Rationale for choosing the policy objective: Croatia is faced with numerous challenges in terms of employment, social issues and skills, some of which are still affected by the consequences of the COVID-19 pandemic. All investments will follow the principles of preventing segregation and discrimination, with an emphasis on encouraging access to regular inclusive services in education, housing, employment, health and social care. The employment rate increased from 57.2 in 2013 to 68.2% in 2021, while the HR goal of the EU pillar for social rights by 2030 is 75%. Access to the labor market is particularly difficult for women, young people and people with disabilities. In 2018, 0.72% of GDP was allocated for active employment policy measures (MAPZ), less than most other member states. In order to improve outcomes on the labor market, it is necessary to strengthen training and retraining measures. The participation rate of children in preschool education is one of the lowest at 81.8% (EU 95.2). 69% of Roma children aged 3-6 do not attend kindergarten and preschool. More than 60% of students in vocational education and training do not gain work experience during schooling, and it is necessary to ensure support for vocational education in terms of relevance and quality. The rate of risk of poverty is 20.5% (EU 21.5), more pronounced in certain groups, and the HR goal of the EU pillar of social rights is to reduce the rate of risk of poverty or social exclusion by 2030 by 298,000 people. In Croatia, poverty has a strong territorial dimension. The specific needs of areas threatened by poverty are related to their geographical characteristics, socio-economic factors and long-term degradation, which does not allow them to use their potential. The process of deinstitutionalization in the last 10 years has intensified and recorded progress, but still more than 20% of children without adequate parental care, with behavioral problems, developmental difficulties, and more than 80% of people with mental disabilities have an institutional form of care. Accommodation facilities in homes for the elderly and infirm cover only 3.68% of the elderly over 65, while the coverage of home assistance services is insufficient. Long-term care is insufficiently developed and significantly institutionalized (HR 2019. issuances 3.03%; EU 16.11%), 13% of people dependent on care receive institutional care, 14% official help at home. Lack and regional unevenness of social. the service affects children, young people, families at risk of poverty and social. exclusion, people with disabilities, elderly people, homeless people, victims of domestic violence, human trafficking, people with addiction problems.