Women underpaid $1.8 billion in super
Women working for wages and eligible for the SG were underpaid $1.84 billion in super contributions by their employers in 2013-24, according to the Industry Super Australia (ISA).
ISA analysed the latest data from the Australian Tax Office (ATO) and found that, on top of the gender pay gap, women were also subject to unpaid superannuation entitlements, with the average underpayment of $1,550.
Also, the study revealed that women’s superannuation balances were on average a third lower than those paid correctly.
According to the ISA, in particular the superannuation balances for women working for wages nearing retirement were “shockingly low”.
ISA’s public affairs manager, Sarah Saunders, said: “The failure of some employers to pay working women their super entitlements is a disgrace”.
“We need employers who offer flexibility, equal pay and family leave, a government whose tax structures and social policies are seen through the lens of quality, and a society that refuses to accept the feminisation of poverty.
“The government can start by enshrining ‘dignity’ and ‘security’ for all Australian in the objective of superannuation.”
AUTHOR
Oksana Patron
Recommended for you
ASIC’s enforcement action is having an active start to the new financial year, banning a former Queensland financial adviser for 10 years in relation to fees for no service conduct.
ASIC has confirmed the industry funding levy for the 2024–25 financial year, and how much licensees can expect to pay.
Australian licensees are expected to make greater use of custom model portfolios for their clients, according to State Street Investment Management, following in the footsteps of US peers.
Adviser Ratings has argued that it’s time for more advisers to utilise digital engagement tools available to them as a disconnect grows between consumers seeking advice from finfluencers and from professionals.
