Fair Work Commission

Overview

During the 4 yearly review, the Fair Work Commission's Expert Panel must also make a list of employer MySuper products, called the Schedule of Approved Employer MySuper Products.

An 'employer MySuper product' can be either a 'tailored MySuper product' offered by a public offer fund to one large employer, or a 'corporate MySuper product', which is a non-public offer fund administered in-house by an employer.

In creating the Schedule, the Expert Panel will:

• invite applications from superannuation funds offering an employer MySuper product, and from employers to which the employer MySuper products relate
• publish the applications, subject to confidentiality or commercial sensitivity, and
• allow persons and bodies to make submissions in respect of the applications.

The Commission will publish further information about the timetable for this process and any relevant forms when they are available.

Applications made outside the timeframe set by the Commission may be reviewed separately, in line with the process set out below, and the Schedule may be amended as needed.

Submitting applications

Applications will need to include a range of information about the superannuation fund and its employer MySuper product's performance, including but not limited to:

• the appropriateness of the product's investment return target and risk profile
• its expected ability to deliver on the product's return target
• fees and costs
• net returns
• governance practices, and
• administrative efficiency and quality of advice.

Applications must be accompanied by any application fee set out by the Fair Work Regulations 2009.

Considerations

The Expert Panel must not include a particular employer’s MySuper product on the Schedule unless the product satisfies the first and second stage tests.

A product satisfies the first stage test if the Commission is satisfied that including it on the Schedule would be in the best interests of default fund employees, or a particular class of employees, taking into account:

• information contained in the application
• a set of performance criteria, in line with the information the applicant needs to include in their application, and
• submissions made on whether the product satisfies the first stage test.

A product satisfies the second stage test if the Commission is satisfied that including it on the Schedule would be in the best interests of default fund employees of an employer to which the product relates, or a particular class of those employees, taking into account:

• submissions made on whether the product satisfies the second stage test, and
• any other matter the Commission considers relevant.

The Expert Panel will publish the Schedule on the Commission's website.