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Financial advice law to
boost workers' retirement funds
Australian Workers will stand to get an
extra $50,000 in their retirement pot
following the Federal Government’s changes
to the way financial advisers charge their
fees, according to the Australian Workers’
Union.
New laws are set to come into force to
prevent financial advisers from receiving
commission and benefits which may cause a
conflict of interest.
AWU national secretary Paul Howes AWU
welcomed the government’s radical changes to
the rules determining how workers and
retirees pay for and receive financial
advice.
He said that the union had been concerned
for some time that the value of member’s
super accounts had been whittled away due to
financial advisers acting in their own
interest, stating that conservative
estimates suggest that four million workers
pay for financial advice they never receive.
“Australian workers have been forced for far
too long to pay for financial advice they
never ever receive from dodgy financial
planners reaping in billions through hidden
commissions.
“It is shocking to read recent data which
showed that last year $1.3 billion of
workers’ money was ripped away from their
retirement funds, and re-directed into
financial planner’s pockets and their profit
hungry allies in the for-profit
bank-controlled super funds,” Howes said.
Source:
Human Resources Leader |
