Report urges transparency on super
THE Productivity Commission is calling for more transparency and competition in the selection of default superannuation funds.
In a draft report, the commission has urged the Federal Government to give workers more options for their default fund.
Under current laws overseen by Fair Work Australia, the retirement savings of those on award wages who do not choose their own superannuation fund automatically flow into a default fund.
Eight in 10 Australians' retirement savings go to such a fund, with contributions in 2010 worth an estimated $7 billion to $10.5 billion.
The Productivity Commission says this unfairly favours industry super funds, "based on precedent and the consent of unions".
Read more at ABC news online.