Hansard 14 October 1993

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Hansard 14 October 1993 Legislative Assembly 5183 14 October 1993 THURSDAY, 14 OCTOBER 1993 other States and the Commonwealth. These burgeoning unfunded superannuation liabilities in other States, currently estimated at over $43 billion, represent a substantial Mr SPEAKER (Hon. J. Fouras, Ashgrove) financial burden on future generations of read prayers and took the chair at 10 a.m. taxpayers and have become a source of growing concern to the community generally. Queensland alone has acted responsibly PAPERS to properly fund its public sector The following papers were laid on the superannuation schemes on an ongoing table— actuarial basis. Because of its responsible (a) Deputy Premier, Minister for approach to superannuation funding, the Administrative Services and Minister for Queensland Government is able to maintain Rural Communities (Mr Burns)— its continued commitment to the levels of Report of an Inquiry into superannuation coverage it provides for its replacement schools for Herberton employees and to the benefits provided. and Mission Beach— Government The superannuation schemes for response Queensland public sector employees are (b) Minister for Employment, Training and designed to provide those employees with a Industrial Relations (Mr Foley)— reasonable retirement income so that they are Department of Employment, self-sufficient in their retirement and not Vocational Education, Training and dependent on the commitment of future Industrial Relations— Annual Report generations of taxpayers via the social security for 1992–93. system. In comparison, both the New South Wales and Victorian Governments have not funded their public sector superannuation FEES PAID BY CROWN TO BARRISTERS schemes, have experienced the detrimental AND SOLICITORS impact that the unfunded liabilities have on Return to Order the financial standing of their State and have Hon. D. M. WELLS (Murrumba— Minister been forced to substantially curtail their former for Justice and Attorney-General and Minister commitments to public sector superannuation. for the Arts) (10.02 a.m.): I lay on the table of The new schemes for New South Wales the House the return to the order of the and Victoria are to be pitched at the lowest Legislative Assembly of 27 August 1993 in common denominator—the minimum level of relation to payments made by the contribution required under the Government to barristers and solicitors during Commonwealth superannuation guarantee the 1992-93 financial year, including the legislation. This is currently 5 per cent, names of the recipients and the amounts intended to rise to 9 per cent by the end of received separately. I do this on behalf of the the century. Department of Justice and Attorney-General. In comparison, Queensland Government The department acted in a coordinating employees all have access to Q Super, a capacity only in preparing the final document. scheme which incorporates a standard member contribution of 5 per cent and a MINISTERIAL STATEMENT Government contribution of up to 14.55 per cent—that is, a total contribution of almost 20 Superannuation Management by per cent. Further, Queensland Government Queensland Government employees will continue to have the certainty Hon. K. E. De LACY (Cairns— Treasurer) and security of knowing exactly what the value (10.03 a.m.), by leave: Honourable members of their retirement benefits will be. Under Q may have read recently of radical changes to Super the benefits are clearly defined as a public sector superannuation arrangements in percentage of salary and guaranteed by the Victoria, following on similar changes in New Government. South Wales last year. The purpose of this In contrast, the southern States have statement is to reassure Queensland public abandoned this model to adopt instead the servants that the Goss Government has uncertainty of much less secure accumulation absolutely no intention of going down the arrangements. What this means is that New Kennett/Fahey road. South Wales and Victoria have transferred the Unfunded superannuation arrangements superannuation investment risk from for public sector employees are the norm in all themselves to their employees by changing 14 October 1993 5184 Legislative Assembly from defined benefit to accumulation style creditably by comparison on all matters of schemes. On top of this, they lack a highly policy through our parliamentary and Cabinet professional and successful funds manager based system of Government which puts us in such as the Queensland Investment a much stronger position to deal with change Corporation, which has consistently compared with the US system in the several outperformed the industry average for States that I visited. investment returns. There is no doubt that there are a series These cutbacks in public sector of changes needed in Queensland to ensure superannuation may assist those States in that water management is achieving its their attempts to achieve a measure of objectives. I am now more than ever financial stability. However, they will also convinced of the need for new legislation, to produce a new generation of retirees who will which I have previously alluded, which would not have sufficient income in retirement to draw together and modernise management of achieve the same financial self-sufficiency that all natural resources. their Queensland counterparts will have—and I saw several instances where the water what is more, the taxpayers of tomorrow will allocation systems in the United States, fed by be called upon to make up the difference. melting snows, led the managers of those By the responsible management of its schemes to encourage high water use, superannuation liabilities, the Queensland regardless of environmental and other Government has achieved a much superior consequences. We must ensure that financial situation for the State and its Queensland policies never lead us this way employees—not just for today but for and that water is not locked up and tomorrow’s generation as well. I am certain unavailable to those who will use it that Queensland public servants recognise productively. I found that, contrary to some that, in addition to working in a State free of Australian beliefs, most water supplies for the mass sackings of southern States, their agriculture in the USA have been very heavily retirement benefits are both secure and subsidised by the Federal Government and realistic, as opposed to the uncertain, other agencies, and the pricing policies are substandard arrangements of their southern now helping to distort agricultural markets. I State counterparts. believe that we must be very clear on our long-term objectives as we establish a new water pricing policy for Queensland. I MINISTERIAL STATEMENT inspected also the damage to levee banks as Overseas Visit by Minister for Primary a result of the massive floods in the Industries Mississippi River around St Louis, and I feel Hon. E. D. CASEY (Mackay—Minister for for those whose properties have been Primary Industries) (10.07 a.m.), by leave: I devastated. wish to report to the House on my recent trip With regard to the European sector of my to the United States and Europe. The first part trip—discussions covered trade, trade policy, dealt with water resource issues in the USA, food and consultancies and purchasing by the and the second part dealt with discussions in international organisations concerned with Europe regarding Queensland trade with the emphasis on livestock and agricultural European Community and the work of the products and fisheries. The highlights included QDPI for the Food and Agriculture a meeting with Dr Edward Saouma, Director- Organisation of the United Nations, World General of the FAO; the establishment of Food Program and International Fund for ongoing links with the Sugar Division of the Agricultural Development. European Communities; and an undertaking The first week of my trip explored the from the World Food Program to provide major policy areas discussed in recently details of global non-food purchasing where released water strategy and pricing our present share of the market is only 0.48 documents as well as institutional per cent, compared with 1.33 per cent on arrangements in the United States water foodstuffs. industry in a country that has such programs My discussions with Dr De Haen, running continuously for over 100 years. I Assistant Director-General, Agriculture spoke to both urban and agricultural sections Department of FAO, were most encouraging of the industry, as well as respected from Queensland’s perspective. He was not academics and Government agencies at the aware of the range of consultancies available local, State and Federal level. It is quite from the private sector and my department apparent that Queensland is performing very and has requested details of training facilities Legislative Assembly 5185 14 October 1993 and courses for which Queensland has proven purchase cigarettes unchallenged from a expertise. This information is being provided range of retail outlets. The amazing thing is and I am confident that Queensland will that in most cases the children were wearing obtain a greater share of consultancy work school uniforms at the time of purchase. from the FAO in the near future. My visit has The Juvenile Smoking Suppression Act reinforced Australia’s official representations, it was introduced originally as a social control has particularly broadened Queensland’s mechanism at a time when it was considered contact spread, and it has led to an increased socially unacceptable for children to smoke. At knowledge by those European organisations that time, there was no awareness of the of our place in the world’s food and fibre serious health hazards associated with chain. smoking, nor of the link between the For the Europe trip, I was accompanied increased likelihood of people becoming long- by the Director—Europe of the Trade and term smokers and the age at which they take Investment Development Division and Agent- up the habit. General, Mr Anderson, who will be doing The simple, unfortunate fact is that 70 further follow-up work on behalf of the per cent of current adult smokers in Queensland Government.
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