Retirement
Unpaid super deals a $283m blow to SA workers
Industry Super Australia has again called on the federal government to take action on unpaid super.
Unpaid super deals a $283m blow to SA workers
Industry Super Australia has again called on the federal government to take action on unpaid super.
Workers in South Australia lost a total of $283 million due to unpaid super in the 2018-19 financial year, according to a new analysis from Industry Super Australia (ISA).
More than 188,000 workers in the state were impacted with an average loss of $1,500 each, while the amount of unpaid super between 2013 and 2019 totalled $1.6 billion.
“This is a $280 million a year rip off affecting a quarter of SA workers, yet many of them remain unaware, assuming super is being paid because it appears on their payslip,” said ISA chief executive Bernie Dean.
“Our federal politicians get their super paid on payday, so should all of South Australia’s workers.”
The industry body said that 70 per cent of workers were unaware that super could legally be paid four times a year rather than with their wages and added that it could take workers months to discover they had been underpaid.
“The outdated laws and the lack of awareness amongst workers is being exploited by some unscrupulous employers to not pay super,” ISA said.
“Mandating that super is paid with wages will make it much easier for workers to track when payments are made and uncover underpayments quicker, making recovery more likely.”
Alongside its recommendation to mandate super payments at the same time as wages, ISA has also called on politicians to lift enforcement activity of unpaid super and force the ATO to issue and publicise penalties to discourage dodgy employers.
“If the ATO is unwilling or unable to recover SA workers’ savings the law should be changed so that employees, the Fair Work Ombudsman, and others acting on behalf of workers can,” it said.
Workers in the federal electorate of Adelaide had the highest unpaid super bill with a total of $34.5 million, affecting 22,300 individuals, followed by Mayo with $30.2 million for 19,200 workers and Barker with $30.1 million for 19,800 workers.
ISA previously released data on the impact of unpaid super for workers in Queensland, which reached $940 million in 2018-19 and $5.5 billion over a six-year period.
RELATED ARTICLES
Superannuation
Aware Super elevates tech leadership with strategic appointment of Richard Exton
Aware Super, one of Australia's largest industry super funds, has announced a pivotal appointment to its executive team, underscoring the growing importance of technology, data, and artificial ...Read more
Superannuation
Rest appoints Marina Pasika as interim head of private markets
Rest, one of Australia's largest profit-to-member superannuation funds, has announced the appointment of Marina Pasika as the Interim Head of Private Markets. This decision comes as the fund embarks ...Read more
Superannuation
Payday Super bill introduces new challenges for SMBs, reveals Employment Hero CEO
The introduction of the Payday Super bill to the Australian Parliament has sparked a significant response from the business community, particularly among small and medium-sized businesses (SMBs)Read more
Superannuation
Rest urges Parliament to expedite payday super legislation
In a significant move towards enhancing retirement outcomes for Australian workers, Rest, one of the country's largest profit-to-member superannuation funds, has expressed strong support for the ...Read more
Superannuation
Recalibrated super performance test aims to enhance accountability and investment opportunities
In a move that signals a shift rather than a cessation, Australia's government has announced a targeted review of the superannuation performance test. This recalibration, prompted by the latest ...Read more
Superannuation
Super performance test faces a fork balancing member value productive investment and regulatory trust
APRA’s latest superannuation performance test results have reignited a high‑stakes debate: does the test optimise member value or unintentionally curb long‑term investment in housing, infrastructure ...Read more
Superannuation
Aware Super unveils innovative digital tool to boost retirees' financial confidence
Aware Super has unveiled a groundbreaking digital advice tool, Retirement Manager, designed to empower retirees by addressing their most pressing financial concerns. Developed in collaboration with ...Read more
Superannuation
APRA's super shake-up: Balancing accountability and innovation in the next round
Australia’s performance test has forced long-overdue transparency in super and accelerated consolidation. But as the regime broadens, its blunt edges are colliding with investment complexity, ESG ...Read more
Superannuation
Aware Super elevates tech leadership with strategic appointment of Richard Exton
Aware Super, one of Australia's largest industry super funds, has announced a pivotal appointment to its executive team, underscoring the growing importance of technology, data, and artificial ...Read more
Superannuation
Rest appoints Marina Pasika as interim head of private markets
Rest, one of Australia's largest profit-to-member superannuation funds, has announced the appointment of Marina Pasika as the Interim Head of Private Markets. This decision comes as the fund embarks ...Read more
Superannuation
Payday Super bill introduces new challenges for SMBs, reveals Employment Hero CEO
The introduction of the Payday Super bill to the Australian Parliament has sparked a significant response from the business community, particularly among small and medium-sized businesses (SMBs)Read more
Superannuation
Rest urges Parliament to expedite payday super legislation
In a significant move towards enhancing retirement outcomes for Australian workers, Rest, one of the country's largest profit-to-member superannuation funds, has expressed strong support for the ...Read more
Superannuation
Recalibrated super performance test aims to enhance accountability and investment opportunities
In a move that signals a shift rather than a cessation, Australia's government has announced a targeted review of the superannuation performance test. This recalibration, prompted by the latest ...Read more
Superannuation
Super performance test faces a fork balancing member value productive investment and regulatory trust
APRA’s latest superannuation performance test results have reignited a high‑stakes debate: does the test optimise member value or unintentionally curb long‑term investment in housing, infrastructure ...Read more
Superannuation
Aware Super unveils innovative digital tool to boost retirees' financial confidence
Aware Super has unveiled a groundbreaking digital advice tool, Retirement Manager, designed to empower retirees by addressing their most pressing financial concerns. Developed in collaboration with ...Read more
Superannuation
APRA's super shake-up: Balancing accountability and innovation in the next round
Australia’s performance test has forced long-overdue transparency in super and accelerated consolidation. But as the regime broadens, its blunt edges are colliding with investment complexity, ESG ...Read more
