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Bill Shorten all talk and no action on super



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Media Release Senator Mathias Cormann Shadow Assistant Treasurer Shadow Minister for Financial Services and Superannuation

12/0413/PK 13 April 2012

Bill Shorten all talk and no action on super

Bill Shorten is clearly the Minister for All Talk and No Action when it comes to necessary superannuation reforms.

Despite talking about making changes to ensure performance of different superannuation funds is comparable as far back as 2010 he has yet to take any action on that.

After more than four years of Labor Australians remain unable to compare the performance of different super funds on an 'apples for apples' basis.

This builds on Mr Shorten’s generally very sorry record when it comes to making our superannuation system more transparent and more competitive.

Even though Labor was shamed into promising way back before the 2010 election that it would replace its current closed shop anti-competitive arrangements by which Fair Work Australia selects default funds under Modern Awards with a more open and transparent process Bill Shorten is yet to deliver on that promise.

As the most conflicted Minister for Superannuation in the history of the Commonwealth, Bill Shorten has clearly been intent on protecting the current competitive advantage for his friends in the union movement for as long as possible.

He had to be dragged kicking and screaming to even refer the matter to the Productivity Commission and is unlikely to take any meaningful action to ensure genuine competition in the default fund market before the next election.

Mr Shorten has also either ignored or rejected many of the very sensible Cooper Review recommendations to improve transparency and corporate governance standards in superannuation.

A Coalition government would ensure that:

There is a more appropriate provision for independent directors on superannuation fund boards; Directors who want to sit on multiple superannuation boards must demonstrate to APRA that they don’t have any foreseeable conflicts of interest; Disclosure of conflicts of interests is mandatory; and Directors of superannuation funds must disclose their remuneration in line with the provisions

that apply for publicly listed companies and other APRA regulated sectors.

Rather than taking cheap shots whenever he is challenged on his sorry record, Mr Shorten should spend more time actually doing the job he is paid to do and start delivering on the reforms necessary to protect the retirement savings of all Australians.

MEDIA CONTACT: Senator Cormann 0411 874 546