Thursday 29 July 2010

Carry On Working Past 65 as Default Retirement Age to Be Scrapped in 2011

THE TELEGRAPH: Workers will be able to stay in their jobs into their seventies under new rules to be announced by the Government.

Ministers said they would end the “discrimination” of the Default Retirement Age, which allows companies to force staff out as soon as they turn 65.

Personnel groups welcomed the move, which they claimed would boost productivity and improve employees’ freedom to shape their careers.

Longer working is widely seen as necessary to keep income tax receipts up and reduce the burden on pension funds as Britain’s population ages.

But business leaders warn that employers will find it difficult to plan for the future if they do not know when staff will step down, although compulsory retirement ages could still be enforced in physically demanding jobs such as front line policing.

Older workers who do stay in their posts beyond 65 may also find themselves facing claims that they are not up to the job any more, or that they are keeping younger candidates out of work. Some fear it could lead to more employment tribunal claims from staff who believe they were sacked for being too old.

Ed Davey, the Employment Relations Minister, said: “With more and more people wanting to extend their working lives we should not stop them just because they have reached a particular age. We want to give individuals greater choice and are moving swiftly to end discrimination of this kind.

“Older workers bring with them a wealth of talent and experience as employees and entrepreneurs. They have a vital contribution to make to our economic recovery and long term prosperity.” >>> Martin Beckford and Louisa Peacock | Thursday, July 29, 2010

THE TELEGRAPH: After banning racism and sexism, it's high time to ban ageism >>> Ian Cowie | Thursday, July 29, 2010