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What is meant by compulsory retirement? - Business Studies

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What is meant by compulsory retirement?

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Solution

Compulsory retirement is the practice of ordering employees to retire at a specific age, usually specified by organisational policies, industry laws, or government legislation. Mandatory retirement means employees are legally or contractually obligated to leave the labour at a certain age, regardless of their choice or ability to work. Compulsory retirement policies are commonly used to manage workforce demographics, simplify succession planning, and provide opportunities for younger employees to improve their careers.

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Retirement
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2023-2024 (February) Official
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