Superannuation (PSS) Temporary Employee Declaration No 2 1993 No. 222
EXPLANATORY STATEMENT
STATUTORY RULES 1993 No. 222
Issued by the authority of the Minister for Finance
Superannuation Act 1990
Declaration under definition of "temporary employee" in section 3
The Superannuation Act 1990 (the 1990 Act) makes provision for and in relation to an occupational superannuation scheme for persons employed by the Commonwealth and certain other persons. This scheme, known as the Public Sector Superannuation (PSS) scheme, commenced on 1 July 1990.
In accordance with section 6 of the 1990 Act, those who may become members of the PSS scheme include persons who are temporary employees. The term "temporary employee" is defined in section 3 of the 1990 Act as a person who is an employee for the purposes of the Public Service Act 1922 and any other person employed, otherwise than in a permanent capacity, by the Commonwealth or an approved authority for the purposes of the 1990 Act. In accordance with the definition, the term does not include a person engaged or appointed for employment outside Australia only, other than such a person who is declared by the Minister for Finance to be a person to whom the definition applies.
The Declaration contained in the Statutory Rule and cited as "Superannuation (PSS) Temporary Employee Declaration No 2", declares persons who are employees of the Australian Broadcasting Corporation (ABC) and who were members of the PSS scheme immediately before taking up contract employment in ABC offices overseas, or who were CSS members immediately before taking up the employment and subsequently joined the PSS scheme during that employment, to be persons to whom the definition applies. This will enable PSS scheme members presently employed by the ABC under fixed term contracts overseas, and those who take up similar employment in the future, to have continuity of membership of the PSS scheme for the duration of the contract.
In accordance with section 45 of the 1990 Act, a declaration for the purposes of the definition of "temporary employee" in section 3 is to be 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 is taken to have commenced on 1 July 1990, the first day of operation of the PSS scheme. The retrospectivity of the membership arrangements in respect of the ABC employees complies with subsection 48(2) of the Acts Interpretation Act 1901 in that the rights of the employees concerned are not affected in a manner prejudicial to them, neither are liabilities imposed on them other than the responsibility for superannuation contributions. Both the ABC and the employees accept the liabilities imposed by continuing PSS membership and would regard cessation of membership as disadvantageous.
Overview
The Superannuation (PSS) Temporary Employee Declaration No 2 1993 was introduced to address the gap in the definition of "temporary employee" under the Superannuation Act 1990, ensuring that employees of the Australian Broadcasting Corporation (ABC) who are engaged in contract work overseas can maintain their continuity of membership in the Public Sector Superannuation (PSS) scheme. This legislation was enacted by the Parliament of Australia and issued by the Minister for Finance under the authority granted by the 1990 Act. The primary policy objective of this Declaration is to enable ABC employees who are contracted overseas to retain their PSS membership, thus providing them with the benefits of the PSS scheme without interruption during their overseas assignments. The Declaration was made under the provision of the Acts Interpretation Act 1901, ensuring that its implementation does not adversely affect the rights or impose new liabilities on the employees, apart from the ongoing obligation to contribute to superannuation.
Scope and Application
The Superannuation (PSS) Temporary Employee Declaration No 2 1993 No. 222 pertains to the definition of "temporary employee" under section 3 of the Superannuation Act 1990, which governs the Public Sector Superannuation (PSS) scheme. This scheme, which commenced on 1 July 1990, includes temporary employees who are defined as persons employed by the Commonwealth or an approved authority otherwise than in a permanent capacity. The declaration specifically addresses employees of the Australian Broadcasting Corporation (ABC) who were PSS scheme members before taking up contract employment overseas or who were members of the Commonwealth Superannuation Scheme (CSS) and subsequently joined the PSS scheme during such employment. By declaring these individuals as temporary employees, the PSS scheme ensures continuity of membership for the duration of their overseas contracts, aligning with the PSS scheme's commencement date. This Statutory Rule is a disallowable instrument under section 46A of the Acts Interpretation Act 1901 and follows the Statutory Rules Publication Act 1903. The retrospective application of this membership arrangement adheres to the requirements of subsection 48(2) of the Acts Interpretation Act 1901, ensuring that neither the rights of the employees nor any liabilities are prejudicially affected.
Key Provisions
The Superannuation (PSS) Temporary Employee Declaration No 2 1993 No. 222 (sections 3 and 45 of the Superannuation Act 1990) aims to clarify and extend the definition of "temporary employee" to include certain employees of the Australian Broadcasting Corporation (ABC) engaged in overseas contract work. By declaring these employees as "temporary employees," the Declaration ensures that they maintain continuity of membership in the Public Sector Superannuation (PSS) scheme during their overseas contracts. This inclusion is intended to provide these employees with the same benefits and protections under the PSS scheme as they would have if they were working permanently in Australia. Specifically, section 3 of the 1990 Act, as clarified by this Declaration, now recognises ABC employees working overseas on fixed-term contracts as temporary employees, thereby allowing them to remain in the PSS scheme.
The Declaration imposes certain obligations on both the ABC and its employees. For the ABC, this means ensuring that all eligible employees who are deployed overseas on contract are properly enrolled and maintained as members of the PSS scheme. For the employees, it means accepting the continuation of their superannuation contributions and benefits under the PSS scheme, even while working overseas. Both parties must adhere to the requirements set out in the Superannuation Act 1990, including the obligation to make and receive superannuation contributions as specified by the Act.
Breaching the obligations set out in the Superannuation Act 1990 or the Statutory Rules 1993 No. 222 can lead to various consequences. While specific penalties are not detailed in the text, breaches of superannuation laws generally can result in both civil and criminal penalties. Civil penalties may include fines and the requirement to rectify non-compliance, while criminal penalties can include imprisonment and fines, depending on the severity and intent of the breach. The Act and related Statutory Rules provide a framework for enforcement, ensuring that both the ABC and its employees meet their obligations under the PSS scheme.