Archive for July 30th, 2010

The government has announced that it proposes to abolish the rule which allows employers to dismiss employees at age 65. The proposal is that the change will be phased in between 6th April 2011 and 1st October 2011. Notices given before 6th April 2011 requiring employees to retire on reaching age 65 before 1st October 2011 will operate under current rules.

Once the rules have been changed employers wishing to impose a compulsory retirement age will still be able to do so if ONLY IF they can objectively justify it as “a proportionate means of achieving a legitimate aim”.  If they dismiss an employee at 65 purely on grounds of their age and they fail to objectively justify the decision they will be likely to face claims of both unlawful age discrimination and unfair dismissal.

The consultation paper points out that “ it is not easy to demonstrate that a retirement age is objectively justified, so the employer should be confident that it can be objectively justified before deciding to use a retirement age”.

Read Full Post »