News

800 000 workers “robbed” of unpaid super

By Jared Prestwidge

VICTORIAN workers’ retirement has been affected by being “robbed” of more than $1.4 billion in unpaid super, according to a new analysis of Australian Taxation Office data between 2016-17 by Industry Super Australia.

According to the study, more than 800 000 Victorians have not received their legal super entitlement — almost one in three workers.

On average the state’s workers miss out on about $1750 a year in super.

The Euroa electorate is ranked as the 76th worst hit across the state, with 7505 people (33.7 per cent) reported to be underpaid.

The average underpayments in Euroa are calculated as $1422, totalling $10.67 million overall.

Industry Super Australia deputy chief executive Matt Linden said the Victorian Government should push to create laws that criminally punished employers who do not pay wages, superannuation and other entitlements.

“The only way to put this $1.4 billion super rip off to an end is for the Federal Government to make super payable on pay day. The Victorian Government can add its voice to fix this problem once and for all,” he said.

“Across the state almost a third of Victorian workers are having their super stolen — no area is immune. Unpaid super blasts a hole in workers’ savings, making a huge difference to their quality of life in retirement.

“With such little enforcement action taken against those responsible for the unpaid super scandal it is time for Victoria’s federal and state politicians to act.”