Close to one third of Australian employees are not receiving the full superannuation entitlements they are eligible for, according to Industry Super Australia.
Data from both the Australian Taxation Office (ATO) and the Australian Bureau of Statistics indicates that “rogue employers are dodging compulsory superannuation payments”, Industry Super Australia said.
The industry body estimates $3.6 billion in superannuation payments go unpaid, which “equates to $1,489 or almost four months of super for the average worker affected”.
These unpaid contributions affect 2.4 million Australian employees, with workers under the age of 30 more likely than their older peers to have been affected.
“Today’s retirement income policies are made on the assumption that, into the future, we’ll all have super,” said Industry Super Australia chief executive David Whiteley.
“As pension access tightens and home ownership declines, those missing out on compulsory super stand little chance of a decent standard of living in retirement.”
Mr Whiteley said more needed to be done to address these unpaid employer contributions.
“Questions must be asked about ATO resourcing to combat this problem along with an apparent failure to use individual taxpayer data to detect at-risk employees and employers,” he said.
“Superannuation guarantee reporting figures recommended by the National Audit Office and expected in the ATO’s 2015-16 Annual Report have failed to appear.”
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