Superannuation (PSS) Productivity Contribution Rates (2007-2008) Determination 2007 - Explanatory Statement
1 Name of Determination
This determination is the Superannuation (PSS) Productivity Contribution Rates (2007-2008) Determination 2007.
2 Commencement
This determination takes effect on 1 July 2007.
3 Purpose
The purpose of this determination is to set new productivity contribution rates for the Public Sector Superannuation (PSS) scheme to apply for the financial year beginning on 1 July 2007.
4 Background
Establishment of the PSS Scheme
The PSS scheme is established by the Superannuation Act 1990, a Trust Deed and Rules.
The PSS Rules were renumbered with effect from 1 July 1995, as a result of amendments made by the Ninth Amending Trust Deed.
The PSS Rules were amended by the Twentieth Amending Trust Deed executed in 2004 by the addition of a “B” before each rule with effect from 1 July 2005.
Productivity Contribution Rates
PSS Rule B4.3.2 sets out a Table of Productivity Contributions Rates to apply from 1 July 1995 until amended.
PSS Rule B4.3.3 provides for the productivity contribution rates set out in
the Table in rule B4.3.2 to be amended by the Australian Reward Investment Alliance (ARIA) with effect from 1 July each year, to reflect changes in the general salary levels of members. The increase in the amounts in the Table of Productivity Contribution Rates maintains the real value of the productivity contributions in relation to the overall salaries of PSS members.
Delegation
ARIA has delegated its power under rule B4.3.3 to relevant officers in Commonwealth Superannuation Administration.
Productivity Contribution Rates in the Period 1 July 1996-30 July 2005
In the period from 1 July 1996 to 30 July 2005, the amounts set out in the table in rule B4.3.2 were replaced on 1 July each year, pursuant to the PSS (Productivity Contribution Rates) Determination No 1, which was amended each year in consecutively-numbered determinations. That Determination was revoked on 1 July 2005 by the Superannuation (PSS) Productivity Contribution (2006-2007) Determination 2006, which set out the productivity contribution rates for the financial year commencing on 1 July 2005.
Productivity Contribution Rates in the Period from 1 July 2005
Productivity contribution rates in the period from 1 July 2005 are set out in annual determinations that apply for the financial year commencing on 1 July each year.
5 New Productivity Contribution Rates
The new productivity contribution rates that apply with effect from 1 July 2007 are set out in the determination.
6 Consultation
As the instrument is for internal machinery of Government purposes only, no consultation was considered necessary with other persons (see sections 17 and 18 of the Legislative Instruments Act 2003).