A factory worker has been awarded €18,000 by the Labour Court after being told he could not continue working past the age of 65.
Given recent discussions of retirement age legislation in the Oireachtas, this is an interesting and topical case for Irish employers.
Details of the case
The complainant in this case, who had been working at the factory for 45 years, asked to continue working after he turned 65. The request was rejected by his employer, with the company stating that they were concerned about the age profile of their workplace and the need to hire new staff with specific skills.
The Workplace Relations Commission (WRC) initially dismissed his claim, but the Labour Court has now overturned this ruling. It found that the employer failed to meaningfully engage with the employee’s request and lacked “objective justification” for forced retirement.
The basis of the Labour Court’s ruling lay in the fact that there was no mandatory retirement age stated in the complainant’s contract of employment, and that there had been no issues raised regarding his performance, concentration, or safety.
What can employers learn from this case?
This case highlights several key considerations for Irish employers.
Firstly, it serves as a reminder that new legislation regarding retirement is currently being discussed by the Oireachtas. Employers should keep a close eye on these discussions and ensure that they are prepared should the new legislation come into force down the line.
Secondly, this case is a reminder that employment contracts are a critical piece of documentation, and employers should ensure that their policies and procedures are accurately reflected within each employee’s contract.
Managing an employee request in such a way that it contradicts the information laid out in their employment contract could lead to a costly and damaging WRC or Labour Court case.