One of the coalition government's first moves after it gained power was to announce plans to scrap the retirement age.

There was still some debate as to whether plans would go ahead as industry and unions had warned that it could stunt progress for young people.

In its response to a consultation document, issued today, the government said it would phase the DRA out between 6 April and 1 October. It has also issued guidance to help businesses adapt to the change.

From 6 April 2011, employers will not be able to issue any notifications for compulsory retirement using the DRA procedure and between 6 April and 1 October, only people notified before 6 April and whose retirement date is before 1 October can be compulsorily retired using the DRA.

After 1 October, employers will still be able to operate a compulsory retirement age, provided they can objectively justify it.

The government has said the move will cut administrative costs for companies that would have had to apply for a right to request working beyond retirement.

Employment relations minister Edward Davey said: "Retirement should be a matter of choice rather than compulsion – people deserve the freedom to work for as long as they want and are able to do so.

"Older workers can play an incredibly important role in the workplace and it is high time we ended this outdated form of age discrimination. We are putting in place support to help business adapt to the change, but it is important to remember that about two-thirds of employers already operate without fixed retirement ages - and many of those with retirement ages already offer flexibility for workers to work longer."

As well as the consultation response and guidance, the government has published an age positive guidance, explaining how many employers manage without fixed retirement ages and the benefits gained by both parties.