There is a potential crisis in caring for the elderly in California as the over-65 population is expected to double by 2020 and several demographic dynamics a lower growth rate in the population segment of women aged 24-54 that traditionally care for seniors; increasing participation of women in the workforce who have traditionally been at-home caregivers for seniors; and a robust economy offering many competing entry-level occupations at comparable or higher wages may contribute to a shortage of caregivers. Legislation passed in July 2000, the Caregivers Training Initiative, directed the Employment Development Department to develop an understanding of the labor supply-demand principles affecting workers in entry-level direct care occupations in relationship to nineteen other comparable occupations competing for the available labor force. Caregiver occupations may be viewed as less desirable compared to competing occupations for the following reasons: (1) wages are often lower; (2) there is less access to affordable benefits such as health insurance; (3) there is a greater chance for occupational injury or illness; (4) there are greater training and certification requirements; and (5) there is less opportunity for advancement. The following suggestions are made to improve caregiver recruitment and retention: conduct exit interviews and identify best practices; develop core competencies and career paths; and give financial incentives. (Contains 6 appendices, 21 exhibits, and 35 references.) (MO)