Commonwealth Numbered Regulations - Explanatory Statements

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SUPERANNUATION (CONTINUING CONTRIBUTIONS FOR BENEFITS) REGULATIONS (AMENDMENT) 1993 NO. 3

EXPLANATORY STATEMENT

STATUTORY RULES 1993 No. 3

Issued by the authority of the Minister for Finance

Superannuation Act 1976

Superannuation (Continuing Contributions for Benefits) Regulations (Amendment)

The Superannuation Act 1976 (the Act) makes provision for and in relation to an occupational superannuation scheme (the CSS) for Commonwealth employees and certain other persons. Persons eligible to contribute to the CSS are referred to in the Act as eligible employees.

Section 168 of the Act provides that the Governor-General may make regulations for the purposes of the Act.

The term 'eligible employee' is defined in subsection 3(1) of the Act. In accordance with paragraph (ea) of the definition, the term includes a person to whom section 14A of the Act applies. Regulations under section 14A may specify classes of persons to which the section applies and may modify the Act in respect of such persons. These provisions are contained in the Superannuation (Continuing Contributions for Benefits) Regulations.

The provisions of the Australian and Overseas Telecommunications Corporation Act 1991 (the AOTC Act) had the effect of merging the Australian Telecommunications Corporation (Telecom) and OTC Limited into the Australian and Overseas Telecommunications Corporation (AOTC). Section 35 of the AOTC Act provides that an instrument that refers to Telecom or OTC Limited shall continue to have effect according to its tenor except that a reference to the corporation in the instrument shall be read as a reference to AOTC.

Existing staff of Telecom and OTC transferred to employment with AOTC on 1 February 1992. The Regulations amend the Superannuation (Continuing Contributions for Benefits) Regulations to clarify that the CSS arrangements which applied to persons as staff of Telecom and OTC continue to apply to those persons as staff of AOTC.

All the amendments are technical in nature. The amendments contained in the Regulations are explained in the Attachment.

The Regulations operate with effect from the date of gazettal. Although the amendments refer to persons as at 1 February 1992, they do not affect the rights of any person (other than the Commonwealth) in a manner prejudicial to that person, nor do they impose any liability on such a person. They are, therefore, in accord with the Acts Interpretation Act 1901.

AOTC is not a Commonwealth authority for the purposes of Part IV of the Public Service Act 1922, and should be listed separately in inserted section 159(1A)

SUBREGULATION 4.2

This substitutes a new subitem 2.2 in the Schedule to the Superannuation (Continuing Contributions for Benefits) Regulations. The effect of the substitution is to simplify the construction of the subitem by replacing references to each of the paragraphs of inserted subsection 159(1A) with a single reference to subsection 159(1A).

ATTACHMENT

SUPERANNUATION (CONTINUING CONTRIBUTIONS FOR BENEFITS) REGULATIONS (AMENDMENT)

REGULATION 1

This provides that the Superannuation (Continuing Contributions for Benefits) Regulations are amended as set out in the Regulations.

REGULATION 2

This amends regulation 3A of the Superannuation (Continuing Contributions for Benefits) Regulations. Paragraph (c) of regulation 3A had provided for CSS membership arrangements under section 14A of the Act in respect of persons who were eligible employees and employed by Telecom. The amending Regulation omits the existing paragraph (c) and substitutes a new paragraph (c) which provides for the same arrangements in respect of former Telecom staff who, on 1 February 1992, transferred to AOTC.

Regulation 2 also inserts a new paragraph (ca) which provides for CSS membership arrangements under section 14A in respect of persons who were eligible employees and staff of OTC Limited and who, on 1 February 1992, transferred to AOTC employment. While employed by OTC Limited, these persons had access to CSS membership by virtue of the approved authority status of OTC Limited. The Minister for Finance has declared AOTC not to be an approved authority for the purposes of the Act; as a consequence, CSS membership arrangements for former staff of OTC Limited are now to be provided under section 14A of the Act.

SUBREGULATION 33.1

This amends subregulation 4(3) of the Superannuation (Continuing Contributions for Benefits) Regulations, which provides for the cessation of arrangements under section 14A of the Act, to also apply to new paragraph 3A(ca).

SUBREGULATION 3.2

This changes the reference in paragraph (b) of subregulation 4(4) of the Superannuation (Continuing Contributions for Benefits) Regulations from 'Australian Telecommunications Corporation' to 'Australian and Overseas Telecommunications Corporation'. The provision specifies the 'Telecom superannuation Scheme' as the superannuation scheme in relation to AOTC for the purposes of subregulation 4(3).

SUBREGULATION 4.1

This substitutes a new subitem 2.1 in the Schedule to the Superannuation (Continuing Contributions for Benefits) Regulations. The effect of the substitution is to include AOTC in the fist of bodies to which section 159 of the Act applies and in respect of which the Minister for Finance may determine that payments to the Commonwealth are to be made. Whereas Telecom and OTC Limited had been covered for the purposes of section 159 by paragraph (c) of inserted section 159(1A).


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