A survey provided a description of Internal Labor Market (ILM) practices across a sample of 694 U.S. establishments. An establishment was defined as a business address and was distinct from a company. Interviews were conducted by telephone. Findings indicated that about 35 percent of private sector establishments with 50 or more employees had achieved substantial use of flexible work organization. The adoption of these forms of work organization was correlated with three factors: being in an internationally competitive product market, having a technology that required high levels of skill, and following what could be termed a "high road" strategy that emphasized variety and quality in contrast to low cost. Employer values were also important in determining whether an establishment undertook work reorganization. Evidence was also found that certain human resource practices such as high levels of training and innovative pay systems were associated with adoption of flexible work organization. (Contains 38 references as well as definitions, and 6 data tables.) (YLB)