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HR tip: Retirement – Interim arrangements


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HRD & Payroll Solutions continues to bring HR Zone members a range of HR and payroll tips in 2006. A market leader in the provision of HR and Payroll training and nationally recognised professional qualifications, HRD & Payroll Solutions are highly experienced in teaching about common HR and payroll problems. A wide selection of tips, tricks and guidance can be seen below. HR Zone highly recommends that any tips are taken as a starting point for guidance only.

Question: “I am confused about the new age discrimination law, which took us by surprise. We understand that it is now in force and that we have to give employees six months notice of retirement. We have two employees retiring at the end of February but clearly it is now too late to give them six months notice. What should we do?”

HR Tip:
The new law is indeed in force. You will need to give between six and twelve months notice to employees whom you wish to retire from April 2007 onwards. However there are interim arrangements for employees retiring before that date. You need to give them their statutory notice, that is to say one week of notice per year of service to a maximum of twelve weeks, or the notice period stated in their contract, whichever is the higher. So relax – but keep a close eye on employment law developments.

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