A study examined British employers' adoption of National Vocational Qualifications and Scottish Vocational Qualifications (NVQ/SVQs) and the occupational standards underpinning them. Data regarding current/projected use of the NVQ/SVQs and their perceived costs, benefits, and difficulties of implementation were collected from the following: literature review; interviews with key organizations, Employment Department representatives, and selected major employers; telephone survey of 1,506 employers; and 50 case studies of employing organizations in 9 sectors. Although 75% of employers surveyed had heard of NVQ/SVQs, only 44% of firms with more than 500 employees and 6% of firms with fewer than 50 employees were using them. It was projected that approximately 78% of large firms and 14% of small firms would eventually use NVQ/SVQs. Use of NVQ/SVQs was highest in the construction and energy/water sectors. NVQ/SVQs were used mainly to provide initial training but were also used for retraining and certification of employees' existing skills/competencies. Barriers to using NVQ/SVQs included lack of employer support for the ideas underpinning the NVQ/SVQs and the NVQ/SVQs' poor presentation, inflexibility, and high cost of implementation. (Thirty-five tables/figures are included. Appended are the following: 20 additional tables of statistical information; questionnaire and discussion guide; list of organizations interviewed; and glossary.) (MN)