APRA heavyweights press for payday super
Modelling shows it would be worth thousands to lowest paid workers, advocacy body says.
A freshly minted lobby group Super Members Council of Australia has strongly backed payday super as the way to enable more workers to save for a dream retirement.
The body, which combines Industry Super Australia and the Australian Institute of Superannuation Trustees, said the current requirement to pay super quarterly was outdated and a “key reason many lower paid workers missed getting their super in full and on time”.
SMC interim chair Nicola Roxon said the government commitment to switch from quarterly to payday super was a step towards fulfilling super’s policy promise of a financially secure retirement for every worker.
“This is a simple change with a big positive impact for millions of Australians,” Ms Roxon said.
“With the typical retiree having a super balance of $200,000, super provides financial flexibility and peace of mind at retirement – unpaid super was putting that dream at risk for too many Australians.
“Payday super dramatically reduces unpaid super giving more Australians a dignified retirement.”
Modelling by the body, contained in its submission on the legislation, revealed payday super could add up to $36,000 to the retirement balance of workers in the lowest earning quintile.
Its analysis of ATO data found that an average of 2.8 million people a year are underpaid a total of $4.7 billion in super with younger women and the lower paid and disproportionately impacted.
“Removing system glitches that deny workers super’s transformative benefits is a key plank of the Super Members Council’s mission to protect and promote the interests of our 10 million members,” Ms Roxon said.
“And this payday super measure is an example of what can be achieved when we put Australian workers at the heart of super policy development.”
She said millions would benefit from the measure, which if legislated would begin in July 2026, either via reduced amounts of unpaid super or greater compound interest from more frequent employer contributions.
“Moving to payday super modernises outdated laws, making the system fairer and more equitable for workers and employers alike,” Ms Roxon said.
“It will help ensure super is paid on time and in full, meaning Australians can have trust and confidence that the super system is working for them – not against them.”
The SMC, formed in September, brings together eight APRA-regulated industry heavyweights in Aware Super, ART, AustralianSuper, Cbus, HESTA, Hostplus, REST and UniSuper.
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