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Comment: Being forced to retire at 65 is generally age discrimination

Travlaw’s Ami Naru answers a question from a reader concerned about their company’s contract terms
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has teamed up with leading industry employment lawyer Ami Naru for a regular column offering answers to readers’ questions on legal employment/HR matters. Ami will cover the latest employment issues facing the industry and respond to questions and dilemmas posed by you. In this column, Ami answers a question sent in by a reader regarding confusion over retirement age and notice period.

Q

 

A

 

Firstly, let’s look at the point about the retirement age. Since the repeal of the default retirement age (historically 65) on April 6, 2011, an employer operating with a compulsory retirement age will be at risk of unlawfully discriminating against its employees on grounds of age, unless it can show that compulsory retirement is justified.

 

In my view it would be hard to justify a retirement age for many employers in the travel industry. A default retirement age is rarely set in contracts of employment these days and retirement policies are the exception rather than the norm.

 

It could well be that you have a historic contract of employment, which has never been updated.

 

That said, it would amount to age discrimination for your employer to simply terminate your employment or have your contract expire, just because you reached 65.

 

Why should you have to ask for your contract to be extended, just because you have reached a certain age? Your employer would have to justify their rationale and explain why this does not amount to age discrimination. The fact HR have not pursued this point, despite it being included in your contract, might imply they are aware of the age discrimination risk.

 

Given there has been no expiry of your employment when you reached 65, no discussion about extension of your employment, no variation of terms and that you have continued to work, to me your employment is ongoing on your original terms and conditions as set out in your contract.

 

You would therefore need to give notice in accordance with your contract, as would your employer if they wished to terminate your employment. It is worth noting that notice provisions can be varied by agreement between the parties and at the stage you decide to give notice, you may be able to agree a shorter notice period with your employer.

 

It is important that employers keep the lines of communication open with older workers about their future plans and have effective procedures in place. This does not mean pushing them towards agreeing a retirement age, as many employees work well past the age of 65; rather, employers should be having discussions about support, wellbeing and any health issues – during which the long-term plans of the employee may naturally evolve.

Ami Naru is partner and head of employment at leading travel law firm Travlaw Legal Services and has advised the industry on employment law for 25 years. Since qualifying as a solicitor in 2000, she has focused on building a practice dedicated to serving the industry and works with bodies including Abta, Aito and the Business Travel Association.

 

: If you have any questions relating to employment law, or other areas of HR, that you would like to put to Ami, email robin.murray@travelweekly.co.uk

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