The Ending of Mandatory Retirement in Ontario

As of December 12, 2006 Ontario residents can decide for themselves whether they want to continue working past the age of 65 or whether they want to terminate their employment and start to enjoy their retirement. In Ontario, a new law, Bill 211 came into effect “Ending of Mandatory Retirement Statue Law Amendment Act of 2005.” The bill was given Royal Assent on December 12, 2005 however in order to allow employers time to make the necessary provisions and adjustments it did not come into effect until one year later.1 This law amends the Ontario Human Rights Code as well as a number of other statutes that prohibit mandatory retirement at age 65, except in cases where it could be justified as a “bona fide occupational requirement” determined under the code. A bona fide occupational requirement compels the employer to show that they cannot accommodate the employee without undue hardship, taking into consideration such factors as cost, health and safety issues. A bona fide occupational requirement is allowed under the Ontario Human Rights Code because of the nature of the employment. They must also establish that the requirement was adopted in good faith and that the requirement is necessary and rationally connected to the performance of the job.

The abolishment of mandatory retirement has been under construction for quite some time now. The Ontario Human Rights Commission released the paper: “Time for Action – Advancing Human Rights for Older Ontarians” in June 2001. They argued that mandatory retirement policies “undermine the dignity and self worth of older employees” and that the definition of age under employment of the Human Rights Code should be changed.2 The Code defined “age” for employment purposes as being eighteen years or older but younger than sixty-five years. This meant that employers were