16/06/2026
Insights Blog

The Employment (Contractual Retirement Ages) Act 2025 Commencement Order 2026 has been published, confirming that the Act will commence on 29 June 2026.

The Act adopts a consent based approach to the issue of contractual retirement ages. It provides that where an employee is subject to a contractual retirement age (‘CRA’) that is less than the pensionable age and does not consent to retire at the CRA, they must notify their employer in writing:

  • at least 3 months but not more than 1 year before the date on which they would reach the CRA; or
  • where the employer notification period is greater than 3 months, not less than the employer notification period or the period of 6 months, whichever is shorter.

Significantly, the Act introduces a new offence in respect of which both bodies corporate and individuals can be prosecuted. The Act provides that an employer who, without reasonable cause, fails to provide an employee with a reasoned written reply will be guilty of an offence and liable on summary conviction to a class A fine (i.e. a fine not exceeding €5,000) or imprisonment for up to 12 months or both. The offences apply to both the body corporate itself and, where proven to have been committed with the consent or connivance of any person, to directors, managers, secretaries or other officers of the body corporate and anyone purporting to act in any such capacity.

When the Act was signed into law at the end of last year, the Government indicated that it would not be commenced until the Workplace Relations Commission’s Code of Practice on Longer Working had been revised. We understand that the Minister for Employment, Small Business and Retail, Alan Dillon TD, received the updated Code in May 2026. Given that the Act will be commenced later this month, it is anticipated that the revised Code will be published shortly.

For a detailed consideration of the Act, see our Insights Blog post here: Changes to retirement ages on the way: The Employment (Contractual Retirement Ages) Bill 2025 is published | Arthur Cox LLP