Superannuation Act 1990 - Designated Employer Determination No. 2 (16/10/1990)

Overview

The legislation, titled "Designated Employer Determination No 2," is a determination made under subparagraph (b)(ii) of the definition of "designated employer" in subsection 15(1) of the Superannuation Act 1990. Enacted on 16 October 1990, this legislative instrument addresses the specific issue of identifying the designated employer for productivity employees within the meaning of the Act. The determination was made by David Lindsay, Assistant Secretary of the Commonwealth Superannuation Branch, who is acting as a delegate of the Minister for Finance. The policy objective of this determination is to clarify the employer's responsibilities in relation to superannuation contributions for certain employees, thereby ensuring compliance with the provisions outlined in the Superannuation Act 1990.

Scope and Application

The Designated Employer Determination No 2 applies to employees who are engaged in productivity work, as outlined under subparagraph (b)(ii) of the definition of "designated employer" in subsection 15(1) of the Superannuation Act 1990. This legislation mandates that the department responsible for paying the salary of such an employee is considered the designated employer for superannuation purposes. This particular legislative instrument is a Commonwealth instrument and thus has a national jurisdictional reach, applying uniformly across Australia. The Act does not specify exclusions, exemptions, or thresholds within the text provided, but it is acknowledged that broader provisions within the Superannuation Act 1990 may impose certain conditions or limitations. The application of the Act may also be extended or restricted through subordinate instruments, though specific details are not provided in the excerpt.

Key Provisions

The primary operative sections of the Designated Employer Determination No 2, issued under subparagraph (b)(ii) of the definition of "designated employer" in subsection 15(1) of the Superannuation Act 1990, identify the Department responsible for paying the salary of a productivity employee as the designated employer in relation to superannuation contributions. This means that the Department is the entity obligated to make superannuation guarantee contributions on behalf of these employees, as per the provisions outlined in the Superannuation Act 1990 (subsection 15(1)(b)(ii)). The obligations imposed by this determination require the Department, identified as the designated employer, to ensure that it meets all obligations concerning superannuation contributions for productivity employees. This includes the calculation, collection, and timely remittance of superannuation guarantee contributions to the relevant employees’ superannuation funds. The Department must adhere to all requirements set forth in the Superannuation Act 1990, ensuring that these contributions are made in compliance with the Act’s stipulations. In the event of non-compliance with the provisions of the Superannuation Act 1990, several consequences may arise. The Act stipulates various offences and penalties for breaches of the requirements concerning superannuation contributions. For instance, failure to make the required contributions can result in civil penalty provisions, which may include fines up to a significant amount as prescribed by the Act. Additionally, there are criminal penalties for more severe or deliberate breaches, which can include imprisonment for the responsible officers of the Department, reflecting the seriousness with which the law treats non-compliance with superannuation obligations.