ACAS Advice: Retirement Process and the removal of the Default Retirement Age

The Default Retirement Age (DRA) changes from 6 April 2011

Subject to Parliamentary approval, the Default Retirement Age (DRA) is being phased out over a transitional period running until 30 September 2011. Details will be set out in Regulations coming into force on 6 April 2011.

The last day employees can be compulsorily retired using the DRA is 30 September 2011, so the last day to provide 6 months’ notice required by the DRA provisions is therefore the 30 March 2011.

Employers can still use the DRA between 30 March and before 6 April 2011, but if they do so they must use the short notice provisions, under which an employee could claim compensation (subject to a maximum of eight weeks’ wages).

Employers will not be able to issue new notifications of retirement using the DRA on or after 6 April 201

Read full article and download full ACAS Guide: http://www.acas.org.uk/index.aspx?articleid=3203

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