Have your say on Government’s super charter

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In April, the Government announced that it would establish a Charter of Superannuation Adequacy and Sustainability, as well as a Council of Superannuation Custodians to serve as guardians of the Charter.

Yesterday it released a discussion paper calling for feedback on how to implement the Charter. The Charter will be developed against the principles of certainty, adequacy, fairness and sustainability. The Government has asked for opinion on each of the four objectives:

  • Certainty: It will discuss what safeguards can be placed on changes in the superannuation system to promote certainty and how the Charter can reflect procedural fairness, e.g. providing adequate notice of future changes and transparent consultation processes.
  • Adequacy: The paper questions what benchmarks should be used to measure the adequacy of the super system.
  • Fairness: When it comes to Government assistance, the paper asks how help can be distributed fairly, saying that “people with higher asset levels in retirement are likely to have received the greatest assistance throughout their lifetime through significant superannuation tax concessions”.
  • Sustainability: The Government has asked how the costs and benefits of the super system can be measured.

The paper has asked whether the Charter should be a policy document or enshrined in legislation.

Shorten also appointed the Honourable Alan H Goldberg AO QC, Ross Jones, deputy chair and member of APRA; Jeremy Cooper, chairman of retirement income at Challenger Limited; Elana Rubin, former chair of AustralianSuper; and Steve Tucker, former CEO of MLC, to sit on the Charter Group and seek input on the establishment of the Council of Superannuation Custodians.

The Council is to act as an impartial, expert superannuation body, effectively ‘stewards’ of the superannuation system. Its role could be to:

  • Assess the compatibility of proposed future superannuation policy changes or legislation referred to it against the Charter.
  • Consult where required on issues referred to it by the Minister.
  • Produce annual reports on the adequacy, performance and sustainability of the system.
  • Conduct research and publish statistics.
  • Make recommendations for improvements to the superannuation system.

Will you be making a submission to the Government’s discussion paper?