Premier & Cabinet

Type:
Department of Premier and Cabinet Circular
Identifier:
C1998-59
Status:
Archived

C1998-59 Commencement of Legislation Improving Retrenchment Benefits for State Superannuation Scheme Members

Description

The Superannuation Legislation Amendment Act 1998 was assented to on 14 July 1998. The Act will introduce changes to the State Superannuation Scheme; in particular, it will reduce the discount rate that is applied when determining a contributor's retrenchment benefit. The discount rate that is currently applied is 8 per cent. This will be reduced to 4 per cent. This will have the effect of increasing the retrenchment benefit payable. 

Detailed Outline

The Superannuation Legislation Amendment Act 1998 was assented to on 14 July 1998. The Act will introduce changes to the State Superannuation Scheme; in particular, it will reduce the discount rate that is applied when determining a contributor's retrenchment benefit. The discount rate that is currently applied is 8 per cent. This will be reduced to 4 per cent. This will have the effect of increasing the retrenchment benefit payable.
 
Although the Superannuation Legislation Amendment Act 1998 was assented to on 14 July 1998, the reduced discount rate will not apply until the date for the commencement of the appropriate amendment is proclaimed. This is anticipated to be the 1 October 1998.
 
Employers should advise their employees that the improved retrenchment benefits will not be available until 1 October 1998. Accordingly, if employees wish to take advantage of higher retrenchment benefits, they should wait until after 1 October 1998 to accept voluntary redundancy.
 
C. Gellatly Director General

Act

Superannuation Legislation Amendment Act 1998

Overview

Compliance

Not Mandatory

AR Details

Date Issued
Jun 13, 1998
Review Date
Dec 31, 2014
Replaces
Replaced By

Contacts

Contact
Contact us
Phone
02 9228 5555
Publishing Entity
Department of Premier and Cabinet
Issuing Entity
Department of Premier and Cabinet