The deep economic and social problems associated with the Russian Federation's move to a market economy have extended to Vocational Education (VE). Nearly 50% of 1994's VE graduates could not get a job, and Russia's new constitution has thrown vocational schools into the market without any state support, thereby forcing many schools to become overly commercialized. In an attempt to remedy the situation, a new state standard has been adopted to serve as a model for VE that is based on the European system of five stages of VE. It is designed to prepare students for professions requiring three different levels of qualification. The new model views VE as an element of a system of interaction between the state, employers, and trade unions and gives vocational schools and regional educational authorities more independence. Unfortunately, the funds allocated to implement the new model are sufficient only to design the standards. The immediate challenge is to identify the priorities of VE in order to develop and implement needed reforms gradually enough to avoid drastic social consequences. (Contains 12 references. Appended are tables/facts about the following: development of VE in 1985-1994; VE students, graduates, and personnel; provisions of the state standard.) (MN)