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More broken promises from Turnbull Government: cuts to superannuation will leave us working longer

05 February 2016 By ACTU

The Australian Council of Trade Unions today raised deep concern about reports the Government is planning to take an axe to superannuation, leaving millions of Australians working well into their 70s.

151006-retirement-willyouhaveenoughtoliveon800pxwACTU President Ged Kearney said the increase in superannuation to 12.5 per cent was always designed to ensure working Australians can afford a dignified retirement.

"If the Government cuts super from 12.5 to 9.5 per cent, it will cost the average worker $100,000 by the time they reach 65, meaning they have to work at least 4-5 years longer to accumulate additional savings," Ms Kearney said.

"Workers should be able to stop working young enough to enjoy a dignified retirement, and the super increases were to ensure they have sufficient savings to do so.

"Australians can now expect to live 20-30 years in retirement, but that is only possible with a healthy superannuation nest-egg."

"We have a superannuation system which is the envy of the world because it allows Australian workers to live a dignified retirement and rely less on the pension, which in turn has a positive impact on the budget bottom line.

"Any moves to cut super would hurt workers, damage the economy by affecting national savings.

She said a clear pattern was emerging in Malcolm Turnbull's economic policy agenda which was of deep concern to the union movement and its members.

"Every time we get a sneak peek at the economic policy agenda of this Government, it reflects what the business lobby is asking for and attacks workers.

"It is becoming very clear whose side Malcolm Turnbull is on and how clearly out of touch with the community this Government is on economic policy."

 

Media contact: Tim O'Halloran, ACTU Media: 03 9664 7315

Contact Details
Name: David Smith, ASU National Secretary
Telephone: 03 9342 1400
Email: info@asu.asn.au