Rice Warner discriminates in favour of women’s super
The actuarial consultancy which last week generated heated discussion in the financial planning industry by producing research suggesting the Future of Financial Advice (FOFA) changes would lower the cost of providing financial advice has now gained national media coverage by gaining Human Rights Commission support to pay female staff more superannuation.
The consultancy, Rice Warner, is reported in today's Australian Financial Review as having gained the support of the Human Rights Commission to pay female employees two per cent more — or 11.25 per cent.
The report said about 30 per cent of Rice Warner's 35 staff were women and that Sex Discrimination Commissioner, Elizabeth Broderick, had approved the move as a "special measure" to address an inequality.
Among the 35 women who will benefit from the Rice Warner move is the company's deputy chief executive, Melissa Fuller.
The report acknowledged that because the 2 per cent increase in superannuation was solely directed towards women employed by Rice Warner, it was possible for it to be argued that the measure was discriminatory against men.
Rice Warner last week produced a report for the Industry Super Network (ISN) suggesting that FOFA would actually reduce the cost of financial advice and, around 18 months ago, produced a report suggesting the cost of opt-in could be as little as $11 per client.
The underlying arguments forming the Rice Warner report will be debated at a forthcoming Money Management/Association of Financial Advisers breakfast which will include ISN chief executive, David Whiteley and the Shadow Assistant Treasurer, Senator Mathias Cormann.
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