The Australian Government is calling for community input, into draft legislation aimed at protecting the superannuation entitlements of workers.
Northern based Government Senator Ian Macdonald said it is important employees receive the benefits they are entitled to.
“While most business owners and operators do the right thing, it’s estimated around $6 billion per year in mandatory superannuation goes unpaid across Australia,” Senator Macdonald said.
“These new laws would modernise the system, enforcing the 9.5 per cent super guarantee which employers are legally required to pay.
“By extending Single Touch Payroll to all employers from 1 July 2019, the reporting of superannuation obligations will improve significantly while also increasing the Australian Taxation Office’s ability to get real time information about an employer’s compliance.”
Senator Macdonald said the proposed changes would also see more serious consequences for those employers who do break the law.
“Those employers who don’t comply and refuse to pay workers their superannuation entitlements will face up to a year in prison,” Senator Macdonald said.
“These new measures follow the recommendations of the Superannuation Guarantee Cross Agency Working Group, which made recommendations for overcoming barriers to better compliance.”
You can have your say on the draft legislation at https://treasury.gov.au/consultation
Submissions close on 16 February 2018.