Union Super Funds To Bankroll New Far-Left Publication

The HR Nicholls Society has previous raised concerns about the use of superannuation funds to advance the union agenda with a special commissioned report by Barry Rafe on anti-competitive superannuation requirements in the Fair Work Australia Act and a presentation at our last conference by Paul Fletcher MP on superannuation being used to expand union power and influence. 

Now, it appears that industry super funds are preparing to use their members money to bankroll a new far-left online publication: Read more

Media Reports: How Super Rules Limit Competition

The launch of our report yesterday on how changes under the Fair Work Act to superannuation requirements stifle competition and innovation, has attracted significant media interest.

Here are three pieces worth reading closely:

 The Australian (Paywall Protected) – Super rules limit competition, report says

COMPETITION to manage the super contributions of workers who don’t choose their own fund is being strangled by excessive, pro-union regulations, a new report argues.

 

The federal government’s decision to limit the number of funds that can be listed as default funds in modern awards to about 15 from 2015 — against the advice of the Productivity Commission — will bias the industry in favour of the status quo, says Barry Rafe, a former head of the Actuaries Institute.

Click HERE to keep reading Read more

Anti-Competitive Superannuation Requirements in Fair Work Act

Following changes to the Fair Work Act in December 2012 and June this year requiring awards to list default superannuation funds, after a two stage vetting by the Fair Work Commission, the HR Nicholls Society commissioned the superannuation expert and actuary Barry Rafe to review the changes.

The report finds that the changes entrench the industry funds (controlled jointly by unions and employer associations) and duplicate APRA’s oversight.  The new requirements are biased against new entrants, including retail funds, and against innovation.  The changes are anti-competitive and will create cost to employers as well as potentially disadvantaging superannuation fund members.

Report abstract and full report after the jump Read more