This document examines recent developments in strategic planning for employment, identifies key elements of strategic plans, examines issues to be addressed in implementing such plans, examines New Jersey's state plan in detail, and provides short sketches of the strategic plans for employment in six other states. Following an executive summary, the document's first section addresses the need for strategic planning caused by new economic realities such as the perception that knowledge is the premier wealth-producing asset; inefficient labor markets; poor program coordination; and a limited response from the U.S. government. The second section covers public sector strategic planning. It recommends a framework that includes the following: a vision of what a work force readiness system should be; a decision-making structure to carry out the strategic vision; the coordination of programs across various functional areas and levels of government; new program initiatives to respond to unmet needs; and methods of evaluating the performance of all components of the human resources system in relation to the state's vision. The third section discusses New Jersey's state strategic plan and the strategic planning efforts of Indiana, Maine, Maryland, Michigan, North Dakota, and Washington. The fourth section discusses how to overcome barriers to strategic planning and the importance of long-term commitments from policy makers in the public and private sectors. A 33-item bibliography concludes the document. (CML)