What about the 4 billion in super funds that Palaszczuk raided, what happened to all that money.
Premier refuses to top up super fund if it goes into deficit
17th June 2016
Premier Annastacia Palaszczuk again refuses to answer questions on whether the government will top up public sector super fund if it goes into deficit due to Labor’s $4 billion raid
Ignores State Actuary’s advice on need for additional contributions
Labor Government continuing to ignore warnings about the dangers of the $4 billion raid
Premier Annastacia Palaszczuk has again refused to commit money to the public sector superannuation fund should it go into deficit due to her government’s $4 billion raid.
Shadow Treasurer Scott Emerson said it was another example of the Palaszczuk Labor Government ignoring the advice of the independent State Actuary.
“The Premier today refused to answer questions put to her about what her government would do if this important fund goes into the red because of this short-sighted superannuation raid,” Mr Emerson said.
“This is a vitally important question, one that the Premier and her Treasurer have consistently ignored.
“In his advice to the State Government, the State Actuary warned of the risks of the raid and the need to be ready to respond accordingly.”
“It is critical that the Government recognises this issue and stands ready to contribute additional funds should adverse experience occur in future.” (State Actuary correspondence to the Under Treasurer 20 May, 2016)
“Labor is just rolling the dice and hoping for the best – and that’s not good enough considering the vital importance of this scheme.”
Mr Emerson said the Labor Government had also ignored the State Actuary’s recommendation to only take $2 billion, and instead ripped $4 billion out of the fund.
“This raid has substantially weakened the position of the superannuation fund,” he said.
“Further media reports today have highlighted the risks in this government’s approach, with Curtis Pitt’s actions compared to stealing from the cookie jar.
“The dramatic decline in interest rates and the outlook for equity markets has made a nonsense of the actuarial assumptions used to calculate the funds required to fund future pension.
The Queensland Government is therefore in grave danger of plunging the fund into the red to meet current spending. Even more dangerously, it has created an awful precedent – current needs go before future requirements when it comes to public servant pensions.” (‘Queensland’s fantasy super surplus sets a dangerous precedent’, The Australian, 17 June 2016)
“This is the reckless act of a desperate Government that could end up costing every taxpayer in Queensland.”
And now this year
State Government gets green light to continue ‘raid’ on public servants’ super
Jessica Marszalek, The Courier-Mail May 6, 2017 12:00am
THERE is a one-in-three chance of the state’s public service superannuation fund dipping into deficit in 2020, according to a report.
But the State Government has been given the green light to continue to dip into the fund to build infrastructure and pay down debt.
Unveiled in the 2016 Budget, the plan to withdraw about $4 billion attracted harsh criticism from the Liberal National Party and unions, who labelled it a “raid” on public servants’ super.
The State Actuary’s report found the fund was in a “very healthy financial position” with a surplus of $9.15 billion at June 30, 2016, compared with $10.05 billion in 2015. That was thanks partly to a lower-than-expected investment return.
It said the overfunding of the scheme was reducing while a buffer of about 20 per cent was being maintained to ensure the state could pay retiring bureaucrats.
Treasurer Curtis Pitt said the annual review meant the Government would have appropriate warning to pay back into the fund if a risk of it going into deficit was identified. But Shadow Treasurer Scott Emerson said Mr Pitt was ignoring higher risk scenarios.
