Mark Arbib (NSW, Australian Labor Party, Minister Assisting the Prime Minister for Government Service Delivery) Share this | Hansard source

The government does not support the opposition’s amendment. I do not think that is any surprise. The AIRC has provided for default funds in modern awards. These are funds which an employer can pay into on behalf of the employee who has failed to exercise their right to nominate a fund of their own choosing. The commission sought the views of stakeholders on appropriate funds and has decided to allow any fund to which an employer was contributing at 12 September 2008 to be listed as a default fund.

I make the point that all Australian employees will continue to be entitled to choose their own superannuation fund when modern awards commence on 1 January 2010. Providing safety net protection for Australians who do not exercise superannuation choice of fund is important. Employers and employees are free to agree upon a different default fund to those set out in the modern award in any enterprise agreement that they make.

Senator Fielding, in relation to the question that you asked me, I know you have had discussions with Senator Sherry—not to your agreement, obviously—but certainly you can continue those discussions with Senator Sherry and also with the new minister, Minister Bowen.