A MILESTONE has been reached in the Cbus Super and Media Super merger, with the two funds signing a Successor Fund Transfer (SFT) deed.

The merged fund, set to launch in the second half of FY2022, will manage over $70 billion in funds for around 850,000 members.

Under the SFT, Cbus will retain the Media Super brand to communicate with members in the print, media, entertainment and arts, and broader creative industries, whilst investment, management and back office functions will be shared.

Media Super chair Susan Heaney said, “In an environment where the complexities of regulatory change, investment opportunities and member demand for digital and advisory services are growing, it is becoming increasingly difficult for smaller superannuation funds to remain cost-competitive and provide members with more choice and opportunity to grow their retirement savings.

“By belonging to a much larger fund, Media Super members will gain investment opportunities at a lower cost and benefit from a portfolio of products and services that will help improve their retirement outcomes.

“Our members have much in common with Cbus members in terms of the nature of their work. Many are self-employed, others work on fixed-term contracts or in casual employment. Like the construction sector, their workplaces are often changing and can be disrupted.

“By keeping the Media Super brand, our members can be confident that they will still have a voice within the larger fund, and that our focus and support for those employed in the print, media, entertainment and arts sectors will be maintained.”

Cbus chair Steve Bracks said Cbus has an impressive track record, returning for members 9.25 percent on average each year for the last 37 years.

“Since 2017 Cbus has reduced our investment fees by $400 million, demonstrating the value of scale to members’ bottom line," Mr Bracks said.

“Together Cbus and Media Super can deliver more for members, delivering the tailored, industry-specific products members need with greater scale and efficiencies.”

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THE Joint Standing Committee on Treaties has today tabled a report strongly recommending the Federal Government ratify the Minamata Convention on Mercury.

Recognising the global public health dangers posed by mercury, and the fact that it is a toxic pollutant with the capacity for long-range atmospheric transport, the Convention implements a global framework for controlling mercury.

The Convention contains measures to limit emissions and reduce the use of mercury, control the supply and trade of mercury, and ensure mercury waste is disposed of and managed safely. The Convention entered into force in 2017 and has been ratified by 132 countries to date.

Committee Chair Dave Sharma MP said, "The Minamata Convention is a global response to a chemical of global concern. Mercury is a toxic element that cannot be destroyed. There is no safe level of exposure to mercury."

The Committee recommended the Federal Government reassess the need to seek an exemption to allow for the continued importation of High Pressure Mercury Vapour (HPMV) lamps into Australia.

"Industry is already transitioning away rapidly from HPMV lamps, and to seek such an exemption would place Australia in poor international company," Mr Sharma said.

The Committee also recommended ratification of the OCCAR Managed Programmes Participation Agreement. OCCAR facilitates cooperation in defence materiel acquisition by coordinating, controlling and implementing armament programs assigned to it by its member states, including the United Kingdom, France and Germany. Ratification would benefit Australia through access to a global procurement network, economies of scale, shared expertise and risk reduction.

The report can be found on the Committee website, along with further information on the inquiry.

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THE Australian Small Business and Family Enterprise Ombudsman Bruce Billson has welcomed the Federal Government’s commitment to lowering costs for businesses through least cost routing.

Treasurer Josh Frydenberg has released the Payments System Review which assessed the adequacy of the current regulatory framework.

“The review recognised that there are regulatory gaps and reform is needed to ensure the system reflects rapid technological change,” Mr Billson said.

“It was pleasing to see the Treasurer’s letter to the Reserve Bank of Australia (RBA) supporting least cost routing. The Treasurer’s urging of the RBA’s Payment Systems Board to consider mandating the dual-network debits cards to facilitate least-cost routing is a game changer.

“It is a clear statement that the time for strongly worded letters to financial institutions to ‘do the right thing’ has passed and more decisive action is needed to stop small businesses and family enterprises paying more than they need to for payment services.

“For too long, small businesses have been slugged with unnecessarily high fees from credit card networks, when there is a cheaper option," Mr Billson said.

“Small businesses are being disproportionally hit by fees, with larger retailers able to bypass full fees by using payment systems directly or by having the market power to negotiate least cost routing with their banks.

“While banks have been doing some good work to support small businesses throughout the COVID-19 pandemic, there is an opportunity to build on this now by making least cost routing the default unless a small business chooses an alternative.

“The Federal Government has committed to consider changes that may be necessary to promote least cost routing, particularly in an online and contactless environment.

“Effective regulation in this area in a post-COVID economy is essential given the shift to online and digital transactions in recent months.”

www.asbfeo.gov.au

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AN AMBITIOUS proposal for a new sports diplomacy mission dubbed ‘Team AusPac’ was tabled in Federal Parliament today, aimed at deepening ties between Australia and Pacific island countries.

Chair of the Australian Parliament’s Trade Sub-Committee, Ted O’Brien MP, announced the proposal which forms part of a Parliamentary Inquiry report entitled ‘One Region, One Family, One Future’.

"Australia and Pacific island countries display an affinity for one another which goes well beyond our shared geography and common geostrategic and economic interests," Mr O’Brien said.

"It may not be at the pointy end of international affairs, but you should never underestimate the importance of people to people relations which is a great strength of Australia’s relationship with Pacific island countries.

"And sport is one of the key ingredients."

Team AusPac would be an initiative spearheaded by the Australian Government, in partnership with relevant sporting organisations, and include the creation a special program for Pacific island athletes as part of the Australian Institute of Sport; an expansion of the number of sports to receive special focus under the PacificAus Sports program beyond netball, football and rugby union and league; a capacity building program for sporting coaches and trainers, and; support for a team from a Pacific island country to enter the National Rugby League (NRL) competition.

"Team AusPac would also maximise opportunities for Pacific island countries to be closely associated with, and actively participate in, the 2032 Olympic and Paralympic Games in Australia," Mr O’Brien said. He was Prime Minister Scott Morrison’s personal representative on the bid team that recently secured the rights for Brisbane to host the 2032 Games.

In all, the Inquiry’s report made five recommendations proposing that the Australian Government:

• prioritises its support for the Pacific region to recover from COVID-19 by increasing development assistance, providing vaccine coverage, assisting in the event of COVID-19 outbreaks and assessing opportunities to restore international trade and travel
• prioritises activation of greater trade and investment by considering measures and reforms to the Pacific Agreement on Closer Economic Relations, making it easier for Pacific islanders to access the Australian market, supporting further research into trade and investment, supporting the establishment of National Standard Bodies, supporting the Pacific Quality Infrastructure Initiative, promoting pilot investor tours to Pacific island countries and expanding Australia’s kava commercial importation pilot
• improves travel and mobility between Australia and countries of the Pacific region by establishing a Pacific travel bubble subject to health advice and processes, investigates potential for improving infrastructure, introduces a Pacific Business Travel Card, and improves labour mobility arrangements
• works towards deepening people-to-people ties between Australia and countries of the Pacific region through sport, churches and media – for example, through a new program called ‘Team AusPac’
• maximises opportunities for Pacific island countries to be closely associated with, and actively participate in, the 2032 Olympic and Paralympic Games in Australia
• recognises the important role played by Australian states and territories in our relationship with Pacific island countries – in particular, the state of Queensland – and analyses the outcomes of this report within a Queensland context, undertakes a feasibility study on expanding the services of a Pacific-focused office of Department of Foreign Affairs, Defence and Trade in Queensland, and engages the Queensland Government and relevant local government authorities to work collaboratively on aspects of this report. 

"After 56 submissions and eight public hearing and roundtables with the diplomatic representatives of the Pacific island nations, I am confident that this report helps answer our questions and that our five recommendations are worthy of adoption by the Government," Mr O’Brien said.

The full report can be viewed at: www.aph.gov.au/Parliamentary_Business/Committees/Joint/Foreign_Affairs_Defence_and_Trade/TradewithPacific/Report.

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