Age discrimination occurs when someone is unfairly disadvantaged for reasons relating to their age which cannot be objectively justified. It has been illegal in the UK since 2006, with the law now incorporated into the Equality Act 2010. People of all ages can be affected, especially younger and older workers, and the growing number of older people in employment makes this group a key focus.

This factsheet offers an overview of the different types of discrimination with examples of how this applies to age. It mentions retirement and suggests good employment practices covering recruitment, reward, development, promotion, retention and redundancy. Lastly, the factsheet offers an action plan for employers.

The moral case for building fairer and more inclusive labour markets and workplaces is indisputable. Everyone deserves the same opportunities to develop their skills and talents to their full potential, work in a safe, supportive and inclusive environment, be fairly rewarded and recognised for their work and have a meaningful voice on matters that affect them.

But it’s also vital for the sustainability of businesses and economies: when we embrace and value the diversity of thoughts, ideas and ways of working that a diverse mix of people brings to an organisation, everyone stands to benefit. In addition to the cost to individuals of facing prejudice or bias as a result of missing out on job opportunities, factors such as people living and working longer and expected restrictions on employers’ ability to recruit talent across the EU mean that creating more-inclusive workplaces is becoming even more important.

The CIPD is committed to the removal of age discrimination in employment and our research suggests age diverse teams can benefit both individuals and the organisation. Being a genuinely inclusive employer will benefit an organisation’s reputation and brand image, impacting their ability to recruit great people and being attractive to customers.

Age discrimination arises when someone is unfairly disadvantaged for reasons, which cannot be objectively justified, relating to their age.

It can:

  • adversely affect anybody and their employment opportunities, regardless of how old they are
  • result in failure to consider skills-based abilities, potential and experience in the workplace
  • result in significant legal costs, compensation, and settlements paid to avoid defending expensive discrimination claims.

It’s unwise to base employment decisions on age because it’s a poor predictor of performance and it’s misleading to equate physical and mental ability with age. Employment decisions based on age are only legally permitted when they are objectively justified (when they are a proportionate means of achieving a legitimate aim). The efficient and effective use of people’s skills requires that employment decisions should be based on competencies, qualifications, skills, potential and objective job-related criteria obtained through careful analysis of job requirements and job performance.

In Great Britain, discrimination on the grounds of age, originally introduced by regulations in 2006, is now contained in the Equality Act 2010.

Key points:

  • The provisions protect people of all ages in employment regarding recruitment, promotion, reward and recognition, redundancy and vocational training.
  • The provisions apply to all employers, providers of vocational training, trade unions, professional associations, employer organisations and trustees and managers of occupational pension schemes.
  • Occupational pensions are covered by the provisions, as are employer contributions to personal pensions although, generally, the way in which pension schemes work is not affected.
  • The provisions do not affect state pensions.

The Equality and Human Rights Commission has published publish a range of guidance on all aspects of the Equality Act. CIPD members can find out more in our Age discrimination Q&As.

In the referendum on 23 June 2016 the UK voted to leave the EU. Our Brexit hub has more on what the implications might be for employment law.

Types of discrimination

Within the Equality Act 2010 there are a number of different types of discrimination. These apply to the protected characteristics, which include age.

Direct discrimination

This applies to all protected characteristics. It's treating someone less favourably than another person because of a protected characteristic that they have. For example, it's promoting or demoting someone because they're of a specific age, regardless of their ability or experience. Direct age discrimination can potentially be objectively justified in the same way as indirect age discrimination.

Indirect discrimination

Indirect discrimination occurs when:

  1. a provision, criterion or practice is applied to all, and:
  2. it puts a group with a protected characteristic at a disadvantage when compared with another group
  3. an individual is put at a disadvantage
  4. the employer cannot show it to be a proportionate means of achieving a legitimate aim

For example, if a criterion is put in place that an employee must have at least 10 years’ service before being eligible to apply for promotion, this means that employees under the age of 26 cannot be promoted. This would be unlawful unless the employer could show that there was a good reason for the 10 years’ service being required.

Associative discrimination

This is treating someone less favourably because they associate with an individual who has a protected characteristic. For example, treating someone unfairly because they're part of a group of young employees, even though they themselves are older.

Perceptive discrimination

This is treating someone less favourably because it's perceived that they have a protected characteristic, whether they do or not. For example, refusing to appoint someone because it's wrongly thought that they are a particular age.

Victimisation

Victimisation occurs when someone is treated less favourably because they've made or supported a complaint, or raised a grievance under the Equality Act 2010. It also applies if it's thought that they've made a complaint. A comparator isn't required for a claim of victimisation. Post-employment victimisation can occur - for example, refusing to give a reference to someone who had made a complaint under the Equality Act 2010 - although the Act has some grey areas concerning post-employment victimisation.

Harassment

Harassment is ‘unwanted conduct related to a relevant protected characteristic, which has the purpose or effect of violating an individual’s dignity or creating an intimidating, hostile, degrading, humiliating or offensive environment for that individual’.

There’s no longer any specific legislation making employers liable for harassment that comes from a third party (for example, a customer). However an employer can still be liable as a result of numerous other legal duties, for example breach of contract, direct discrimination and under the Protection from Harassment Act 1997. This, and good practice, mean that employers should continue to take steps to protect employees from all forms of harassment. 

Find out more in our factsheet on workplace bullying and harassment.

Positive action

Employers can take positive action, for example to address under-representation or other forms of disadvantage within the workforce. The provisions are complex and must be handled carefully. Different provisions apply concerning positive action relating to recruitment and promotion. See the guidance from Citizen’s Advice.

Other important legal points

  • Length of service requirements for employment benefits practices of five years or less are legal.
  • Length of service requirements for employment benefits practices of periods longer than five years may also be justifiable if the employer can show that they've awarded the benefit to reward loyalty, to encourage motivation or to recognise the experience of a worker.
  • The National Minimum Wage and National Living Wage are still related to age, as is the basic award used when calculating unfair dismissal awards.

It's still theoretically possible for an organisation to have a specific retirement age, but this has to be objectively justified which is extremely difficult for most employers to establish.

Employees may agree to retire at a certain age, but employers can now only enforce dismissal of an older worker by following a fair dismissal procedure and relying on one of the fair reasons for dismissal.

CIPD members can find more information on the removal of the default retirement age in our Age discrimination Q&As.

As part of coherent diversity, inclusion and employee engagement strategies, employers should undertake thorough reviews or equality analyses of policies and working practices to remove unfair discrimination and bias. This is key to creating open workplace cultures where to be different is not a problem but an asset. Feedback from employees with disabilities and long-term conditions should be included to foster an open and inclusive workplace culture. Our podcast on thinking strategically about age diversity discusses how organisations can support different generations of workers.

The number of older people in the workplace is expected to increase significantly over the next 20 years. Our reports Managing an age-diverse workforce: what employers need to know and Managing an age-diverse workforce: employer and employee views explore some of the key issues. Our guidance produced in collaboration with the Scottish Centre for Healthy Working Lives and NIACE, Managing an ageing healthy workforce: a national business imperative, is designed to help employers respond successfully to the talent management challenges of older workers. Creating longer, more fulfilling working lives is a comparative study covering five European countries which investigates how employers can best manage an increasingly older workforce in the context of their health and well-being and care responsibilities

Employers need to ensure they're not vulnerable to legal claims by checking that all their policies and procedures are in line with legal requirements and this will improve business efficiency and effectiveness.

Managing age: a guide to good employment practice, published with the TUC, helps employers and trade unions understand how to meet the requirements of age discrimination law.

Together with the Department for Work and Pensions, we've produced a short guide to good practice for employers Performance and retirement practices – get it right!

Recruitment and selection

Interviewers, and those concerned with selection, should be trained to make sure they understand what causes age discrimination and how to avoid it so they make recruitment decisions based on objective criteria relevant to the job and personal merit.

Age, age-related criteria or age ranges shouldn't be used in advertisements. Rarely, this may be permissible to encourage applications from age groups which don't usually apply. While such forms of encouragement through positive action are lawful, positive discrimination isn't and employers need to make sure they treat everyone fairly regardless of their age, especially when trying to redress imbalances in the average age of their workforces.

While age should not be taken into account in employment decisions, age details are needed by employers for a variety of reasons including, for example, workforce monitoring. However, monitoring information can be asked for in a ‘tear-off’ section of an application form to make sure it isn't used inappropriately in the selection process.

Medical advice

A person’s age shouldn't be used to make judgements about their abilities or fitness. Where such a judgement is required, an occupational health or medical practitioner should be consulted. Age shouldn't be used as a factor in physical test requirements.

Reward

Pay and terms of employment should be based on personal contributions and standards of job performance rather than on age.

Training and development

Employees of all ages should be eligible for training and development programmes. The automatic exclusion of age groups, such as those nearing retirement, is not only potentially unfairly discriminatory, but also leads to a failure to make the best use of talent and can stop people from making better contributions and adding greater value to business performance.

Promotion

Good talent management practice requires the removal of prejudice and stereotyping in connection with appraisal and performance management.

Staff retention

Evidence shows the value of flexible working both as a retention tool and to help people to make an effective return to work.

Redundancy

When making redundancies, the organisation’s future needs for knowledge, skills and competencies should be taken into account to safeguard its economic success. Organisations need to take care in applying their selection criteria. For example, the sole use of ‘last in-first out’ (LIFO) as a method of selecting for redundancy is likely to be unlawful, as it may be indirectly age discriminatory.

An action plan

Review

  • Scrutinise the organisation's people management and development policies, practices and procedures – even those that aren't labelled 'HR' – because age discrimination can occur subtly or overtly anywhere in the employment cycle from recruitment to redundancy or retirement.

Policy

  • Implement a policy on age which tackles age discrimination as part of the organisation's approach to diversity and inclusion.
  • Use only objective job criteria essential for satisfactory performance and ensure that these can be objectively justified.
  • Communicate the policy on tackling age discrimination to all managers and employees and offer appropriate training to make sure it's implemented as intended.

Key actions

  • Conduct an age audit to assess employees’ attitudes towards age and age-related issues, address risks or issues that could lead to future discrimination claims, and create a firm foundation for your policies and practices.
  • Remove the use of age, age guidelines and age-related criteria.
  • Challenge the use of age and age-related criteria in every aspect of employment decision-making.
  • Educate and train all staff about the implications of age discrimination.
  • Use dates of birth for monitoring purposes and administration only. To gain the confidence and trust of job applicants and employees, give written assurances about the way monitoring information will be used and follow this up to ensure that this assurance isn't compromised.
  • Monitor the age profile of your organisation at regular intervals to spot unfair discrimination against particular age groups.
  • Making sure that all age groups have access to development and promotion opportunities and are motivated to continue to improve the contributions they make.
  • Try to avoid using a retirement age, but if one is deemed necessary take very careful steps to ensure it meets the legal standard of justification.

Contacts

The Employers’ Network for Equality and Inclusion (enei)

Acas - age discrimination

GOV.UK - Employers: preventing discrimination

Equality and Human Rights Commission

Age Positive initiative

The Age and Employment Network (TAEN)

Business in the Community - Age at Work Campaign

Centre for Ageing Better

Books and reports

ALTMANN, R. (2015) A new vision for older workers: retain, retrain, recruit. London: Department for Work and Pensions

BROWNELL, P and KELLY, J.J. (2013) Ageism and mistreatment of older workers: current reality, future solutions. Dordrecht: Springer.

FLYNN, M. and HOUSTON, K. (2015) Managing healthy ageing workforces a small and medium sized enterprise business imperative. Glasgow: Healthy Working Lives.

RUBENSTEIN, M. (2017) Discrimination: a guide to the relevant case law. 30th ed. London: Michael Rubenstein Publishing.

UK COMMISSION FOR EMPLOYMENT AND SKILLS (2015) Catch 16-24: youth employment challenge. London: UK Commission for Employment and Skills.

Journal articles

Employing young workers. (2013) Employers' Law. March. pp14-15.

FLEISCHMANN, M., KOSTER, F. and SCHIPPERS, J. (2015) Nothing ventured, nothing gained! How and under which conditions employers provide employability-enhancing practices to their older workers. International Journal of Human Resource Management. Vol 26, No 22, December. pp2908-2925..

LEE, R. and STEPHENS, J. (2015) How can employers prepare for an ageing workforce? Employers’ Law. February. pp.14-15.

ORT, A. (2014) Embrace differences when training intergenerational groups. T+D. Vol 68, No 4, April. pp60-65.

TIRBUTT, E. (2013) The generation game. Human Resources. April. pp60-63.

CIPD members can use our online journals to find articles from over 300 journal titles relevant to HR.

Members and People Management subscribers can see articles on the People Management website.

The Employers Network for Equality & Inclusion (enei)

The Employers Network for Equality & Inclusion (enei)

The Employers Network for Equality & Inclusion (enei) is the UK's leading employer network covering all aspects of equality and inclusion in the workplace, focused on delivering high quality practical advice, products and services to our members. We seek to encourage best practice to enable organisations and people to prosper by valuing difference in the workplace. 

Jill Miller

Dr Jill Miller: Diversity and Inclusion Adviser

Jill joined the CIPD in 2008. Her role is a combination of rigorous research and active engagement with policy makers, academics and practitioners to inform projects and shape thinking.

She frequently presents on key people management issues, leads discussions and workshops, and is invited to write for trade press as well as offer comment to national journalists, on radio and TV. She specialises in diversity and inclusion, employee well-being, people management in SMEs and future HR trends.


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