Commonwealth Consolidated Regulations

SUPERANNUATION (FORMER HLIC EMPLOYEES) REGULATIONS - SCHEDULE Modification

(subregulation 3 (2))

1 Subsection 3 (1):

Insert:
` buyer has the same meaning as in the Sale Act.
Corporation Act has the same meaning as in the Sale Act.
Sale Act means the Housing Loans Insurance Corporation (Sale of Assets and Abolition) Act 1990 .
sale day has the same meaning as in the Sale Act.
subsidiary has the same meaning as in the Sale Act.
transferee means a person who:

(a)

is a person to whom the Superannuation (Former HLIC Employees) Regulations apply; and

(b)

accepts an offer of employment beginning on sale day that is made by the buyer or a subsidiary of the buyer.'.

2 Section 58:

Add at the end:

`(6) Subsection (3) does not apply to a person to whom the Superannuation (Former HLIC Employees) Regulations apply if the person is taken, under subsection 15 (1) of the Sale Act, to have resigned on sale day from an appointment or engagement under the Corporation Act.'.

3 Subsection 62 (1):

Omit `Where', substitute `Subject to subsection (1A), where'.

4 Subsection 62 (1):

Omit `a lump sum benefit', substitute `benefits'.

5 Section 62:

After subsection 62 (1), insert:

`(1A) An election under subsection (1) by a transferee is not effective unless it includes, or is accompanied by, the nomination in writing by the transferee of:

(a)

a superannuation fund of which the transferee is, or intends to become, a member, being a fund that is required to preserve superannuation benefits in accordance with standards prescribed under the Occupational Superannuation Standards Act 1987 ; or

(b)

an approved deposit fund or a deferred annuity fund, being a fund that is required to preserve superannuation benefits under standards of that kind;

as the fund to which the amount referred to in paragraph (3) (a) is to be paid.'.

6 Section 62:

Add at the end:

`(3) Subsection (2) does not apply in relation to a transferee who makes an election under subsection (1) and, instead, the transferee is entitled, in lieu of pension and lump sum benefit to which, but for the election, the transferee would be entitled under section 55 or 59:

(a)

to have an amount equal to 2.5 times the transferee's accumulated basic contributions paid to the fund nominated under subsection (1A); and

(b)

to be paid a lump sum benefit equal to the sum of:

(i)

the amount of the transferee's accumulated basic contributions; and

(ii)

the amount of the transferee's accumulated supplementary contributions (if any).'.

7 Part V:

After Division 3, insert:

`Division 3A Deferral of payment of benefits

65A Application

This Division applies in relation to transferees in addition to Divisions 1, 2 and 3.

65B Deferral of benefits by transferees above minimum retiring age

(1)

A transferee who is, or is about to become, a person who:

(a)

has attained his or her minimum retiring age; and

(b)

has become entitled to one or more benefits under section 55 or 59;

may, not later than 3 months after, but not earlier than 3 months before becoming such a person, by notice given to the Commissioner, elect to defer payment of those benefits.

(2)

If a transferee gives notice to the Commissioner in accordance with this section, payment of the benefits referred to in the notice is deferred until:

(a)

the transferee gives notice to the Commissioner requesting payment of those benefits; or

(b)

the transferee attains age 65;

whichever first occurs.

65C Rates of pension after deferral of payment

(1)

For the purposes of calculating the rate or amount of a benefit that has become payable on the occurrence of a circumstance specified in subsection 65B (2):

(a)

the transferee's age on the date to which payment of benefits is deferred under that subsection is to be taken to be the transferee's age on his or her last day of service; and

(b)

the transferee's period of contributory service at the date of ceasing to be an eligible employee is the transferee's period of contributory service; and

(c)

the amount calculated in accordance with subsection (2) is to be taken to be the transferee's final annual rate of salary.

(2)

The amount referred to in paragraph (1) (c) is an amount equal to the amount per annum that the Commissioner, having regard to:

(a)

any changes in the rates of remuneration that have occurred since the transferee ceased to be an eligible employee; and

(b)

any other matters that the Commissioner considers relevant;

determines would have been the final annual rate of salary of the transferee if the transferee:

(c)

had not ceased to be an eligible employee; and

(d)

had continued to occupy the position held immediately before so ceasing.'.

8 Part VI, Division 5:

After section 110, insert:

`110AA Application of Part in relation to deferred benefits — transferees

In the application of this Part in relation to benefits deferred under Division 3A of Part V, those benefits are to be taken to have become payable on the day immediately preceding the day on which the transferee to whom those benefits relate died.'.

9 Paragraph 139 (1) (b):

Omit `eligible employment,', substitute `eligible employment or, in the case of a transferee, one year's eligible employment,'.