The Lisbon European Council of 23 and 24 March 2000 incorporated the promotion of employment and social inclusion as an integral part of the overall strategy of the Union in order to achieve its strategic goal for the next decade of becoming the most competitive and dynamic knowledge-based economy in the world, capable of sustainable economic growth, with more and better jobs and greater social cohesion. It set ambitious objectives and targets for the Union aiming to recreate the conditions for full employment, improve quality and productivity at work, and promote social cohesion and an inclusive labour market. Furthermore, the strategy was focused upon again by the Brussels European Council of 22 and 23 March 2005.

The Extraordinary European Council on Employment in Luxembourg of 20 and 21 November 1997 launched the European Employment Strategy to coordinate Member States' employment policies on the basis of commonly agreed employment guidelines and recommendations. The European Employment Strategy is now the most important instrument at European level for implementation of the employment and labour market objectives of the Lisbon Strategy.

The Lisbon European Council concluded that the number of people living below the poverty line and in social exclusion in the Union was unacceptable and therefore deemed it necessary to take steps to make decisive progress in the eradication of poverty by setting adequate objectives. Such objectives were agreed by the Nice European Council of 7, 8 and 9 December 2000. It further agreed that policies for combating social exclusion should be based on the open method of coordination, combining national action plans and a Commission initiative for cooperation.

Demographic change represents a major long-term challenge to the ability of social protection systems to deliver adequate pensions and high-quality health and long-term care which are accessible to all and can be funded in the long term. It is important to promote policies that can achieve both adequate social protection and the sustainability of social protection systems. The Lisbon European Council decided that cooperation in this area should be based on the open method of coordination.

Attention should be drawn to the specific situation of migrants in this context and also to the importance of taking action to transform undeclared work into regular employment.

Ensuring minimum standards and the constant improvement of working conditions in the Union is a central feature of European social policy and an important overall objective of the European Union. The Community has an important role to play in supporting and complementing Member States' activities in the fields of workers' health and safety, working conditions, including the need to reconcile work and family life, protection of workers where their employment contract is terminated, information, consultation and participation of workers, and representation and collective defence of the interests of workers and employers.

Non-discrimination is a fundamental principle of the European Union. Article 13 of the Treaty provides for action to combat discrimination based on sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation. Non-discrimination is also enshrined in Article 21 of the Charter of Fundamental Rights of the European Union. The specific features of the diverse forms of discrimination should be accommodated, and appropriate action developed in parallel to prevent and combat discrimination on one or more grounds. Therefore, when considering the accessibility and results of the Programme, the particular needs of people with disabilities should be taken into account in terms of ensuring their full and equal access to the activities funded by this Programme and the results and evaluation of those activities, including the compensation of additional costs that they incur as a result of their disability. Experience gained over many years of combating certain forms of discrimination, including discrimination based on sex, may be useful in combating other kinds of discrimination.

Pursuant to Articles 2 and 3 of the Treaty equal treatment for men and women is a fundamental principle of Community law. The directives and other acts adopted on the basis of this principle play a major part in improving the situation of women in the Union. Experience of action at Community level has shown that promoting gender equality in Community policies and combating discrimination in practice call for a combination of instruments, including legislation, funding tools and mainstreaming, designed to complement one another. In accordance with the principle of equality between men and women, gender mainstreaming should be promoted in all sections and activities of the Programme.

Many non-governmental organisations (NGOs) active at various levels can make an important contribution at European level through key networks which assist in changing policy orientations relating to the general objectives of the Programme.

Since the objectives of this Decision cannot be sufficiently achieved at Member States level because of the need for exchange of information at European level and the Community-wide dissemination of good practice and since therefore these objectives can, by reason of the multilateral dimension of the Community actions and measures, be better achieved at Community level, the Community may adopt measures in accordance with the principle of subsidiarity as set out in Article 5 of the Treaty. In accordance with the principle of proportionality as set out in that Article, this Decision does not go beyond what is necessary to achieve those objectives.

As the Programme is divided into five sections, Member States may provide for the rotation of their national representatives according to the subjects addressed by the Committee assisting the Commission,