Treasury Laws Amendment (Payday Superannuation) Bill 2025, Superannuation Guarantee Charge Amendment Bill 2025

Mr FRENCH (Moore) (18:52): I rise today to proudly support the Treasury Laws Amendment (Payday Superannuation) Bill 2025, because every worker in this country deserves to retire with dignity. This bill locks in on-time super payments—no delays, no loopholes, no excuses. We are ending the era of super being delayed, dodged or quietly disappeared.

In suburbs across Moore—in Beldon, Heathridge and Edgewater—too many workers have discovered too late that what they earned never reached their super fund. Let me be clear: most employers do the right thing. But, for those who intentionally dodge their obligations, unpaid super is not a clerical error; it is wage theft.

For those who intentionally dodge their obligations, it is the theft of future security and earned retirement in dignity. Last year alone, employers withheld an estimated $5.2 billion in super from workers across Australia. That is $5.2 billion missing from retirement savings and missing from people's lives when they need it most.

Payday super fixes this by aligning super with wages, something many Australians assume already happens. This bill ends the lag between earning and saving. It gives workers confidence and gives honest employers clarity, because integrity should not be optional in our labour market.

The first component of this reform is the introduction of the qualifying earnings day, or the QE day. That is the day wages are paid, and from that moment super must be paid or penalties apply. This change stops employers holding onto workers' super for months.

From Currambine to Gwelup, people deserve assurance that their nest egg is growing from day one. Clause 2 locks in commencement to align with the companion Superannuation Guarantee Charge Amendment Act 2025 so the system updates together. Clause 3 applies the schedule that makes this reform real.

Schedule 1 makes the major amendment to the Superannuation Guarantee (Administration) Act 1992. It replaces outdated quarterly rules with a pay cycle system. It introduces qualifying earnings as a single earnings base.

For years, employers have had to navigate two different definitions—one for contributions and one for penalties. This bill simplifies that, so everyone understands the obligation. Qualifying earnings include ordinary-time earnings and salary sacrificed amounts.

It ensures no worker loses super because their pay structure is different. That's especially important for people in my electorate whose income varies from week to week—shift workers at Joondalup Health Campus, truckers and tradies. Clause 17A creates a fair and straightforward formula for super owed—12 per cent of qualifying earnings on every QE day.

There are no tricks and no loopholes. Clause 17B continues the maximum contribution base to prevent excess contributions for high-income workers. Subdivision C spells out when employers fail in their duty.

If they do not pay super within seven business days of payday, they accrue a shortfall. Seven days is reasonable and fair for every modern payroll system. Workers should not bankroll business cashflow.

Subdivision D then says what happens next: financial consequences for being late. It introduces notional earnings, ensuring late contributions compensate for late growth. Time matters in super.

The value of compound interest is real. A 25-year-old apprentice in Duncraig can lose tens of thousands of dollars in their lifetime if their super is late. Under this bill, lateness has a cost because fairness has value.

The bill also introduces an administrative uplift to deter repeats. A warning is one thing; a pattern is another thing. Subdivision E enforces choice-of-fund rights.

Too many employers direct staff to underperforming default funds for convenience or worse. That stops here. Workers choose their fund.

And, if employers ignore that, they will pay a choice loading penalty. The bill then gives the ATO real-time compliance tools. There will be no more chasing paperwork from years ago and no more discovering debts after a business collapse.

This reform shifts enforcement from slow rescue to early prevention. Employers who make errors can correct them quickly and reduce penalties, but those who ignore obligations will face swift consequences. The bill modernises voluntary disclosure rules so honesty is rewarded.

It creates clearer assessment powers to keep the system responsive. It streamlines efficiency certificates for multi-employer workers to avoid tax penalties. That is especially relevant for disability support workers in Kingsley balancing multiple roles.

This bill is tailored to the real world, not the textbook economy. Schedule 2 updates other acts so definitions match and gaps disappear. It removes conflict and confusion, especially in laws covering pensions, parental leave and super governance.

Schedule 3 handles the transition towards a start date of 1 July 2026. Employers will have support, guidance and modernised reporting tools. The ATO will use compliance triage, helping those trying and targeting those defying, because the purpose of the law is compliance, not punishment, and this government understands that most employers want to do the right thing.

This reform lifts the bar for everyone and rewards responsibility. It levels the playing field so cheaters no longer gain an unfair financial advantage. A thriving small-business community deserves protection from those who undercut honest competitors.

That includes family owned cafes in Hillarys, the retail shops around Lakeside Joondalup and marine tourism operators along the coast. Payday super helps them succeed based on merit, service and innovation, not wage theft. Some critics may say the penalties are too harsh, but penalties only sting if you do the wrong thing.

If you pay on time you have nothing to worry about. If you pay late you will want to correct it correctly, and the bill gives you that option. If you never pay, you will finally face the consequences worthy of the harm you cause.

We do not apologise for defending workers' rights. It is the reason I joined the great Australian Labor Party and the reason I became an industrial lawyer. In Moore, workers who are young, casual or juggling multiple jobs deserve confidence that their future is not dependent on employer goodwill.

For a 25-year-old, earlier contributions can mean the equivalent of an extra $6,000 in lifetime value. For a 35-year-old worker, recovering unpaid super can mean more than $30,000 extra at retirement. That's real money, real security, real peace of mind.

That could be the difference between comfort and hardship. The power of compounding interest is one of the best economic equalisers we have. When super is paid late, inequality compounds instead.

Payday super ensures that compounding works for workers, not against them. Women in particular benefit from this reform. They are more likely to work part time or casually or to take career breaks for caring duties.

When super goes missing, women suffer the deepest cuts to retirement income. Payday super reinforces their financial independence. It supports carers, cleaners, hospitality workers, early childhood educators and aged-care workers.

Those workers provide the backbone of our social and care economy. They deserve a strong spine to support them in retirement. This reform also supports First Nations workers in insecure employment.

It supports migrants building new lives in Australia. It supports apprentices learning trades that will build our future. A country shows what it values by what it protects.

We value fairness. We value dignity. We value work.

That is why we value superannuation. Our superannuation system is one of the great nation-building achievements of modern Australia. It has given us a $4 trillion savings pool, supporting investment and economic resilience.

But its moral force lies in its promise that it makes to everyday workers: work hard now and you will be looked after. Payday super protects that promise. It makes the system more transparent.

It gives workers confidence and power. It gives employers clearer rules and easier compliance. And it gives the regulators the visibility they need to act early.

This bill is not just an administrative reform; it's economic justice. It's practical policy with real human impact. A government's worth is measured by how it protects the vulnerable.

This reform protects young workers stocking shelves in Connolly, it protects hospitality workers pouring pints in Hillarys and it protects retail workers in Joondalup. It protects aged-care staff supporting older Australians in Karrinyup and protects every worker whose labour today builds their tomorrow. When Australians hear 'super guarantee' they expect security guaranteed.

Instead, too many have received uncertainty and lost earnings. That ends with this legislation. Payday super honours the intent of the system that Paul Keating and others fought hard to build.

It evolves super into a modern payroll economy. It strengthens public faith in retirement savings and it reinforces that the super belongs to you—always. In Moore, families talk to me about cost-of-living pressures hitting every corner of the household.

Strengthening future retirement balances gives younger generations relief from that fear. They deserve the confidence that, after decades of work, they will not be abandoned by a system that was meant to protect them. Super should not be a pleasant surprise; it should be a guarantee.

This bill makes that guarantee real. In designing these reforms, we widely consulted with unions, business groups and super funds. We listened to employers who want change done right, not rushed and chaotic.

We listened to the workers who said the current system is failing them. And we listened to the ATO, which said that earlier intervention is critical to prevention. This bill reflects what Australia told us: make super simple, fair and fast.

By phasing in compliance and focusing on education first, we ensure that businesses can transition successfully. Smaller contributions made more often prevent large liabilities from ever forming. It's better for employers and it's better for workers.

It's a genuine win-win. If every worker in Moore gets every dollar of super owed from day one, the economic impact will be profound. This is nation building.

It's just as important as roads, hospitals and schools because it builds self-reliance in people's lives, where it counts most. It builds dignity in retirement, which is what every Australian hopes for, and it builds a stronger foundation for the entire economy. The best time to fix unpaid super was 30 years ago.

The second-best time is today. This parliament has a clear choice. We can back workers and fairness, or we can let the unfairness continue for another generation.

I choose fairness and dignity. I choose to vote for this bill, because work should always add up to security in the end, because employers should honour the trust workers place in them and because superannuation is a promise and promises must be kept. I know the people of Moore expect me to stand up for them.

I will not stand back. They expect us to protect their future, not gamble with it. They expect us to fix a broken system, not excuse it, and that is what we are doing today.

We are choosing a fairer future for every worker who believes in the value of their own labour. We are choosing a retirement system that rewards effort and responsibility. We are choosing a reform that says: the future is earned, not withheld.

To every worker in Moore, and to every worker in Australia: this parliament hears you. The future you are building with every shift will now be backed by law. The super you earn will be the super you get.

That is the Australia we believe in. That is the future. Payday super delivers.

I commend this bill to the House.