Ask Employment Law

 

 

 

Remember:  There is no substitute for legal advice on the actual situation you find yourself in. The information posted on this site is for general information only, is based on UK law and should not be relied upon without specific legal advice, which is what I’d strongly recommend. If you can’t find the answer to your question or want to comment on this posting, email: info@reculversolicitors.co.uk or call 0207 324 6271.

Back to Index

 

 

 

Question:

Is Age Discrimination unlawful?               

 

 

Answer:

The Employment Equality (Age) Regulations came into force on the 1st October 2006, finally making discrimination on the grounds of age unlawful. These provisions will be covered under the Equality Act 2010 from the 1st October 2010.

 

In Brief:

·         Age related discrimination and harassment outlawed

·         Indirectly discriminatory acts covered

·         Default retirement age of 65 imposed

·         Right to request to work beyond retirement age

·         Right to claim unfair dismissal beyond normal retirement age

 

Direct Discrimination:

It is unlawful to discriminate to treat a person less favourably by reason of that person’s age.

 

For example:

·         Asking for someone’s date of birth on the job application form will be lawful as long as you can justify the reason for asking for it, for example to establish the normal retirement date.

·         A job advert asking for applications from people aged between 25 and 35 would be unlawful for the bulk of occupations.

·         Rejecting someone for a job because of their age will be discriminatory.

·         Denying an employee a promotion, either because they are too old or too young will normally be rendered unlawful.

·         References to a ‘young and vibrant’ sales team in a job advert is likely to be age discriminatory.

 

Indirect Discrimination:

It is unlawful to apply a criterion that applies equally to all people regardless of their age but which puts people of a certain age group at a disadvantage unless you can show that that practice is ‘proportionate to achieve a legitimate aim’.

 


Some Examples:

·         A job advert invites applicants with between 3 and 7 years experience. A greater proportion of older applicants are going to have 7+ years experience. Is there any legitimate reason for excluding people with over 7 years experience? Probably not.

 

·         The employer requires all job applicants to undergo a health and fitness assessment, rejecting applicants who do not attain a certain level of fitness. This requirement will adversely affect a greater proportion of older applicants. This may be a legitimate requirement for a sports instructor, or a fireman, but not for someone employed to sit behind a desk all day tapping away at a computer.

 

·         Employment related insurance is likely to be covered. Therefore if an employer only offers death in service benefits to employees subject to passing a health test or on the basis of age, this may well be discriminatory unless it can be objectively justified.

 

·         Selection for redundancy on the grounds of proximity to retirement age is also likely to be discriminatory. However it is at least arguable that it would be proportionate to achieve a legitimate aim if the employer needs to ensure that in future a disproportionate number of employees with similar skills all retire at roughly the same time.

 

Instructions to Discriminate:

It is unlawful to discriminate against an employee for refusing to discriminate against another on grounds of age.

 

For example: The CEO tells the HR Manager to make sure he does not employ any old fuddie duddies. The HR Manager refuses to discriminate by reason of age and the CEO strips him of his share options as a result. This will then be unlawful under the regulations.

 

New Employees:

Employers can still turn down job applicants on the grounds of their age if:

 

·         If they’re already older than the normal retirement age

·         If they’d reach their normal retirement age within six months of the job application

 

So if a job applicant was aged 64 and two months when they applied for a job with you, it’d still be unlawful to reject them on the grounds of age.

 

Nb. Don’t turn people down (for example) due to ‘lack of flexibility’ if that assumption is made on the basis of the applicant’s age as this will also be discriminatory.

 

Age Related Benefits:

It is lawful to impose length of service related employment benefits.

 

For example:

·         A contractual entitlement to additional days holiday per annum linked to length of service.

·         Service related contractual sick pay

 

Where the employee’s length of service exceeds five years, it must reasonably appear to the employer that the length of service criterion fulfils a business need (such as encouraging loyalty or motivation, or rewarding experience)

 

Enhanced redundancy payments:

Enhanced redundancy payments calculated in relation to length of service are still lawful. An example of this would be when the employer gives a full weeks pay for each full year worked.

 

Harassment:

Harassment on the ground of age is unlawful. This is where a person’s dignity has been violated; or that he or she has been subject to an intimidating, hostile, degrading, humiliating or offensive environment.

 

In order to determine whether either of the situations specified above exist, a tribunal will have regard to all the circumstances, including the employee's perception and also whether it is reasonable to consider the offending conduct as having either effect.

 

For example:

·         Persistent jokes about a colleague based on their age will amount to harassment.

·         A jokey birthday card could conceivably amount to harassment, however the test is not an entirely subjective one; in other words it has to be reasonable to consider the card to violate a persons dignity (etc)

 

For most people in most organizations, this will simply be a matter of common sense. However in some organizations in which youth is considered a premium, for example in some City trading environments or sales teams, a culture of harassment on the grounds is sometimes almost encouraged by management. Such organizations will have to radically shift their approach to age in the work place.

 

Victimisation:

Victimisation of an employee for a reason connected to the regulations is unlawful.

 

For example:

·         Mervin raises a grievance claiming he was passed over for a promotion because he was too young. His grievance is rejected but he then finds that his bonus is slashed because he is considered to be a trouble maker. In this case, Mervin would be able to claim victimization as a result of bringing this complaint, even though his original complaint was unfounded as long as he brought it in good faith.

 

Genuine Occupational Requirements:

Genuine Occupational Requirements (GORs) apply where an employer is entitled to use an age requirement:

 

·         this is a genuine and determining occupational requirement; and

·         it is proportionate for the employer to apply the requirement.

 

For example:

·         In the acting profession, a young actor may be able to play an older character with a suitable application of make up, but an older actor is unlikely to get away with playing a callow youth.

·         A 60 year old ‘youth worker’ may not be able to relate so well to a spotty 13 year old although again this exception may prove hard to justify.

 

Positive Action:

It is lawful to give people of a particular age group access to facilities for training which would help fit them for particular work (ie giving 40 + applicants guidance in how to do interviews)

 

It is lawful to encourage people of a particular age group to take advantage of opportunities for doing particular work (ie advertising in ‘the Oldie’ magazine)

 

It won’t however be lawful to set out to recruit more people from a particular age group because they are under represented in your work force.

 

Occupational Pension Schemes:

Occupational pension schemes will continue largely the same as before, although there are complicated subsidiary regulations dealing with this in detail. It will be unlawful for pensions administrators to discriminate on the grounds of age in the admission of members to the scheme

 

A schedule to the regulations contains a full list of age-related rules or practices in occupational pension schemes that are effectively exempted. Minimum and maximum ages for admission to the scheme and a minimum period of employment will still be lawful.

 

Working Beyond The Normal Retirement Age:

 

Retirement Age:

Employees have the right to ask to work beyond their normal retirement age, however employers are not obliged to agree. See www.askemploymentlaw.org.uk/6.htm

 

Getting It Wrong: Unfair Dismissal Claims:

Dismissals at age 65 or over is fair when the reason for dismissal is retirement.

 

The employee will be regarded as unfairly dismissed if and only if there has been a failure on the part of the employer to comply with the following provisions:

·         Notification of retirement

·         Duty to consider employee’s request not to be retired

·         Duty to consider appeal

 

In other words, if you go through these hoops, but still decide to bring the employee’s employment to an end by reason of retirement at age 65, then the employee will not have been unfairly dismissed.

 

Getting It Wrong: Discrimination Claims?

It does not appear that it would be possible to bring a claim of age related discrimination on the grounds that someone’s employment had been ended by reason of retirement.

 

However it might be able to rely on other discrimination legislation. For example a claim could be brought under the Sex Discrimination Act if more women than men were allowed to continue working after their sixty fifth birthday.

 

Consistency is extremely important. If an employer consistently refuses the request to work beyond the normal retirement date, then this would not appear to be open to legal challenge. If the employer agrees to some employee’s requests (but not others) then there may well be more scope for a legal challenge.

 

Getting It Wrong: Other Penalties:

·         If the employer fails to notify the employee of the right to ask to work beyond the normal retirement date, a Tribunal may award a sum not exceeding 8 weeks pay

·         If the employer is denied the right to be accompanied at the meetings, a Tribunal may award up to 2 weeks pay.

 

What to do now:

The basic check-list for employers is:

 

·         Update your equal opportunities policy and staff handbook

·         Check and update your other policies with care to ensure that they are not indirectly discriminatory.

·         Check the requirements of any benefits you offer.

·         If you’re standard retirement age is not already sixty five, either change it or consider  very carefully why a lower retirement age is justifiable.

·         Get your occupational pension administrators to review your scheme in the light of the new regs.

·         Put the systems in place to ensure that you inform staff in good time of their right to ask to work beyond their normal retirement age

·         Start training your staff, especially in HR, senior managers and recruiters now. For some at least, the new regulations will require a complete change of the working culture.

 

See also our page on the Equality Act 2010

 

Last updated: July 2010.

 

 

 

 

James Carmody

Employment Solicitor

 

Reculver Solicitors

12-16 Clerkenwell Road

London EC1M 5PQ

 

www.reculversolicitors.co.uk

info@reculversolicitors.co.uk

Tel 0207 324 6271

 

Regulated by the Solicitors Regulation Authority

 

© Reculver Solicitors. 2005-