Blocking SG increase won’t lead to wage growth: ACTU

1 September 2020
| By Jassmyn |
image
image
expand image

Blocking the legislated superannuation guarantee (SG) increase from 9.5% to 12% will not increase wages as wage growth hit record lows the last time the Government froze super, according to Australian Council of Trade Unions (ACTU). 

The ACTU pointed to comments by former Prime Ministers Paul Keating and Kevin Rudd that said cutting super amounted to the “biggest single act of grand theft”. 

The union said blocking the SG increase would cost Australians $14.1 billion every year with the average Australian taking a $1,630 annual hit to their retirement savings. 

ACTU president, Michele O’Neil, said: “Cuts to super will only result in less retirement savings, not higher wages. We know that because since the last time the government froze super, wage growth is at record lows. 

“It’s completely hypocritical that while demanding Australian workers receive no more than 9.5% in super, Liberal MPs are taking home 15.4% for themselves. 

“The Government are trying to use the cover of a pandemic to pursue one of their favourite political issues of cutting superannuation. The result would be Australian workers forced to work longer and live with less when they retire.” 

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

1 year 4 months ago
Kevin Gorman

Super director remuneration ...

1 year 4 months ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

1 year 4 months ago

Future Group is set to take on nearly $1 billion in funds under management (FUM) and welcome more than 100,000 new members following two significant successor fund transf...

1 hour ago

The International Monetary Fund (IMF) has issued a sobering assessment of the global economic landscape in its latest World Economic Outlook, dramatically revised after D...

3 hours ago

Growth from the listed company’s key businesses has propelled Generational Development Group to new milestones in the three months to 31 March....

3 hours ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND