Retired by default

James Davies reports on some age-old issues & the demise of the DRA

In its response to the government’s consultation document on phasing out the default retirement age (DRA), the Employment Lawyers Association (ELA) concluded that the proposals to phase out DRA from April 2011, with transitional arrangements until the repeal date of 1 October 2011, give insufficient time to adapt to the end of the DRA and could lead to employers retiring employees early to avoid uncertainty. At a time when the job market is increasingly unstable, the proposals could have serious consequences for “older employees”.

The proposals raise a number of issues. Will employers be able to discuss retirement with their staff? How will the transitional arrangements work? Will retirement be a potentially fair reason for dismissal?

ELA recommends that the repeal of the DRA is put back until at least April 2012 to give the government time address these issues and to develop fully the new retirement regime. The government proposes