Advantages to employment and training agencies from linkages with higher education are reviewed as part of the American Council on Education's Higher Education/Comprehensive Employment and Training Act (CETA) Project, which was supported by the Fund for the Improvement of Postsecondary Education. The most significant benefits obtained by agencies from work with higher education have been: access to qualitatively sound, existing resources; the public legitimacy and respect that programs associated with higher education enjoy; cost-effective services; and flexibility in selecting from a wide range of resources that most colleges and universities command. A typical pattern of involvement by two-year colleges includes provision of training programs for the disadvantaged and other supportive job-related services. Other lines of local activity by colleges and universities are administrative support services, including data processing, and labor market surveys. In addition, colleges have assisted with interagency coordination, and the continuing education divisions have been a source of technical assistance and staff training for local employment and training agencies. The principal purposes of cooperation between higher education and state employment and training programs include: development of information to support new policy or program initiatives; and support for implementation and further development of new technologies for training, program planning, or administration. Higher education has also developed and disseminated significant new knowledge about statewide and national issues in the human resources area. Examples of the types of work completed are briefly described. Historical, administrative, and philosophical barriers to linkage are considered, along with the potential for future cooperation. (SW)