Default Retirement Age Abolished

25th March 2011
Default Retirement Age Abolished image

The Government Confirms Abolition of Default Retir

The Government has confirmed that it will abolish the Default Retirement Age (DRA) from October 2011. The process will begin in April 2011. This has been welcomed by some who say this will protect against ageism. It also has the advantage of keeping experienced valuable workers in the workplace. They, in turn, can pass on their knowledge and experience to others. In 2009, it was estimated that 100,000 workers were forced to retire.

The law should evolve and change to reflect the social and economic changes in society. The Equality and Human Rights Commission already argue that a compulsory retirement age is discriminatory. The change in the law will hopefully lead to a change in people’s views about retirement and shift away from the current ‘countdown culture’.

Some people in the 60’s do not relish the prospect of retirement and enjoy the social and financial benefits of remaining in employment.

The current law is contained in the Employment Equality (Age) Regulations 2006. Under the provisions it allows employers to force employee’s retirement at the age of 65. This is arguably an arbitrary and unfair rule. The only statutory procedure in place is that notice must be given to the employee 6 months before reaching the age of 65 of a meeting with their employer. At the end of the meeting it is entirely at the discretion of the employer as to whether he will terminate the employment. Legally there is no redress for the employee.

The changes mean that people over 65 will have full employment law rights for the first time.  The regulations are expected to take effect from 6 April 2011. From the 6 April employers will no longer just be able to give notice of a meeting. Notice made prior to 6 April will be valid on the condition retirement must take place before the 1 October 2011.

For Employers the choices are that either they end the traditional retirement age, or keep it on the basis that they can objectively justify it. The statutory notice and consultation procedure will be abolished as well. ACAS has published guidance for employers on the changes titled: ‘Working without the Default Retirement Age’. Businesses have raised concerns about the effect this will have on them.

Another aspect of this of course is that it will help public finances, in the fact that employees will be paying tax and putting off claiming their state pension. Under such austere economic times, the ageing population places a strain on Government resources. An ageing, working population could potentially save the Government £3.5 billion a year.

For advice for your business on retiring a member of staff please contact Daven Naghen on daven.naghen@maplessolicitors.com or 01775 722261.


Section 8 Notice or Section 21 Notice? image

Section 8 Notice or Section 21 Notice?

There is one question a lot of landlords have asked us over the years and that is “What is the Difference Between a Section 8 and Section 21 Notice?”.

The most basic difference between a section 8 and section 21 is that a section 8 notice is served when a tenant is in breach of contract (eg rent arrears), and a section 21 is served to end a tenancy agreement, simply so that the landlord can regain possession.

A section 8 notice, or notice to quit as it is also commonly known as, is so called because it operates under section 8 of the Housing Act 1988. A section 8 notice is served on the tenant by a landlord wishing to regain possession of a property during the fixed term of an Assured Shorthold Tenancy (AST) when the tenant has broken the terms of the tenancy. You can give between 2 weeks’ and 2 months’ notice depending on which terms the tenant has broken.

Once the period of notice has lapsed and the tenants have not vacated then you can apply to the court for an Order for Possession.

If you need help in completing a Section 8 Notice with the correct notice periods and/or assistance with the grounds for possession then please contact laura.day@maplessolicitors.com or daven.naghen@maplessolicitors.com and we will be happy to assist you with this.

With respect to a Section 21 notice, you can use this notice to evict your tenants either after a fixed term tenancy ends - if there’s a written contract, or during a tenancy with no fixed end date - known as a ‘periodic’ tenancy.

Section 21 Notices are only for use when the prescribed documents have been served on the tenant at the start of the tenancy. You cannot use a Section 21 notice if you have not given the tenants copies of:
• the property’s Energy Performance Certificate
• a current gas safety certificate for the property - You must have given the tenants a copy of the current gas safety certificate before they moved in.
• the government’s ‘How to rent’ guide
You are also required to secure the tenant’s deposit in a Tenancy Deposit Scheme. This government-backed scheme ensures that the tenants get their deposit back at the end of their tenancy, so long as they have not damaged the property, have met the terms of the tenancy agreement and have paid all their rent/bills. You must ensure that such a deposit is put in a scheme within 30 days of its receipt and provided the information of where it is secured to the tenant. Failure to secure a tenant’s deposit will invalidate a Section 21 Notice.

You are also unable to use a Section 21 Notice if it is less than 4 months since the tenancy started, or the fixed term has not ended, unless there’s a clause in the contract which allows you to do this.

If the tenants do not leave by the specified date then you can apply to the court for a Possession Order. You may wish to use the accelerated possession procedure if you are not claiming rent arrears as generally this route is quicker than applying for a standard possession order and there is usually no hearing involved.

If you want to claim rent arrears then you may either use the standard possession route or use the accelerated possession procedure but then make a separate claim for recovery of the outstanding rent.

The decision as to whether or not to use the section 8 or section 21 route is complex and we would recommend a landlord seeks early advice as to which mechanism to use.

If you require more advice and assistance on Section 21 Notices or which possession proceedings route would suit you then please contact laura.day@maplessolicitors.com or daven.naghen@maplessolicitors.com and we will be happy to help.

Read More

Testimonials

Jamie Dobbs SCILEx

"I should like to take this opportunity to express my very sincere and grateful thanks for Jamie's unfailing helpfulness and efficiency in all aspects of the handling of my late stepmother's estate. Jamie have always replied to my (many!) queries promptly and comprehensively which has been a enormous help throughout what I know can be a fraught and stressful process. Sadly, it is increasingly rare these days to experience the highs standards of service that Jamie has provided."

Gemma Mayer LLB

"I would highly recommend Maples Solicitors, especially Gemma Mayer, for any conveyancing work. The level of support and professionalism was excellent at all times. I also felt if I needed to ask or clarify anything that it was not an issue. Buying and selling a house is stressful enough, but Gemma helped me through it step by step."

Anita Toal LLB BA

"I think you are brilliant. You can use my comments above. You are efficient, friendly and quite clearly very good at what you do. Mainly you don’t leave people hanging around too long for." "So easy to talk to her and she understood what I wanted. She put me at ease and I cant thank her enough"

James Turner BA

James Turner was extremely helpful with our buying process. Everything went smoothly. We are very happy with the level of professionalism demonstrated by the office. Highly recommended solicitors. Will definitely do business with them again.

Daven Naghen LLB

"Daven provided an excellent service, from attending the first interview with me to the final court appearance. He filled me full of confidence that he would defend me to which he did and come out with an excellent outcome in view of my position that I had put myself in."

Faye Blair LLB

Faye was excellent, sensitive and acted very well to the time constraints we faced. Great service and dealt with compassion at such sad times made the process less painful very professional.

Jamie Dobbs GCILEx

Over the last forty years I have cause to deal with many law firms both in a personal and professional capacity, including some ‘top’ London Companies. In all of those dealings I have never found anyone as proactive and so willing to offer help and advice as Jamie Dobbs. During the last two years Jamie guided my parents through the completion of Lasting Powers of Attorney. Helped myself with the use of the LPA and recently dealing with Probate and Estate Administration following their death.

Mike Pepper MA

Mike Pepper gave us excellent advice. He was always most helpful and accommodating giving lucid explanations every step of the way. Thank you Mike.

Donna Sandison FCILEx

Donna has been helpful and professional every step of the way during the process. Always on hand to answer any queries and totally professional and friendly at all times.