CIPD welcomes Government plans to abolish Default Retirement Age
July 29, 2010
The Chartered Institute of Personnel and Development (CIPD) welcomes the Government's proposal to phase out the Default Retirement Age (DRA) by October 2011. This follows many years of campaigning to remove the DRA.
Dianah Worman, diversity adviser, CIPD, says:
"We are greatly encouraged by the new plans laid out to eradicate the DRA. Our research has shown that many employees wish to work past retirement for differing reasons and many employers are already benefiting from allowing such flexibility. With the allowed transition period of 6 months and adequate support, employers will be able to continue to benefit from retaining the knowledge, skills and experience of older workers.
"The abolition of the DRA will help to encourage better management, which should bring a productivity boost for many employers. While we understand the transitional change issues surrounding the removal of the DRA for employers, we feel that a compulsory retirement age risks undermining this great stride forward. We would encourage all employers to look at the potential cost saving benefits of continued good practice and management of their older workforce."
