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Higher education policy has increasingly gained a European dimension, with its own distinct influence over national education policies. Against this background, a major project was launched, the REFLEX project, which aims to make a contribution to assessing the demands that the modern knowledge society places on higher education graduates, and the degree to which higher education institutions in Europe are up to the task of equipping graduates with the competencies needed to meet these demands. The project also looks at how the demands, and graduates' ability to realise them, is influenced by the way in which work is organised in firms and organisations. The REFLEX project has been carried out in sixteen different countries and consisted of a large scale survey among some 70.000 graduates. This report presents the major findings and draws important policy implications.