Part 4: What about retirement?

The regulations set a default retirement age of 65 (to be reviewed in 2011). This means employers can retire workers or set retirement ages at or above 65.

Retirements or retirement ages below the default retirement age will need to satisfy the requirements of "objective justification".

It is not compulsory to have a fixed retirement age. Also, employees will have the right to request to continue working beyond their retirement date and employers you have a duty to give consideration to such requests. Employers are under no obligation to agree to such requests.

Acas says that for a retirement to be classed as "fair" employers will need to have informed the employee in writing of their intended retirement date, and of their right to make a request to work beyond retirement age, at least six months in advance - but no more than 12 months before the intended date.

The employment relations service has also produced a guidance flowchart to help employers follow the correct procedures, including dealing with requests to work beyond retirement dates.

If the employee has been properly notified and wishes to continue working, they must request to do so no less than three months before the intended retirement date.

Any organisation that fails to notify employees six months in advance of retirement, may be liable to pay compensation.

There is also an ongoing duty (up until two weeks before the retirement dismissal) to inform the employee of both the intended date and their right to request working longer. Failure to do this would make the dismissal automatically unfair.

There are transitional arrangements in place from the Department of Trade and Industry (DTI) for employees are retiring on or shortly after 1 October 2006. These arrangements are available via the DTI website.

The information contained in the feature is based on the guide 'Age and the workplace' which can be downloaded from the Acas website.

This guide explains in more detail the meaning of 'objective justification' and also offers advice on developing and updating workplace equality and diversity policies. See link above/right.

Further information is also available from the Government backed Age Partnership Group, including a free copy of its 'Be Ready' newsletter and personal organiser. See website for more details.