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Govt's stance on retirement laws welcomed

Govt's stance on retirement laws welcomed

Just Retirement has welcomed comments made by the new work and pensions secretary concerning employment laws.

In a recent address, Iain Duncan Smith noted that the government intends to phase out the default retirement age.

At present, employers are able to make staff members give up work once they reach 65 even if the individuals in question wish to remain in their roles.

Mr Duncan Smith stated that the age at which employees can be forced to retire will be gradually increased in a bid to reduce the gap between people's needs in later life and their expected levels of income.

Commenting on his statement, Just Retirement said it sends out a positive message.

The organisation said: "This move is fully justified in the light of increasing life expectancy but requires a broader review of the needs that will emerge if individuals work longer."

Mr Duncan Smith took up his current role in the government following the establishment of a coalition between the Conservatives and the Liberal Democrats after the May general election.