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Retirement of Employees
With the declining returns from many pensions and improving levels of health amongst those approaching retirement many people now wish to work beyond “normal” retirement age. This can be an area of friction between employers and staff. This issue is now subject to regulation – pursuant to the Employment Equality (Age) Regulations 2006. An employee is not able to bring a claim for redundancy or unfair dismissal – following compulsory retirement by his employer if he has attained:-
The regulations provide that obliging an employee to retire at younger than 65 years will amount to age discrimination, unless the employer is able to justify this on objective grounds. If an employer wishes to retire an employee (of any age) they must give written notice of the date upon which they wish the employee to retire. The notice must be for a minimum of 6 months and no more than 12 months. The notice must inform the employee that by law they have a right to request not to retire. Failure to comply with this may entitle the employee to compensation from the Employment Tribunal (maximum 8 weeks pay). The employee has the right to make a request in writing not to retire and the employer must consider the request in good faith – and in doing so must where practical meet with the employee to discuss the matter, before notifying the employee of his decision in writing. There is a right of appeal. The operation of these rules are complicated and the explanation set out above can be no more than a brief summary. In order to avoid running into conflict with the regulations it is vital that employers have properly thought out policies and procedures and further that contracts of employment are reviewed.
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