Employment (Contractual Retirement Ages) Act 2025
In short
This law allows employees to notify their employer if they do not want to retire at their contractual retirement age, especially if that age is younger than the official pensionable age. It sets rules for when an employer can still enforce a contractual retirement age and protects employees from being penalised for such notifications.
What it regulates
- The process for an employee to notify their employer about not consenting to retire at the contractual retirement age.
- The conditions under which an employer can enforce a contractual retirement age that is less than the pensionable age.
- Protection for employees against penalisation for making such a notification.
- The process for resolving complaints and awarding compensation related to contraventions of this Act.
Who it concerns
- Employees with a contractual retirement age specified in their employment contract that is less than the pensionable age.
- Employers of such employees.
Key points
- An employee must notify their employer in writing between 3 months and one year before reaching the contractual retirement age if they do not consent to retire.
- An employer cannot enforce the contractual retirement age if it's less than the pensionable age, unless it is objectively and reasonably justified by a legitimate aim and the means are appropriate and necessary.
- If an employer proposes to enforce the contractual retirement age, they must provide a reasoned written reply within one month of the employee's notification.
- Compensation for contraventions can be up to 104 times the weekly remuneration or €40,000, whichever is greater.
Legal text
Employment (Contractual Retirement Ages) Act 2025 Skip to content Disclaimer Feedback Helpdesk Gaeilge Léim go dtí an t-ábhar Séanadh Aiseolas Deasc chabhrach English Gaeilge English Produced by the Office of the Attorney General Táirgthe ag Oifig an Ard-Aighne Home Legislation Acts of the Oireachtas Statutory Instruments Pre-1922 Legislation Constitution External Resources Bills (Houses of the Oireachtas) Iris Oifigiúil / Official Gazette Revised Acts (LRC) Classified List of Legislation (LRC) Translations (acts.
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- ie)Aistriúcháin (Tithe an Oireachtais) Foilseacháin Rialtais ar Díol Dlí AE (EUR-Lex) CCanna (Ceisteanna Coitianta) Séanadh Aiseolas Deasc chabhrach Cuardach TitleTeideal Year(
- s)or rangeBliain nó blianta nó raon TypeCineál All Legislation Acts Statutory Instruments Advanced SearchCuardach Casta HomeBaile ActsAchtanna 2025 Employment (Contractual Retirement Ages) Act 2025 Employment (Contractual Retirement Ages) Act 2025 Permanent Page URL View by SectionAmharc de réir Ailt View Full ActAmharc ar an Acht Iomlán Bill History Stair Bille Commencement, Amendments, SIs made under the Act Tosach Feidhme, Leasuithe, IRí arna ndéanamh faoin Acht Open PDFOscail PDF Print Full ActPriontáil an tAcht Iomlán Number 16 of 2025 EMPLOYMENT (CONTRACTUAL RETIREMENT AGES) ACT 2025 CONTENTS PART 1 Preliminary and General Section 1. Short title and commencement 2. Interpretation 3. Application 4. Expenses PART 2 Contractual Retirement Age 5. Notification to employer concerning contractual retirement age PART 3 Workplace Relations 6. Decision under section 41 or 44 of Act of 2015 7. Amendment of Act of 2015 PART 4 Penalisation and Offences 8. Protection of employees from penalisation 9. Parallel claims 10. Offences Acts Referred to Employment Agency Act 1971 (No. 27) Employment Equality Acts 1998 to 2021 Minimum Notice and Terms of Employment Act 1973 (No. 4) National Minimum Wage Act 2000 (No. 5) Petty Sessions (Ireland) Act 1851 (14 & 15 Vict., c.93) Social Welfare Consolidation Act 2005 (No. 26) Terms of Employment (Information) Act 1994 (No. 5) Unfair Dismissals Acts 1977 to 2015 Work Life Balance and Miscellaneous Provisions Act 2023 (No. 8) Workplace Relations Act 2015 (No. 16) Number 16 of 2025 EMPLOYMENT (CONTRACTUAL RETIREMENT AGES) ACT 2025 An Act to provide that an employee may notify his or her employer that he or she does not consent to retire at the contractual retirement age; to provide that an employer who receives such notification may not enforce the contractual retirement age where the employee is less than the pensionable age unless the retirement of the employee concerned is objectively and reasonably justified by a legitimate aim and the means of achieving that aim are appropriate and necessary; to further provide for the prohibition of penalisation resulting from such notification; for those and other purposes to amend the Workplace Relations Act 2015 ; and to provide for related matters. [16th December, 2025] Be it enacted by the Oireachtas as follows: PART 1 Preliminary and General Short title and commencement 1.
- a)a contract of service or apprenticeship, or (
- b)any other contract whereby an individual agrees with another person, who is carrying on the business of an employment agency within the meaning of the Employment Agency Act 1971 and is acting in the course of that business, to do or perform personally any work or service for a third person (whether or not the third person is a party to the contract), whether the contract is express or implied and, if express, whether it is oral or in writing; “contractual retirement age” means, in relation to a contract of employment, the age specified in the contract as the age at which an employee is obliged to retire from employment with an employer; “employee” means a person who has entered into or works under (or, where the employment has ceased, entered into or worked under) a contract of employment and references, in relation to an employer, to an employee, shall be construed as references to an employee employed by that employer; “employer” means, in relation to an employee, the person with whom the employee has entered into or for whom the employee works under (or, where the employment has ceased, entered into or worked under) a contract of employment subject to the qualification that the person who under a contract of employment referred to in paragraph (
- b)of the definition of “contract of employment” is liable to pay the wages of the individual concerned in respect of the work or service concerned shall be deemed to be the individual’s employer and includes, where appropriate, the successor of the employer or an associated employer of the employer; “Minister” means the Minister for Enterprise, Tourism and Employment; “pensionable age” has the same meaning as it has in the Social Welfare Consolidation Act 2005 .
- a)if one is a body corporate of which the other (whether directly or indirectly) has control, or (
- b)if both are bodies corporate of which a third person (whether directly or indirectly) has control. Application 3.
- a)is subject to a contract of employment that specifies a contractual retirement age that is less than the pensionable age, and (
- b)has completed his or her probationary period, if any.
- a)an employee whose employment is subject to a maximum retirement age required by law at which the employee is obliged to retire or be retired from an employer, or (
- b)an employee whose employment is subject to a maximum service limit (however expressed) required by law at which a person or class of persons could be, or is, obliged to retire or be retired or discharged from an employer and which could differ from the pensionable age. Expenses 4. The expenses incurred by the Minister in the administration of this Act shall, to such extent as may be sanctioned by the Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, be paid out of monies provided by the Oireachtas. PART 2 Contractual Retirement Age Notification to employer concerning contractual retirement age 5.
- a)not less than 3 months but not more than one year before the date on which the employee will reach the contractual retirement age, or (
- b)where the employer notification period is greater than 3 months, not less than the employer notification period specified or the period of 6 months, whichever is the shorter.
- a)the retirement of the employee concerned at his or her contractual retirement age is objectively and reasonably justified by a legitimate aim by the employer, and (
- b)the means of achieving that aim are appropriate and necessary.
- a)the employer notification period, or (
- b)the minimum period of notice calculated in accordance with section 4 of the Minimum Notice and Terms of Employment Act 1973 , whichever is shorter.
- a)declare that the complaint was or, as the case may be, was not well founded; (
- b)require the employer to take a specified course of action, which may include re instatement or re-engagement; (
- c)require the employer to pay to the employee compensation in accordance with subsection
- a)at the date of the reference of the complaint, or (
- b)if the reference of the complaint occurs after the date of dismissal or retirement, at the date of dismissal or retirement as the case may be, an amount equal to the greater of— (
- i)104 times the amount of that remuneration, determined on a weekly basis, or (
- ii)€40,000.
- i)in paragraph (c), by the substitution of “National Minimum Wage Act 2000,” for “National Minimum Wage Act 2000, or”, (
- ii)in paragraph (d), by the substitution of “Terms of Employment (Information) Act 1994, or” for “Terms of Employment (Information) Act 1994.”, and (iii) by the insertion of the following paragraph after paragraph (d): “(
- e)section 10
- i)in paragraph (h), by the substitution of “the occurrence of the dispute,” for “the occurrence of the dispute, and”, (
- ii)in paragraph (i), by the substitution of “the occurrence of the dispute, and” for “the occurrence of the dispute.”, and (iii) by the insertion of the following paragraph after paragraph (i): “(
- j)in the case of a dispute relating to subsection
- c)in Part 2 of Schedule 1— (
- i)by the deletion of the following paragraph: “20. Part 3 of the Work Life Balance and Miscellaneous Provisions Act 2023 ”, and (
- ii)by the insertion of the following paragraphs after paragraph 21: “22. Part 3 of the Work Life Balance and Miscellaneous Provisions Act 2023 23. Subsection
- e)in Schedule 6— (
- i)in Part 1, by the insertion of the following paragraph after paragraph 41: “42. Section 6 of the Employment (Contractual Retirement Ages) Act 2025”, and (
- ii)in Part 2, by the insertion of the following paragraph after paragraph 41: “42. Section 6 of the Employment (Contractual Retirement Ages) Act 2025”. PART 4 Penalisation and Offences Protection of employees from penalisation 8.
- a)suspension, lay-off or dismissal (including a dismissal within the meaning of the Unfair Dismissals Acts 1977 to 2015), or the threat of suspension, lay-off or dismissal, (
- b)demotion or loss of opportunity for promotion or withholding of promotion, (
- c)transfer of duties, change of location of place of work, reduction in wages or change in working hours, (
- d)the imposition or the administering of any discipline, reprimand or other penalty (including a financial penalty), (
- e)coercion or intimidation, harassment or ostracism, (
- f)discrimination, disadvantage or unfair treatment, (
- g)injury, damage or loss, (
- h)threat of reprisal, (
- i)withholding of training, and (
- j)a negative performance assessment or employment reference. Parallel claims 9. Where the conduct of an employer constitutes both a contravention of this Act and a contravention of the Employment Equality Acts 1998 to 2021, relief may not be granted to the employee concerned in respect of the conduct under both this Act and those Acts. Offences 10.