New South Wales Consolidated Acts

TRANSPORT EMPLOYEES RETIREMENT BENEFITS ACT 1967 - SECT 30

30 Initial credit to be a liability of employer

(1) Subject to this section, the initial credit in respect of a contributor who was a contributor to the Account shall constitute a liability due to the Fund by the person who was the employer of the contributor at the date on or before which he became a contributor.

(2) An employer shall pay to the Board the amount of his liability as determined under subsection (1) within one month after the service on him of a requisition of the Board requiring the payment of that amount.

(3) The liability of an employer as determined under subsection (1) may be extinguished over such period not exceeding twenty years as the Board may approve by annual instalments of principal, together with interest at the average earning rate on the Fund during the immediately preceding financial year, compounded annually at the end of each financial year, on the outstanding balance of the liability.

(4) Where any amount is not paid by an employer under the foregoing provisions of this section on or before the due date for payment thereof, the employer shall pay to the Board interest on the amount due at the average earning rate on the Fund during the immediately preceding financial year, compounded annually at the end of each financial year.

(5) Where, in respect of a contributor, an amount becomes payable under subsection (4) of section 24 or under section 25, the liability of an employer under subsection (1) shall be adjusted by the Board by reducing the liability by, or by refunding, as the case may require, the amount by which the contributor’s initial credit exceeded an amount equivalent to the amount that would have been the refund of his contributions had he received a refund of contributions at the time he became a contributor.

(6) Notwithstanding any other provision of this section, an employer may, with the approval of the Treasurer, make without further appropriation than this Act special payments to the Fund in any year of such amounts as may be determined by the employer towards reducing the aggregate liability that has arisen or is considered by the employer to be likely to arise under this section and any payments so made shall form part of the operating expenses of the employer in the financial year in which they are made.

(7) Notwithstanding anything contained in any other Act, the Governor may, upon the recommendation of the Treasurer and the Board, approve of the payment to the Fund from the Consolidated Revenue Fund, upon such conditions as may be determined by the Governor on such a recommendation, of amounts towards reducing the aggregate liability of any employer that has arisen or is considered by the employer to be likely to arise under this section, and any payment so approved shall be made without further appropriation than this Act.

(8) If at the commencement of this Act payments have been made under section 32 of the Railways Retirement Fund Act 1964 , that in respect of an employer aggregate to an amount in excess of the initial credit liability of such employer as determined under that section of that Act, the excess shall, upon the commencement of this Act, be deemed to be a payment in respect of that employer under subsection (6).

(9) Interest on any amount standing to the credit in the Fund of an employer by reason of any payment made by or on his behalf under subsection (6) or (7), or by reason of the operation of subsection (8), calculated at the average earning rate on the Fund during the immediately preceding financial year, compounded annually at the end of each financial year, from the date on which the amount was credited in the Fund to the employer to the date on which that employer’s initial credit liability is established under subsection (1) shall be credited in the Fund to that employer.

(10) Where after an employer’s initial credit liability is established under subsection (1) and the amount of that liability is less than the amount standing to his credit by reason of any payments made by or on his behalf under subsection (6) or (7), or by reason of the operation of subsection (8):

(a) interest on the difference calculated at the average earning rate on the Fund during the immediately preceding financial year, compounded annually at the end of each financial year, from the date on which that liability was established until that difference is, in accordance with paragraph (b), applied under the provisions of section 31 shall be credited to the employer, and

(b) the difference may, with the concurrence of the employer, be applied under the provisions of section 31.

(11) Any payment due by an employer to the Board under this section is a debt due by the employer to the Board and is recoverable in a court of competent jurisdiction.