Employers will miss out on talent if they continue to wait for the European Court of Justice (ECJ) to abolish mandatory retirement age, according to the Chartered Institute of Personnel and Development (CIPD).

An online poll of 255 employers carried out by the CIPD has found that the default retirement age has caused employers to miss out on talent. The poll found that the default retirement age has prevented around one in five employers from offering jobs to those aged 65 or older.

Dianah Worman, CIPD diversity adviser, says: “Our research finds older workers generally perform better, are more loyal and reliable, and they have lower sickness absence rates than other jobless groups. At a time when organisations continue to face recruitment and retention difficulties older workers are not a group that employers can afford to ignore.

“Abolishing mandatory retirement would give older workers more choice and flexibility in deciding how and when they stop working, but would also benefit business and the wider economy by encouraging better management of older workers, and extending access to a wider pool of skilled and experienced labour."