Question Time AU

Bill Debate · Second Reading

Superannuation Legislation Amendment (Fair Super for Young Workers) Bill 2026; Second Reading

Senate · Thursday 20 August 2026

Continued from Wednesday 12 August 2026.

Official Hansard for this day (APH) · Read this debate on OpenAustralia

At a glance

The debate focused on making super contributions mandatory for all workers under 18, irrespective of hours worked. The Greens claimed the current exclusion discriminates against young workers and denies them fair entitlements. Labor backed the principle but rejected the bill due to drafting issues and the need for careful implementation with payday super reforms. The Coalition opposed it, citing potential harm to youth employment and small businesses, and highlighted their own superannuation reform record. No amendments were moved during this second reading debate.

Outcome

The bill was debated at second reading; no amendments were moved or voted on during this stage.

Summary in reported speech - not a transcript. AI-generated, so check the official record before quoting.

How the debate unfolded

Continued the debate

Senator Pocock argued that the bill addresses legislated age-based discrimination by ensuring all under-18 workers receive superannuation, regardless of hours worked. Pocock stated that 530,000 young workers currently miss out on approximately $411 million in super contributions annually. Pocock contended that historical justifications for the exclusion, such as fee erosion, are no longer valid due to modern fee caps and protections. Pocock highlighted that major corporations like Coles and Woolworths profit significantly while denying these entitlements, whereas some employers like Bunnings already pay super to young workers. Pocock called on the Labor government to support the bill to align with its own national platform commitment.

Government response

Senator Darmanin affirmed Labor's commitment to strengthening superannuation and noted the party's recent national conference resolution supporting universal super for under-18s. However, she argued that the immediate priority is the successful implementation of payday super, which addresses $6 billion in unpaid super. Darmanin stated that extending coverage to under-18s requires further consultation and detailed work with stakeholders to ensure reforms are comprehensive and properly designed. Darmanin emphasised that while the principle is supported, the government must take time to work through the issue via budget processes and consultation to avoid unintended consequences.

Opposition response

Senator Hume opposed the bill, arguing that legislating this entitlement could inadvertently reduce opportunities for young people to enter the workforce. Hume cited rising youth unemployment and warned that additional costs for employers, particularly small businesses, might discourage them from hiring young workers. Hume highlighted the Coalition's past reforms, including abolishing the $450 monthly threshold and protecting low-balance accounts from fees. Hume asserted that superannuation belongs to individuals and should not be used for political agendas, urging caution to ensure the system remains flexible and fair for all Australians.