Subject to Parliamentary approval, the Default Retirement Age (DRA) is being phased out over a transitional period running until 30 September 2011. Details will be set out in Regulations coming into force on 6 April 2011.
 
The last day employees can be compulsorily retired using the DRA is 30 September 2011, so the last day to provide 6 months' notice required by the DRA provisions is therefore the 30 March 2011.

Employers can still use the DRA between 30 March and before 6 April 2011, but if they do so they must use the short notice provisions, under which an employee could claim compensation (subject to a maximum of eight weeks' wages).
Employers will not be able to issue new notifications of retirement using the DRA on or after 6 April 2011.
From 1 October 2011 no employee can be compulsorily retired by an employer because they have reached the age of 65 unless that retirement can be objectively justified.

Acas guidance
Acas has issued the  Advisory booklet - Working without the DRA Employer guidance, which outlines the changes and provides advice on how employers and employees can manage both the transition stages and new procedures.

The removal of the DRA not only raises practical issues for employers in managing the older worker but also across the workforce more generally with a wide range of areas such as succession and workforce planning, performance management and ensuring consistency and fairness in their policies and practices. It is important to remember too that the removal of the DRA will have implications for all employees in terms of career expectations and advancement.

The proposed changes will have far reaching implications for the way many businesses work and employers who fail to make the necessary changes to approaches to employee retirement may face claims of unfair dismissal and discrimination.

Key things to remember
    •    Workers will retire when they are ready to, enforced retirement will only be possible if it is objectively justified
    •    You must avoid discriminating against all workers on the grounds of age
    •    This legislation will be applicable to all employers and all company sizes and sectors
    •    These changes do not affect an employee's state pension age and entitlements, which may well be separate from the age at which they retire.

www.acas.org.uk