Effective 1 January 2014, the superannuation clause in modern awards changed to require an employer's default superannuation fund to offer a "MySuper product".
MySuper products are intended to make selecting default products more efficient for employers and members. Each MySuper product offers a single, diversified investment strategy and standardised fees, with a view to making funds more easily comparable. Specific performance benchmarks will be imposed on trustees of MySuper products, and they will be subject to APRA supervision.
It is therefore important that employers confirm whether any default superannuation fund they use in fact offers a MySuper product.
Where default funds are named in awards, the Fair Work Commission will undertake and review those funds to ensure a MySuper product is available.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
