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Default retirement age of 65 to be phased out from April 2011

Posted by Roger Spence Aug 19th, 2010, in Employment law update

The Government has announced details of how it is proposing to remove the default retirement age (DRA) of 65 currently permitted by the Employment Equality (Age) Regulations 2006.

It proposes to abolish the DRA and the statutory retirement procedures on October 1 2011. Transitional arrangements will begin on April 6 2011. Therefore employers giving notice of retirement after this date will no longer be able to rely on the DRA of 65.

The proposals are subject to a consultation, which will run until October 21 2010.

The key proposals are:

- Retirements under the DRA will cease completely on October 1 2011 and no new notices of intended retirement may be issued after April 6 2011

- Retirement dismissals will still be permissible after October 1 2011, but only if objectively justified

- Transitional arrangements will apply to retirements that have been notified before April 6 2011 to take effect before October 1 2011. Retirements notified before April 6 2011, but intended to take effect after October 1 2011, will not be valid (unless objectively justified)

- The statutory procedural requirements applicable to a retirement dismissal, will be abolished

As a result of this proposal to abolish the DRA of 65 and the existing statutory retirement procedure, employers need to keep their retirement policies under review.

While the law has not been changed as yet, it is necessary for employers to approach the issue of enforced retirement with renewed caution.

If you require advice in this area please contact Roger Spence on tel:01772 208072 email: roger.spence@harrison-drury.com

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Marked increase in claims by employees

Posted by Roger Spence Jul 30th, 2010, in Employment law update

The Tribunals Service has published its annual statistics for 1 April 2009 to 31 March 2010.

The number of claims submitted by employees has increased 56% from the previous year. Admittedly a large part of this increase is accounted for by the rise in multiple claims (i.e. where more than one employee is suing the employer), up 90% from the previous year. Individual claims were up 14% from the previous year. This has resulted in an increased backlog of cases.

The most common types of claim in the Employment Tribunal were for unfair dismissal, unauthorised deductions from wages and breach of contract all of which increased in number from the previous year. Notably, claims for failure to inform and consult on redundancy were down by 65% from the previous year.

Of all the claims brought by employees, 32% were withdrawn by the employee, 31% were settled through Acas and nearly 13% were successful at tribunal.  These figures are nearly the same as for the previous year.  The report does not include information about awards and costs.

The increased number of claims doubtless reflects the fact many employers have shed staff during tough economic times.  It also shows employees are increasingly aware of their rights and are prepared to sue their employers.  As such it has never been more important for employers to ensure they have robust HR policies and procedures and take early advice in the event a claim is threatened by an employee.

If you would like any further information please contact Roger Spence on 01772 208072.

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Bullying and harassment

Posted by Roger Spence Mar 1st, 2010, in Employment law update

bully

Bullying and harassment at work.  These terms are often used interchangeably and have been much used in the recent media coverage of the allegations that Gordon Brown has been mistreating staff within 10 Downing Street.

In general terms, harassment is usually referred to as unwanted conduct affecting the dignity of men and women in the work place.  The most important thing to note is that the actions or comments simply need to be viewed by the victim as unacceptable, degrading or insulting. (more…)

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