POVERTY IS LINKED TO THE OPPORTUNITY FOR AND THE AVAILABILITY OF EMPLOYMENT. THE IMPOVERISHED LACK THE SKILLS, EDUCATION, FLEXIBILITY, AND MOBILITY REQUIRED FOR EMPLOYMENT. THIS IS ESPECIALLY TRUE OF ARIZONA'S MINORITY GROUPS--INDIANS, NEGROES, AND MEXICAN-AMERICANS. COMPETITION FOR JOBS NOT REQUIRING EXTENSIVE EDUCATION, AND THE FLOOD OF THE POSTWAR BABY BOOM ARE TWO FACTORS DECREASING OPPORTUNITY FOR EMPLOYMENT. OCCUPATIONAL SHIFTS IN THE ECONOMY FROM AGRICULTURE AND MINING TO MORE DIVERSIFICATION AND MANUFACTURING HAVE CAUSED A NEED FOR MORE SKILLS, KNOWLEDGE, AND ABILITIES. VOCATIONAL PREPARATION IS INSUFFICIENT, SPECIALIZED EDUCATION AND TECHNICAL TRAINING ARE NEEDED. ARIZONA HAS ATTEMPED TO DEAL WITH THE PROBLEMS OF POVERTY AND UNEMPLOYMENT BY CONDUCTING STUDIES, APPOINTING GROUPS TO WORK ON PROBLEMS OF MANPOWER RESOURCE DEVELOPMENT, CORRELATING SCHOOL CURRICULUM TO NEEDS, CONDUCTING EVENING AND EXTENSION COURSES AS WELL AS ADULT EDUCATION COURSES, DEVELOPING APPRENTICESHIP AND ON-THE-JOB TRAINING PROGRAMS, IMPROVING COUNSELORS' AND VOCATIONAL INSTRUCTORS' KNOWLEDGE, COOPERATING WITH INDUSTRY ADVISORY COMMITTEES, PASSING LAWS TO DEAL WITH SUCH PROBLEMS, DEVELOPING NEW EMPLOYMENT OPPORTUNITIES, AND PROVIDING REMEDIAL EDUCATION. A PARTNERSHIP BETWEEN THE PUBLIC AND PRIVATE GROUPS AT STATE, COUNTY, AND LOCAL LEVELS IN SOLVING THE POVERTY PROBLEM IS NEEDED. THIS PAPER WAS PRESENTED AT THE NATIONAL CONFERENCE ON POVERTY IN THE SOUTHWEST, JANUARY 25, 26, 1965.