ASFA, the voice of super, has called on the Federal Government to develop a National Retirement Income Strategy that would guide the primary purpose of the retirement income system, and set the long-term vision for what life after work might look like.
ASFA CEO Mary Delahunty used her address at the superannuation peak body’s national conference today to call for the strategy that would acknowledge how the three pillars of retirement income – superannuation, the age pension, and private savings – interact to ensure all Australians have access to adequate, sustainable and equitable retirement income.
“Australia’s successful superannuation system has come to be seen as the cornerstone of retirement income. In order to provide the best outcomes for Australians, we need to build a better understanding of interface between super, the pension, and private savings, and what that means for Australians in retirement,” Ms Delahunty said.
ASFA is calling for a government-led process which would convene a broad range of stakeholders from government and non-government organisations representing the pillars of retirement, representing Australians of various ages, and representing relevant sector bodies within superannuation and broader employer and employee organisations.
The purpose would be to build a comprehensive framework to unify and guide the nation’s approach to retirement income and, over time, build a greater understanding of the roles and purpose of the pillars of retirement income.
“National strategic plans are comprehensive documents developed by governments to outline the vision, long-term goals and priorities for addressing critical issues affecting our nation.
“We have seen these tools play a critical role in advancing the national conversation on disability, homelessness and ageing, and the time is right to bring this type of planning to our retirement income system,” Ms Delahunty said.
As the nation’s demographics change, with a shift to more people living longer in retirement, and a reduced working age population, ASFA says the creation of a national retirement income blueprint will provide:
- A clear standard of dignity in retirement and a pathway to achieve this for more Australians.
- A framework for the development of policy that connects the three retirement income pillars.
- An appreciation for the role that superannuation plays as the only universal pillar, and clarity on how this interaction is reflected in the Retirement Income Covenants.
“We believe this strategy should also encourage coordination with major areas of social policy, ensuring alignment with healthcare, aged care and housing policies and recognising their impact on the adequacy of retirement incomes,” Ms Delahunty said.
ASFA is proposing a National Retirement Income Strategy would touch on a number of key components including adequacy and equity measures, sustainability and intergenerational fairness, flexibility and adaptability and monitoring and reporting.
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.
