Large NSW Government sector fund First State Super(FSS) will be opened up to non-public sector employers and employees this year.
The fund wrote to members informing them that legislation had recently been passed that would allow FSS to convert from a state regulated scheme to a Commonwealth regulated scheme, with the conversion expected to occur early this year.
“After the conversion, FSS will be able to accept contributions from non-public sector employers and employees, allowing FSS to offer continued membership to employees who leave or have previously left the NSW public sector,” the letter explained.
It said that the FSS could also open up its membership to non-public sector employees if it wished to do so.
The fund’s chief executive, , said the changes were important because research had consistently indicated that the majority of members who left the NSW public sector were forced to leave FSS even though they would have preferred to remain as contribution members.
He said the fund needed to be competitive in the new choice of superannuation fund environment, and in order to maintain its position the fund needed to retain and grow its membership.
