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Fair Work Commission recommends changing law that allows lower superannuation rate for workers with disability (The Guardian)

15 January 2024

Australia’s Fair Work Commission has drafted changes to outdated laws that allow people with disability working in supported employment to be paid a lower rate of superannuation than the rest of the workforce, reports The Guardian. The changes have been put forward as part of a sweeping review into the superannuation clauses in all modern awards (Australia’s pay system) to ensure they reflect the current requirements of superannuation law.

Last week, Guardian Australia revealed that people with disability working in supported employment, or Australian disability enterprises (ADEs), are being legally paid 9.5% superannuation while the rest of the workforce receives at least 11%. The new proposed change to the award would alter the wording of the carve-out to refer directly to the clause covering super for all other employees, which currently refers to the superannuation guarantee. The minimum rate of AUD 15 would remain fixed.

The federal government last week released a new national plan for supported employment that formally acknowledged people with disability’s human rights but failed to substantively address the issue of subminimum wages, with advocates labelling the omission “disappointing”.