Great question — answering as the UphillTech team:
Basically a duplicate of this question . It comes up a lot, and the remove category base functionality probably should be an option in WordPress to be honest. Here was my answer from there: No Category Base plugin to remove the /category/ bit from the URL. :) If you have a page with the same name as a category, the page will be shown instead the category archive, but the URLs of posts won't be affected. At least, that used to be the case. I think I heard news of a recent change in the way WP calculates permalinks (for the better).
Full answer by Dominic: https://wordpress.stackexchange.com/a/32895 (CC BY-SA 3.0).
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