AbstractBy Federation, the community’s attitude towards the aged poor was changing. Politicians accepted that support for the aged was a collective responsibility for the whole community. The aged pension was introduced. A function of the Federal Government is to raise sufficient revenue from the private sector to cover expenditure with an equitable and efficient allocation of the tax burden. Payment of the pensions to the aged forms part of the Federal Government’s expenditure.
The basis for the Federal Government’s retirement policy arose because the analysis of the demographics and economic projections indicated that the social security system could not support retirees indefinitely. The Federal Government had to take a proactive role in planning and developing strategies for providing retirement income for the population.
This thesis analyses the evolution of the regulation of the legislation framework from 1936. It involves reviewing the effectiveness of providing tax incentives to encourage people to save. It analyses the evolution of the regulation of superannuation funds needed to protect members’ benefits, make trustees accountable for their responsibilities and minimise, if not prevent abuse of the superannuation system. The evolution can be seen to be three phases, all connected with circumstances that required the Federal Government’s attention. Firstly, there were the measures to encourage people to save for their retirement. Secondly, there was the protection of members’ benefits. This occurred with the introduction of the Occupational Superannuation Standards Act (‘OSSA’) that replaced the regulation by the Income Tax Assessment Act. Thirdly, there was making trustees accountable for their responsibilities. This occurred with the introduction of the Superannuation Industry (Supervisions) Act 1993 (‘SISA’), which replaced the OSSA.
The thesis shows that the evolved legislation framework allows the Regulators to control the quality and competency of trustees, the disclosure of information making members fully informed about their retirement savings and impose penalties and make the trustees accountable for their responsibilities.
It proves the hypothesis. The legislation regulating superannuation funds has evolved to encourage people to save for their own retirement in line with the Federal Government’s policy. It makes trustees of superannuation funds accountable for their responsibilities so that members’ benefits will be available when required. By the introduction of a penalty regime, it minimises abuse of the superannuation system.
|Date of Award||11 Feb 2011|
|Supervisor||John Farrar (Supervisor) & Robert Bentley (Supervisor)|