This study addresses questions such as (1) the extent to which formal training determines occupational mobility, (2) evidence of racial differences in the returns to formal training in terms of occupational advancement, (3) importance of structural factors representing labor market segmentation in determining occupational mobility, (4) the impact of employer shifts on occupational advancement, (5) existence by race of differential returns to mobility between firms. Results indicate a strong relationship between occupational advancement and formal vocational training for both racial groups. Structural factors represented by initial industry and region of residence are found to have little or no effect on advancement. A more important factor is considered to be the white-black difference in endowment of education. No evidence for a racial differential in the impacts of industry and geographical shifts on occupational mobility is found. No evidence to support the hypothesis that black turnover fails to result in upgrading because of their confinement to secondary sector jobs is indicated. (Author/AM)