BULLETIN
Bulletin No: 193 | 12 November 2018

TO: ALL UFU MEMBERS

ANDREWS GOVERNMENT PROMISES IMPROVEMENTS TO EMERGENCY SERVICE SUPERANNUATION SCHEME

Key points:

  • The State Government has promised to improve superannuation benefits for emergency workers if re-elected
  • Employers will be required to make contributions to employee superannuation funds after they have reached their maximum benefit multiple

As members are aware, the Victorian government commissioned an independent review into the Emergency Services Superannuation Scheme which was completed earlier this year.

The UFU, together with other members of the Emergency Services Federation, have subsequently met with government representatives on a number of occasions to seek implementation of the reviews recommendations to improve the scheme and ensure it continues to meet the unique needs of emergency services workers.

We are pleased to advise Emergency Services Federation unions have now been provided with the government’s response to the review.

The key benefit that the government has promised to deliver if re-elected is the rectification of an anomaly in the current scheme where members who reach their maximum benefit multiple no longer receive superannuation contributions from their employer.

The effective ceiling placed on members superannuation benefits has long been identified by the UFU as a flaw in the scheme and the government’s commitment to rectifying it is welcome. However, we are disappointed that this commitment has not extended to removal of the cap on members benefit multiple which was argued for by unions in their submission to the review.

Under the government’s proposal, members who have reach their maximum benefit multiple would receive employee contributions to the accumulation accounts. The additional contributions will be phased in over 8 years, reaching 12 percent in 2026.

The government has also promised a number of other improvements to the scheme including the following:

  • Changes to the calculation of members final average salary to prevent members who step down to lower classifications prior to retirement being penalised
  • The introduction of improved catch-up provisions for members whose contributions have been affected by unpaid parental or carers leave
  • The introduction of a transition to retirement pension

The government has committed to further discussions regarding access to death and disability benefits and changes to members prospective retirement ages. These issues formed a key part of submission by the emergency services unions to the review and we remain committed to pursuing them.

Members who have queries or concerns regarding the government’s commitments should contact UFU Industrial Officer Jeremy Murphy on 0419 127 010.

A fact sheet has also been provided with further detail.  See this link: https://jmp.sh/h0U8kQ6 A delegate’s phone conference will also take place in the near future to discuss the proposal.

 

Strength in Unity

READ OUT AT MUSTER AND PIN ON NOTICE BOARD
Authorised by Peter Marshall, Branch Secretary