New legislation agreed by the Cabinet will allow, but not compel, a worker to remain in their job until age 66 in line with the qualifying age for the State pension.
General Secretary Owen Reidy has welcomed the move to restrict the use of mandatory retirement ages by employers. “The Irish Congress of Trade Unions has long argued there is a sizeable and growing number of workers who are forced to retire earlier than they would wish because of the age of retirement in their employment contract, typically 65.
While legislation increased the compulsory retirement age from 65 to 70 for most public services workers in 2018, workers in the private sector have been left with soft measures that have proved inadequate for far too many workers wanting to remain in their jobs longer.
The latest Workplace Relations Commission Annual Report (May 2023) shows a 176% increase in age-related discrimination complaints – from 186 cases in 2021 to 514 in 2022.
Mr. Reidy added: This reform recognises differences between what workers want and the type of work they do in giving them more choice about the age at which they retire. Under the change which is expected to come into force later this year, workers can still retire at the age specified in their contract of employment. The decision to remain on in your job will be optional.
The heads of the Employment (restriction of certain mandatory retirement ages) Bill now go to the Joint Oireachtas Committee for pre-legislative scrutiny.
The Irish Congress of Trade Unions called for this legislation in our submission to the Pensions Commission, which the Commission recommended to the Government.
