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65 retirement 'is easier for business'

17 July 2009

The High Court heard yesterday that workers are forced to leave their jobs at 65 just to make life easier for business.

Recently merged charities, Age Concern and Help the Aged, represented by Robin Allen, QC, claimed that ministers brought in the default 65 retirement age only because employers could not cope with staff wanting to stay in their posts indefinitely. They say the policy, which allows companies to let employees go solely on the grounds they are over 65, is an unlawful interpretation of a European directive against age discrimination.

The case is being heard in London's High Court after the charities took the Government to the European Court of Justice over its Employment Equality (Age) Regulations 2006. The court in Luxembourg did not decide outright that the 65 default retirement age was discriminatory, but ruled that ministers must meet a "high standard of proof" in claiming that employers should be allowed to force staff to stop working on the grounds of their age alone.

If the charities win the case, it could pave the way for hundreds of older workers to win compensation from their bosses. About 300 employment tribunal appeals are on hold until the issue is resolved.

The Government announced this week that an official review of the law is being brought forward to next year.

The case continues.

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