AUSTRALIA - The Labor party has called on the government to simplify super choice on the back of a survey which found four out of 10 employers failed to meet the July 28 deadline for handing out super choice forms.
The Superannuation Trust of Australia survey also revealed 20% of employers had not chosen a default fund by the start date of July 1 and more than one third of employers were unaware that giving financial advice is illegal.
Shadow minister for superannuation, Nick Sherry, said the Liberal government was “out of touch” in imposing a new compliance burden on business.
According to Sherry, the “costly red tape burden” for employers under the super choice regime includes ongoing record keeping, payments to multiple super funds and legal liability for advising employees on which fund to choose.
“Super choice required major simplification before employers starting getting hit with fines and or a jail sentence,” Sherry said in a statement.
“Labor has warned time and time again that the new regime is costly and complex for employers.”
Meanwhile, the abolition of the super surcharge was passed in the Senate today after being blocked previously by the Labor party.
The move sees the government make good on its Budget promise to abolish the surcharge with effect form July 1.
Sir Philip Green's restructuring proposals for his retail giant Arcadia will not "adequately protect" its pension schemes' members, The Pensions Regulator (TPR) has said.
The Marks and Spencer Pension Scheme has completed buy-in deals worth £1.4bn with two insurers, mirroring similar transactions last year.
There have now been a total of 47 buy-in and buyout deals of over £500m announced since 2007. The full list, provided courtesy of LCP, is as follows...