Modern Awards and Superannuation are closely linked – with strict requirements applying in certain Awards as to what choice employees might (or might not) have; and how employers are to account for the superannuation contributions they are mandated to pay under law.
Is your workplace superannuation impacted by the Modern Awards legislation?
Why is critical about two particular dates in the application of the legislation?
What happened in the workplace as from 1 January 2010?
The Rudd Labor Government removed the Howard-Costello government’s Work Choices legislation, replacing it with the Modern Awards legislation. The Modern Awards legislation took effect from 1 January 2010. Its impact has been on all workplace superannuation considerations from that date.
Under the reforms, new Awards have been prescribed – and in a number of cases those Awards specify particular superannuation funds to be used for all employees covered under that Award. There are exemptions available from that requirement and the Fair Work Australia Office should be approached to check applicability to individual employer circumstances.
One of the exemptions available is for employer groups with an eligible choice (default) fund in place since prior to 12 September 2008 (the second critical date).
Is your workplace eligible for this exemption? A consultation with one of the experienced advisers at Continuum Financial Planners will address that issue promptly and efficiently (see below for contact details). Our adviser will listen to what your needs are and convert their understanding of those needs to solutions serving your best interest.
Now that the MySuper legislation has also come into effect, now is a good time to review your at-work superannuation arrangements: to ensure you are getting the best of what superannuation services and accounts are available, contact us to arrange a meeting to discuss your situation: the first meeting will be at our cost.
