Long-Serving Employee Wins Age Discrimination Case
A 65-year-old factory worker has won €18,000 in compensation after being forced to retire against his wishes. Liam Murphy, from Shannon, Co Clare, had worked for Deepak Fasteners for 45 years. When he reached 65 in February 2022, he asked to stay on for one more year until reaching State pension age. The company refused.
Company’s Reasoning Rejected by the Court
The company said it wanted to hire new workers with specific skills as it tried to change its business direction. Management also raised concerns about the overall age profile of its workforce. However, there was no mandatory retirement age in Mr Murphy’s contract. His work performance and concentration had not been questioned, and there were no safety concerns.
How the Case Reached the Labour Court
Initially, Mr Murphy brought a claim to the Workplace Relations Commission (WRC), arguing that the decision was discrimination based on age. The WRC did not find in his favour. He then appealed to the Labour Court, which reviewed the evidence in detail.
Why the Court Ruled for the Worker
The Labour Court found that the company had not meaningfully engaged with Mr Murphy’s request to continue working. It also concluded there was no objective reason for forcing him to retire at 65. As a result, the court awarded him €18,000 in compensation.
Union Response
Rachel Hartery of SIPTU’s Workers Rights Centre welcomed the ruling. She said Mr Murphy had been “discarded” after decades of loyal service. She also criticised the employer’s lack of consideration for his request to continue working.
Wider Impact on Retirement Age in Ireland
Currently, there is no single law in Ireland forcing employees to retire at 65. Retirement age depends on the contract, workplace policies, and whether there are objective reasons for setting one. A proposed law to let workers stay on until they reach State pension age has been introduced but has yet to progress.
Know Your Rights on Retirement
If your employer asks you to retire, they must have:
- A clear contractual retirement age
- An objective and reasonable justification
- Evidence they have engaged with your request to stay
If you believe you have been forced to retire without fair reason, you may have grounds for a claim under Irish employment equality laws.
Key takeaway: This Labour Court decision reinforces that employers cannot simply force retirement at 65 without proper justification. Both employees and employers should seek legal advice before making decisions about retirement age.
📩 At Employment Matters, we help workers challenge unfair retirement decisions and fight age discrimination. Contact us today for confidential advice.
