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Tony Abbott wrong on industry super funds, says AIST
Australian Institute of Superannuation Trustees (AIST) chief executive Fiona Reynolds has taken Opposition leader Tony Abbott to task over his criticism of industry funds.
Reynolds said Abbott needed to "get his facts straight" and should spend more time focusing on what Australians expect from the nation's super and retirement income policies.
"Mr Abbott's view on super seems to be driven by ideology rather than what's really going to benefit Australians in retirement," Reynolds said.
"The Coalition didn't support super in the beginning … and now they want to dismantle the very funds that are serving their members so well," she said.
Reynolds branded Abbott's statements "ludicrous" and pointed to AIST's research to disprove his labelling of industry funds as "union-controlled".
According to AIST research, industry funds adhered to their legal obligation to employ 50 per cent employee-appointed and 50 per cent employer-appointed directors.
Reynolds also pointed to the lower wages of industry fund directors and the Australian Prudential Regulation Authority's (APRA) 2008 figures showing the higher return on industry versus retail funds, as factors which helped dispel Abbott's "myth".
She pointed to APRA research that showed more than half of the directors for industry funds were members of their own funds, while only one in five retail trustee directors were members of their funds.
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