The (ACTU) has used its submission to the Parliamentary Inquiry into the Structure and Operations of the Superannuation Industry to argue that the inquiry should be focusing on the activities of the financial planning sector.
The submission, filed late last month, claims the activities of financial planners represent a major impact on the retirement incomes of working Australians.
“In particular, the activities of the financial planning industry, recently highlighted by ASIC’s revelations about AMP – one of the better-known financial services brands – demonstrates that the current system of providing advice does not operate in the interests of the community,” the submission said.
“The AMP case vindicates the warnings given by many, including the ACTU, that choice of fund would not work for the benefit of fund members who do not have a high degree of financial expertise and so are left exposed to self-interested advisers,” it said.
The ACTU submission said the union body was concerned about the motivation behind a number of the terms of reference of the parliamentary inquiry.
