In remote Indigenous communities in Australia there are minimal labour market opportunities, with the majority of jobs under the Community Development Employment Projects (CDEP), and limited education and training services. Yet Indigenous communities are under increasing pressure from the Aboriginal and Torres Strait Islander Commission (ATSIC) and the government to build sustainable communities with a social, cultural and economic capital base, and share responsibility for community well-being and capacity building. Simultaneously, the delivery of primary and secondary Indigenous education is under great scrutiny as outcomes fall behind commensurate levels in the wider Australian society. There is also increasing emphasis on ensuring that âculturally appropriateâ vocational education and training (VET) opportunities in remote Indigenous communities are made more accessible, so that Indigenous people can gain the employment skills to ultimately take control of their communities. Conversely, adult literacy is increasingly seen as a major factor affecting the participation of Indigenous people in training and the subsequent delivery and management of services in remote communities. This study investigates and describes how both the English and the local Indigenous language are used in reading and writing by adults, through a case study of a community-controlled health service in a remote Indigenous community in the Northern Territory. In addition, it analyses the social context of literacy use; that is, how (for what purposes and functions) people use reading and writing in everyday life in the community. Although Western education has a short history in the region - schooling was first introduced in the area in 1969 - access to schooling for all children was only made available as late as 2003. The case study explores this communityâs quest to implement a culturally appropriate form of health delivery that encompasses not just physical well-being but also the interrelationship between the social, emotional and cultural well-being of the community as a whole. The health service leadership in this community is seeking to develop a model that integrates the training and employment of local Indigenous people into a process of strengthening community capacity. Intrinsic to this process is a growing awareness that an emerging training and employment model must reflect existing tribal authority structures and processes, and be integrated into the social and cultural schema of the community, rather than be imposed from the outside. That is, the leadership is aspiring to develop a âboth waysâ model of community capacity that ensures cultural control in the short-term and, in the long-term, leads to the development of skilled, literate adults, who have also maintained Indigenous law and culture, and are able to manage change and sustain community development. In this case study, it was found that there is a demonstrated trust that the institution of Western education will deliver worthwhile outcomes. Learning English is seen as a necessity and this is interrelated with meeting everyday functional needs and social obligations. However, adult literacy levels are generally low and it would appear that most adults do not have sufficient proficiency in English language, literacy and numeracy to meet the VET sectorâs training requirements. The provision of vocational education and training in this region has been ad hoc, short-term and compartmentalised into disconnected sectors of health and education and from a range of registered training organisations. Community employment opportunities are minimal and vocational education and training is primarily linked with the limited employment opportunities available in the education and health sectors. [Executive summary, ed].