THE Queensland Resources Council (QRC) has welcomed the Palaszczuk Government’s announcement of new powers to crack down on extremist activists who are risking their own lives and the lives of others with their reckless tactics.

QRC chief executive Ian Macfarlane said the new offence to prevent dangerous devices being used to shut down public thoroughfares and infrastructure was an important measure to protect everyday citizens simply going about their lives and doing their jobs.

“QRC supports the right of every Queenslander to protest peacefully.  But by locking on to rail lines or blocking trains, activists clearly cross the line to becoming a danger to themselves, to the safety of train drivers and a menace to the wellbeing of the entire community,” Mr Macfarlane said.

“There have been too many near misses from reckless activists who disregard safety by blocking railway lines or roads.

“Safety is the number one priority for everyone who works in or with the resources industry," he said.

“The careless actions of protestors who disrupt rail lines make a mockery of those safety standards.  But hypocritically at the same time those reckless activists are relying on the strict safety environment and skilled staff who work on the rail network to prevent a tragedy.

“Protestors cannot be allowed to flout the law at their own choosing and to continually disrupt lawful business and people going about their day-to-day lives.

“This new power is an important step, but there is more to be done to address the range of disruptive and dangerous tactics activists are using on rail, roads and other infrastructure," Mr Macfarlane said.

“The QRC calls on the entire Parliament to support the Criminal Code (Trespass Offences) Amendment Bill put forward by the LNP to crack down on activists who take part in illegal trespass.”

www.qrc.org.au

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LEGISLATION to close a loophole that lets employers rip off workers who try and do the right thing by contributing to their super through salary sacrifice is welcome, but doesn’t go far enough according to Industry Super Australia.

Industry Super Australia (ISA) has published its submission to the Treasury Laws Amendment (Tax Integrity and Other Measures No 1.) Bill 2019, which seeks to close a loophole that has seen employers able to count a worker’s salary sacrifice contribution to their super as the employer’s own contribution.

ISA analysis of 2016-17 ATO data revealed that more than 370,000 Australian workers are currently missing out on $1.5 billion in super entitlements each year because of this loophole.

Despite the previous Parliament considering legislation to close this loophole, for some reason it was never brought on for debate in the Senate, meaning workers are continuing to miss out on their retirement savings, according to ISA chief executive Bernie Dean.

ISA has called on the Federal Government to address the bigger issue of unpaid super, "with one in three workers currently missing out on close to $6 billion in super because dodgy bosses are holding on to the money for themselves, rather than paying it into their employees super account".

"This happens because under the current law, employers are only required to pay super into a workers account quarterly, making it easy for them to hang on to the money and put it back into their business, or only pay a proportion of what the worker is entitled to," Mr Dean said.

"While the salary sacrifice loophole is a serious issue and must be fixed, the proportion of workers impacted by this loophole is around 17 percent of the total number of workers who are not being paid their legal super entitlements.

"In other words, the government’s Bill only fixes 17 percent of the problem."

ISA is calling on the Federal Government to take action on the bigger problem of unpaid super, by committing to change the law and make super payable on pay day.

"Federal politicians currently receive their super on pay day, it’s time there was one rule for everyone," Mr Dean said.

“More than 370,000 workers who think they’re doing the right thing and contributing to their own super are actually being double-crossed by their employers because of this loophole.

“This is one part of a much bigger problem. One in three workers are not getting paid super because dodgy bosses are hanging on to it and keeping it inside their business. It’s daylight robbery," Mr Dean said.

“The government needs to fix the whole problem – not just part of it. The government needs to go further and stop unpaid super once and for all by making super payable on pay day.”

ISA’s submission can be accessed here.

www.industrysuper.com

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THE Palaszczuk Government is backing business and giving young Queenslanders access to gain a valuable qualification for free to build a career in the industries where we know there will be jobs.

The Skills Strategy is a blueprint to deliver Queensland’s next generation of skilled workers.

A huge part of The Skills Strategy includes free apprenticeships for people under 21 years of age, across 139 qualifications.

"This is great news for young Queenslanders but even better news for businesses as they won’t have to bear the cost of training an apprentice," Queensland Premier Anastacia Palasczuk said.

Qualifications on offer are in traditional trade areas as well as non-trade areas such as electrical, plumbing, engineering, healthcare, hospitality, and early childhood.

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THE Financial Services Council (FSC) today welcomed the release of the Morrison Government’s Royal Commission implementation roadmap, confirming the government’s intent to act on all of the Commission’s recommendations by the end of 2020.

FSC CEO Sally Loane said with the release of the roadmap, industry has certainty and can approach the task of implementation in a more targeted way, ensuring resources are allocated and directed at the Federal Government’s priorities.

“It is very important to move quickly to rebuild consumer confidence and enhance consumer outcomes, however any legislation to implement the recommendations should be treated with the same diligence and rigor as any other new bill to be brought before the Parliament,” Ms Loane said.  

“The industry is committed to embracing this program of reform through action, strengthening the trust and ties between financial services and the community.

“The FSC is committed to working with Government to ensure all recommendations are implemented in the timeframes.”

The FSC said it looked forward to working on the implementation of the following recommendations:

• 2.4 – Ending grandfathered commissions for financial advisers;
• 2.7 – Reference checking and information sharing for financial advisers;
• 1.15 – Enforceable code provisions for industry codes of conduct;
• 4.7 – Application of unfair contract terms provisions to insurance contracts.

There are a number of recommendations due to be implemented that the FSC believes require further discussion with government:

• 2.10 – A new disciplinary system for financial advisers;
• 7.1 – Compensation scheme of last resort. 

Ms Loane said modernising the default superannuation system to end the proliferation of duplicate accounts by implementing a ‘default once’ framework has not been dealt with as part of this implementation roadmap.

“We look forward to the Government providing a response to the issue and timing for the reform as part of its response to the Productivity Commission’s report into the efficiency of the super system,” Ms Loane said.

www.fsc.org.au

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AUSTRALIA'S four major banks will appear before the House of Representatives Standing Committee on Economics at public hearings in Canberra on November 8 and 15, 2019.

The Chair of the committee, Tim Wilson MP, said, "These hearings are an important mechanism for the Parliament to publicly scrutinise and hold Australia’s four major banks to account.

"The committee’s scrutiny will include examining the four major banks’ progress in implementing the recommendations of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

"Given the widespread misconduct across the financial services sector identified by the Hayne Royal Commission, it is important that financial institutions are held accountable and to ensure that they make the crucial improvements needed to start restoring trust in our financial institutions," Mr Wilson said.

Beyond actions taken by the sector, Treasurer Josh Frydenberg released a royal commission implementation road map today, which outlines how the Morrison Government will move on all recommendations requiring legislation by the end of 2020 – with one-third planned to be finalised this year.

In a future series of hearings the committee will extend its scrutiny beyond the four major banks to smaller banks and the insurance, superannuation and financial advice sectors.

Public hearing details

Date: Friday, 8 November 2019
Time: 9.15am to 4.15pm
Location: Committee Room 2R1, Parliament House, Canberra

9.15am–12.15pm: Westpac
1.15pm–4.15pm: Commonwealth Bank of Australia

Date: Friday, 15 November 2019
Time: 9.15am to 4.15pm
Location: Main Committee Room, Parliament House, Canberra

9.15am–12.15pm: National Australia Bank
1.15pm–4.15pm: Australian and New Zealand Banking Group 

The hearings will be broadcast live at aph.gov.au/live.

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INDUSTRY Super Australia (ISA) has welcomed the Federal Government’s commitment to implementing the recommendations of the Hayne Royal Commission.

ISA chief executive Bernie Dean said the government’s implementation roadmap set out an ambitious legislative timetable that should deliver important protections for consumers, including the requirement that ongoing fee arrangements must be renewed annually, introduction of a new disciplinary system for financial advisers, and bans on hawking of super products.

"ISA is a strong advocate for legislative reform that is in the best interest of members and whilst quick implementation is to be commended, it should not compromise the interests of members," Mr Dean said.

"While the recommendation relating to stapling will be dealt with as part of the Government’s response to the Productivity Commission, ISA will continue to work with Government as they determine their response to this important recommendation.

"Industry super funds preferred model is to automatically combine a worker's super each time they change jobs into a single quality checked account," he said.

An independent cost-benefit analysis of ISA’s model by KPMG found it would deliver up to $416 billion in performance dividends to members and eliminate multiple accounts, with consumers standing to benefit from close to $200,000 more in super over their working life.

"This is in comparison to the ‘fund-for-life’ model which could see workers stuck in a single underperforming fund for life," Mr Dean said.

Separately, ISA is urging the Federal Government not to lose sight of the other key reform priorities in the superannuation sector.

"Both the Royal Commission and Productivity Commission made it clear that underperformance is the single most costly drag on the system, costing consumers hundreds of thousands of dollars in retirement savings," Mr Dean said.

"Dealing with this chronic underperformance must remain the government’s top priority when it comes to superannuation, along with the elimination of multiple accounts and stopping the scourge of unpaid super," Mr Dean said.

“The Royal Commission did a very good job of identifying where the problems and misconduct were – now the government must get on and fix them," he said.

“We welcome the government’s commitment and the ambitious reform program they have set out and we stand ready to work with them as they implement these important protections for consumers.

“While this important work is underway, we urge the government not to lose sight of the other challenges such as chronic underperformance and the fact that one in three workers are not even getting paid super," Mr Dean said.

www.industrysuper.com

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A RECORD NUMBER of mining industry representatives will spend four days working on one focus - the well-being of every man and woman in the mining sector at the Queensland Mining Industry Health and Safety Conference on the Gold Coast.

Queensland Resources Council chief executive Ian Macfarlane said more than 900 people will attend the conference starting on Sunday (August 18) which was the largest cohort in the conference’s 31-year history.

“It has been overwhelming to see the response from industry to the conference this year after the tragic death of six mine and quarry workers,” Mr Macfarlane said.

“I’ll be sitting down with Mines Minister Dr Anthony Lynham and union representatives to ensure the safety of all workers remains the number one priority. Everyone who works in a mine – or any other workplace for that matter – is entitled to leave for work and return home safely to their loved ones.

“Already industry is rolling out comprehensive safety resets across mine sites including two-way conversations with workers and safety professionals to remind them of the dangers faced on a site.”

The conference theme this year is ‘Working to the Future’ with a goal of making sure all delegates learn a new technique or approach to health and safety.  

Delegates will hear from Russell Whit, managing director of Driver Safety Australia, Brant North who survived a mine accident and has represented Australia at the Paralympics, advocate for countering violent extremism Gill Hicks and big wave surfer and Red Bull Athlete Mark Matthews.

Conference chair and CFMEU’s safety representative Greg Dalliston said the annual conference was a key event on the mining calendar.

“The conference brings together unions, industry and the Government and encourages all parties to work together and share ideas about new safety measures and health techniques,” Mr Dalliston said.

Sponsors of the conference, to be held at The Star, include principal sponsor Anglo American, Glencore, Yancoal, Uvex, Peabody and the CFMEU.

For a full list of conference speakers and the program click herehttps://www.qrc.org.au/wp-content/uploads/2019/08/QMIHSC-2019-program-V-10.pdf

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THE ARC Centre of Excellence in Population Ageing Research (CEPAR) has released an industry report that investigates the impact of retirement income projections on superannuation contributions, investment choices and engagement from members.

“Australian workers rely on information from their superannuation funds to understand whether they are saving enough for retirement,” said lead author George Smyrnis, CEPAR PhD candidate at the University of Sydney.

“Research shows that the overwhelming tendency to focus more on the present than the future, along with difficulties people have making forecasts that require compounding, make it likely that superannuation fund members will have poorly formed expectations of their retirement wealth,” he said.

Conscious of this evidence, superannuation funds, including the Construction and Building Unions Superannuation (Cbus) fund, have begun to show members projected retirement wealth, so-called retirement income estimates (RIE).

The CEPAR research team, comprising George Smyrnis and Professor Susan Thorp from the University of Sydney, and Professor Hazel Bateman, A/Professor Isabella Dobrescu and Professor Benjamin Newell from UNSW Sydney, set out to understand the impact of this change by analysing the data from a trial in 2013, when Cbus sent around 20,000 members an RIE, along with their current balance, for the first time.

George Smyrnis said that the impact of this new message on members’ contributions, engagement, and investment choices was remarkable.

“Our analysis shows the RIE motivated additional savings, raised member investment choices, and raised engagement with the super fund,” he said.

“Overall, the presentation of the RIE encouraged higher rates of salary sacrifice saving, and higher average amounts of salary sacrifice and voluntary contributions, as well as changes in investment options, compared to those who did not receive the RIE.

“The presentation of the RIE also encouraged higher rates of engagement between members and the super fund, particularly for advice, and for admin and processes related interactions. These results are important evidence that superannuation member disengagement can be partly improved by clearer communication,” Mr Smyrnis said.

“The results we found confirm that, for many superannuation members, the retirement income estimate is an important tool for understanding savings adequacy. This motivates super fund members to make adjustments that can substantially change their retirement outcomes.”

The industry report is available online at cepar.edu.au/publications/reports.

Details: George Smyrnis; Hazel Bateman; Isabella Dobrescu; Benjamin Newell; Susan Thorp (2019): The impact of projections on superannuation contributions, investment choices and engagement. CEPAR Industry Report 2019/1.

About CEPAR

The Australian Research Council Centre of Excellence in Population Ageing Research (CEPAR) is a unique collaboration between academia, government and industry, committed to delivering solutions to one of the major economic and social challenges of the 21st century. The research centre is based at the University of New South Wales, with nodes at the Australian National University, Curtin University, the University of Melbourne and the University of Sydney.
cepar.edu.au

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