Contact the Employment Team
Exeter Office
Tel: 01392 210700 Email us
Truro Office
Tel: 01872 265100 Email us
Currently employers can make staff retire at the default retirement age of 65 regardless of their circumstances. If a business dismisses an employee having followed the statutory retirement procedures then this should be a fair dismissal with no adverse consequences for the employer.
The Government has announced on 29 July 2010 how it proposes to phase out the default retirement age and retirement procedures from 6 April 2011. These proposals are subject to a consultation, which will run until 21 October 2010.
The main proposals are as follows:
• After 1 October 2011, employers will not able to use the default retirement age to compulsorily retire employees;
• Retirement dismissals will only be permissible after 1 October 2011 if they are objectively justified;
• From 6 April 2011, employers will not be able to issue any notifications for retirement using a compulsory retirement age unless this can be objectively justified;
• Between 6 April and 1 October 2011 only people who were notified before 6 April, and whose retirement date is before 1 October can be compulsorily retired using the statutory procedure.
If you would like further information on any of the issues raised in this article please contact Laura McFadyen on employment@stephens-scown.co.uk or call her on 01392 210700
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