Articles
Confusion over the Default Retirement Age
There appears to be some confusion regarding the transitional provisions abolishing the default retirement age.
According to ACAS and the legal commentator PLC the transitional provisions will provide for the default retirement age to remain in place until 6th April 2012 - not 30th September 2011 as previously thought - provided the employee has reached 65 on or before 30th September 2011. This permits up to 12 months' notice of intention to retire to be issued before 5th April 2011.
To simplify the matter, the current position would appear to be this - the employee must have reached 65 (or the normal retirement age, if higher) by 1 October 2011 if they are to be retired under the old DRA procedure; those who turn 65 after 30 September 2011 cannot be retired using the DRA.
This is totally unsatisfactory and highlights the dangers of the government legislating in a rush without thinking through the implications. It is particularly galling for those businesses that may already have in place carefully though out procedures for dealing with the anticipated changes only now to have the goalposts moved.
For more information on the above or for advice on any other employment issue please contact our employment department on 020 7354 3000 or e-mail employment@colmancoyle.com
Author Profile: David Malamatenios
Date published: 17th February 2011