London companies face ages discrimination threat

As Age Discrimination legislation comes into force, research from Entegria, one of the UKís leading pension consultancies, reveals only 56% of London based companies will be compliant with the legislation. 18% will not be compliant, with 24% unsure whether their company would be compliant in time.

The legislation, outlawing discrimination by employers on grounds of age comes into force on 1 October 2006, with provisions relating to pensions on 1 December 2006. Companies need to review their employment policies, practices and benefits to adhere to this new legislation.

Entegria surveyed a cross section of London based companies representing over 200,000 employees on how their company would be affected by the legislation at its Age Discrimination seminars on 28 September 2006.

ìRetiring employeesî greatest challenge for London business

The research showed 89% of London based companies believed the legislation would present significant challenges, with 70% naming ìretiring employeesî and 51% citing ìrecruitmentî as the areas of greatest impact.

86% of companies have had to review their pensions arrangements, with 56% reassessing their group life insurance. 29% of London companies believe the new legislation will change the way they incentivise and reward their employees.

Pat Wynne, Director, Entegria, commented:

ìAge Discrimination creates potential pitfalls for companies. This research shows that many London companies are not sufficiently prepared for this new legislation. Whilst all had undertaken activity, many companies remain confused by the legislation, and what actions they need to take.

ìIt is essential that companies seek professional advice about the impact of the Age Discrimination on company practices and benefits. Failure to do so could result in companies falling foul of this important new legislation.î

Entegria helps employers, trustees, scheme managers, HR professionals and scheme advisers understand the impact of the Age Discrimination regulation on company practices and benefits. Entegria offers practical and workable advice on how companies can best address the implications of the new legislation.

For further details, companies can contact Entegriaís London office on: 44 (0) 207 680 1990.