Premier Needs To Come Clean On Superannuation Raid
- Labor admits secret raid planned on public servants superannuation
- Premier refuses to release independent advice from the State Actuary about the impact of the raid
- Leaves fund vulnerable to external shocks and could mean superannuation not fully funded
Premier Annastacia Palaszczuk must today front up, admit her broken promise and tell Queenslanders how much money she plans to raid from the public servants’ superannuation fund.
Opposition Leader Tim Nicholls said the Labor Government had today been forced to admit they had no other way of propping up the Queensland budget than to raid a fund put aside to cover public servants’ superannuation entitlements.
“In last year’s budget the Premier announced a freeze on paying contributions, depriving the fund of $2 billion, but that wasn’t enough. Now they’re raiding the piggy bank,” Mr Nicholls said.
“The Premier and her Treasurer are going where no other government in Queensland’s history has gone before, and it’s a sign of their desperation and lack of an economic plan.
“Former Premier Peter Beattie, a man Labor just appointed as chair of GOLDOC, is on the record as saying that these investments should be left alone to provide a buffer against periods of market instability.
“The Premier has ignored this advice and the advice of other Labor luminaries, and in doing so has set a new low bar in the history of Queensland’s finances.
“She also refused to release the advice she is relying on to justify this unprecedented move.”
Mr Nicholls said Ms Palaszczuk had broken yet another election promise to the people of Queensland.
“Not once before the election did the Premier say that her government would prop up their budget in such a short-sighted way,” he said.
“Remember, last year’s State Budget included a $3.4 billion raid on public servants’ long service leave, a freeze on paying superannuation contributions and a $4 billion debt shift onto government-owned businesses.
“The independent Auditor General called out these hollow log raids for what they are – “short-term strategies that cannot be relied upon indefinitely”.
“Instead of accepting the Auditor General’s advice and outlining a long-term plan for improving Queensland’s financial position, the Premier and the Treasurer have once again resorted to one-off sugar hits which could have disastrous implications in the long-term.
“Queenslanders deserve better than a government whose only budget strategy is raid every single fund previous government put aside to fund future entitlements.
“Only the LNP has the experience, enthusiasm and energy to deliver a strong economic framework and Get Queensland Moving.”
- Labor’s last budget included a decision to stop making payments into the defined benefit superannuation fund, which cost $2 billion.
- Labor’s short-term budget strategy has previously been laid bare by independent Auditor General.
- The latest raid could mean the Government’s liability for superannuation of public servants in the defined benefit fund may not be fully funded, and it leaves the fund vulnerable to shocks.