Age Discrimination in Employment and Vocational Training
The Employment Equality (Age) Regulations 2006 come into force on 1 October 2006.*
What is the scope of the regulations?
Age Discrimination in Employment and Vocational Training
The Employment Equality (Age) Regulations 2006 come into force on 1 October 2006.*
What is the scope of the regulations?
The Regulations apply to employment and vocational training. They prohibit unjustified direct and indirect age discrimination, and all harassment and victimisation on grounds of age, of people of any age, young or old.
As well as applying to retirement the Regulations:
- Remove the upper age limit for unfair dismissal and redundancy rights, giving older workers the same rights to claim unfair dismissal or receive a redundancy payment as young workers, unless there is a genuine retirement;
- Allow pay and non-pay benefits to continue which depend on length of service requirements of 5 years or less or which recognise and reward loyalty and experience and motivate staff;
- Remove the age limits for Statutory Sick Pay, Maternity Pay, Statutory Adoption Pay and Statutory Paternity Pay, so that the legislation for all four statutory payments applies in exactly the same way to everyone;
- Remove the lower and upper age limits in the statutory redundancy scheme, but leave the current age banded system in place;**
- Provide exemptions for many age-based rules in occupational pension schemes (contained in schedule 2 of the regulations)
What Legal Rights or Obligations Exist Before 1 October 2006?
None. Legal rights and obligations under the age legislation will only apply when the legislation comes into force.
What Legal Rights or Obligations Exist After 1 October 2006?
From 1 October 2006, West Dunbartonshire Council won't be able to retire members of staff below the employer's normal retirement age - that is below the age of 65. New procedures mean that West Dunbartonshire Council will have to give employees advance notice of retirement and that employee's can ask to work on over the age of 65.
*View a copy of the draft regulations.
If West Dunbartonshire Council wants to terminate an employee's employment before the normal retirement age it must have another fair reason for dismissal and follow normal dismissal procedures.
I'm Due To Retire Soon After 1 October 2006; Can I Ask To Stay On?
Employees only have a legal right to ask from 1 October 2006 when the legislation comes into force. However, there's nothing to stop you asking right away. Your request will be treated fairly and sympathetically.
I Am a Manager And I Have a Member of Staff Who's Due To Retire Soon After 1 October 2006. What Should I Do Now?
Transitional arrangements will apply to retirements from 1 October, 2006 to 31 March, 2007. These are set out in schedule 7 to the regulations.
The procedures for ensuring a retirement dismissal is fair are summarised below.
Notice given Before 1 October 2006
If you give your member of staff notice before 1 October that they are to be retired after 1 October 2006 but before 1 April 2007:
- Notice must be at least the period required by the contract of employment; or,
- Where the period of notice required by the contract exceeds 4 weeks, at least 4 weeks
On 1 October, or as soon as practicable afterwards, you will have to:
- Write to your member of staff telling them of the right to request working longer.
The member of staff can then make the request after their contract has been terminated but not more than 4 weeks afterwards.***
A meeting to discuss the request, and any subsequent appeal meeting, must be held within a reasonable period. The employee can ask to be accompanied by a companion.
Notice Given After 1 October, 2006
If you give a member of staff notice after 1 October that they are to be retired before 1 April 2007:
- You must write to the member of staff notifying them of the intended retirement date - giving the longer of contractual or statutory notice; and
- You must tell them in writing that they have the write to request working longer.
***If West Dunbartonshire Council gives this notice and follows the correct retirement dismissal the dismissal will not be unfair. However, this does not affect the current position on notice due under the contract of employment. If the employee is due more than 4 weeks' notice of termination under the contract or the statutory notice provisions, West Dunbartonshire Council will still be liable for breach of contract if the member of staff is given less than the amount of notice due.
A member of staff who wishes to exercise this right should make a written request:
- Where possible 4 weeks before the intended retirement date; or
- As soon as reasonably practicable after being notified of the "right to request".
The request can be made after the member of staff's contract has been terminated but not more than 4 weeks after termination.
A meeting to discuss the request, and any subsequent appeal meeting, must be held within a reasonable period. The employee can ask to be accompanied by a companion.
I Am a Manager; I Have Members of Staff Due To Retire from 1 April 2007. What Do I Have To Do?
Anyone retiring on or after 1 April 2007 will be subject to the full retirement procedure as stated in the Employment Equality (Age) Regulations 2006.
What Happens If I Fail To Comply With These Notification Requirements?
You may have to prove that the reason for dismissal was retirement and that it wasn't unfair.
I Can Get My Pension at 60 And I Don't Want To Work Longer.
Individuals are free to retire when they want. However, you should make sure that your income in retirement will meet your needs not just immediately but in the longer term too.
Guidance
Acas has published good practice guidance on the regulations - "age and the workplace". The on-line guide for employers and for members of staff is available on the Acas website at Age in the Workplace - Putting the 2006 Regulations into Practice and
Age in the Workplace - Guidance for Individuals
