This report is written to address the informational void of literature explaining the cause of the conflict, rather than cooperation, existing between the CETA (Comprehensive Employment and Training Act) and ES (Employment Service) systems. It also touches on the reasonableness of ES and CETA operating similar but separate systems. One section is devoted to brief histories of the two systems. Another section on the question of whether the systems are duplicate or different cites these significant differences: policy, planning, administration, and programming. The section on barriers to coordination lists the following barriers and describes their impact on relationships between CETA and ES: confusing and conflicting rules, turf issues (programmatic boundaries of agencies, power and political relationships, lack of commitment to each other's goals, maintenance of identity, and distrust of one another's motives), goal incongruence and role confusion. It is concluded (1) that the conflict normal under these circumstances may be productive in terms of increased accountability and efficiency fostered by competition and (2) that the possibility of coordination is raised under favorable circumstances, which are, however, the exception. (YLB)