Review of Pension Indexation Arrangements in Australian Government Civilian and Military Superannuation Schemes
On 26 June 2008 the Minister for Superannuation and Corporate Law, Senator the Hon Nick Sherry, announced a review of the pension indexation arrangements in Australian Government civilian and military superannuation schemes [
].
The review was conducted by Mr Trevor Matthews, MA, FIA, FIAA, ASA, who is a prominent actuary in the United Kingdom.
Under the terms of reference for the review Mr Matthews considered and reported on whether the current CPI pension indexation methodology in these schemes should be changed, having regard to:
- the occupational nature of those schemes;
- the form and value of the benefits payable under those schemes;
- indexation arrangements in similar defined benefit schemes in Australia;
- the interaction with government safety net benefits; and
- the full cost to the Commonwealth.
Submissions to the review were called for by 19 July 2008.
Submissions were also made directly to Mr Matthews at hearings held in Canberra on 24 and 25 July 2008.
The review also received information on the compilation of the CPI.
Mr Matthews’ report was provided to the Government as scheduled at the end of the 2008 calendar year and is currently under consideration. The Minister for Superannuation and Corporate Law will announce the findings of the review and the Government’s response to those findings as soon as possible, once that consideration is completed.
Contact for information on this page: indexationreview@finance.gov.au