The High Court has decided that it is within UK law for employers to force workers to retire at 65 - regardless of their wishes and without redundancy payments.

Their decision was based on whether the UK’s Default Retirement Age is a legitimate interpretation of the Age Regulations 2006 law. The Judge, Mr Justice Blake, determined that it was.

However, the Judge has said that there is a "compelling case" for a change in the law.

Moreover, while confirming that the default retirement age is lawful the judge said that if the regulation ‘had been adopted for the first time in 2009, or there had been no indication of an imminent review, I would have concluded…that the selection of age 65 would not have been proportionate. I would, accordingly, have granted relief requiring it to be reconsidered…’

Responding to the High Court ruling today, TUC General Secretary Brendan Barber said: “The decision of the court will be a blow to working people who need, or want, to work on beyond 65. It will allow employers to go on using an arbitrary retirement age as an excuse to weed out staff without having any obligation to compensate them or use fair processes.
 
“We hope that the Government will not use this decision as an excuse the delay the promised review of the default retirement age.”

Commenting on the ruling, Liberal Democrat Shadow Work and Pensions Secretary, Steve Webb said: “It cannot be right that it is still perfectly legal to sack someone simply because of their age.

“What should matter is your ability to do the job, not the date on your birth certificate. The Liberal Democrats will push the Government to amend the Equality Bill to change this outrageous situation once and for all. At a time of economic strife, many older people either want or need to work past 65.

“It is totally unacceptable that they can be denied this right simply on the basis of their age. The sooner the default retirement age is scrapped, the better.”

Following the ruling, Age Concern and Help the Aged is challenging MPs to now demonstrate their support for older workers by acting urgently to overturn the outdated legislation.  The Charity is calling on parliamentarians to use the passage of the Equality Bill to abolish the default retirement age. 

Andrew Harrop, Head of Public Policy at Age Concern and Help the Aged comments: “Today’s ruling does not spell the end of our campaign to win justice for older workers– in fact, we will be stepping up our fight to get this outdated legislation off the statute book.  Despite the judgement today, Ministers still have the opportunity this side of a crucial General Election to give real help to people in their 60s by outlawing forced retirement. They should amend the Equality Bill which is currently making its way through Parliament.
 
“In his ruling the judge makes it clear that the only reason he has allowed the law to stand is because ministers have already caved in to our pressure for a review of the law.  He makes it clear that forced retirement at 65 is unsustainable.  This judgement makes it crystal clear that this unfair legislation is past its sell by date.
 
“The Government has heard people’s outrage about the DRA, but so far all that is being promised is the review ‘sometime’ in 2010.  Instead we need action now. Ministers must use the Equality Bill which is currently before Parliament to outlaw forced retirement before the next election."

Andrew Lockley, Head of Irwin Mitchell’s Public Law team, which represented Age Concern and Help the Aged, said: “The judge has effectively given the Government breathing space to go away and change the rules. But his comments that he cannot see how the DRA can stay at 65 will give renewed hope to thousands of workers approaching that age. Essentially, the Government has been told to think again.”    

Chris Ball, Chief Executive of TAEN (The Age and Employment Network) says: “For too long the Government has been using the pending court case as a fig leaf pretending it prevented them from saying anything, sharing anything or discussing anything in connection with the review of the default retirement age.

"Now the decks are cleared, though Mr Justice Blake has made it pretty clear he would have ruled against the Government if they had not already announced the review. So, we stand ready to parade the evidence of the damage this ill-advised provision is doing to individuals who want and need to work beyond 65 as well as to the national economy. This is no time to squander talent and skills in this pointless way.

"Let's get on with it!"