Go to C:\Program Files\Google\Google Calendar Sync
Rename GoogleCalendarSync.exe to OLDGoogleCalendarSync.exe
Move the new GoogleCalendarSync file to this folder.
Launch Goggle Calendar Sync.exe
In the simplest of terms, the latest version of the Sync.exe file reads the version of Microsoft Outlook differently from the way the older version of the same file does. We are simply replacing the latest version of the file with a slightly older one.
UPDATE 17Aug: Google has released an update that should work with the 32 bit version of Outlook 2010