Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Telstra Superannuation Scheme - AFR Story

11 November 2002


Telstra Superannuation Scheme

The front page story in today's Australian Financial Review referred to a " $3.4 bn unfunded super hole" in its headline, relating to amounts owed by the Commonwealth to the Telstra Superannuation Scheme (TSS).

The substance of the story is not new, and much of the material appears sourced from previous Telstra disclosures and statements in public documents such as our Annual Report.

Telstra's 2002 Annual Report confirms there is a surplus within the TSS, and all TSS obligations to its members are fully funded. The Annual Report provides further details relating to our superannuation position and arrangements.

The Commonwealth's obligations refer to the commencement of the TSS in 1990, when Telstra employees, then members of the Commonwealth Superannuation Scheme (CSS) were given the opportunity to transfer from the CSS to the TSS.

The Commonwealth is required by law to make payments to the TSS with respect to the obligations that the TSS assumed for benefits of transferring CSS members.

These amounts continue to be paid to the Telstra Superannuation Scheme from consolidated revenues in accordance with a schedule of quarterly payments under Ministerial Determinations pursuant to the Superannuation Act 1976.

The Commonwealth has not explicitly set aside funds to pay the full amounts owing to Telstra - this seems to be at the core of the media story - although this approach has been the normal policy of governments towards superannuation liabilities for many years.

The manner in which the Commonwealth chooses to fund its superannuation obligations to the TSS does not affect the funding position of the TSS.


ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Media Mega Merger: StuffMe Hearing Argues Over Moveable Feast

New Zealand's two largest news publishers are appealing against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Elsewhere:


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>

ALSO:


Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>

ALSO:

Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>