Industry funds warn government to ‘leave super alone’

Lobby group Industry Super Australia (ISA) will launch a co-ordinated media campaign “to warn members about the adverse impacts dumping the legislated super guarantee increases could have on their financial interests”. 

In the campaign’s crosshairs are the likes of senator Andrew Bragg and MP Tim Wilson, who has been a strident critic of superannuation through his home first, super second campaign as well as in his position as chair of the standing committee on economics.

“Some federal politicians want to break an election promise and cut super, forcing Australians to work longer or retire with less. It’s time for the government to leave people’s super alone,” said ISA chief executive Bernie Dean.

“Rather than getting the legislated super boost, politicians want Australians to sell their family home to fund retirement. Our members expect us to protect their financial interests and warn them about changes that will leave them worse off at retirement and that’s exactly what this campaign will do.”

The campaign will likely draw the ire of the Morrison government, which has attempted to stamp out advertising that is not in the best financial interests of members with its yet to be legislated Your Future, Your Super reforms. Previous ISA campaigns – including the infamous fox and henhouse, targeting the for-profit super sector – have courted controversy due to the use of members funds to pay for them. 

“Super funds waste workers’ money on advertising so they can fleece more money from workers through compulsory super’s obscene fees. It’s a circle of grift,” said Mr Bragg.

While Prime Minister Scott Morrison has yet to make a decision on the legislated increase to 12 per cent, Minister for Superannuation Jane Hume has signalled that it is unlikely the government would freeze the increase despite the findings of the Retirement Income Review. 

“Everything this government does is about trying to lower the cost to business to employ more people and to encourage wage rises. This legislation is already there, and it does the opposite of that. It puts us in an awkward position because it’s already there,” Ms Hume told media.