An intrinsic part of the transition to a modern market economy in Hungary has been the restructuring of the vocational education and training (VET) system. A positive side effect of the socioeconomic transition is the emergence of human resources development (HRD). The transition process has been successful in the school-based education system, but adult VET faces challenges. Important areas in HRD are creation of a continuing vocational training system and increased integration of disadvantaged groups into VET. A legal and institutional background provides for active involvement of social partners in VET development. Establishment of more effective information systems would lead to more social partner input in development of the qualification structure. Restructuring of the National Register of Vocational Qualifications would contribute to its development in different occupational areas. In the context of Hungary's accession to the European Union, international transparency of qualifications becomes very important. Preparations must begin immediately, starting with development of information systems within institutional structures and covering certificates and content of training programs. (Appendixes include a 25-item bibliography; tables with information on population, labor market, VET, qualification structure, teacher training, and continuing training; and lists of research programs and key legislation on VET.) (YLB)