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This report provides a summary of the major issues confronting New Zealand's modern adult literacy movement and sets it within the context of the rapidly changing skill demands of the 21st century. It aims to inform New Zealand policymakers about literacy, promote discussion amongst literacy leaders, and educate the American literacy sector about New Zealand efforts to address literacy needs similar to those in America. The author presents an overview of the current adult literacy system and four case studies focusing on vocational literacy. The case studies demonstrate the broad range of approaches being used and highlight elements of successful vocational literacy programs designed to prepare adults for entry into or advancement within the workplace. Recommendations for a long term, comprehensive and coordinated adult literacy strategy are outlined. It is suggested that part I of the report has been prepared for American readers and part II for the New Zealand audience. The executive summary and chapters 4 and 5 are recommended for readers with limited time.