While the changes to superannuation have been welcomed by many, workers in the gig economy and women remain at risk of being left behind. Suzanne James reports.
Former Prime Minister Paul Keating loved this quote of his long-time mentor former NSW Premier Jack Lang. I was reminded of its currency and utility recently, when I read that the Association of Superannuation Funds of Australia (ASFA) had made an (overdue) entrance to the public debate about the costs and benefits of the emerging “gig” economy — let’s be honest, it’s mainly costs.
In another example of wage theft, the Australian Tax Office (ATO) has revealed that employers have failed to pay superannuation for their staff by an average of $2.81 billion every year between 2009 and 2015: a total of $17 billion.
The worst offenders were small and medium businesses in the construction, retail, food and accommodation sectors.
The ATO has been investigating "the superannuation guarantee gap" — the difference between the 9.5% superannuation guarantee payment required by law and the contributions employers actually make.
Superannuation should provide a comfortable retirement for the several million workers who signed up to the 1983–95 “superannuation revolution” by the ACTU and Hawke-Keating Labor governments. But what should be in a super account to provide a comfortable retirement for this “pioneer” generation?
Australia's four big banks plus AMP are ripping off the country's workers with huge fees charged on their superannuation investments, a recent study has revealed.
New research carried out by Rainmaker for Industry Super Australia, a mainly union-backed body, shows that the retail super funds, largely operated by the big banks, absorb about half of all fees charged in the superannuation system, despite holding only 29% of retirement savings.