A Shorten Labor Government will invest more than $655 million to boost the superannuation balances for women and low-income earners.
Universal compulsory super is one of Labor’s greatest achievements.
Super has already ensured a better retirement for millions of Australians. But right now, women on average retire with over 40 per cent less super than men.
In 2015-16, the average balance at retirement was $270,710 for men and $157,050 for women.
Closing this gap is absolutely critical to ensuring that Australian women enjoy dignity and security in retirement.
A Shorten Labor Government will strengthen our superannuation system by taking steps to boost the superannuation balances for women and low-income earners.
- A Shorten Labor Government will pay the Superannuation Guarantee on Paid Parental Leave and Dad and Partner Pay payments from 1 July 2020. Labor’s policy is estimated to benefit 167,000 recipients of Paid Parental Leave payments and 80,000 recipients of Dad and Partner Pay payments in 2020-21.
- Labor will also phase out the $450 per month minimum income threshold for eligibility for the Superannuation Guarantee from 1 July 2020. About 60,000 people are estimated to become eligible for the Superannuation Guarantee from their employers in 2020-21 as a result of this policy, increasing to 400,000 people in 2024-25.
- Labor will amend the Sex Discrimination Act to ensure that businesses are able to make higher superannuation payments for their female employees when they wish to do so. We will ask the Australian Human Rights Commission to advise on the most appropriate legislative approach and to develop guidelines and advice for any organisation contemplating providing additional superannuation payments for women.
- Labor will release an annual women’s budget statement which will provide greater transparency and consideration of gender across government as well as an opportunity to understand policy impacts across budgets.
- Labor will ensure that Labor’s Council of Superannuation Custodians considers and reports on the impact on women of any future superannuation changes that it recommends to the Government. The Council will make recommendations on legislative changes to superannuation tax policies every five years, in line with the release of the Intergenerational Report.
We will pay for these commitments by making multinationals pay their fair share and closing tax loopholes used by the top end of town.