EXPLANATORY STATEMENT
Issued by authority of the Minister for Superannuation and Corporate Law acting for and on behalf of the Minister for Finance and Deregulation
Superannuation Act 2005
Third Amending Deed made under section 11 of the Superannuation Act 2005 to amend the Superannuation (PSSAP) Trust Deed
On 29 June 2005, the Minister, for and on behalf of the Commonwealth, made a deed (the Principal Deed) under section 10 of the Superannuation Act 2005 (the Act) to, among other things, establish a superannuation scheme, to be known as the Public Sector Superannuation Accumulation Plan (PSSAP) and the PSSAP Fund from 1 July 2005. The Schedule to the Principal Deed includes rules for the administration of PSSAP (the Rules).
PSSAP is established for the benefit of most new Australian Government employees and statutory office holders. PSSAP is managed and administered by the Australian Reward Investment Alliance (ARIA).
Section 11 of the Act provides that the Minister may, by writing, amend the Principal Deed. On 8 April 2008, the Minister for Superannuation and Corporate Law, acting for and on behalf of the Minister, amended the Principal Deed. The deed providing for these amendments is called the Third Amending Deed in this explanatory statement.
Purpose of the Third Amending Deed
The purpose of the Third Amending Deed is to amend the Principal Deed, including the Rules, to make minor amendments as a consequence of the Workplace Relations Amendment (Transition to Forward with Fairness) Act 2008 (Workplace Relations Amendment Act).
ARIA approval
Although section 11 of the Act allows the Minister to amend the PSSAP Trust Deed, section 32 of the Act requires that ARIA consent to the amendments in most circumstances. ARIA has consented to the amendments included in the Third Amending Deed.
Legislative Instruments Act 2003
Section 17 of the Legislative Instruments Act 2003 (LIA) specifies that rule-makers should consult before making legislative instruments. The Third Amending Deed is a legislative instrument for the purposes of the LIA.
Consultation was undertaken with ARIA in relation to the amendments to be made to the Deed. As mentioned above, ARIA has consented to the amendments in the Third Amending Deed.
Commencement
The amendments made by the Third Amending Deed commence with effect from the day item 15 in Part 2 of Schedule 1 to the Workplace Relations Amendment Act came into effect. That Schedule was proclaimed to commence on 28 March 2008.
Details of the Third Amending Deed are set out in the Attachment.
ATTACHMENT
DETAILS OF THIRD AMENDING DEED
Background
The Workplace Relations Amendment Act, among other things, removes the term “AWA” from the definition of “workplace agreement” in the Workplace Relations Act 1996 (WR Act) and this term is now defined in Schedule 7A to the WR Act.
As a result of this change, consequential changes to the PSSAP Rules are made in the PSSAP Third Amending Deed.
Commencement
1. Clause 1 specifies the commencement date for the amendments to the Trust Deed and Rules.
Context
2. Clause 2 provides that, unless the contrary intention appears, a word or phrase in the Third Amending Deed has the same meaning as it has in the Principal Deed.
Details of the amendments
3. Subclause 3.1 inserts a definition of “AWA” in Rule 1.2.1. This term was previously not separately defined because the term “workplace agreement”, which was defined by reference to the WR Act, included an AWA. However, amendments made by the Workplace Relations Amendment Act removed the reference to "AWA" in the definition of “workplace agreement” and also inserted a new Schedule 7A to the WR Act that includes a definition of “AWA”.
4. Subclause 3.2 replaces Rule 2.2.3. The new Rule 2.2.3 separately lists an “AWA” as a form of agreement that can specify a person’s superannuation salary to be ordinary time earnings. Previously, under the old Rule 2.2.3, an “AWA” was captured within the definition of “workplace agreement”.