Get super out of awards - miners

The selection of default superannuation funds should be removed from the jurisdiction of the Fair Work Commission, according to one of Australia's largest recourse industry employer groups.

The Australian Mines and Metals Association (AMMA) has called for superannuation to be removed from industrial awards, with its chief executive, Scott Barklamb, claiming the default fund selection process had degenerated into a "complete mess".

"Australia's retail superannuation funds and industry superannuation funds are at war over the billions in contributions from working Australians who do not choose where their superannuation should be directed," he said.

Barklamb said that the default fund review "designed by Julia Gillard and implemented by Bill Shorten" had become farcical and had also served to "place the President of the Fair Work Commission in a very difficult position and led to his disqualification from heading the review by the Federal Court".

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"The Abbott government should fix the mess it has been bequeathed by removing superannuation from the industrial awards system altogether," he said. "Superannuation became a legislated entitlement more than 20 years' ago and the My Super products now offer low-cost default fund options with no commission fees."

"There is simply no longer any need for awards to mandate the funds into which employee contributions should be made," Barklamb said.

He said that those who advocated regulating default super through awards should be challenged on why this should continue.

"We particularly extend this invitation to the ACTU, union officials, and others who sit on the boards of industry superannuation funds," Barklamb said.