Flint Bishop

Shropshire solicitor urges employers to give their views on proposals to abolish the default retirement age

Pictured above: Joanne White

 

A Shropshire solicitors is urging employers in the county to have their say following proposals to phase out the default retirement age across the country.

The Government is already committed to removing the default retirement age, which currently allows employers to retire employees  at the age of 65 or over, provided that they follow the statutory retirement procedure. 

The main issue now is how the Government is going to achieve its commitment and it is currently consulting on its proposals. Employers have until October 21 this year to respond and the Government intends to publish its response in November 2010. Use of the default retirement age will start to be phased out from April 2011. 

Joanne White, of Linder Myers Solicitors in Shrewsbury, says: "Employers will still be able to operate a compulsory retirement age, provided that they can objectively justify it. The Government's proposals call these employer-justified retirement ages. To justify a compulsory retirement age, the employer will have to be able to show that their decision to retire someone is a proportionate means of achieving a legitimate aim.

"Employers will also be able to  stop using a compulsory retirement ages, with individual retirements being decided on a case-by-case basis. The Government intends to issue guidance on managing without a retirement age but again, employers will have to show that the decision to retire someone is objectively justified.

"An employer that wishes to retire an employee will be obliged to  follow a fair procedure under the ordinary unfair dismissal rules and rely on one of the potentially fair reasons for dismissal set out in section 98 of the Employment Rights Act 1996 (capability, conduct, redundancy, retirement, illegality or some other substantial reason)."

Many employers are worried about what will happen if they have an employee over the age of 65 who they feel are underperforming in their role. 

But Joanne says solicitors will be on hand to assist employers with any problems they may come across as a result of the changes.

She adds: "An employer must not discriminate against an employee who is underperforming by disciplining or dismissing him or her on the ground of age.

"The employer should deal with the employee in the same manner that it would an underperforming employee under the age of 65, by following a fair capability process that focuses on the employee's performance."

 

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Article published by Midlands Business News on 30 September, 2010

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