The Minister for Superannuation on Wed 22.8.2012, announced that the Government is proposing an evidence based and expert led process for selecting and assessing default superannuation funds in modern awards which he said “will ultimately lead to more transparency and competition”.
Mr Shorten said a submission by Treasury and the Department of Education, Employment and Workplace Relations (DEEWR) in response to the Productivity Commission draft report into default fund superannuation arrangements for modern awards “will ensure default funds in modern awards meet the best interests of members”. He added the joint submission supports the Productivity Commission’s suggestion that the selection of default funds for inclusion in modern awards should be undertaken by an expert panel within Fair Work Australia.
The Minister also noted that the joint submission, however, does not support the Commission’s proposal that employers should be able to unilaterally select a fund which is not a default fund listed in the relevant modern award.
The Productivity Commission is due to present its final report to the Government in October 2012.
Source: Minister for Superannuation’s media release No 052, 22 August 2012
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