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Employers oppose retirement age plan

29 March 2011

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Less than a quarter of employers are in favour of scrapping the default retirement age of 65, while even fewer have made plans for it, according to new research.

Law firm DWF’s study discovered that only 24% think the new regulations that come into effect on April 6 this year are a good idea.

Meanwhile just 16% have made provisions for the change.

In the wake of the findings, DWF held an HR directors’ forum in conjunction with the Employers Forum on Age.

The forum included a cross-section of employers, gathered to discuss the results of the survey and the implications of the default retirement age.

In contrast to the views of the majority of employers in the initial research, the forum overwhelmingly supported the government’s proposal to abolish the default retirement age.

The view was that employers will deal with each employee on a case-by-case basis – a consensual retirement policy will be adopted, working with employees to help create realistic solutions for working beyond 65.

Kirsty Rogers, head of employment at DWF, said: “Employers might have real concerns about the default retirement age – but if they plan and prepare, the process of change can be well managed.

“Our forum recognised the abolition of the default retirement age is treated with a cautious optimism – employers might be worried about cost but they are embracing the opportunity for implementing flexible working practices.”

Copyright © Press Association 2011