The Federal Government has finally passed legislation to remove the $450 threshold to receive Superannuation contributions. The requirement to earn AT LEAST $450 per month from one employer to receive superannuation payments will be scrapped from 1 July 2022.
HACSU, along with other unions, have long advocated for the removal of the threshold. We recognise it has unfairly disadvantaged low paid workers, including those in precarious employment, and led to poorer retirement outcomes. This has disproportionately impacted women, particularly those carrying out essential yet still grossly underpaid work in sectors such as disability.
These workers are more likely to be insecurely employed in casual and part-time roles, working with multiple employers to make a living.
"For too long, we've seen workers, particularly essential workers in insecure work, miss out entirely on receiving superannuation. This decision is a win in the ongoing fight against income insecurity, as well as a step towards closing the gendered retirement gap," said Kate Marshall, Assistant State Secretary
This win is a step towards equal retirement outcomes for all workers. HACSU is continuing to fight for
- Payment of superannuation on parental leave to help achieve equal retirement outcomes.
- Ensuring the increase of the superannuation guarantee to 12% occurs.
- Superannuation to be paid with wages instead of only every three months — a change that can see workers earn thousands more in compounding returns.
Members have already had wins at a range of employers over the last year, and we know there are more wins to come. If you have questions or want to know how to get involved, contact your delegate or HACSU.