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EFA Comments on the Budget

23 June 2010

The Chancellor yesterday confirmed it will consult shortly on how the Government will quickly phase out the Default Retirement Age (DRA) from April 2011. Rachel Krys, Campaign Director of leading age campaigners, the Employers Forum on Age (EFA), commented:

"The default retirement age is fundamentally discriminatory, based on the assumption that age affects someone's ability to do their job.  The Employers Forum on Age (EFA) has been campaigning against the default retirement age for many years and works with a number of employers, including many Government departments, which report that operating without the default retirement age has resulted in significant business benefits.

Employers who are currently using the DRA should start planning now to ensure they are ready for this change.  Understanding the experience of employers operating without a DRA will be essential, and will give them confidence to allow employees to choose when they retire and to put the policies and processes in place to make the most of an age diverse workforce.

The EFA will be publishing a step-by-step guide to removing retirement age, including information about the necessary policy changes, employee communications, the development of flexible retirement options and pension issues. A program of events will support employers in introducing this change.

Employers have nothing to fear from the removal of the DRA.  Forced retirement is outdated and unfair.  Employers who manage people fairly throughout their careers are already experiencing the benefits."

For more information, or to arrange an interview, please contact the following:

Employers Forum on Age

Rachel Krys T: 07799 625 233  E: rachel.krys@efa.org.uk

Lansons Communications, Rimmi Shah
T: 0207 294 3670 E: rimmis@lansons.com

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