Overview

The Superannuation Act 2005 was enacted to provide a legal framework for the establishment and administration of superannuation schemes in Australia, with a particular focus on the Public Sector Superannuation Accumulation Plan (PSSAP). The Act was introduced to address the need for a structured and regulated system for superannuation, ensuring the financial security of Australian Government employees and statutory office holders. The Superannuation Act 2005 is an Act of the Parliament of Australia, aiming to provide comprehensive regulations for superannuation schemes, including the establishment, management, and administration of the PSSAP. The Sixth Amending Deed, issued under section 11 of the Act, was created in response to changes in the Remuneration Tribunal Act 1973, necessitated by the Remuneration and Other Legislation Amendment Act 2011. These changes specifically pertain to the determination of salary for Departmental Secretaries, ensuring that the PSSAP rules remain aligned with the updated legislative framework. The Minister for Finance and Deregulation, acting on behalf of the Commonwealth, amended the PSSAP Trust Deed and the associated rules to reflect these changes, thus maintaining the integrity and relevance of the superannuation scheme.

Scope and Application

The Superannuation Act 2005, as amended by the Sixth Amending Deed, applies to most new Australian Government employees and statutory office holders who are members of the Public Sector Superannuation Accumulation Plan (PSSAP). The PSSAP is administered by the Commonwealth Superannuation Corporation (CSC), which is the trustee for the PSSAP Fund. The Sixth Amending Deed modifies the Trust Deed and Rules for the PSSAP in response to changes in the Remuneration Tribunal Act 1973, specifically concerning the determination of salary for Departmental Secretaries. The geographic reach of this Act is national, as it pertains to federal government employees. The amendments do not require the consent of CSC as stipulated under section 32 of the 2005 Act, although such consent is generally necessary for amendments to the Trust Deed. The amendments come into effect on the day after the Sixth Amending Deed is registered on the Federal Register of Legislative Instruments, and while superannuation instruments are generally exempt from disallowance under the Legislative Instruments Act 2003, this particular amending deed is subject to disallowance as per section 11 of the 2005 Act.

Key Provisions

The Sixth Amending Deed under the Superannuation Act 2005 amends the Public Sector Superanneration Accumulation Plan (PSSAP) Trust Deed and Rules. The key provisions of this amendment focus on the remuneration of Departmental Secretaries, particularly in light of changes to the Remuneration Tribunal Act 1973 as introduced by the Remuneration and Other Legislation Amendment Act 2011. The Trust Deed, established under section 10 of the 2005 Act, was made to benefit most new Australian Government employees and statutory office holders, with the Commonwealth Superannuation Corporation (CSC) acting as the trustee. Section 11 of the 2005 Act permits the Minister for Finance and Deregulation to amend the Trust Deed by a signed instrument, though normally requires CSC's consent. However, the Sixth Amending Deed does not require CSC's consent because it arises from changes to the Remuneration Tribunal Act 1973. The Sixth Amending Deed imposes specific requirements on the PSSAP, particularly regarding the definition and application of "remuneration determination" under the PSSAP Rules. Clause 4.1 of the Deed amends Rule 1.2.1 to expand the definition of "remuneration determination" to include assignments made under subsection 14(3) of the Remuneration Tribunal Act 1973. This amendment ensures that remuneration assignments for Departmental Secretaries are treated equivalently to other remuneration determinations for the purposes of the PSSAP Rules. The amendments apply to assignments made under the Remuneration Tribunal Act 1973 on or after the commencement date of the Sixth Amending Deed, while previous assignments will continue to apply "fortnightly contribution salary" until a subsequent assignment is made. While the Sixth Amending Deed does not explicitly outline specific obligations or requirements for the parties involved, it does necessitate that the amended rules be adhered to in the administration of the PSSAP. Specifically, the amendments ensure that remuneration determinations for Departmental Secretaries are consistently applied within the PSSAP framework. The changes necessitate that employer contributions for Departmental Secretaries align with the newly defined remuneration determinations, thereby ensuring compliance with the updated rules. This includes the need for the Commonwealth Superannuation Corporation to update its internal processes to reflect these changes, ensuring that contributions are calculated in accordance with the new definitions. There are no specified offences, penalties, or civil/criminal consequences outlined in the Sixth Amending Deed for breaches of the amended rules. However, the amendments are subject to disallowance under section 11 of the Superanneration Act 2005. The Deed is also a legislative instrument under the Legislative Instruments Act 2003, which means it is subject to the scrutiny and potential disallowance by the Parliament. While superannuation instruments are generally exempt from disallowance under section 44 of the Legislative Instruments Act 2003, this particular amendment is not exempt, thereby subjecting it to potential disallowance. Non-compliance with the amended rules could potentially lead to administrative or financial discrepancies in the calculation of superannuation contributions for Departmental Secretaries, although no specific penalties are mentioned in the Deed.