Written answers

Thursday, 15 December 2005

Department of Enterprise, Trade and Employment

Employment Legislation

5:00 pm

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 212: To ask the Minister for Enterprise, Trade and Employment if he will amend employment legislation (details supplied) to ensure that employees who have reached age 66 or over have the same entitlements and rights as those aged between 16 and 66 years, particularly in view of the increasing number of persons who work beyond pension age. [39692/05]

Photo of Tony KilleenTony Killeen (Clare, Fianna Fail)
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Traditionally, the upper age limit for eligibility for redundancy payment was the same as pensionable age within the meaning of the Social Welfare Acts. In 1971 the upper age limit was 70, in line with the then old age pension age of 70. That was revised downwards by the Redundancy Payments Act 1979 to 66 years, which was the new pensionable age set out in the Social Welfare Act.

The redundancy review group report of July 2002, which produced recommendations for the updating of statutory redundancy legislation, considered that increasing the upper age limit of 66 for redundancy qualification purposes would not be a priority in the short term if resources were scarce.

The group recognised, however, that the labour force is becoming older and that participation in the labour force by older people, if desired, should be facilitated. Accordingly, it was recommended that consideration be given in the medium term to removing the age cap or raising the age cap in conjunction with similar changes to unfair dismissals, equality and social and family legislation as recommended by the Equality Authority.

On 18 July 2004, the upper age limit of 66 for bringing claims under the Unfair Dismissals Acts 1977 to 2001 was removed by the Equality Act 2004. However, the Unfair Dismissals Acts will still not apply to dismissed employees who, at the date of dismissal, had reached the normal retirement age in that employment, that is, if it is the policy in an employment to retire employees at a certain age, the new provisions would not apply. With regard to age-related provisions, the Redundancy Payments Acts 1967 to 2003 are exempted under the Employment Equality Act 2004.

There are no plans at present to remove the upper limit in respect of statutory redundancy. However, in the light of the evolution of age-related legislative provisions and the continuation of 66 years as the social welfare pensionable age, it will be necessary to review the age-related provisions of the Redundancy Payments Acts. That will have to be done prior to making legislative proposals for submission to Government.

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