Independent move for stronger super protection when employer goes bust
Independent Member for Indi Cathy McGowan has sought further government action on the superannuation “emergency” affecting Indi people to the tune of nearly $23m.
Ms McGowan has introduced a motion to the Parliament urging the government to adopt all 32 recommendations of a Senate report on Superannuation Guarantee non-compliance.
The government will introduce a package of reforms to give the Australian Taxation Office stronger recovery powers, but Ms McGowan said the reforms needed to go further.
“I welcome the strengthening of employer penalties for non-compliance, increased powers for the ATO when dealing with repeat offenders, and a ‘single touch’ payroll electronic payments system,” Ms McGowan said.
“However, I call the Government to act on further key reforms including establishing a safety net to cover workers when employers become bankrupt and improved payslip reporting.”
Ms McGowan praised Wangaratta woman Cheryl Robl who has highlighted the personal impact of missing out on her superannuation entitlements.
“Ms Robl’s employer had declared bankruptcy, leaving her retirement fund short-changed by more than $8000. I wrote to the Minister for Revenue and Financial Services, Kelly O’Dwyer in December 2016 and then asked her in Parliament about Ms Robl’s case.”
Ms Robl is not alone, with people in Indi underpaid $22,904,770, according to a December 2016 report from Industry Super Australia and Cbus.
“As a local, independent and effective member, I am proud to bring these issues to the Parliament and to advocate for my community,” Ms McGowan said.
“I will continue to advocate for Cheryl Robl and all of those impacted when they don’t receive their full entitlements. The Superannuation Guarantee has to be seen as part of Australians’ retirement savings and it must be paid.”