Low-paid workers benefit from super laws

Josh Frydenberg has introduced laws to abolish the $450 monthly income threshold for superannuation.
Josh Frydenberg has introduced laws to abolish the $450 monthly income threshold for superannuation.

The introduction of laws to abolish the $450 minimum threshold for superannuation guarantee contributions has been hailed as a win for low-paid workers.

The Morrison government on Wednesday brought to parliament a bill to removing the monthly income threshold under which employees do not have to be paid the superannuation guarantee by their employer.

"This will remove a structural discrimination that has been part of the superannuation system since 1992, improve equity in the superannuation system and increase the economic security of women in retirement," Treasurer Josh Frydenberg said.

ACTU assistant secretary Scott Connolly said it was a significant step forward towards workers being paid super on every dollar earned.

"No worker should miss out on superannuation, and this is an important step to take as more workers are forced to work casual and multiple jobs," he said.

"As women retire on average with half the amount of super than men, to close the gap we must go further, and the government should immediately legislate for superannuation to be paid on employer and government provided parental leave."

The government should also urgently legislate for super in the National Employment Standards to ensure that workers who have had their super stolen can recover it, he said.

Australian Associated Press