The increase in the superannuation guarantee (SG) from 9 per cent to 12 per cent by 2013 would have no adverse impact on employers in the long term, while it would also benefit the Australian economy, a report by Allen Consulting Group has found.
"Modelling shows that increasing the SG from 9 per cent to 12 per cent would have a positive economic impact on Australia's economy. Overall economic output is higher when Australians save more, which the increase in SG accomplishes," the report, which was commissioned by the Association of Superannuation Funds of Australia (ASFA), said.
Allen calculated that an increase in the SG would raise real gross domestic product (GDP) by 0.33 per cent by 2025.
Based on a population estimate of 28 million by 2025, the increase in GDP would amount to an additional $195 per Australian, compared to not carrying out the proposed reforms.
"In terms of households, this is an extra $520 in the hands of every Australian household by 2025," the report said.
ASFA chief executive Pauline Vamos said: "The Allen research provides strong support that a move from 9 to 12 per cent would be not only good for the retirement futures of current workers but would also have no adverse effect on employers."
Allen Consulting did say employer costs could increased in the short term. "The impact in any given year would be, at most, 0.25 or 0.5 per cent of wages," the report said.
The report was launched in Canberra last night in celebration of the 20-year anniversary of the SG.
The introduction of the SG in 1992 added 1.5 per cent to GDP, according to 2009 figures from Allen.
