Given the role of superannuation as an important workplace entitlement, ISA welcomes the opportunity to provide input into the Senate Economic References Committee’s inquiry into the unlawful underpayment of employees’ remuneration.
The recommendations we put forward here reflect those we have consistently made in other contexts; most recently to an Attorney-General’s Department consultation paper on strengthening penalties for the non-compliance of wages and entitlements.
ISA welcomes the Committee’s acknowledgement of the scale of the problem of wage and superannuation theft. The withholding of Superannuation Guarantee entitlements by employers – deliberate or unintentional – unfairly limits employees’ capacity to prepare themselves financially for retirement. The practice also increases the burden on government to fund the age pension.