Employer Obligations in the Age of Flexible Retirement

Employer Obligations in the Age of Flexible Retirement

Retirement isn’t always a one-way street anymore. Given the increased costs of living, more and more employees are deciding to either hold off on retiring or are un-retiring. This shift has some important legal implications, especially when it comes to how companies handle retirement and the rehiring of a would-be retired employee.

When do employees have to retire?

Employers do not have the right to dictate when an employee should retire. Mandatory retirement ages in most employment contexts are likely to be considered discrimination on the basis of age. As long as an employee is able to fill the responsibilities of their positions, potentially with reasonable accommodations, the employers is typically obligated to continue their employment regardless of age.

Can an employee change their mind after giving notice of retirement?

If an employee gives notice that they intend to retire, and then retracts this notice before their intended retirement date, it can create confusion. An employer may be able to enforce the retirement if it has already accepted the notice and taken steps to hire a replacement.  Even in those circumstances, an employer may still have liability for wrongful dismissal if it does not permit a would-be retiree to continue their employment in some circumstances.

This brings to light the larger picture regarding views on aging and work. As more people choose to work beyond traditional retirement age, it’s time to rethink how we see older workers and adapt workplace practices accordingly.

Overall, retirement isn’t as straightforward as it once was, and the law needs to keep pace. By clarifying rules around retirement and ensuring compliance with age discrimination laws, we can work toward ensuring fairness for all. As our workforce evolves, so too should our attitudes and legal frameworks surrounding retirement and employment.

How can Whitten and Lublin help?

To better understand your workplace rights and explore the viability of a claim, we encourage employees and employers to seek legal advice. We at Whitten & Lublin are happy to provide insight and advice into your specific circumstances. If you are looking for employment lawyers and would like more information about what Whitten & Lublin can do for you, please contact us online or by phone at (416) 640-2667 today.

Author – Rachel Patten