Dinamiks has extended the free usage period of its performance management system, from seven days to 60 days to help employers adapt to the new retirement legislation that comes in from 6 April 2011.
The extended free usage period will enable users of Dinamiks’ online system to take advantage of the six-month transition period when the default retirement age will be phased out, and put protective measures in place, including demonstrating just cause and following due procedure.
Shirley Barners, client services director at Dinamiks, said: “The change in retirement age legislation has consequences for many businesses, large or small, including firms having to have a good reason to ‘retire’ someone.
“That could spell trouble for employers unless they can demonstrate just cause and follow due procedure.
“Many [organisations] will have situations where age, experience and capability may be a challenge and where the business will require evidence leading up to and beyond the legislation change, to justify why staff should retire from a role – or even why they should stay.
“Employers which fail to embrace the new legislation may face claims of unfair dismissal and discrimination.
“It is our view, though, that the legislation also gives [employers] an opportunity to get a better grip on their employees’ performance and thereby deliver a boost to the performance of the business.”
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