Organisations will no longer be able to give employees notice of retirement under DRA provisions and will need to objectively justify any compulsory retirement age still in place to avoid age discrimination claims.
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Flexibility
Nick Clegg's proposals might see employers avoiding recruitment of any person in their 20s or 30s, which would lead to an increase in the number of age discrimination claims and the burden of tribunal claims on employers.
Employers must formalise their flexible retirement policies ahead of the abolition of the default retirement age or risk breaching age discrimination laws, JLT Benefit Solutions warns.
Millions of older people will be able to lengthen their working lives under proposals from the Equalities and Human Rights Commission to scrap the compulsory retirement age of 65.
Older workers have fared relatively well during this recession. That’s just as well, because with dwindling pension pots and increased life expectancy, there will soon be far more of them. But are organisations prepared for more people working longer?