Superannuation (Salary) Regulations (Amendment) 1993 No. 4
EXPLANATORY STATEMENT
STATUTORY RULES 1993 No. 4
Issued by the authority of the Minister for Finance
Superannuation Act 1976
Superannuation (Salary) Regulations (Amendment
The Superannuation Act 1976 (the Act) makes provision for and in relation to an occupational superannuation scheme (the CSS) for Commonwealth employees and certain other persons. Persons eligible to contribute to the CSS are referred to in the Act as eligible employees.
Section 168 of the Act provides that the Governor-General may make regulations for the purposes of the Act.
Subsection 5(2) of the Act provides that, subject to subsection 5(3), the annual rate of salary of an eligible employee on a particular day is an amount equal to the amount per annum of the salary payable to him on that day. Subsection 5(3) provides that the regulations may provide that an eligible employee's annual rate of salary shall be such amount per annum as is ascertained under the regulations. Regulations for the purposes of section 5 of the Act are contained in the Superannuation (Salary) Regulations.
The provisions of the Australian and Overseas Telecommunications Corporation Act 1991 (the AOTC Act) had the effect of merging the Australian Telecommunications Corporation (Telecom) and OTC Limited into the Australian and Overseas Telecommunications Corporation (AOTC). Section 35 of the AOTC Act provides that an instrument that refers to Telecom or OTC Limited shall continue to have effect according to its tenor except that a reference to the corporation in the instrument shall be read as a reference to AOTC.
Staff of Telecom and OTC Limited transferred to employment with AOTC on 1 February 1992. The Regulations amend the Superannuation (Salary) Regulations to clarify that the CS S arrangements which applied to persons as staff of Telecom continue to apply to those persons as staff of AOTC.
All the amendments are technical in nature. The amendments contained in the Regulations are explained in the Attachment.
The Regulations operate with effect from the date of gazettal.
ATTACHMENT
SUPERANNUATION (SALARY) REGULATIONS (AMENDMENT)
REGULATION 1
This provides that the Superannuation (Salary) Regulations are amended as set out in the Regulations.
REGULATION 2
This changes the reference in subparagraph 13(2)(d)(i) of the Superannuation (Salary) Regulations from 'Australian Telecommunications Corporation' to 'Australian and Overseas Telecommunications Corporation'. The provision relates to the determination of the annual rate of salary for the purposes of the CSS in respect of certain eligible employees on leave without pay from AOTC to work for a whollyowned subsidiary, Telecom Australia (International) Limited.
SUBREGULATIONS 3.1 AND 3.2
This replaces the reference in subregulation 22(2) of the Superannuation (Salary) Regulations to 'officer or employee of the Australian Telecommunications Commission' with 'employee of the Australian and Overseas Telecommunications Corporation'. The provision relates to the determination of the annual rate of salary for the purposes of the CSS in respect of certain eligible employees who are remunerated under AOTC incentive schemes and entitled to earn part of their total remuneration by way of commissions or bonuses. Whereas such Telecom staff may have been engaged as 'officers' or 'employees', AOTC staff are engaged as 'employees'.
SUBREGULATION 3.3
This omits the explanatory provision which provided that, in subregulation 22(2), 'officer' and 'employee' had the same meanings as in the Telecommunications Act 1975. The provision is omitted because that Act has been repealed, and the Australian and Overseas Telecommunications Corporation Act 1991 does not define the term 'employee'.
Overview
The Superannuation (Salary) Regulations (Amendment) 1993 No. 4, issued under the authority of the Minister for Finance, amends the Superannuation (Salary) Regulations to address the legislative gap arising from the merger of Telecom and OTC Limited into the Australian and Overseas Telecommunications Corporation (AOTC). Enacted in accordance with the Superannuation Act 1976, the amendments ensure the continuity of superannuation arrangements for staff transferred from Telecom and OTC Limited to AOTC. The policy objective is to maintain the integrity of the occupational superannuation scheme (CSS) for Commonwealth employees by ensuring that the transition to AOTC does not disrupt existing superannuation entitlements and calculations. All amendments are technical in nature, aimed at aligning the regulations with the new corporate structure of AOTC.
Scope and Application
The Superannuation (Salary) Regulations (Amendment) 1993 No. 4 pertains to the Superannuation Act 1976, which establishes an occupational superannuation scheme for Commonwealth employees and other eligible persons. The Act applies to eligible employees, who are defined as persons eligible to contribute to the Commonwealth Superannuation Scheme (CSS). This scheme applies nationally as a Commonwealth Act, and it provides for the regulation of superannuation contributions based on the annual salary of eligible employees. The Act's reach is thus both national and sector-specific, targeting Commonwealth employees and those deemed eligible under the Act's stipulations. The amendments introduced by the Regulations ensure that the CSS arrangements continue to apply seamlessly to staff transferred from the Australian Telecommunications Corporation (Telecom) and OTC Limited to the Australian and Overseas Telecommunications Corporation (AOTC) following the merger. These amendments are purely technical, updating references to align with the new corporate entity and maintaining the continuity of superannuation arrangements for affected employees. The Regulations do not introduce new substantive changes but ensure regulatory consistency in light of the corporate restructuring.
Key Provisions
The Superannuation (Salary) Regulations (Amendment) 1993 No. 4 (the Regulations) amend the Superannuation (Salary) Regulations under the Superannuation Act 1976 (the Act). The main operative sections of the Regulations are Regulation 1, which amends the Superannuation (Salary) Regulations, and Regulation 2, which changes the reference in subparagraph 13(2)(d)(i) of the Superannuation (Salary) Regulations from 'Australian Telecommunications Corporation' to 'Australian and Overseas Telecommunications Corporation'. Subregulations 3.1 and 3.2 also replace the reference in subregulation 22(2) of the Superannuation (Salary) Regulations to 'officer or employee of the Australian Telecommunications Commission' with 'employee of the Australian and Overseas Telecommunications Corporation'. These amendments are technical in nature and aim to clarify that the CSS arrangements that applied to Telecom staff continue to apply to those staff as employees of AOTC.
The Act imposes obligations on eligible employees to contribute to the CSS and on employers to make contributions on behalf of their employees. The Act also imposes obligations on the Minister for Finance to make regulations for the purposes of the Act, including the Superannuation (Salary) Regulations. The Regulations aim to ensure that the CSS arrangements that applied to Telecom staff continue to apply to those staff as employees of AOTC.
Breach of the Act or the Regulations may result in civil or criminal consequences. However, the Regulations themselves do not impose any specific offences, penalties, or civil/criminal consequences for breach. The maximum penalties for breach of the Act or the Regulations are not specified in the Explanatory Statement, but may be found in the Act or other relevant legislation.
In summary, the Regulations amend the Superannuation (Salary) Regulations to clarify that the CSS arrangements that applied to Telecom staff continue to apply to those staff as employees of AOTC. The Regulations impose obligations on eligible employees, employers, and the Minister for Finance, and breach of the Act or the Regulations may result in civil or criminal consequences, although the maximum penalties are not specified in the Explanatory Statement.