The Greens are instigating a ground-breaking push to make super better for women.
In 2011-12, the average woman’s superannuation balance at retirement was $92,000 less than their male colleagues’. Women consistently earn less super throughout their working lives, culminating in a huge disparity in retirement savings between men and
It is currently considered a breach of Australian anti-discrimination legislation to contribute unequal amounts of super to male and female employers. This means, if employers were to pay more super to women in order to compensate for disadvantages such as parental and carers leave, they could be found to be in breach of the Act.
Earlier this month, the Association of Superannuation Funds of Australia released a report detailing some possible ways to address the gender gap when it comes to superannuation. One of the report’s main proposals was to reform the Anti-Discrimination Act to allow employers to contribute more in super to their female employees than male.
Yesterday, Greens Deputy Leader and workplace relations spokesperson Adam Bandt announced he is moving a private members bill to do just that.
Called the Sex Discrimination Amendment (Boosting Superannuation for Women) Bill 2014, Bandt’s bill will ensure employers can make the decision to boost women’s super without being found in breach of anti-discrimination laws.
“Women are falling behind when it comes to super, ending their working lives with less to retire on than men,” Bandt said.
“We need laws that reflect the reality of women’s working lives. Women are more likely to take time out of the paid workforce for care-giving, they are paid on average up to 25 per cent less than men and there is an increased prevalence of women in casual and part-time employment.”
Currently, employers can apply to the Sex Discrimination Commission for an exemption in order to pay more super to women, and the Commission assess requests on a case by case basis. Some companies, such as consultancy firm Rice Warner, have successfully applied for the exemption, however Bandt said he believes this roadblock should be removed to allow all companies to boost super for women.
Queensland Senator and Greens spokesperson for women Larissa Waters has announced her support for the bill.
“This bill gives employers the opportunity to act to fix the systemic inequality that women still face,” Waters said.
“The bill implements one of the recommendations of the Association of Superannuation Funds of Australia outlined in a recent report – The future of Australia’s super: a new framework for a better system,” Waters said.
“The gender inequality of both pay and super are compounding to leave many women disproportionately impoverished in their old age.”