Government reforms to superannuation payments welcomed after data reveals WA workers miss out on $600m

Commonwealth Government reforms to stop workers being underpaid superannuation will be introduced in the coming years, after 25 per cent of the population in Durack were underpaid $45.6 million in 2021-22. Super Members Council modelling has revealed 22,700 people in the Federal electorate of Durack were underpaid superannuation during 2021-22. The average affected worker missed out on $2010 and totalled $45.6m. Across WA, almost $600m in super was not paid to 310,750 people, or 26 per cent of the total population, with workers losing $2.6 billion in super over five years. Commonwealth Government reforms strengthening Australia’s superannuation system will come into effect from July 1, 2026, ensuring employers pay superannuation every pay cycle, rather than every quarter. The changes aim to help employees track their entitlements, improve management for employers and ensure those who pay their workers super correctly are not undercut by those who are not. Under a new compliance regime, employers will be pushed to fix underpayments and will face consequences if they repeatedly fail to pay their workers super. SMC chief executive Misha Schubert said she was thankful for the Government’s commitment to the payday super reform, which would give all Aussies the retirement they deserve. “Paying super on payday will modernise the super system and should hugely reduce underpayments for West Australians,” she said. “It’s an excellent example of reform to benefit everyday Australians with super, and will strengthen fairness for both workers and employers. “Passing payday super into law this parliamentary term is crucial to ensure the West Australians who are currently being short-changed are paid their super on time and in full. “Unpaid super locks too many Australians out of the full transformative benefits of the retirement system and leaves people poorer when they retire. “A unified push from government, all MPs and senators, the super industry, employers and workers are needed to stamp it out.” SMC data finds the average worker will be $7700 better off in retirement with payday super.