Age regulations confusion
Businesses are being warned that they may face retrospective legal action from former staff members who claim they were forced to retire at the age of 65.
Under the Employment Equality (Age) Regulations 2006, businesses cannot discriminate against employees on the grounds of being too old or too young.
However, the National Council on Aging (NCOA) has implored the High Court to ask the European Court of Justice whether the regulations have been implemented properly in the UK. It is concerned that the legislation allows businesses to make staff retire at 65, even if they don't want to.
Insurer AXA is warning that firms could be sued for around £600 million in discrimination claims, backdated to 1 October 2006 when the legislation came into force, if the NCOA's lobbying is successful.
AXA's Steve Folkard said:
"Employers should review their retirement policies and decision making processes now to protect against retrospective claims."
