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End of retirement age signalled End of retirement age signalled
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The government has brought forward by a year a review of the default retirement age of 65. A review of the default retirement age, which allows employers to compel staff to retire at 65, is to be brought forward by a year, the government says.
The BBC's home editor Mark Easton says the move signals an end to the default age at which employers can require their staff to retire. BBC home editor Mark Easton says the move effectively signals an end to the default retirement age.
The majority of people retire before 65, but 1.3 million people work beyond state pension age. Many more say they would if their employer permitted it.The majority of people retire before 65, but 1.3 million people work beyond state pension age. Many more say they would if their employer permitted it.
The employers group the CBI said the move was "disappointing".
The review had been expected in 2011 but will now take place next year.The review had been expected in 2011 but will now take place next year.
Ministers have brought the review forward to respond to changing demographic and economic circumstances. Ministers said they had brought the review forward to respond to changing demographic and economic circumstances.
Mark Easton understands that ministers are agreed that the legislation is "no longer worth the candle".
Economic recoveryEconomic recovery
Explaining the change in the timing of the review, Prime Minister Gordon Brown said: "Evidence suggests that allowing older people to continue working, unfettered by negative views about ageing, could be a big factor in the success of Britain's businesses and our future economic growth."Explaining the change in the timing of the review, Prime Minister Gordon Brown said: "Evidence suggests that allowing older people to continue working, unfettered by negative views about ageing, could be a big factor in the success of Britain's businesses and our future economic growth."
The TUC welcomed the move.The TUC welcomed the move.
"It cannot be right that an employer can sack someone simply for being too old," said TUC general secretary Brendan Barber."It cannot be right that an employer can sack someone simply for being too old," said TUC general secretary Brendan Barber.
"Employees should have choice - neither forced by employers to give up work, nor forced by inadequate pensions into working longer than they should.""Employees should have choice - neither forced by employers to give up work, nor forced by inadequate pensions into working longer than they should."
However the CBI said: "Having a default retirement age helps staff begin the process of deciding when it is right to retire, and helps firms plan ahead with more confidence."
It said its research had suggested that 81% of those who asked their employer to keep working had been allowed to do so.
'Discriminatory'
Separately, the Court of Appeal will hear a legal challenge to the default retirement age this week in a case backed by the Equality and Human Rights Commission.
A solicitor, Leslie Seldon, will argue he was discriminated against on the grounds of age when he was not permitted to work beyond the age of 65. He says he needed to go on working to support his family.
Dinah Rose QC, acting for the Department for Business, Innovation and Skills, says the hearing will rise "important questions of policy and principle".
A number of age discrimination cases are waiting in the pipeline for the outcome of this and another challenge being brought against the government by the charities Age Concern and Help the Aged next week.