Rest, one of Australia’s largest profit-to-member superannuation funds, has welcomed yesterday’s significant progress in making the super system work more fairly, particularly with the removal of the $450 monthly income threshold for Superannuation Guarantee eligibility.
“The $450 income threshold is an inequitable measure that has disadvantaged thousands and thousands of low-income workers for far too long. It’s a welcome step towards improving the retirement outcomes and financial security for so many people with low incomes, especially women,” said Vicki Doyle, CEO of Rest.
“Rest has been advocating for this for many years, and we’re pleased this has finally been achieved. We congratulate the Government and Parliament for addressing this.”
In addition to the removal of the $450 monthly threshold, Rest also welcomed other significant changes enacted by Parliament yesterday, including the disallowance of new regulations relating to proxy advice, and the passage of the Retirement Income Covenant.
“We were pleased to see that the new regulations for proxy advisers were disallowed by the Senate. These regulations were unnecessary and detrimental to the financial interests of Rest members,” said Ms Doyle.
“We also welcome the confirmation of the Retirement Income Covenant. Dedicated retirement income strategies will help members achieve their personal best retirement.
“Rest will continue to advocate for improvements that make the system fairer and improve retirement outcomes for our members and all Australians, particularly for women.
“We urge the Government to include superannuation contributions as part of the Parental Leave Pay and Dad and Partner Pay schemes in the upcoming 2022-23 Federal Budget.”