Check your payslip - that's one of the tips for Illawarra workers to help avoid unpaid superannuation.
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Industry Super Australia, the umbrella group for 16 of the industry super funds, including AustralianSuper and Hostplus, has released a report.
The report's analysis of underpaid superannuation is based on the 2015-16 ATO's two per cent anonymous sample file of personal tax and superannuation records.
Analysis of ATO data has found unpaid super across NSW is getting worse, with 990,500 local workers short-changed $2.05 billion in super entitlements in 2015-16.
ISA head of research Dr Nick Coates said it was estimated that of the Illawarra/South Coast workforce, 57,510 people were underpaid (including no payment) on their super, with an average underpayment of $1883 per person.
The report also noted that there is a $108 million gap in employer contributions that should have been paid to workers within the region.
Employers are required to contribute at least 9.5 per cent to the superannuation accounts of every worker earning more than $450 a month.
Dr Coates said the report found that 33.8 per cent of such employees in the Illawarra/South Coast were underpaid.
"The policy issue is while it will appear on your payslip that the 9.5 per cent has gone to your super fund, they actually don't have to do that, except on a quarterly basis," he said.
"Some employers may retain those funds and pay them on a quarterly basis, and indeed some forget, and people don't earn interest on that while it's being paid on a quarterly basis."
Dr Coates urged employees to take some key measures.
"Check your payslip, and ask your boss if they're paying it straight away or quarterly," he said.
"Maybe check why they're doing it that way, and see if you can get it paid more regularly."
The report also suggested that nationally, "rogue employers" are exploiting younger workers, those in part-time and casual work and blue-collar jobs, while some employers are taking advantage of outdated super laws coupled with lower skilled and new workforce entrants who are less likely to know their entitlements or ask questions.
Dr Coates said they wanted the federal government to pass laws to change the way super is paid.
"It needs to be paid at the same time as people's salaries," he said.
Brendan Crabb
I'm a member of ACM's national property team, covering the Illawarra and South Coast. Based in Albion Park, NSW, I write about exciting, interesting or just downright quirky properties that have been listed for sale, major sales, market trends, auctions and more. One of my favourite aspects of being a journalist is I believe everyone has a story to tell. What's yours?
I'm a member of ACM's national property team, covering the Illawarra and South Coast. Based in Albion Park, NSW, I write about exciting, interesting or just downright quirky properties that have been listed for sale, major sales, market trends, auctions and more. One of my favourite aspects of being a journalist is I believe everyone has a story to tell. What's yours?
