Commonwealth Numbered Acts

SUPERANNUATION AMENDMENT ACT 1976 No. 32, 1976 - SECT 62

62. After Part VI of the Principal Act the following Part is inserted:- ''PART
VIA-SPECIAL PROVISIONS IN RELATION TO CERTAIN EMPLOYEES FORMERLY
IN PRIVATE EMPLOYMENT

''Division 1-Preliminary Interpretation.
''100A. (1) In this Part, unless the contrary intention appears-

'member', in relation to a superannuation scheme applying in relation to any
employment, means a person in respect of whom benefits are payable under the
superannuation scheme that applies to him, by reason of his being employed in
that employment, whether or not he is required to make contributions under the
scheme;

'prescribed amount', in relation to a member, means the amount paid to the
member from the superannuation scheme applying to his employment upon his
ceasing to be employed in that employment, other than any amount so paid-

   (a)  that was paid by him to the superannuation scheme as contributions to
        the scheme by way of voluntary savings; or

   (b)  that is of a kind determined by the Board to be excluded from the
        prescribed amount;

'relevant date', in relation to a relevant employee, means the date on which
he becomes employed by the Commonwealth or by an approved authority;

'relevant employee' means a person who-

   (a)  becomes employed by the Commonwealth or by an approved authority
        before 1 July 1976 in circumstances specified by the Treasurer by
        determination in writing made for the purposes of this definition,
        whether before or after the person becomes so employed; and

   (b)  was, immediately before the relevant date, a member of a
        superannuation scheme applying in relation to his employment;

'rules', in relation to a superannuation scheme, means the rules governing the
operation of the scheme, whether contained in a law or in a trust deed or
other instrument;

'superannuation scheme' means a superannuation or retirement scheme applying
to persons by reason of their being employed in certain employment, other than
a scheme established under the law of a State to provide superannuation or
other similar benefits for persons employed in the Public Service, the Railway
Service or any other service of that State.

''(2) For the purposes of this Part, a benefit by way of a lump sum shall be
deemed to have become payable in respect of a person under a superannuation
scheme upon the termination of the person's employment if, upon the
termination of that employment, the person has the legal title to a life
policy, or is entitled to have the legal title to a life policy assigned to
him, being a policy the premiums for which were, while he was employed in that
employment, paid in whole or in part by his employer, and, where such a
benefit is to be deemed to have become payable, the surrender value of the
policy as at the date of the termination of his employment shall be taken to
be the amount of that benefit by way of a lump sum.

''(3) In determining, for the purposes of this Part, the number of units of
pension (including, where necessary, a fraction of a unit) that will entitle a
relevant employee to benefits equivalent to those related to the benefits to
which he was entitled under a superannuation scheme, the Board shall
disregard-

   (a)  the provisions of Part XB;

   (b)  the provisions of this Act that authorize the payment, in any
        circumstances, of benefits to or in relation to the spouse or a
        dependant of a contributor to the Fund; and

   (c)  the rules of the superannuation scheme that authorize the payment, in
        any circumstances, of benefits to or in relation to the spouse or a
        dependant of a member of the scheme.

'' (4) In the application of a Part of this Act other than this Part to or in
relation to a relevant employee-

   (a)  a reference in such a Part to an employee as defined by section 4 of
        this Act shall be read as including a reference to a relevant
        employee; and

   (b)  a relevant employee shall be deemed to have become an employee for the
        purposes of this Act on the relevant date.

'' Division 2-The Superannuation Fund Definition.
''100B. In this Division, unless the contrary intention appears, 'prescribed
employee' means a relevant employee who has made an election, and a payment to
the Board, in accordance with sub-section (2) of section 100C of this Act.
Contributions for pension by relevant employee.
''100C. (1) This Division applies to a relevant employee if the employee was,
immediately before he became an employee for the purposes of this Act, a
member of a superanuation scheme under which-

   (a)  benefits by way of a pension or of a lump sum were payable to a member
        of the scheme upon the cessation of his employment by reason of his
        having attained a specified age, being a pension or lump sum the
        amount of which was related to the salary payable to him immediately
        before the cessation of his employment;

   (b)  benefits by way of a pension or of a lump sum, being benefits that
        were related to the benefits referred to in paragraph (a) of this
        sub-section, were payable to a member of the scheme upon the cessation
        of his employment by reason of his invalidity; and

   (c)  benefits by way of a pension or of a lump sum, being benefits related
        to the benefits referred to in paragraph (a) of this sub-section, were
        payable to the dependants of a member of the scheme upon the death of
        the member.

''(2) A relevant employee to whom this section applies may elect, within 3
months after the relevant date or within such further period as the Board
allows, to contribute to the Fund in accordance with this section, and may pay
to the Board an amount equal to the prescribed amount within that period or
within such further period as the Board allows, but any election made after
the pay-day last preceding 1 July 1976 shall be deemed to have been made on
that pay-day.

''(3) Notwithstanding section 5 of this Act-

   (a)  if the superannuation scheme of which a prescribed employee was a
        member immediately before the relevant date was a scheme under which
        members were required to make contributions in respect of the benefits
        to be provided under the scheme-the employee shall be liable to make,
        and, from and including the relevant date, shall be deemed to have
        been liable to make, contributions to the Fund for so many units of
        pension (including, where necessary, a fraction of a unit) as
        the Board determines will entitle him to benefits equivalent to those
        to which he would have been entitled if he had continued to contribute
        to that superannuation scheme at the rate at which he was contributing
        to that scheme immediately before the relevant date, and his
        contributions for those units of pension shall be at that rate; or

   (b)  if the superannuation scheme of which a prescribed employee was a
        member immediately before the relevant date was a scheme under which
        members were not required to make contributions in respect of the
        benefits to be provided under the scheme-the employee shall be deemed
        to be a contributor to the Fund for so many units of pension
        (including, where necessary, a fraction of a unit) as the Board
        determines will entitle him to benefits equivalent to those to which
        he would have been entitled if he had continued to be a member of that
        superannuation scheme and had continued to be remunerated at the rate
        at which he was being remunerated immediately before the relevant
        date, and he is not required to make any contributions for those units
        of pension.

''(4) Where the number of units of pension for which a prescribed employee is,
upon becoming an employee for the purposes of this Act, liable to contribute
to the Fund by virtue of section 20 of this Act exceeds the number of units of
pension for which he is liable to contribute, or is to be deemed to be a
contributor, to the Fund by virtue of sub-section (3) of this section that
sub-section does not affect his liability to contribute for the excess (in
this sub-section referred to as the additional units of pension), but, if he
attained the age of 40 years before the relevant date, section 20A of this Act
applies to and in relation to those additional units of pension as if they
were units of pension for which he is required to contribute by reason of an
increase in his salary since the attainment by him of the age of 40 years.

''(5) Where, immediately before the relevant date, the benefits for which a
prescribed employee was entitled to contribute to the superannuation scheme
applicable to him exceeded the benefits for which he was contributing to that
scheme-

   (a)  sub-section (4) of this section applies in relation to him as if the
        reference to the number of units of pension for which he is liable to
        contribute or is to be deemed to be a contributor to the Fund by
        virtue of sub-section (3) of this section were a reference to the
        number of units of pension (including, where necessary, a fraction of
        a unit) determined by the Board to be the number of units that will
        entitle him to benefits equivalent to those first-mentioned benefits;
        and

   (b)  subject to sub-section (6) of this section, he may, at any time while
        he is a contributor to the Fund, but not later than 12 February 1976,
        elect to contribute to the Fund for so many additional units of
        pension (including, where necessary, a fraction of a unit) as
        the Board determines to be the number of units that will entitle him
        to benefits equivalent to that excess.

''(6) An election under paragraph (b) of sub-section (5) of this section does
not have effect in relation to a prescribed employee unless, not later than 6
months after the date on which the election is made, he satisfies the Board
that he is not suffering from any physical or mental defect (not being a
defect that, in the opinion of the Board, is a result of the service of the
employee as a member of the Forces as defined in sub-section (2) of section
147 of this Act) likely to render him incapable of performing his duties
before he attains the maximum age for retirement.

''(7) A prescribed employee to whom this section applies shall, for the
purposes of this Act, be deemed to be a contributor-

   (a)  in the case of an employee who was, immediately before the relevant
        date, a member of a superannuation scheme under the rules of which
        benefits were payable to him upon his retiring at the age of 60 years
        or at an earlier age-at rates based on a retiring age of 60 years; or

   (b)  in any other case-at rates based on a retiring age of 65 years.

''(8) Subject to sub-section (9) of this section, where at any time, the
number of units of pension for which a prescribed employee is liable to
contribute, or is to be deemed to be a contributor, to the Fund under
sub-section (3) of this section exceeds the number of units of pension for
which the employee would, apart from that sub-section, be required to
contribute under section 20 of this Act, the employee is not entitled to
contribute for any units, other than reserve units, in excess of the
first-mentioned number of units.

''(9) Notwithstanding sub-section (8) of this section, section 20B of this Act
applies, subject to sub-section (10) of this section, to and in relation to a
prescribed employee in respect of a reduction of his salary or of the
prescribed amount referred to in section 20 of this Act.

''(10) Nothing in this Act shall be taken to require or permit a reduction in
the number of units of pension for which a prescribed employee is a
contributor to a number that is less than the number of units of pension for
which he is liable to contribute or for which he is to be deemed to be a
contributor, under sub-section (3) of this section.

''(11) For the purposes of this section, where a prescribed employee was
contributing to a superannuation scheme amounts of a kind referred to in
paragraph (a) or (b) of the definition of 'prescribed amount' in sub-section
(1) of section 100A of this Act, the rate at which he was contributing to the
scheme does not include the rate at which he was contributing those amounts.
Payment of prescribed amount to Board.
''100D. Upon the payment by a prescribed employee of an amount equal to the
prescribed amount to the Board under sub-section (2) of section 100C of this
Act-

   (a)  if the superannuation scheme of which the employee was a member
        immediately before the relevant date was a scheme under which members
        were required to make contributions in respect of the benefits to be
        provided under the scheme-

        (i)    an amount equal to so much of the prescribed amount as was
               based upon the contributions made by him to the superannuation
               scheme or on interest payable in respect of those contributions
               shall be paid by the Board to the Fund, or, on or after 1 July
               1976, to the new Superannuation Fund, and, when so paid, shall
               be deemed, for the purposes of this Act, to be contributions
               made to the Fund by the prescribed employee; and

        (ii)   an amount equal to so much (if any) of the prescribed amount as
               was not based upon contributions made by him to the
               superannuation scheme shall be paid by the Board to the
               Consolidated Revenue Fund; or

   (b)  in any other case-the amount of the payment shall be paid by the Board
        to the Consolidated Revenue Fund. Refunds of contributions to
        prescribed employees.
''100E. Where a prescribed employee ceases to be a contributor to the Fund
and, by virtue of any provisions in this Act, there is payable to or in
relation to him a refund of the contributions paid by him to the Fund-

   (a)  there is payable out of the Fund to or in relation to that prescribed
        employee, in addition to that refund of contributions, an amount equal
        to the amount that was paid by the Board to the Consolidated Revenue
        Fund in accordance with sub-paragraph (ii) of paragraph (a) of section
        100D of this Act or with paragraph (b) of that section, as the case
        requires; and

   (b)  an amount equal to the amount payable out of the Fund in accordance
        with paragraph (a) of this section is payable to the Fund out of the
        Consolidated Revenue Fund. Preservation of other superannuation
        rights.
''100F. In the application of Division 2 of Part XA to and in relation to a
prescribed employee, a reference in that Division to the number of units of
pension for which he would, but for that Division, be required to contribute
to the Fund shall be read as not including the number of units of pension for
which he is contributing to the Fund by virtue of sub-section (3), or
paragraph (b) of sub-section (5), of section 100C of this Act. Increased
contributions by the Commonwealth.
''100G. Where a pension becomes payable to or in relation to a prescribed
employee, each payment that is required by section 33 of this Act to be made
by the Commonwealth to the Fund in respect of that prescribed employee shall
be increased by such amount (if any) as the Board determines to be necessary
by reason of the prescribed employee-

   (a)  having contributed to the Fund at rates less than those at which, but
        for this Part, he would have been required to contribute; or

   (b)  being deemed to be a contributor to the Fund in respect of any units
        of pension by virtue of paragraph (b) of sub-section (3) of section
        100C of this Act. Certain amounts to be paid by the Commonwealth to
        the Fund.
''100H. Where, within 5 years after the relevant date, a prescribed employee
is retired on the ground of invalidity or of physical or mental incapacity to
perform his duties, or a prescribed employee dies and a pension is payable to
or in relation to him, the pension shall be paid from the Fund and there is
payable to the Fund out of the Consolidated Revenue Fund an amount equal to
the amount by which the proportion of each payment of the pension equivalent
to the contributions made by or in respect of the employee is less than the
proportion of each payment of the pension that is payable otherwise than by
the Commonwealth under section 33 of this Act. Rights of certain relevant
employees.
''100J. (1) This section applies to a relevant employee (other than a
prescribed employee) who is, or would, but for this section, be, a contributor
to the Fund.

''(2) If at any time the number of units of pension for which a relevant
employee to whom this section applies would, but for this section, be required
by section 20 of this Act to contribute to the Fund does not exceed the number
of units of pension (including, where necessary, a fraction of a unit)
determined by the Board to be the number of units of pension that would
entitle that employee to benefits equivalent to the benefits to which he would
be entitled under the superannuation scheme applicable to him immediately
before the relevant date if he had continued to be a member of that scheme,
the employee shall not be required or permitted to contribute to the Fund at
that time in respect of units of pension.

''(3) If at any time the number of units of pension for which a relevant
employee to whom this section applies would, but for this section, be required
by section 20 of this Act to contribute to the Fund exceeds the number of
units of pension determined by the Board for the purposes of sub-section (2)
of this section, the employee shall not be required or permitted to contribute
to the Fund at that time in respect of a number of units of pension greater
than the excess.

''(4) In the application of Division 2 of Part XA to and in relation to a
relevant employee to whom this section applies, a reference in that Division
to the number of units of pension for which he would, but for that Division,
be required to contribute to the Fund shall be read as a reference to the
number of units of pension ascertained by subtracting from the number of units
of pension for which he would, but for this section and for that Division, be
required to contribute to the Fund, the number of units of pension determined
by the Board for the purposes of sub-section (2) of this section.

''Division 3-The Provident Account Definition.
''100K. In this Division, 'prescribed employee' means a relevant employee who
has made an election, and a payment to the Board, in accordance with section
100L of this Act. Contributions by certain relevant employees to Provident
Account.
''100L. (1) A relevant employee, other than a relevant employee to whom
section 100B or 100J of this Act applies may elect, within 3 months after the
relevant date or within such further period as the Board allows, to contribute
to the Provident Account in accordance with this section, and may pay to the
Board an amount equal to the prescribed amount within that period or within
such further period as the Board allows, but any election made after the
pay-day last preceding 1 July 1976 shall be deemed to have been made on that
pay-day.

''(2) Notwithstanding section 5 of this Act, a prescribed employee shall be
liable to make, and, from and including the relevant date, shall be deemed to
have been liable to make, contributions to the Provident Account in accordance
with Part V.

''(3) Upon the payment by a prescribed employee of an amount equal to the
prescribed amount to the Board under sub-section (1) of this section-

   (a)  if the superannuation scheme of which the employee was a member
        immediately before the relevant date was a scheme under which members
        were required to make contributions in respect of the benefits to be
        provided under the scheme-

        (i)    an amount equal to so much of the prescribed amount as was
               based upon the contributions made by him to the superannuation
               scheme or on interest payable in respect of those contributions
               shall be paid by the Board to the Provident Account, or, on or
               after 1 July 1976, to the new Superannuation Fund, and, when so
               paid, shall be deemed, for the purposes of this Act, to be
               contributions paid to the Provident Account by the employee;
               and

        (ii)   an amount equal to so much (if any) of the prescribed amount as
               was not based upon contributions made by him to the
               superannuation scheme shall be paid by the Board to the
               Consolidated Revenue Fund; or

   (b)  in any other case-the amount of the payment shall be paid by the Board
        to the Consolidated Revenue Fund.

''(4) Where a sum is payable under section 82 or 83 of this Act to or in
relation to a prescribed employee, that section shall be read as if the sum
referred to in sub-section (1) of that section was a sum calculated by adding
an amount equal to 3 times the aggregate of-

   (a)  the contributions paid by him to the Provident Account under
        section 80 of this Act; and

   (b)  compound interest on those contributions at the rate or rates
        applicable for the purposes of Part V, and an amount ascertained by
        multiplying by the factor applicable in relation to the employee in
        accordance with sub-section (5) of this section the aggregate of the
        amount paid by the employee to the Board under sub-section (1) of this
        section and compound interest on that amount, in respect of the period
        that commenced on the date on which the employee paid an amount equal
        to the prescribed amount to the Board in accordance with sub-section
        (1) of this section and ended on the date on which he ceased to be a
        contributor to the Provident Account, at the rate or rates applicable
        for the purposes of Part V.

''(5) For the purpose of sub-section (4) of this section, the factor
applicable in relation to a prescribed employee is a factor determined by the
Board to be the appropriate factor having regard to the rules of the
superannuation scheme applicable to the employee immediately before the
relevant date.

''(6) Where a prescribed employee ceases to be a contributor to the Provident
Account in such circumstances that an amount equal to the contributions paid
by him to the Provident Account together with compound interest on the amount
of those contributions is payable to or in respect of him under this Act, so
much of the amount paid by him to the Board in accordance with sub-section (1)
of this section as was paid by the Board to the Consolidated Revenue Fund,
together with compound interest, in respect of the period that commenced on
the date on which the employee paid that amount to the Board and ended on the
date on which he ceased to be a contributor to the Provident Account, at the
rate or rates applicable for the purposes of Part V is payable to or in
respect of him out of the Provident Account.

''(7) Where an amount payable out of the Provident Account is greater than the
amount that, but for sub-section (4) of this section, would be payable, there
is payable to the Provident Account by the Commonwealth an amount equal to the
difference between the amounts.

''(8) Where an amount is payable out of the Provident Account under
sub-section (6) of this section, there is payable to the Provident Account by
the Commonwealth an amount equal to that amount.

''Division 4-Miscellaneous Full-time employment otherwise than as contributor
to superannuation scheme.
''100M. Where-

   (a)  a person is employed by the Commonwealth as set out in paragraph (a)
        of sub-section (5) of section 4 of this Act;

   (b)  the person became so employed in circumstances specified in a
        determination made for the purposes of the definition of 'relevant
        employee' in sub-section (1) of section 100A of this Act; and

   (c)  during a continuous period that ended immediately before he became so
        employed, the person-

        (i)    was employed by the employer by whom he was employed
               immediately before he became so employed by the Commonwealth;

        (ii)   was required by the terms of his employment to give the whole
               of his time to the duties of his employment; and

        (iii)  was not a member of a superannuation scheme, his employment
               during that period shall be treated, for the purposes of
               applying sub-section (5) of section 4 of this Act to and in
               relation to him, as if it were employment by the Commonwealth.
               Prescribed employee to furnish Board with authority to obtain
               certain information.
''100N. A person who is a prescribed employee for the purposes of Division 2
of this Part shall furnish to the Board, before the expiration of 3 months
after the date on which he became an employee, or before such time as the
Board in special circumstances allows, an authority in writing authorizing the
Board to obtain such information from his previous employer or from any person
administering the superannuation scheme applicable in relation to his previous
employment as the Board considers necessary to enable it to make
determinations under section 100C of this Act in respect of the person.
References to Board.
''100P. On and after 1 July 1976, any reference in this Part to the Board
shall, unless the context otherwise requires, be read as including a reference
to the Commissioner for Superannuation.''.