July 31, 2023
TWO maverick independent Federal MPs are calling for further action on the government’s superannuation “shake up” and have joined forces to rebuild Australian manufacturing while protecting the nation’s retirement balances.
Kennedy MP Bob Katter and Fowler MP Dai Le want to restart Australian manufacturing and productivity by prescribing that Australian super funds invest in Australian, money-generating industries and projects.
“Recently, I saw an ad by an ‘Australian’ superannuation company which proudly stated it was investing funds in the manufacturing of Swedish trains,” Mr Katter said.[1]
“Now come on, let’s get real – that should be Australian trains.”
The Association of Superannuation Funds of Australia (ASFA) stated total superannuation assets were $3.5 trillion at the end of the March 2023 quarter and that 53.9 per cent were investments in shares. [2]
“Everyone knows the reality of shares, one move and they can all become worthless. All your retirement savings gone, only to then burden the nation’s budget further,” Mr Katter said.
“If the government has the power to direct super funds to become financial advisers, it can direct them to invest your funds in Australian money-generating projects, backed and led by the government[3].
“We had the 60/40 rule – 60 per cent of super funds had to go into government securities, now close to that number is going into a roulette wheel.”
Ms Le echoed Mr Katter’s calls for greater responsibility of how Australian super funds were invested and said she would encourage funds be “directed towards manufacturing projects that would support low socio-economic income areas by providing employment and investment opportunities for Australian business.”
“With the right financial support my electorate of Fowler can become the production and manufacturing engine room of this country,” Ms Le said.
“Our future is here, we have the people and resources to enable a safe and steady transition to a more energy-efficient future.
“I believe my electorate can lead the way in the production of Australian made electric vehicle components. It’s up to us, to encourage local solutions that will create jobs and secure future stability for everyone.
“Australia has the resources to build and create; we have the technology to innovate. It’s time to reassess where we are putting our money and I believe that our hard-earned superannuation funds would be better spent on local manufacturing investments that create employment and business opportunities while providing long-term opportunities for all Australians.”
[2]Super Statistics - ASFA (superannuation.asn.au)
[3]Super fund overhaul: how reforms on financial advice will work | The Australian