The passage of the Federal Government’s payday super legislation through Parliament is a welcome move that will benefit the retirement incomes of older Australians, COTA Australia says.
The new law means that from 1 July 2026, employers will be required to pay their employees’ super at the same time as their salary and wages.
Chief Executive of COTA Australia – the leading advocacy organisation for older people – Patricia Sparrow, said paying super on time is an important change
“Paying super on payday will help more Australians retire with dignity,” Ms Sparrow said.
“This is a really positive reform that means people will finally get their super when they earn it – not months later. It’s a simple, fair change that will make a big difference over a lifetime.
“Australians work hard for their super. This change will particularly benefit women, older workers and those in casual or part-time roles who often miss out the most.
“We know there’s nearly $18 billion in lost super, including hundreds of millions belonging to older Australians. Paying super on payday will help close that gap and keep people in control of their savings.
“Of course this won’t solve all the problems people face when it comes to retirement income, but it’s a common-sense change that will benefit help more Australians retire with dignity, like they deserve to.”
Media contact: Tamara Kotoyan, 0430 291 890 or Alana Mew, 0419 929 722