The introduction by the Morrison government of legislation amending the superannuation guarantee to remove the $450/month threshold is a welcome change that will ensure workers are paid superannuation on every hour they work.
The current threshold disproportionately impacts working women who make up approximately 60% of those who miss out of superannuation payments due to this threshold.
While the Finance Sector Union welcomes this long overdue change, it is disappointing that the Morrison Government didn’t use this opportunity to ensure superannuation is paid on all forms of paid leave, including paid parental leave.
The gender gap in retirement incomes is exacerbated by the exclusion of paid parental leave from the superannuation guarantee, and the refusal of the government to pay superannuation on top of the Commonwealth’s paid parental leave scheme – which is overwhelmingly accessed by women.
Comments attributable to FSU National Secretary Julia Angrisano:
“While this is certainly a welcome development, it does highlight that the government missed an opportunity to make a real difference by removing the exclusion of paid parental leave from the Super Guarantee”.
“There is more to be done, and the government is at the back with the stragglers. The finance industry has been leading with way, demonstrating it’s good business to pay superannuation on both paid and unpaid parental leave”.
“The Government has wasted an opportunity to lead the way and make a real difference to all women by ensuring that super is paid on ALL forms of paid leave, including parental leave.”
Media contact John Hill 0412 197 079
27 October 2021