New model retirement policy to comply with default retirement age removal

The HR & Compliance Centre policies and documents section provides a new model retirement policy and accompanying documents, including a letter from an employer that currently imposes a retirement age informing employees that it is removing its retirement age. 

The documents are applicable to the retirement of employees who cannot be retired under the default retirement age.  The default retirement age applies only to employees who are notified on or before 5 April 2011 and reach the age of 65 (or the employer's higher normal retirement age) before 1 October 2011. 

• Retirement policy Use this model policy to deal with the retirement of employees to whom the default retirement age does not apply. 
• Retirement contract clause Use this clause in contracts of employment where the employer intends the employee to be subject to an employer justified retirement age (EJRA) on or after 6 April 2011. 
• Letter from employer that imposes a retirement age to inform employees that it is removing its retirement age Use this model letter to notify an employee that, due to the abolition of the default retirement age, the company is removing its retirement age. 
• Letter informing an employee of a change to his or her contractual retirement age Use this model letter to notify an employee that, due to the abolition of the default retirement age, the company is changing its retirement age. 
• Form for an employee to inform his or her employer of a wish to retire Use this form to allow employees to indicate that they wish to retire. 
• Letter responding to an employee who has informed his or her employer of a wish to retire Use this model letter to acknowledge receipt of an employee's notice that he or she wishes to retire and to set out arrangements for retirement. 
• Letter responding to an employee who changes his or her mind on retiring where he or she has already handed in notice Use this model letter to respond to an employee who has given notice of retirement but who wishes to withdraw the notice and continue working for the employer. 
• Letter responding to an employee who changes his or her mind on retiring where he or she has not yet handed in notice Use this model letter to respond to an employee who has indicated that he or she wishes to retire but who has not given contractual notice, and who has subsequently stated that he or she no longer wishes to retire. 
• Letter inviting an employee who has indicated his or her plan to retire to a meeting to discuss how the retirement will be managed Use this model letter to invite an employee who has indicated his or her plan to retire to a meeting to discuss how the retirement will be managed. 
• Letter inviting an employee who has indicated his or her plan to retire to a meeting to discuss his or her progress towards retirement Use this model letter to invite an employee who has indicated his or her plan to retire to a meeting to discuss his or her progress towards retirement. 
• Letter inviting an employee who has indicated his or her plan to retire to a meeting shortly before his or her retirement Use this model letter to invite an employee who has indicated his or her plan to retire to a meeting shortly before his or her retirement. 

Also

Abolition of the default retirement age: overview; employers' obligations; checklist; frequently asked questions Elizabeth Stevens of Steeles (Law) LLP provides a series of articles on the abolition of the default retirement age. 

Government amends draft retirement Regulations after confusion over transition The Government has amended the draft Employment Equality (Repeal of Retirement Age Provisions) Regulations 2011 to clarify that employers are able to use the statutory procedure to retire employees who reach the age of 65 (or the employer's normal retirement age, if that is higher) on or before 30 September 2011, provided that they are notified of the retirement on or before 5 April 2011.