- by cnn
- 01 Oct 2023
Employers will be required to pay superannuation on payday, rather than quarterly, under reforms aimed at cracking down on the scourge of more than $3bn of super that goes unpaid each year.
The measure, announced by the treasurer, Jim Chalmers, and financial services minister, Stephen Jones, will take effect in July 2026, giving businesses three years to prepare.
Employers are currently required to pay the superannuation guarantee of 10.5% on top of employee wages every quarter, even if workers are paid more frequently in fortnightly or monthly pay cycles.
The ATO will receive additional resources to help detect unpaid super payments earlier and the government will set enhanced targets for the ATO for the recovery of super.
According to Industry Super, employees missed out on a total of $5bn in super in 2018-19, with almost 3 million workers short-changed, losing an average of $1,700.
The government also intends to include payment of superannuation in wage-theft laws, to be introduced in late 2023. That move won broad support from employers, including the Australian Chamber of Commerce and Industry.
Premier announces changes to long-delayed projectread more