Tim Watts (Gellibrand, Australian Labor Party) Share this | Link to this | Hansard source

Over the last two days, we have seen this government open a new front on its war on young people in Australia. Not content with destroying the dreams of students around the country through plans to burden students with ever-growing $100,000 degrees, this week the Palmer-Abbott government passed legislation to cut the retirement savings of young workers in this country by tens of thousands of dollars. A dodgy deal between 'Tricky Tony' and 'Capricious Clive' now means that the superannuation contributions of young Australians will be frozen at 9.5 per cent for the next seven years.

On top of this, they have abolished the low-income super contribution, taking a further $500 a year out of the pockets of those who need it most for their retirement funds. These cuts will hit young workers hardest. Analysis undertaken by Industry Super Australia shows that, while a worker aged 50 and earning $80,000 a year will lose a total of $15,310 from their super at retirement as a result of these changes, a worker aged 30 will lose over $31,000—twice the amount—from their retirement savings. To add insult to injury, the Abbott government has launched this attack on the retirement savings of hardworking young Australians, while at the same time scrapping Labor's 15 per cent concessional tax rate on earnings above $100,000.

You will never see a clearer example of whom this government stands for. Hardworking young Australians wanting to save for their retirement get the back of the Treasurer's hand and an insult about squirrelling away their savings and, meanwhile, millionaires get tax cuts. This is an arrogant, out-of-touch government. It does not know what working Australians need, and as soon as we see the back of it the better.