The Federal Government has confirmed that it has asked the Australian Prudential Regulation Authority (APRA) to examine and report on the extent to which superannuation funds are charging increased fees on employees’ superannuation when they are retrenched or change employers.
The confirmation has come at the same time as the Government has sought to defend the naming of award default funds, and suggested that any employees offended by fee increases on the part of superannuation funds nominated by the Australian Industrial Relations Commission as default funds can simply exercise their right to opt into another fund.
The Government’s position has been made clear in an answer to a question on notice from the Opposition to the Minister representing the Minister for Employment and Workplace Relations in the Senate, Senator Mark Arbib.
Arbib said he was aware that AustralianSuper had announced an increase in its weekly fees from $1 to $1.50 but said he had also noted that if an employee was concerned about the fee increase, “they can choose another fund to which their superannuation contributions are paid”.
The Opposition had asked the minister whether he was aware that one of the major funds nominated as a default fund in many awards had announced a 50 per cent increase in its fees and whether he was concerned about the increase.
