In 1989, the National Center on Education and the Economy created the Commission on the Skills of the American Workforce. In its 1990 report, "America's Choice: High Skills or Low Wages!," the commission recommended that the United States build a new skills-development system. This document provides a progress report on reforms that followed the publication of "America's Choice." Following a brief overview of developments at the national level, the rest of the document describes the reform efforts of 12 leading states--Indiana, Kentucky, Maine, Massachusetts, Minnesota, New York, Oregon, Pennsylvania, Vermont, Texas, Washington, and Wisconsin--in four areas: economic-development policy, basic education reform, the post-basic-education and training system, and the development of a labor-market system. Each state profile gives a broad picture of what the state is doing in these four areas, how the reforms fit together, and the strengths and weaknesses of the state strategy. The states: (1) set high standards for basic education; (2) offer professional and technical pathways leading to an industry-recognized certification; (3) help corner the quality market; and (4) are building a market for employment and training services. Lessons learned about the reform process and system design are also discussed. A total of 26 tables and 12 figures are included. (LMI)