Implications for employers of the abolition of the default retirement age

Abstract

Purpose

This paper seeks to provide a summary and explanation of the legal aspects of recent changes to the UK retirement law.

Design/methodology/approach

The paper provides background to the concept of retirement in the context of the recent abolition of the default retirement age in the UK. The paper looks at key changes to the UK retirement law and the subsequent implications for employers.

Findings

The question of how to deal with older members of staff, particularly those who have worked for a business for a long time, is often a difficult one for managers. In the UK, at present, employers must follow a fairly strict retirement process that penalises them for failing to comply, but which does allow them to choose to retire an employee without the employee having any say in the matter. From 1 October 2011, it will be age discrimination to dismiss someone by reason of retirement and this will have implications for businesses that employ staff.

Originality/value

The abolition of the default retirement age has the potential to have a large impact on businesses, creating difficulties but also potential opportunities.

Citation

Regan, D. (2011), "Implications for employers of the abolition of the default retirement age", Quality in Ageing and Older Adults, Vol. 12 No. 2, pp. 121-124. https://doi.org/10.1108/14717791111144740