyzed using both qualitative and quantitative techniques. Findings are presented in the following areas: teachers' perceptions of literacy assessment in Year 8; teachers' perceptions of Year 8 students' problems with literacy assessment; and teachers' perceptions of what students need to know and understand about assessment in Year 8. The implications of these findings for teaching and assessing literacy in primary and secondary schools are outlined, and issues in using criteria-based assessment are discussed. (Contains 20 references; appended is a sample poetry assignment with criteria for assessment). (Author/NKA)