Retirement Benefits (Anti-detriment) Act 1998
An Act to amend the Retirement Benefits Regulations 1994
[Royal Assent 19 June 1998]
Be it enacted by His Excellency the Governor of Tasmania, by and with the advice and consent of the Legislative Council and House of Assembly, in Parliament assembled, as follows:
This Act may be cited as the Retirement Benefits (Anti-detriment) Act 1998 .
This Act commences on the day on which this Act receives the Royal Assent.
In this Act, the Retirement Benefits Regulations 1994 are referred to as the Principal Regulations.
The amendments to the Principal Regulations made by this Act apply in relation to the following prescribed arrangements, within the meaning of those regulations, published in the Gazette on 13 May 1998:(a) the transfer of employees from the Engineering Services Section, Department of Community and Health Services to Honeywell Pty. Ltd;(b) the transfer of employees from the Metropolitan Transport Trust to Metro Tasmania Pty. Ltd;(c) the transfer of employees from TasFleet, State Purchasing and Sales Division of the Department of Treasury and Finance to Fleet Care Services Pty. Ltd.
5. Amendments have effect notwithstanding Retirement Benefits Act 1993
The amendments to the Principal Regulations made by this Act have effect notwithstanding section 29 of the Retirement Benefits Act 1993 .
6. Regulation 27 amended (Commencement and cessation of contributions)
Regulation 27(3) of the Principal Regulations is amended as follows:(a) by inserting "or ceases to be a contributor" after "years";(b) by omitting "earlier" and substituting "earliest".
7. Regulation 37 amended (Benefit on redundancy or compulsory retirement)
Regulation 37(1) of the Principal Regulations is amended by inserting "and regulation 37A " after " subregulation (2) ".
After regulation 37 of the Principal Regulations, the following regulation is inserted:37A. Saving for entitlements of certain contributors under repealed Act
(1) An existing contributor or amalgamated contributor who ceases to be a contributor under regulation 37(1)(d) as a result of a prescribed arrangement may, by notice in writing to the Board, elect to receive a benefit under this regulation instead of a benefit under regulation 37 .(2) An existing contributor who, under regulation 26(4) or 29(1) , is contributing at the basic contribution rate is entitled to a lump sum benefit equal to 3.5 times the balance of the contributor's account under regulation 31 together with a sum calculated under regulation 45(4) .(3) An existing contributor who, under regulation 26(4) or 29(1) , has at any time contributed at a rate greater than 5% of salary is entitled to a lump sum benefit equal to the total of –(a) 3.5 times that part of the balance of the contributor's account under regulation 31 that the contributor would have received if he or she had at all relevant times been paying contributions at the basic contribution rate; and(b) the amount of the refund of the balance of the contributor's account under regulation 31 ; and(c) a sum calculated under regulation 45(4) .(4) An amalgamated contributor is entitled to a lump sum benefit equal to 3.5 times the balance of his or her account under regulation 31 together with a sum calculated under regulation 45(4) .
9. Regulation 43 amended (Preservation of certain employer contributions)
Regulation 43 of the Principal Regulations is amended by inserting after subregulation (6) the following subregulation:(7) A contributor who is entitled to a benefit under regulation 37A may apply in writing to –(a) be paid the benefit; or(b) transfer the benefit to an investment account established under regulation 60 ; or(c) have the benefit preserved by the transfer of –(i) five-sevenths, or any other proportion the Minister on the advice of the Actuary determines, of the lump sum benefit that would have been payable if the employee had at all relevant times contributed at the basic contribution rate, to an account established under regulation 63 ; and(ii) the balance to an investment account established under regulation 60 .
10. Regulation 45 amended (Supplemental lump sum benefit payable in certain cases)
Regulation 45(1) of the Principal Regulations is amended by inserting ", 37A" after "37".
11. Regulation 45B amended (Application of prescribed arrangements to contributors)
Regulation 45B of the Principal Regulations is amended as follows:(a) by inserting in subregulation (2)(a) "or, if applicable, regulation 37A" after "37";(b) by omitting from subregulation (2)(a) "that benefit" and substituting "those entitlements";(c) by inserting in subregulation (5)(b) "or, if applicable, regulation 37A" after "37".
12. Regulation 77 amended (Conversion of lump sum benefit to pension)
Regulation 77(6) of the Principal Regulations is amended by inserting "or on attaining the age of 55 years and ceasing to be a contributor as a result of a prescribed arrangement" after "retirement".
13. Regulation 78 amended (Pension conversion factors)
Regulation 78 of the Principal Regulations is amended as follows:(a) by inserting in subregulation (3) "37A," after "37,";(b) by inserting after subregulation (3) the following subregulation:(4B) Subregulation (3) does not apply to a former contributor who makes an application under regulation 43(7)(a) or (b) .
14. Regulation 90 amended (Contributions to Fund by State and State authorities)
Regulation 90(1)(b) of the Principal Regulations is amended by inserting after subparagraph (ia) the following subparagraph:(ib) in respect of a contributor who ceases to be a contributor as a result of a prescribed arrangement and is entitled to a benefit under regulation 37A and an amount of money under regulation 43(7)(a) or (b) , the total benefit payable under regulation 37A that exceeds the balance of his or her account under regulation 31 ; or
15. Schedule 3 amended (Calculation of certain pensions in respect of former contributors under repealed Act)
Clause 6 of Schedule 3 to the Principal Regulations is amended as follows:(a) by inserting "or 37A" after "37";(b) by inserting "or 37A" in the definition of "PP" after "37".
[Second reading presentation speech made in:
House of Assembly on 27 MAY 1998
Legislative Council on 9 JUNE 1998]