EXPLANATORY STATEMENT
STATUTORY RULES 1988 NO 48
ISSUED BY THE AUTHORITY OF THE MINISTER FOR FINANCE
SUBJECT: SUPERANNUATION ACT 1976
SUPERANNUATION (APPROVED AUTHORITIES)
REGULATIONS (AMENDMENT)
Section 168 of the Superannuation Act 1976 (the Act) provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing all matters which the Act requires or permits to be prescribed or which are necessary or convenient to be prescribed for carrying out or giving effect to the Act.
The Act makes provision for and in relation to an occupational superannuation scheme for persons employed by the Commonwealth and for certain other persons. By virtue of the definitions of “eligible employee”, “permanent employee” and “temporary employee” in subsection 3(1) of the Act, those required or eligible to contribute under the Act include officers and employees for the purposes of the Public Service Act 1922, any other persons employed by the Commonwealth and persons employed by an approved authority.
Subsection 3(1) of the Act defines “approved authority” as:
(a) an authority or other body specified in the regulations as an approved authority for the purposes of the Act, being an authority or body of a kind described in the definition; or
(b) an authority or body that was an approved authority for the purposes of the Superannuation Act 1922 immediately before 1 July 1976, the date of commencement of the Act.
Authorities or bodies that have become approved authorities since 1 July 1976 are specified in the Superannuation (Approved Authorities) Regulations (the Principal Regulations).
Subsection 168(3) of the Act provides that regulations for the purposes of the “approved authority” definition made after 31 December 1978 may be expressed to have taken effect from and including a day not earlier than twelve months before the making of the regulations.
The A.C.T Institute of Technical and Further Education was established by the A.C.T Institute of Technical and Further Education Ordinance 1987 with effect from and including 4 January 1988. The Canberra Institute of the Arts was established by the Canberra Institute of the Arts Ordinance 1988 with effect from and including 4 February 1988. Both Institutes are empowered to employ staff. It is appropriate that the Institutes be specified as approved authorities so that the staff will be required or eligible to contribute under the Act.
The Institutes are bodies of a kind described in the definition of “approved authority” in subsection 3(1) of the Act.
Subregulation 3(1) of the Regulations amends the Principal Regulations to specify the A.C.T. Institute of Technical and Further Education as an approved authority for the purposes of the Act. By subregulation 1(1) of the Regulations, subregulation 3(1) is deemed to have taken effect from and including 4 January 1988.
Subregulation 3(2) of the Regulations amends the Principal Regulations to specify the Canberra Institute of the Arts as an approved authority for the purposes of the Act. By subregulation 1(2) of the Regulations, subregulation 3(2) is deemed to have taken effect from and including 8 February 1988.
Overview
The Superannuation (Approved Authorities) Regulations (Amendment) 1988 was enacted to address the need for certain educational institutions to be recognised as approved authorities under the Superannuation Act 1976. This amendment was necessary to ensure that the staff of these institutions would be required or eligible to contribute under the Act, thereby extending the superannuation scheme to cover more employees. The regulations were issued under the authority of the Minister for Finance and were made by the Parliament, reflecting the policy objective to expand the scope of the superannuation scheme to include staff of specified educational institutions, such as the A.C.T. Institute of Technical and Further Education and the Canberra Institute of the Arts. These amendments ensured that the superannuation benefits would be available to a broader range of Commonwealth employees and those employed by approved authorities, enhancing the inclusivity and reach of the occupational superannuation scheme.
Scope and Application
The Superannuation Act 1976, as amended by the Superannuation (Approved Authorities) Regulations (Amendment) Statutory Rules 1988 No. 48, pertains to occupational superannuation schemes for persons employed by the Commonwealth and certain other individuals. This Act applies to officers and employees covered under the Public Service Act 1922, any other employees of the Commonwealth, and persons employed by entities specified as approved authorities within the regulations. Approved authorities are defined in the Act as entities specified in the regulations or bodies that were approved authorities under the Superannuation Act 1922 prior to 1 July 1976. The amending regulations designate the A.C.T. Institute of Technical and Further Education and the Canberra Institute of the Arts as approved authorities, effective from 4 January 1988 and 8 February 1988 respectively, thereby including their staff in the superannuation scheme. These regulations also allow for retroactive effect, with the amendments deemed to have taken place from the specified dates of establishment of the Institutes.
Key Provisions
The Superannuation (Approved Authorities) Regulations (Amendment) target the inclusion of specific educational institutions within the scope of the Superannuation Act 1976 (the Act). Specifically, subregulation 3(1) includes the A.C.T Institute of Technical and Further Education as an approved authority under the Act, effective from 4 January 1988. Similarly, subregulation 3(2) includes the Canberra Institute of the Arts as an approved authority, effective from 8 February 1988. This amendment ensures that the staff employed by these institutions are either required or eligible to contribute to an occupational superannuation scheme under the Act.
Entities such as the A.C.T Institute of Technical and Further Education and the Canberra Institute of the Arts, once designated as approved authorities, must comply with the Act's provisions. This includes ensuring that eligible employees, as defined in subsection 3(1) of the Act, contribute to the superannuation scheme. The approved authorities are obligated to report and remit these contributions in accordance with the Act's requirements. Additionally, these authorities must maintain records and provide information to the relevant authorities as stipulated by the Act.
The Superannuation Act 1976 imposes certain penalties and consequences for non-compliance. Breaches of the Act's requirements can result in both civil and criminal penalties. Civil penalties may include fines, with the exact amount determined by the severity of the breach. Criminal penalties can also apply, including imprisonment for serious or repeated breaches. The specific maximum penalties are detailed within the Act, and the enforcement of these penalties is overseen by the relevant regulatory bodies. It is crucial for approved authorities to adhere to the Act's provisions to avoid these repercussions.