This week the Senate is due to consider the long-awaited Objective of Superannuation legislation, which ASFA – as the voice of super – strongly supports.
The Superannuation (Objective) Bill enshrines the objective of super being ‘to preserve savings to deliver income for a dignified retirement, alongside government support, in an equitable and sustainable way.’
“This law will codify what Australians have come to love about superannuation over the last 30 years – that it is their nest egg designed to assist them achieve a dignified retirement,” said Mary Delahunty, CEO ASFA.
Importantly, it requires Members of Parliament who consider changes to superannuation to provide a statement of compatibility which explains how the changes uphold the legislated objective.
ASFA CEO, Mary Delahunty emphasised the importance of a shared understanding of what super is for, and a process so the Parliament must adequately consider changes.
“The objective embeds the principle of preservation – ensuring that the retirement savings of Australians are protected from the whims of ideology and providing certainty to people who have worked so hard to set money aside. The objective also emphasises the importance of equity and the need to ensure that all Australians – particularly lower income earners can experience a dignified retirement.”
“Australia has one of the world’s leading retirement income systems. Key design elements – especially preservation, have been crucial in delivering outcomes for members and the nation. This legislation enshrines those elements and is a step forward that will give our system the direction it needs to meet the challenges of tomorrow.”
The preservation of super is not just a technical design feature of the system, but a cornerstone of trust between Australians and their retirement savings. This trust allows Australians to plan for their future with confidence, knowing that their super is being protected and that they will have the income needed to enjoy a dignified and secure retirement.
“As the super industry, our ask is simple: let’s remain steadfast in our commitment to the preservation of super for its primary purpose – to fund dignified retirements,” Ms Delahunty concluded.
For further information, please contact ASFA Media team: 0451 949 300
About ASFA
ASFA, the voice of super, is the peak policy, research and advocacy body for Australia’s superannuation industry. It is a not-for-profit, sector-neutral, and non-party political, national organisation. ASFA’s mission is to continuously improve the superannuation system, so all Australians can enjoy a comfortable and dignified retirement.
