Pressure on the government to abandon the national default retirement age (DRA) mounted last week as a landmark case reached the High Court.
In what has become known as ‘the Heyday case’, Age Concern and Help the Aged argued that the national DRA introduced under the Employment Equality (Age) Regulations 2006 fails to interpret an EU Directive against age discrimination correctly. The case returned to the High Court following a European Court of Justice ruling earlier this year that compulsory retirement can be justified only if it is a “proportionate” means of achieving a social policy objective related to employment, such as vocational training or labour market policy.More than 300 employment appeals are on hold until this case clarifies the law.
Last week, the government announced it was bringing forward a review of the DRA, originally scheduled for 2011, to next year. The review will look at ways to give people flexible retirement options.
However, Faith Dickson, partner at niche pension firm, Sacker & Partners, says the DRA gives employers “some certainty about
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