Superannuation (PSS) Membership Inclusion Declaration (Amendment) 1996 No. 296
EXPLANATORY STATEMENT
STATUTORY RULES 1996 No. 296
Issued by the authority of the Minister for Finance
Superannuation Act 1990
Declaration under paragraph 6(1)(j)
The Superannuation Act 1990 (the 1990 Act) makes provision for and in relation to an occupational superannuation scheme, the Public Sector Superannuation Scheme (the PSS), for Commonwealth employees and certain other persons.
Section 6 of the 1990 Act specifies the persons who are, or may be, members of the PSS. In accordance with paragraph 6(1)(j), a person declared by the Minister for Finance to be a person to whom section 6 applies is a member of the PSS. Declarations made under paragraph 6(1)(j) are contained in the Superannuation (PSS) Membership Inclusion Declaration (the Principal Declarations).
Section 45 of the 1990 Act provides that a declaration under paragraph 6(1)(j) is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901, and a Statutory Rule for the purposes of the Statutory Rules Publication Act 1903 and may take effect up to 12 months before the making of the declaration.
On 1 July 1996, the ACT Totalizator Administration Board (ACTTAB) was corporatised and became ACTTAB Limited. ACTTAB Limited is a wholly owned company of the ACT Government. On corporatisation, ACTTAB staff ceased employment with the ACT Government Service (ACTGS) and became employees of ACTTAB Limited. In accordance with arrangements between the ACT and Commonwealth Governments, it is appropriate that ACTTAB Limited staff should continue to have access to the PSS from the date of corporatisation, provided that the ACT Government has a controlling interest in the company.
Superannuation (PSS) Membership Inclusion Declaration (Amendment) permits employees of ACTTAB Limited, who were PSS members before 1 July 1996 to continue membership of the PSS and, to provide certain former members of the ACTTAB Staff Superannuation Plan with PSS membership. Details of the declaration are set out in the Attachment.
The Superannuation (PSS) Membership Inclusion Declaration (Amendment) commenced on 1 July 1996, the day of corporatisation. It provides continued membership of the PSS for employees of ACTTAB Limited who were PSS members immediately before becoming employed by ACTTAB Limited, and PSS membership for certain ACTTAB Limited employees who were members of the ACTTAB Plan which was wound up on corporatisation.
ATTACHMENT
SUPERANNUATION (PSS) MEMBERSHIP INCLUSION DECLARATION (AMENDMENT)
Details of the Declaration are as follows:
Clause 1
Provides that the Declaration commenced retrospectively on 1 July 1996, the day ACTTAB became corporatised under the name ACTTAB Limited.
Clause 2
Provides that the Superannuation (PSS) Membership Inclusion Declaration (the Principal Declaration) is amended as set out in the Superannuation (PS S) Membership Inclusion Declaration (Amendment).
Clause 3
Subclause 3(1) of the Principal Declaration provides that persons described in the Schedule to the declaration are persons to whom section 6 of the 1990 Act applies.
Clause 3.1 amends subclause 3(1) to include new subclause 3(4).
Clause 3.2 of the amending declaration inserts new subclause 3(4) to provide that membership of the PSS scheme for persons described in item 11 of the Schedule is contingent on a controlling interest being held in ACTTAB Limited by one or more of the following:
* the Australian Capital Territory (ACT) (or its nominees); or
* an authority of body established for a public purpose by or under a law of the ACT; or
* a company or other body corporate in which one of the above has a controlling interest.
Clause 4
Provides for the inclusion of item 11 in the Schedule which describes those ACTTAB Limited employees who are persons to whom section 6 of the 1900 Act applies and therefore members of the PSS. The declaration applies to employees who were PSS members immediately before becoming employed by ACTTAB Limited and to certain other employees who were members of the ACTTAB Staff Superannuation Plan which was wound up on corporatisation.
This clause provides that should a person to whom the declaration applies become a member of another superannuation scheme applying to that person's employment by ACTTAB Limited (other that an alternative superannuation scheme as defined in the Principal Declaration) the person would cease to be a member of the PSS.
Overview
The Superannuation (PSS) Membership Inclusion Declaration (Amendment) 1996 No. 296 was introduced to address the issue of ensuring continuity in superannuation membership for employees affected by the corporatisation of the ACT Totalizator Administration Board (ACTTAB) into ACTTAB Limited. Enacted by the Minister for Finance under the authority of the Superannuation Act 1990, the amendment aims to maintain the eligibility of specific employees for the Public Sector Superannuation Scheme (PSS). The policy objective of this amendment is to ensure that employees transitioning from ACTTAB to ACTTAB Limited, and certain former members of the ACTTAB Staff Superannuation Plan, continue to have access to the PSS provided that the ACT Government retains a controlling interest in ACTTAB Limited. This amendment reflects the need to uphold the superannuation rights of employees amidst organisational restructuring, ensuring that their service and contributions are adequately recognised and protected.
Scope and Application
The Superannuation (PSS) Membership Inclusion Declaration (Amendment) 1996 No. 296 pertains to the Superannuation Act 1990, which governs the Public Sector Superannuation Scheme (PSS) for Commonwealth employees and certain other persons. Specifically, the amendment to the declaration facilitates the continuation of PSS membership for employees of ACTTAB Limited, a company wholly owned by the ACT Government, following the corporatisation of the ACT Totalizator Administration Board (ACTTAB). This amendment ensures that employees who were PSS members prior to 1 July 1996, the date of corporatisation, can maintain their PSS membership. Furthermore, the amendment extends PSS membership to specific former members of the ACTTAB Staff Superannuation Plan, provided the ACT Government or its nominees maintain a controlling interest in ACTTAB Limited. The amendment took effect on 1 July 1996, with the retroactive application ensuring continuity of membership for affected employees. The amendment also specifies that membership ceases if the employee joins another superannuation scheme applicable to their employment with ACTTAB Limited.
Key Provisions
The Superannuation (PSS) Membership Inclusion Declaration (Amendment) 1996 No. 296 primarily amends the existing Superannuation (PSS) Membership Inclusion Declaration to accommodate the corporatisation of the ACT Totalizator Administration Board (ACTTAB) and its transition to ACTTAB Limited on 1 July 1996. Section 6 of the Superannuation Act 1990 (the 1990 Act) is particularly pertinent, as it identifies the persons who are or may be members of the Public Sector Superannuation Scheme (PSS). This amendment ensures that employees who were PSS members before the corporatisation of ACTTAB can continue their membership, and that certain former members of the ACTTAB Staff Superannuation Plan can be included in the PSS (Section 6(1)(j)). The amendment is effective from the date of corporatisation, 1 July 1996.
The Superannuation (PSS) Membership Inclusion Declaration (Amendment) imposes specific obligations on the entities involved. Firstly, it mandates that employees who were members of the PSS prior to working for ACTTAB Limited can maintain their PSS membership. Secondly, it provides for the inclusion of certain former members of the ACTTAB Staff Superannuation Plan into the PSS. These obligations are contingent upon the continued controlling interest in ACTTAB Limited by the Australian Capital Territory (ACT), an authority or body established for a public purpose by or under a law of the ACT, or a company or other body corporate in which one of these entities has a controlling interest (Clause 3.2). Additionally, employees who join another superannuation scheme applicable to their employment by ACTTAB Limited will cease to be PSS members (Clause 4).
The Superannuation (PSS) Membership Inclusion Declaration (Amendment) does not explicitly outline specific offences or penalties for non-compliance. However, given that the amendment is a statutory rule, any breaches of its provisions could potentially lead to legal consequences under the Acts Interpretation Act 1901 and the Statutory Rules Publication Act 1903. These acts provide mechanisms for the disallowance of instruments and may impose penalties for non-compliance, although the exact penalties are not detailed in the text. It is important for the entities and individuals governed by this amendment to adhere to its provisions to avoid any adverse legal outcomes.