Superannuation (PSS) Membership Inclusion Declaration No. 1 1991 No. 107
EXPLANATORY STATEMENT
STATUTORY RULES 1991 No. 107
ISSUED BY THE AUTHORITY OF THE MINISTER FOR FINANCE
SUPERANNUATION ACT 1990
DECLARATION UNDER PARAGRAPH 6(1)(j)
The Superannuation Act 1990 (the Act) makes provision for and in relation to an occupational superannuation scheme, the Public Sector Superannuation (PSS) scheme, for persons employed by the Commonwealth, and for certain other persons.
Section 6 of the Act specifies the persons who may be members of the PSS scheme. 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 scheme.
The Declaration contained in the Statutory Rule and cited as "Superannuation (PSS) Membership Inclusion Declaration No. 1" specifies certain statutory office holders and employees of the Dairy Research and Development Corporation who may be members of the PSS scheme.
The Dairy Research and Development Corporation was established on 1 April 1990 under the Primary Industries and Energy Research and Development Act 1989. The Corporation is not staffed under the Public Service Act 1922 and is not an approved authority for the purposes of the Act; as a consequence, employees of the Corporation in general do not have access to the PSS scheme.
Staff of the Corporation presently include persons who are seconded from the Australian Dairy Corporation. These persons include persons who are members of the PSS. The Dairy Research and Development Corporation proposes to directly employ these and other persons.
It is intended that persons who were members of the PSS scheme immediately before becoming employed by or holding appointment with the Dairy Research and Development Corporation should be permitted to remain members. To achieve this it is intended that the persons concerned be declared in a class of persons to which section 6 of the Act applies.
The Declaration contained in the Statutory Rule provides that directors and employees of the Dairy Research and Development Corporation shall be PSS scheme members if, immediately before becoming such directors or employees, they were PSS scheme members or had made an election under the Superannuation Act 1976 to become PSS scheme members, but do not become members of another scheme applying to employment with the Corporation.
Persons who are members of the PSS scheme to whom the mobility provisions of Part IV of the Public Service Act 1922 apply are covered under the existing provisions of the Act and are excluded from the scope of the Declaration.
In accordance with section 45 of the Act, 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.
The Declaration operates with effect from the date of gazettal.
Overview
The Superannuation (PSS) Membership Inclusion Declaration No. 1, issued under the authority of the Minister for Finance in 1991, was enacted to address the gap in superannuation scheme membership for certain statutory office holders and employees of the Dairy Research and Development Corporation (DRDC). The Superannuation Act 1990 established the Public Sector Superannuation (PSS) scheme for Commonwealth employees, but it did not initially extend to the DRDC, which was established in 1990 under the Primary Industries and Energy Research and Development Act 1989. This exclusion meant that DRDC employees, including those seconded from the Australian Dairy Corporation, were generally not eligible for PSS membership. To resolve this issue, the Declaration specified that DRDC directors and employees who were previously PSS members or had elected to join the scheme would continue their PSS membership, provided they did not become members of another scheme related to their DRDC employment. The policy objective of the Declaration was to ensure continuity of superannuation benefits for these individuals.
Scope and Application
The Superannuation (PSS) Membership Inclusion Declaration No. 1 1991 No. 107, issued under the Superannuation Act 1990, specifies certain statutory office holders and employees of the Dairy Research and Development Corporation who may become or remain members of the Public Sector Superannuation (PSS) scheme. This applies to those who were already PSS scheme members or had elected to become members under the Superannuation Act 1976 before their employment or appointment with the Corporation, provided they do not become members of another scheme applicable to their employment with the Corporation. This Declaration is intended to ensure that individuals who were PSS members prior to their association with the Corporation can continue their membership. Notably, this Declaration does not apply to those covered by the mobility provisions of Part IV of the Public Service Act 1922, as they are already included under existing provisions of the Act. The Declaration is a disallowable instrument under the Acts Interpretation Act 1901 and constitutes a Statutory Rule under the Statutory Rules Publication Act 1903, taking effect from the date of its gazettal.
Key Provisions
The Superannuation (PSS) Membership Inclusion Declaration No. 1 (Statutory Rule 1991 No. 107) outlines specific provisions under the Superannuation Act 1990, primarily focusing on the inclusion of certain employees of the Dairy Research and Development Corporation (DRDC) into the Public Sector Superannuation (PSS) scheme. Section 6(1)(j) of the Superannuation Act allows the Minister for Finance to declare certain individuals as members of the PSS scheme. This Declaration specifies that directors and employees of the DRDC who were previously members of the PSS scheme or had elected to join it under the Superannuation Act 1976, but do not join another scheme related to their employment with the DRDC, are to be included in the PSS scheme. The Declaration excludes those who are covered by the mobility provisions of Part IV of the Public Service Act 1922.
Under the terms of this Declaration, the Minister for Finance imposes specific obligations on the parties involved. Directors and employees of the DRDC who meet the criteria outlined in the Declaration are required to remain members of the PSS scheme. This includes ensuring that they were members of the PSS scheme or had made an election to join it prior to their employment with the DRDC and have not subsequently joined another superannuation scheme that applies to their employment with the DRDC. The Declaration also mandates that these individuals continue to be governed by the provisions of the Superannuation Act 1990 with respect to their superannuation entitlements.
Failure to comply with the provisions of the Superannuation (PSS) Membership Inclusion Declaration No. 1 could result in civil or criminal consequences. The Superannuation Act 1990 may provide for various penalties for non-compliance, though the specific penalties are not detailed in the Declaration itself. The Act allows for the imposition of fines and other penalties for breaches, which could include legal action to enforce compliance. Additionally, as a disallowable instrument, the Declaration is subject to review and potential disallowance by Parliament, which could further impact the enforceability and validity of the provisions if it is disallowed within the prescribed period.