Derby Recruitment Company Warns Of Default Retirement Age Abolition Pitfalls

Derby Recruitment Company Warns Of Default Retirement Age Abolition Pitfalls

Peak Workforce, a recruiter with its own mature workforce initiative, speaks out about Default Retirement Age (DRA) abolition regulations that could see local employers fall foul of the law.

Although scheduled for abolition in October 2011, new guidelines set out by the Government and ACAS could leave local employers confused and even acting unlawfully if not adhered to.  Although previous guidance issued by ACAS was that the last date for retirement dismissals would be 30th September 2011, the new guidelines stipulate that employers hoping to use the DRA process before it is abolished to dismiss an employee for the purpose of retirement are still required to provide at least six months notice to any individual whose 65th birthday falls on or before the 30th September this year.  The retirement can come into effect at any time before April 5th 2012.

Peak Workforce Director, Phill Dangerfield commented: “The recent guidelines reinforce the fact that employers need to be focussing on the benefits of developing, rather than culling, a mature workforce.  By 2020, one third of the UK’s workforce will be over 50 years old and with this increased maturity comes many benefits for employers, including enhanced experience and reliability”.  Co Director, Luca Angarano added: “Employers hoping to release older staff prior to the abolishment of the DRA really need to consider the implications of these new guidelines”.

Peak Workforce is leading the way in light of the Equality Act 2010, which protects workers against discrimination on the grounds of age.  The company’s Forty9ers scheme promotes the benefits of employing mature, reliable and experienced workers.  It also aims to educate employers on how to avoid ending up on the wrong side of the law due to age discrimination during the recruitment and employment processes.  The recent changes to the DRA abolition guidelines fall within this remit.

Whether you are a mature worker, or whether you represent a company that unsure how the new DRA abolition guidelines affect you and your staff,  Peak Workforce can advise you on the best course of action to enable you to act lawfully, ethically and to maintain a satisfied, mature workforce.