Decisions about whether to promote a student should be made on a variety of both academic and social grounds, and the curriculum should be restructured to meet the student's needs if retention is chosen. As with other academic/punitive measures, poor Blacks and Hispanics tend to be retained disproportionate to their numbers because minorities are likely to be perceived as low-achieving and/or troublesome students. Negative effects of retention include the following: (1) no short- or long-term improvement in academic achievement; (2) stigma; (3) low self-esteem; (4) lack of interest in extracurricular activities; (5) waning motivation; and (6) increased chance of dropping out at a later age. Retention has been found to be beneficial when used with immature elementary students in the early grades, who are not opposed to being retained, and whose parents support the decision. Student characteristics to consider in determining retention include the following: (1) chronological age; (2) present grade; (3) knowledge of English; (4) previous retentions; (5) age/grade difference between siblings; (6) estimate of intelligence; (7) history of learning disabilities; and (8) attitude toward retention. Effective curricula for students who have failed include the following: (1) promotion with remedial instruction; (2) transitional classes with other failed or at-risk students; (3) retention with remediation; (4) partial promotion and summer school; and (5) special education. A list of 14 references is included. (FMW)