New retirement age rights for employees have come into effect.
The legislation allows eligible workers to choose to remain in employment beyond their contractual retirement age, where that age falls below the State pension age of 66, reports RTE.
Currently, thousands of employees are required to retire at the traditional retirement age of 65 as stated in their employment contracts, one year before the State pension commences.
These new rules will give workers the option to continue working for an additional year to bridge that gap, though there will be no requirement to do so, reports RTE.
The new rules do not apply to employees with a retirement age of 66 or higher, or where their retirement age is set by law, such as An Garda Síochána and the Defence Forces.
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The compulsory retirement age for most public and civil servants was increased to 70 in 2018, reports RTE.
The new entitlement will allow employees to formally notify their employer that they do not consent to retiring at their contractual retirement age.
To do so, they must provide at least three months’ notice and no more than 12 months’ notice before the intended retirement date, reports RTE.
Employers are required to carefully consider any such notification, and if they intend to enforce the retirement age, they must respond in writing within one month.
They must also clearly set out their decision and ensure it complies with the higher legal threshold set out in the legislation, reports RTE.
Employers cannot require an employee to retire unless they can justify the decision.
They must objectively and reasonably justify the retirement of the employee concerned by a legitimate aim and show that the means of achieving that aim is appropriate and necessary, reports RTE.
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