New normal retiremant age

F

Fisherman

Registered User
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Joe Bloggs will be 65 in december 2015. He wont qualify for state pension 'till he is 66 in dec 2016. His company pension rules says he has to retire at 65. Can Joe'e employer force him to retire at 65 or does he now have the option to continue working 'till he is 66.......
 
If he does retire and collect his pension, he can also claim Jobseekers Benefit and it will be paid for 12 months (normally only 9 months).
 
Fisherman,
The answer is Yes. Age 65 is probably built into his contract of employment and his occupational pension scheme.
 

The company pension rules and contract of employment are different things.

The employer may stop funding his pension at age 65 but keep him after. Or the may extend both.

Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)
 
There's no 'one size fits all' answer to this question. A person's age of retirement will probably be specified in their contract of employment. If there's a company pension scheme, it's quite likely that the retirement age in that scheme will tie in with the individual's retirement age. This probably won't change because of changes in the age at which the State pension becomes payable.

But the above is all generalities and may vary from employment to employment.
 
The norm for situations like this (as least in my experience) is for the employee to write to the employer asking to stay on until 66. Depending on the person, the role and the company, sometimes they allow it, sometimes they don't. If you don't ask........
 
Thanks for the replies folks. ...... I agree that contracts of permanent employment (if one was ever signed!) may state a termination age of 65, which was recognised as NRAge. However, the government have changed the rules 'during the game' so what will happen when the NRA is pushed out further to say 67 or 68, will social welfare pay full jobseekers benefit for 2 or 3 years.. ???
 
My company recently gave the option for people to change the retirement age in their employment contracts from 60 to 65. I think eventually most companies will move retirement ages to 67 and 68. Otherwise it is up to the employee to fund the gap between the retirement age in your employment contract and when you will receive the State pension.
 

The government changed the date for when the Old Age Pension is paid out. That has nothing to do with the Normal Retirement Age of private pension schemes. There are lots of company paid pension schemes with an NRA of 60, when most people can't afford to retire at that age. The employer can stop making contributions into the scheme when the member hits that age though...

Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)
 

I think even public sector pensions are going to go this way too. PS workers employed after 1995 have the pension combined with the state old age pension so I can see a situation where most people will have to work until their 68 as what they will get between the ages of 65 and 68 will be miniscule.
 
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