If Labor wins the upcoming Federal Election, don't expect the new Treasurer to go easy on underperforming funds - industry or otherwise.
Speaking at an FSC BT Political Series lunch at Doltone House in Sydney last week, Shadow Treasurer Chris Bowen said if elected, Labor would afford no favours to underperforming superannuation funds, declaring it was time for floundering funds to "lift their game."
"I want to make it clear: consistently underperforming funds, regardless of whether they are industry funds or retail funds will have no sympathy from a Shorten Labor Government," Bowen said.
The member for McMahon accused the Government of "preferring politics over policy," by refusing to support ALP amendments to the member outcomes bill before parliament, which would have forced super funds to report their performance for comparison with others.
"Labor amended this bill in the Senate to make the outcomes test tougher, make director penalties higher and make APRA's powers stronger," he said.
"Millions of Australians are being ripped off by underperforming accounts and we want to force these funds to report on their performance and lift their game.
"The Government - preferring politics over policy - opposed our amendments, and has failed to bring the bill back to the House of Representatives for a vote."
Bowen also said an elected Labor Government would make the universality of super a priority by gradually abolishing the $450 superannuation guarantee threshold, and ensuring women are paid SG on paid parental leave.
"This isn't a panacea, but it's a significant step in the right direction," Bowen said.
"These measures alone will see a mother that has two kids in her late 20s with an extra $24,000 in today's dollars when she retires."