State Authorities Superannuation Act 1987

This Act may be cited as the State Authorities Superannuation Act 1987.

This Act shall commence on 1 April 1988.

Despite any other provision of this Act, an employee is not entitled to make an election to contribute to the Fund on or after 19 December 1992 (the closure date).

However, a person who lodged an election to contribute to the Fund with the Board, or with the person’s employer, before the closure date is taken to have elected to contribute to the Fund before that date and this Act applies accordingly.

An election that was sent to the Board or employer, by post or otherwise, before the closure date is taken to have been lodged with the Board before that date.

Despite section 2A, an employee who resumes employment as an employee in the circumstances set out in section 30 may make an application under that section and may resume contributions.

Section 2A does not prevent an employee from exercising a transfer option conferred under Part 6 or Part 7 of the Superannuation Administration Act 1996.

Despite section 2A, an employee who has elected under Part 2 of Schedule 5 to make provision for a preserved benefit before the commencement of this section, or who so elects after the commencement of this section, is entitled to elect to contribute to the Fund.

Despite section 2A, an employee who has elected under Division 3B of Part 4 of the Superannuation Act 1916 to defer or preserve a benefit before the commencement of this section, or who so elects after the commencement of this section, is entitled to elect to contribute to the Fund.

The election to contribute to the Fund must be made when the employee elects to make provision for a preserved benefit or to defer or preserve a benefit.

Despite subsection (3), an employee who elected to make provision for a preserved benefit or to defer or preserve a benefit before the commencement of that subsection may elect to contribute to the Fund at any time within 3 months after the commencement of that subsection.

In this Act—

additional benefit has the meaning given by section 36.

additional benefit levy means the levy that, in order to attract the additional benefit for a contributor, is paid to the Fund by transfer from the contributor’s account under section 22 (2) (b).

Administration Account means the STC Administration Account maintained under the Superannuation Administration Act 1996.

applicable contribution period has the meaning given by section 36.

appointed day means 1 April 1988.

attributed salary, in relation to a contributor at any time, means—

where the contributor is a full-time employee at that time—the salary of the contributor at that time, or

where the contributor is a part-time employee at that time—the salary that would be payable to the contributor at that time if employed as a full-time employee.

Aware Super Fund has the same meaning as Fund has in the Aware Super Act 1992.

benefit means a benefit payable under this Act.

Board means the State Authorities Superannuation Board referred to in section 4 of the Superannuation Administration Act 1991.

Commonwealth taxation law means a law of the Commonwealth that provides for the levying and collection of a tax.

complying approved deposit fund means a complying approved deposit fund for the purposes of section 47 of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.

complying superannuation fund means a complying superannuation fund for the purposes of section 45 of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.

contribution period means a named month or such other period as may be prescribed.

contributor means an employee whose election to contribute to the Fund has taken effect.

contributor-financed benefit, in relation to a benefit payable to, or in relation to, a contributor, means the balance at credit in the contributor’s account at the time the benefit is paid.

contributor’s account means the account established and maintained under section 12 in respect of the contributor.

deferred benefit, in relation to a contributor, means a benefit deferred under section 42AA, 43 or 43AA.

discharge, in relation to a contributor, means the cessation of the contributor’s employment expressed by the employer to be on the ground that the period, or successive periods, for which the contributor was employed has or have ended.

dismissal means the termination by an employer of the employment of a contributor with the employer, but does not include retrenchment or discharge or a retirement on the grounds of incapacity in circumstances which entitle the employee to a benefit.

early retirement age means the age of 59 years or, if some lower age (but not lower than the age of 55) is prescribed, that lower age.

employee means a person who is employed by an employer and who is the subject of a certificate by the employer to the effect that—

if the regulations prescribe any class of persons as not being employees—the person is not within any such class, and

if the regulations prescribe any requirement with which a person must comply in order to be an employee—the person complies with the requirement (specifying the requirement),

but does not include an excluded person referred to in Schedule 2.

employee contribution means a contribution made under Part 3, other than a salary sacrifice contribution.

employer means—

the Crown, the Government or a Minister or other member of Parliament, or

an authority specified in Schedule 1,

and a reference to employment with an employer includes a reference to employment with successive employers.

employer-financed benefit, in relation to a benefit payable to, or in relation to, a contributor, means so much of the benefit as is paid from the reserve for that employer.

employer reserve means a reserve established and maintained under section 14.

entry date, in relation to a contributor, means the date as at which the contributor’s election to contribute to the Fund took effect, that election being—

the only such election made by the contributor, or

where the contributor has made more than one such election—the later or latest of those elections.

executive officer means a contributor who is—

a Public Service senior executive within the meaning of the Government Sector Employment Act 2013, or

an employee (not being a Public Service senior executive) of an employer specified in Schedule 1 and who holds an office designated by the Secretary of the Treasury as the office of an executive officer, or

a police executive officer, or

an office holder nominated for the purposes of section 11A of the Statutory and Other Offices Remuneration Act 1975.

(Repealed)

exit date, in relation to a contributor, means the date on which the contributor ceases employment with an employer, that cessation of employment being—

the only such cessation of employment of the contributor, or

where there has been more than one such cessation of employment of the contributor—the later or latest of those cessations of employment.

family law superannuation legislation has the same meaning as it has in Part 5AA.

family law superannuation payment has the same meaning as it has in Part 5AA.

FTC means the FSS Trustee Corporation established under the Superannuation Administration Act 1996.

full-time employee means an employee whose salary ratio is equal to 1.

Fund means the State Authorities Superannuation Fund established under this Act.

maximum benefit points has the meaning given by section 36.

non-contributor spouse has the same meaning as it has in Part 5AA.

part-time employee means an employee whose salary ratio is less than 1 but at least 0.1.

penalty, in relation to a Commonwealth taxation law, includes (but is not limited to)—

a penalty rate of taxation under that law, and

the loss of a concessional rate of taxation under that law.

police executive officer means an executive officer within the meaning of Part 5 of the Police Act 1990.

preserved benefit, in relation to a contributor, means a benefit preserved under section 43AAA.

prospective benefit points has the meaning given by section 36.

relevant Commonwealth superannuation standard means a standard that would be applicable under the Superannuation Industry (Supervision) Act 1993 of the Commonwealth if the Fund was a regulated superannuation fund under that Act.

resign means cease to be employed by an employer, but does not include—

retrenchment, discharge or dismissal, or

ceasing to be employed because of death, or

ceasing to be employed on the privatisation of an employer, or

ceasing to be employed on the grounds of incapacity in circumstances which entitle the employee to a benefit.

retire means cease (otherwise than by reason of death) in any manner to be employed by an employer on or after reaching the early retirement age.

retirement savings account has the same meaning as in the Retirement Savings Accounts Act 1997 of the Commonwealth.

retrenchment, in relation to a contributor, means the termination of the employment of the contributor with an employer where the employment is expressed by the employer to be—

compulsorily terminated by the employer on the ground that—

the employer no longer requires the contributor’s services and, on termination of the contributor’s employment, does not propose to fill the contributor’s position,

the work that the contributor was engaged to perform has been completed, or

the amount of work that the employer requires to be performed has diminished and, due to that fact, it has become necessary to reduce the number of employees employed by the employer, or

terminated as a result of the acceptance by the contributor of an offer by the employer of terms of retrenchment made on a ground specified in paragraph (a).

salary, in relation to a contributor, means salary of the contributor, determined in accordance with section 4 or 4A and expressed as an annual rate.

salary ratio, in relation to a contributor at any time during a contribution period, means the number ascertained by dividing the salary of the contributor at the commencement of the contribution period by the attributed salary of the contributor at that commencement.

salary sacrifice contribution means a contribution paid to the Fund for crediting in a contributor’s account by the contributor’s employer in accordance with an agreement referred to in section 19A (1) (b).

spouse of a deceased contributor or deceased former contributor means the surviving spouse of the contributor or former contributor.

STC means the SAS Trustee Corporation established under the Superannuation Administration Act 1996.

superannuation contributions surcharge means the superannuation contributions surcharge imposed under the Superannuation Contributions Tax Imposition Act 1997 of the Commonwealth.

superannuation guarantee shortfall has the same meaning as in the Superannuation Guarantee (Administration) Act 1992 of the Commonwealth.

superannuation scheme means a scheme, fund or arrangement (whether or not established by an Act) under which any superannuation or retirement benefits are provided by an employer.

superannuation year means the year commencing on 1 April 1988 and each subsequent year commencing on 1 April.

this Act includes the regulations.

Note.

The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.

In this Act—

a reference to a function includes a reference to a power, authority and duty, and

a reference to the exercise of a function includes, where the function is a duty, a reference to the performance of the duty.

A reference in this Act to an authority where used in or in connection with the definition of employer is a reference to an authority, organisation, corporation, person or other entity.

If the inclusion of an employer in Schedule 1 is expressed to be limited in any respect, this Act has effect in relation to the employer subject to the limitation.

Notes included in this Act do not form part of this Act.

For the purposes of this Act, salary, in relation to a contributor (other than an executive officer) means the sum of—

the remuneration, salary or wages payable in money to the contributor in the contributor’s capacity as a contributor, as reported to STC from time to time by the contributor’s employer, including—

a loading in respect of any shift allowance, as determined in accordance with the regulations, and

other allowances payable in money that are of a kind included within the value of leave paid on termination of employment, and

weekly workers compensation paid to the contributor as from a date determined by STC under subsection (1B),

but not including the excluded amounts or allowances referred to in subsection (2), and

if salary sacrifice contributions are made in respect of the contributor, the amounts payable for those contributions under section 19B, and

if approved employment benefits are provided to the contributor, the cost of providing the approved employment benefits, as determined by the Minister, with the concurrence of the Treasurer.

The weekly workers compensation to be treated as salary for the purposes of this Act does not include any amount by which the aggregate of—

the weekly workers compensation paid to an injured contributor, and

the salary actually paid to the contributor while partially incapacitated,

exceeds the salary that the contributor would probably have been earning but for the injury (assuming the contributor had continued to be employed in the same or some comparable employment).

STC may determine a date as from which weekly workers compensation paid to a contributor is to be treated as salary for the purposes of this Act, being a date not earlier than—

1 April 1988 (the date of commencement of this Act), or

if the liability to pay weekly workers compensation in respect of the contributor first arose on a date later than 1 April 1988—that later date.

Despite subsection (1), the regulations may provide that the salary of an employee or class of employees (other than an executive officer) for the purposes of this Act is to be determined in the manner prescribed by the regulations.

A regulation may be made under subsection (1C) only if the Minister and the Treasurer certify in writing that—

there has been a change in the basis on which the remuneration of the employee or class of employees is determined, and

the effect of that change is to change the basis of remuneration to an annualised one, and

the effect of the regulation is not to reduce the benefits that would have accrued under this Act to the employee or class of employees, had there been no change in the basis of remuneration, and

the making of the regulation and associated arrangements will not result in a greater financial cost to the Government than if the regulation and associated arrangements were not made.

The excluded amounts or allowances are—

an amount paid for overtime or as a bonus, or an allowance instead of overtime,

except to the extent determined in accordance with the regulations, as referred to in subsection (1) (a)—an amount paid as shift allowance,

except to the extent that this section otherwise provides—a relieving allowance,

an expense allowance or an allowance for travelling, subsistence or other expenses,

an equipment allowance,

in respect of any period during which the contributor takes extended leave (or leave in the nature of extended leave) otherwise than on full pay, such part of the remuneration received by the contributor as exceeds the salary (within the meaning of subsection (1)) that he or she would have received had he or she taken leave on full pay,

an amount paid for rent or as a residence, housing or quarters allowance, and

an amount of weekly workers compensation excluded by subsection (1A).

If a contributor’s employer, or a person authorised to do so on behalf of the employer, certifies in writing to STC that a relieving allowance to be, or being, paid to the contributor in the contributor’s capacity as an employee is likely to be paid for a continuous period of 1 year (whether or not the period is partly before the date of the certificate), the allowance is, as from—

the date on which the certificate is lodged with STC, or

the date from which the allowance becomes payable,

whichever is the later, salary for the purposes of this Act.

If a relieving allowance has been paid to a contributor in the contributor’s capacity as an employee for a continuous period of 1 year that ends after the appointed day and, during that period, the allowance has not been treated as part of the contributor’s salary in accordance with subsection (3), the allowance shall, as from the expiration of that period of 1 year, be treated as part of the contributor’s salary while its payment to the contributor continues.

For the purposes of subsection (4), a reference to a continuous period of 1 year in relation to a contributor who is employed in an educational institution is to be read as a reference to the academic year of the institution.

If a contributor is on secondment to another employer, the salary of the contributor for the purposes of this Act is the salary paid or payable to the contributor by the other employer.

The Governor may, by order in writing, declare unconditionally, or subject to conditions, that subsection (7) applies—

to a contributor specified in the order who is on secondment but not to another employer, and

generally during the period of that secondment, or during such period as is specified in the order, being, in either case, a period commencing before, on or after the date of the order.

During the period in which this subsection is declared pursuant to subsection (6) to apply to a contributor on secondment, the contributor’s salary shall, for the purposes of this Act, be that paid or payable in respect of the employment to which he or she is seconded.

In this section—

academic year, in relation to an educational institution, means a continuous period commencing on the first day of any academic term of the institution and ending on the day before the first day of the corresponding academic term in the following calendar year.

approved employment benefit means a benefit provided to a contributor at the cost of the contributor’s employer (being a benefit of a private nature) that is approved by the Minister, with the concurrence of the Treasurer, for the purposes of this section in relation to the contributor or a class of employees of which the contributor is a member.

shift allowance means an allowance paid to an employee in respect of shift work performed by the employee, and includes amounts paid as penalty rates.

weekly workers compensation, in relation to a contributor, means weekly payments of compensation under the Workers Compensation Act 1987 (or the provisions of the Workers Compensation Act 1926 as applied by that Act) payable to the contributor because the contributor is partially incapacitated for work through injury.

Definition of salary For the purposes of this Act, the salary of an executive officer is the salary as last nominated or changed in accordance with this section.

Nomination of salary on initial and subsequent appointments An amount of salary for the purposes of this Act must be nominated to an executive officer’s employer by the officer, on, or as soon as practicable after, being appointed as an executive officer. An amount may also be nominated to the officer’s employer by the officer on, or as soon as practicable after, being reappointed, or appointed to another position, as an executive officer.

Amount of salary The amount nominated is to be not less than the monetary remuneration payable to the executive officer at the date of nomination and not more than the total value of the remuneration package paid to the officer (less the cost of providing employer’s contributions to superannuation, other than salary sacrifice contributions, under this Act and the State Authorities Non-contributory Superannuation Act 1987 and any performance-related incentive payment).

Failure to nominate salary If an executive officer fails to nominate an amount of salary within 28 days of first being appointed as an executive officer or within such further period as STC may allow, the officer is taken to have nominated an amount of salary that is equal to the monetary remuneration payable to the officer at the end of the applicable period.

Reduction in nominated salary An executive officer may, from time to time, by notice to the officer’s employer elect to reduce the amount of salary nominated under this section, but not so that the amount is less than the monetary remuneration payable to the officer at the date of the election.

Increase in nominated salary An executive officer may, from time to time, by notice to the officer’s employer elect to increase the amount of salary nominated under this section, but not so as to increase the amount nominated by a percentage of that amount that is more than the percentage by which the remuneration package of the officer has increased since the amount of salary was last nominated or changed.

Nominations and elections An employer must notify STC of a nomination or election under this section. Any such nomination or election takes effect on the date of notification to STC or on such other date as STC may determine with the consent of the executive officer concerned.

Effect of changes in packages Nothing in this section requires the nominated amount of salary to be increased if, because of a variation in the remuneration package of an executive officer or in the proportions of the remuneration package comprising monetary remuneration and employment benefits of the officer, the amount of salary as last nominated or changed for the purposes of this section is less than the monetary remuneration of the officer.

Transitional provision relating to nomination of salary by executive officers An executive officer may, within 3 months after the commencement of this subsection, nominate a new amount of salary in accordance with this section if, immediately before the commencement of this subsection, the officer was an executive officer.

Monetary remuneration In this section, the monetary remuneration payable to an executive officer is—

if the officer is a Public Service senior executive or a police executive officer, the monetary remuneration payable in accordance with the Government Sector Employment Act 2013 or the Police Act 1990, as the case requires, or

if the officer is an office holder nominated for the purposes of section 11A of the Statutory and Other Offices Remuneration Act 1975, the remuneration payable to the officer as reduced under that section by the cost of employment benefits provided to the officer, or

in the case of any other executive officer, the monetary remuneration payable to the officer.

The Governor may, by order in writing, declare unconditionally or subject to conditions that subsection (2) applies—

to a contributor specified in the order who is on secondment but not to another employer, and

generally during the period of that secondment, or during such period as is specified in the order being, in either case, a period commencing before, on or after the date of the order.

During the period in which this subsection is declared under subsection (1) to apply to a contributor, the employer specified in the declaration shall be deemed to be the employer from whose employment the contributor is seconded.

Where a contributor is in part-time employment with more than one employer at the same time, this Act applies to the contributor separately in relation to each such employment as if, in relation to each such employment, the contributor were a different person.

(Repealed)

An employee of the Crown, the Government or a Minister or other member of Parliament shall, for the purposes of this Act, be deemed to be employed by such person or organisation as may be prescribed.