Skip to content
Finance Investment

$200 million recovered in unpaid super in FY24

Cbus Superannuation 4 mins read

Cbus Super says pay day super can’t come soon enough following the Fund’s recovery of a record almost $200 million in unpaid super for the past financial year.

Cbus collected $198.2 million during FY24. Over the past five years, Cbus has recovered over $600 million in unpaid super for over 665,000 members.

Cbus is a market leader in proactively recovering unpaid super for its members, which new research shows are the most likely to experience unpaid super.

The research, by SMC shows that 41% of labourers are impacted by unpaid super, followed by machinery operators and drivers at 36% and technicians and trade workers at 31%.

Cbus Deputy CEO and Chief Member Officer Marianne Walker said, “Recovery of the $200 million in unpaid super this past financial year, a legal entitlement for workers, is an example of the significant impact across the country on retirement savings.

“Cbus is able to recover more unpaid super for our members through our unique member service offering including face-to-face contact at the workplace.”

Marianne Walker said that the recovered money would collectively be worth billions for members in retirement down the track as it restores that crucial part of saving for retirement – the compounding financial effect over time. That extra money can transform retirements after a life of hard work.

The Chief Member Officer said that it’s important to recognise that most employers do the right thing by paying super to their employees, and that it’s only a few that try to gain an unfair advantage by avoiding their legal obligations. The shift to payday super would help employers smooth their payroll and avoid the build-up of liabilities over a quarter that they may struggle to meet.

The high number of insolvencies in the construction industry results in people being left with unpaid entitlements including super, making the Fund’s compliance work on unpaid super all the more important.

Marianne Walker also warned that unpaid super can impact members involved in hazardous work, “Insurance cover through superannuation lapses after 16 months of non-payment. Too often our workplace coordinators are meeting with members who have lapsed insurance following a period of unpaid super. Unpaid super puts at risk this critical insurance cover for members working with heavy machinery and at heights.”

Ahead of the implementation of pay day super commencing in 2026, Cbus Super also recommends:

  • Expanding of Fair Entitlements Guarantee (FEG) safety net to include superannuation. This is necessary to better protect the retirement outcomes of Australian workers who stand to lose their entitlements due to insolvency.
  • The Australian Tax Office (ATO) being supported in taking a stricter and more proactive approach to investigating and recovering unpaid super and ultimately imposing penalties on those who do not meet their Super Guarantee (SG) obligations.
  • The ATO commits to more regularly publishing aggregated data on unpaid super, including by industry to allow the issue to be continually monitored.

ENDS

About Cbus Super:

Cbus Super was established in 1984, created by workers for workers. We are a proud industry super fund, representing for the past forty years those that build, shape and maintain Australia. As one of Australia’s largest super funds we provide superannuation and income stream accounts to more than 920,000 members and manage over $94 billion of our members’ money (as at 30 June 2024). The Fund is a strong long term performer, with Cbus’s Growth (MySuper) investment option achieving an average annual return of 8.87% since inception*. Our members work in sectors that involve physical labour, often in hazardous environments. Cbus tailors its products and services to our members’ needs.

Last financial year Cbus Super recovered over $198.2 million in unpaid super for our members. In the past five financial years (FY20 to FY24) Cbus has recovered $606,439,493 helping 665,389 members.

 

Media enquiries: David McNamara, 0455 144 464, david.mcnamara@cbussuper.com.au 

 

 

All performance return figures are as at 30 June 2024.

 

The inception date for the Growth (MySuper) investment option is 1 July 1984. The returns are based on the crediting rate, which is the return minus investment fees, taxes, and until 31 January 2020, the percentage-based administration fee. Excludes fees and costs that are deducted directly from members’ accounts. Past performance is not a reliable indicator of future performance.

 

This information is about Cbus Super. It doesn’t account for your specific needs. Please consider your financial position, objectives and requirements before making financial decisions. Read the relevant Product Disclosure Statement (PDS) and Target Market Determination to decide if Cbus Super is right for you. Call 1300 361 784 or visit cbussuper.com.au.

 

Insurance is issued under a group policy with our insurer, TAL Life Limited ABN 70 050 109 450, AFSL 237848.

 

Cbus is the leading Industry Super Fund representing those that help build, maintain and shape Australia. As one of Australia’s largest super funds, we provide superannuation and income stream accounts to more than 920,000 members (as at 30 June 2024) and we manage $94 billion of our members’ money (as at 30 June 2024). Our members include workers and retirees, their families and employers. As of April 2022, Cbus merged with Media Super and offers Media Super products. In May 2023 Cbus Super successfully completed its merger with EISS Super, establishing the Fund as the leading fund for energy and electrical workers in Australia.

 

Issued 28 August 2024, United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 as Trustee for Construction and Building Unions Superannuation Fund (Cbus and/or Cbus Super) ABN 75 493 363 262.

 

 


Key Facts:

$198.2 million in unpaid super was collected by Cbus in FY24.

$600 million was collected by Cbus over the last 5 years for over 665,000 members


About us:

About Cbus Super:

Cbus Super was established in 1984, created by workers for workers. We are a proud industry super fund, representing for the past forty years those that build, shape and maintain Australia. As one of Australia’s largest super funds we provide superannuation and income stream accounts to more than 920,000 members and manage over $94 billion of our members’ money (as at 30 June 2024). The Fund is a strong long term performer, with Cbus’s Growth (MySuper) investment option achieving an average annual return of 8.87% since inception*. Our members work in sectors that involve physical labour, often in hazardous environments. Cbus tailors its products and services to our members’ needs.


Contact details:

David McNamara 0455 144 464 david.mcnamara@cbussuper.com.au

More from this category

  • Finance Investment
  • 05/12/2024
  • 00:55
Hut 8 Corp.

Hut 8 Announces New ATM and Stock Repurchase Programs

MIAMI, Dec. 04, 2024 (GLOBE NEWSWIRE) -- Hut 8 Corp. (Nasdaq | TSX: HUT) (“Hut 8” or the “Company”), a leading, vertically integrated operator of large-scale energy infrastructure and one of North America’s largest Bitcoin miners, today announced three capital markets updates:The Company has entered into a Controlled Equity Offering Sales AgreementSM with the sales agents named therein (the “Sales Agreement”) pursuant to which it may offer and sell, under the Prospectus Supplement (as defined below), shares of its common stock, par value $0.01 per share (the “Common Stock”), having an aggregate offering price of up to $500.0 million from…

  • Finance Investment
  • 04/12/2024
  • 12:55
DeAgentAI

DeAgentAI and OKX Wallet Join Forces: $50K DA Token Airdrop for Web3 Enthusiasts

OKX Partners with DeAgentAI to Launch $50,000 DA Token Airdrop, Driving Web3 and AI Innovation SINGAPORE, SG / ACCESSWIRE / December 3, 2024 / OKX, the leading cryptocurrency exchange, has partnered with DeAgentAI, the first AI-driven feedback incentive protocol in Web3, to launch an exclusive airdrop campaign. Starting December 3rd, users can complete simple tasks on OKX Wallet to win a share of $50,000 worth of DA tokens.Click here to join the campaign: https://www.okx.com/web3/giveawayParticipating in the DeAgentAI and OKX Wallet airdrop is easy. Download the OKX Wallet, follow DeAgentAI social media networks, and complete a few simple tasks such as…

  • Education Training, Finance Investment
  • 04/12/2024
  • 11:52
Charles Darwin University

Adaptable MBA is a post graduate course that works with you

An adaptable business course designed to slot into the busy schedules of working professionals is set to welcome its first intake of students in…

  • Contains:

Media Outreach made fast, easy, simple.

Feature your press release on Medianet's News Hub every time you distribute with Medianet. Pay per release or save with a subscription.