Superannuation system to be reviewed

The federal government and top superannuation industry bodies have agreed to review
the operations of the nation's $1.1 trillion super system.
Issuing a "Communique of Principles", they say compulsory superannuation should
remain one of the three critical pillars of retirement incomes, along with voluntary
savings and the age pension.
They say the Australian superannuation system is strong and well regulated, while
strong retirement outcomes for Australians are the pre-eminent consideration of the
system.
"After nearly 20 years of compulsory superannuation and the development of numerous
new features, the government, with the support of industry, has agreed that it is
timely and appropriate that an examination take place," Superannuation Minister
Senator Nick Sherry said.
"This landmark process will examine the structure, operation and efficiency of the
superannuation system."
The examination will complement the work underway by the tax review, announced in
May last year.
The terms of reference and details of the structure of the examination will be
released shortly, he said.
Opposition superannuation spokesman Chris Pearce said he noted the announcement with
"absolute amazement".
He said the review adds to the current reviews into self-managed super funds, simple
advice in superannuation, a central clearing house, lost accounts, tax relief of
merging funds and indexation of government superannuation schemes.
"The coalition would like to see a decision made," Mr Pearce said.
"The industry badly needs certainty, as do retirees and all working Australians.
"This additional `examination' is further evidence that the minister is totally
bogged down in review processes and incapable of making a decision."