Membership Exclusion Declaration No. 2

Overview

The Superannuation Act 1990 was enacted to establish a new superannuation scheme for Commonwealth employees and certain other persons, effective from 1 July 1990. This legislation aimed to address the gap in superannuation arrangements for eligible individuals within the public sector. The enacting body responsible for this Act is the Australian Parliament. The policy objective of the Act is to provide a structured and consistent superannuation scheme for eligible employees, ensuring their financial security upon retirement. The explanatory statement clarifies that, as a result of the Australian National Railways Commission establishing its own occupational superannuation scheme on 1 October 1990, new staff of the Commission and existing staff who were not already members of the scheme under the Act should be excluded from becoming members of that scheme. Consequently, a declaration was made under paragraph 6(2)(c) of the Act to exclude certain officers, employees, or statutory office holders of the Commission from the scheme unless they were already members of the scheme established under the Act before the commencement of the declaration. This declaration, which operates from the date of its gazettal, is intended to align with the policy of the Act and ensure the exclusion of specified personnel from the scheme.

Scope and Application

The Superannuation Act 1990, which was designed to establish a new superannuation scheme for Commonwealth employees and other specified individuals effective from 1 July 1990, delineates specific criteria for membership within this scheme. The Act applies to a broad range of persons, including Commonwealth employees, but excludes those who are subject to a ministerial declaration under paragraph 6(2)(c), which prevents certain individuals from being members of the scheme. Notably, the Membership Exclusion Declaration No 2 specifically excludes staff of the Australian National Railways Commission from the scheme, except for those who were members prior to the establishment of the Commission's own occupational superannuation scheme on 1 October 1990. This exclusion ensures that new and existing staff of the Commission, who are not already members of the scheme under the Act, are not eligible to join it. The jurisdictional reach of the Act is federal, extending across the Commonwealth as per the legislative framework. Any declarations or amendments extending or restricting the application of the Act are subject to disallowance and are published as Statutory Rules under the Statutory Rules Publication Act 1901.

Key Provisions

The Superannuation Act 1990 sets forth the framework for a superannuation scheme intended for Commonwealth employees and specific other individuals, effective from 1 July 1990. Section 6 of the Act delineates the eligible members of this scheme. According to paragraph 6(2)(c), individuals declared by the Minister for Finance to be excluded from the scheme's membership are not permitted to become members. The Act allows staff of the Australian National Railways Commission to be members if they meet the criteria outlined in Section 6. However, as of 1 October 1990, the Commission implemented its own occupational superannuation scheme, which is accessible to all new staff. Consequently, it is deemed appropriate to exclude new staff and existing non-members of the Act's scheme from joining it. This exclusion is formalised through a declaration under paragraph 6(2)(c) of the Act, referred to as the Membership Exclusion Declaration No 2. This declaration specifies that Section 6 does not apply to individuals who are officers, employees, or statutory office holders of the Commission, except for those who were already members of the scheme before the declaration came into effect and remain in those roles. This exclusion is effective from the date of gazettal, as mandated by Section 45 of the Act. Moreover, such a declaration is considered a disallowable instrument under Section 46A of the Acts Interpretation Act 1901 and a Statutory Rule under the Statutory Rules Publication Act 1901. The obligations imposed by the Act on the relevant parties primarily revolve around ensuring compliance with the declared exclusions. The Minister for Finance is tasked with making the necessary declarations to exclude specific individuals from the superannuation scheme. The Australian National Railways Commission must adhere to these declarations when managing its own superannuation scheme and ensuring that its new staff and other excluded individuals are not erroneously enrolled in the Commonwealth scheme. Additionally, individuals who fall under the exclusion criteria must not attempt to join the scheme for which they have been declared ineligible. Failure to comply with the provisions of the Act can result in significant consequences. Under the Acts Interpretation Act 1901, the disallowable instrument nature of the declaration means that Parliament has the authority to annul the declaration. This implies that if the exclusion is found to be in breach of any legislative principles or if it is deemed unjust, Parliament can take action to negate it. Furthermore, individuals who attempt to join the scheme despite being declared ineligible may face legal repercussions. The precise penalties for such breaches are not explicitly detailed in the provided text, but generally, violations of statutory provisions can lead to both civil and criminal penalties, including fines and imprisonment, depending on the severity and intent behind the breach.