Bill Shorten’s changes to superannuation do not go far enough in delivering to Australians a transparent, conflict-free retirement system, says the Opposition’s Spokesman for Superannuation Senator Mathias Cormann.
Under the Labor Government, Australia’s Fair Work Act has what is the appropriate default superannuation fund under an Award.
“But this protects Bill Shorten’s friends in the super industry,” says Cormann. “The current process is not open, transparent or competitive, as was recognised by the Labor Government before the last election.”
Cormann says Jeremy Cooper’s review of the $1.4 trillion superannuation industry called for independent directors – something Shorten has ignored, Cormann says.
“If independent directors sit on the industry super boards then it helps protect members,” says Cormann. “When directors want to sit on multiple superannuation boards, conflicts of interest can arise and must be properly managed.”