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working after retirement

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Chris emailed me the following question:

Can my company insist on my retirement at state retirement age or do I have the right to continue my employment?

The answer I’ve found (via the TUC) is that unfortunately, yes, your employer can insist that you retire at state retirement age, but only if the company’s normal retirement age of 65 or above. They cannot make you retire younger than 65 as that’s against age discrimination legislation. It’s possible that making you retire at 65 could be found to be against EU law, but that hasn’t been tested in the courts.

On the positive side, it has become easier to work past your normal retirement age. If you have a company pension, you no longer have to leave your job to get the pension, although whether you can draw some or all of your pension whilst working for the same employer will depend on the rules of your scheme. (More information on working after retirement.)
If you want to carry on working past state retirement age, you can defer your state pension and either get a larger pension when you do decide to start taking it, or get a taxable lump sum (with interest) to cover the pension that you didn’t take. (More information on State Pension Deferral.)

If you’ve got any questions, please feel free to contact me, and I’ll do my best to find an answer for you.

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3 comments for “working after retirement”

  1. I’ll have to do something, unless I’m very infirm. But I don’t know if I’d keep going with a “career.”

    Posted by Mrs. Micah | March 5, 2008, 11:16 pm

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