Police superannuation
Police superannuation today is a cumbersome, multi-faceted
system that effectively denies new officers the best possible retirement
benefits.
Only one of three schemes that constitute the system remains
open to the participation of all new officers. This scheme, known as Southern
State Superannuation, or Triple S, provides police officers with far less
certainty than do either of the other two.
Superannuation, therefore, remains an issue of the highest
importance to the Police Association.
Accordingly, I have written to State Treasurer Kevin Foley in
the following terms:
7 April 2003
The Hon K Foley,
MP
Treasurer
GPO Box 2264
ADELAIDE SA 5001
Dear Treasurer,
Re: Police superannuation
As you are aware, police officers in South Australia are
currently aligned to three separate superannuation schemes. These schemes
are:
- the Police Pension Scheme (PPS), a defined benefit scheme
now closed to new members;
- the Police Lump Sum Scheme (PLSS), a defined benefit scheme
that operated between 1990 and 1994 but, now also closed to new members;
and
- the Southern State Superannuation Scheme (Triple S) an
accumulation scheme accepting all new police officers.
The numbers of police officers in each of the three schemes
are as follows:
- PPS 2353
- PLSS 430
- Triple S 1100
This association has, over a long period, raised concerns
regarding the inappropriateness of police being members of three different
schemes. In particular, we have always been concerned about our members being
covered by the Triple S Scheme where the level of benefits is not guaranteed,
and police officers cannot be assured of the benefit they will actually receive
when they retire from their highly demanding and stressful job serving the
community of South Australia. The recent volatility of the returns in the
Triple S scheme really highlights the problems facing police officers who
cannot be assured of having the security of a defined benefit.
Given the uncertainty of the benefits that the Triple S scheme
will return, it is our view that the scheme is not appropriate for police
employment and needs to be addressed by the government as a matter of urgency.
The problems associated with the failure of government to provide secure and
guaranteed superannuation benefits for police are axiomatic and not in the
public interest.
Consequently, the association requests that the government
transfer the 1100 or so members of the Triple S scheme into the PLSS where they
can have more surety about their future retirement benefits.
It is my understanding that moving members from the Triple S
scheme into the PLSS will not place a financial burden on government and will
provide administrative benefits both to government and the fund managers.
Yours faithfully
PETER ALEXANDER
PRESIDENT
