FRAN KELLY:
Close to $14 billion dollars in lost superannuation is still sitting with the Tax Office waiting to be claimed by its rightful owners. Some of us lose track of our super when we move jobs or might change names or addresses. The new data on unclaimed super comes as the Federal Government announces its plan to allow domestic violence victims to raid their super savings is actually now under review after concerns were raised by stakeholder groups. Jane Hume is the Minister for Superannuation and Financial Services. She joins me in the Parliament House studio. Jane Hume, welcome to Breakfast.
JANE HUME:
Good to be with you, Fran.
FRAN KELLY:
We will get to the unclaimed super in a moment, because I know people are very keen to hear if they might get a part of that 14 billion. But first to domestic violence and super. It way only two days ago you announced the Government would be forging ahead with the plan to allow domestic violence victims to access $10,000 from their super to help them flee an abusive situation. 24 hours later and the Prime Minister told the parliament that "The measure is now under review". Is that a recognition of just how bad an idea that is?
JANE HUME:
I think it is worth taking a step back here, Fran. You have always been able to access your superannuation on compassionate grounds. It might be for medical treatment, or it might be for funeral expenses for a dependent or a spouse. The plan was to open that definition of compassionate grounds open to domestic violence victims. That was announced in 2018 by Kelly O'Dwyer as part of the Women's Economic Security Statement, so it is not a new policy. And in fact, it was recommended to Kelly O'Dwyer by HESTA, the super fund which has a very large proportion of its members are female, and a it was supported by the superannuation sector at the time.
FRAN KELLY:
There has been a rethinking of it. The Prime Minister told us that stakeholders have raised strong concerns. The main one, that abusers could try to extort the money from their partners and it would it would be another form of, you know, control over victims at a time when we are zeroing in on coercive control. Could you put safeguards in place to make sure that the woman gets the money?
JANE HUME:
That is the consultations that we have been having since 2018 on how this might be done. Could you put those safeguards in place? There are integrity measures that have been built in, but are they enough? And quite frankly, if they are not enough, if there is a chance that it would put women at risk, well then, we won’t proceed with the measure.
FRAN KELLY
: And is it a good idea anyway in terms of a woman's financial security? One in three women have no super, so this option would not be available for them. On average, women retire with 42% less in their super fund than men. If a woman is ripping money out of her super to protect their own safety, that will just further entrench financial disadvantage. It is not a great idea, is it?
JANE HUME:
Well, it was always supposed to be one small measure that was available to women that were fleeing a violent...
FRAN KELLY:
Yes, but $10,000 is a lot out many women's super funds.
JANE HUME:
Yes, it is. And to flee a violent relationship, being able to access an amount of their savings to help them with that process was the thinking behind it, but I understand there is still a gender super gap, particularly for women that are retiring now that have not grown up with a compulsory superannuation system.
FRAN KELLY:
And also, this week to have a policy that sounds like a woman is on her own here, she is going to have to choose between her personal safety and her financial security, at the same time when people have been visiting this building all week and coming on this radio program calling for more government funding, for women's legal services, rape crisis services, domestic violence services. Instead of funding those calls, the government has the idea of, "OK, use your own money." Wouldn't it be better if the government, instead of allowing all these companies who have been keeping their JobKeeper payments and posting big profits, put money into an emergency payment scheme, a loan scheme, more emergency housing?
JANE HUME:
Well, I think all of those things are in fact going ahead. $340 million has already been invested into the fourth national action plan in domestic violence. We have already launched the 1800 Respect line, which has been very well supported.
FRAN KELLY:
But it is not enough. We are hearing that from the women's legal services.
JANE HUME:
Low‑interest loans are available right now. This was potentially one additional measure, but if it has not got the safeguards, we won’t go ahead.
FRAN KELLY:
On another issue, lost super. $13.8 billion in unclaimed super. How is this ever allowed to happen? And should the super funds be doing more to keep in touch with their members, do more to make sure members get access to it?
JANE HUME:
Compulsory super has now been around for 30 years. And you may have had a job in your teens or 20s you forgot all about. You didn't even realise you were contributing to superannuation at the time. Since then, you might have changed your name, your address, moved on and forgotten that that super is there. So you don't even know where to look for it. A couple of years ago we legislated to compel superannuation funds to roll that loss in unclaimed super that is an inactive account for a period of time, into the ATO so that the ATO can use its data‑matching technology to find that super's rightful home. So all you need to do now is to go onto the MyGov website, in a couple of clicks, in the time it takes to drink a cup of copy in the morning, and you might be able to find whether some of that unclaimed super is yours.
FRAN KELLY:
Have a lot of people, as you say, in the couple of years since you have set this up, and we have done interviews on this before, accessed their lost super?
JANE HUME:
Yes, they have. We have already automatically matched $7 billion of lost super back into people's accounts, but there is more there, that is really important.
FRAN KELLY:
But 14 billion…
JANE HUME:
We want people to go on, identify that money and consolidate it into one account so they do not have two super accounts out there, two sets of fees, potentially two sets of insurance premiums. This is a real opportunity to make the super, which already has, work harder for you.
FRAN KELLY:
Back to the issue of women's safety. The issues of sexual harassment, sexual assault has been front and centre all this week and the last few weeks here around the Federal Government. Overnight an advisor to your colleague, Michael Sukkar, was sacked after it was revealed publicly he had abused the Tasmanian Greens leader Cassy O'Connor. Is this the new standard for the government? That staffers will be shown the door if they are foul-mouthed towards women? And if so, would you expect more advisors to lose their jobs, or is this a once‑off?
JANE HUME:
I think this demonstrates that this week has been really powerful in parliament and that so many women have found their voices and had the courage to stand up and say this behaviour is not OK. That is a good thing. That is a change that we needed to have. Is there more to come? I could never say that there is or whether there isn't.
FRAN KELLY:
Well, you are in and a in a round political staffers all the time. What do you think?
JANE HUME:
My staff have said they have not had any of those experiences, but that said, I'm sure there are some out there getting brave and finding their voice and stepping up and telling their ministers, telling their members of parliament and their telling their senators, and there will be a cultural change in this building, undoubtedly.
FRAN KELLY:
Former Liberal and Labor staffers have written a letter to the Prime Minister and the opposition leader demanding stronger protections, privacy protections from the Kate Jenkins review of the workplace culture of Parliament House. So they are being asked under this review process, women will be asked to come forward, women and men, and tell their stories, but in particular these signatories say they want the inquiry to be exempt from the freedom of information laws. Do you agree that is critical if we want young women to come forward to tell their stories in the confidence that they will remain private?
JANE HUME:
I do think that privacy is paramount in these circumstances. If we want to hear the truth, we want to make sure that people's stories, their truths, remain their own and remain private. So yes, I think that is something we do need to consider.
FRAN KELLY:
So the inquiry should be exempt from the freedom of information laws?
JANE HUME:
I think that part of the inquiry should remain free from access by anybody, whether it be journalists, members of the Opposition, members of parliament. Yes, we should be able to keep those stories anonymised.
FRAN KELLY:
It has been an important week in this place, in this building and outside. At the start of the week you were one of those who went down outside the building to the front to join the thousands of women on the lawns who are demanding an end to sexism and sexual assault. After being at that rally, after listening to the speeches that were given, some very powerful speeches, including from Brittany Higgins, and as this parliamentary week comes to an end, what have you taken from those calls, from that protest and those protest rallies around the country?
JANE HUME:
I think, as I said, there has been an opportunity here to reflect and to open our minds, open our ears, and that women here in building and outside are finding their voices and knowing that they will be heard.
FRAN KELLY:
But from hearing what they have to say, you've heard their voices, what should change? What must change? Is there some action that you see needs to happen?
JANE HUME:
Yes, and there is already action being taken, whether it be to provision of support services, whether it be simply just looking after each other or whether it be a culture shift. And that is why Stephanie Foster within the Office of Prime Minister and Cabinet is doing that review to the existing support services and what is available to people here no. But also, Kate Jenkins is doing a review of all Commonwealth parliamentary officers and the cultures and the changes that need to be instituted there. I think that has been a really, really powerful moment.
FRAN KELLY:
Jane Hume, thank you very much for joining us.
JANE HUME:
Thank you, Fran.
FRAN KELLY:
Jane Hume is the Assistant Minister for Superannuation Financial Services and the Digital Economy.