Posts tagged American Institute for Economic Research
Commentary: Australia’s Not-So-Super Retirement System
July 23, 2026 // In Australia the accountability problem is exacerbated by unions’ sway over a particular type of super fund. Known as industry super funds, these were originally set up by employers and unions to steward the savings of workers in the 1970s and 1980s. In 2025, ISFs controlled more than 40% of Australian superannuation assets. Under Australian law, employers and unions appoint directors to ISF trustee boards under what is called the equal representation model. Union leaders say this ensures that workers have some indirect influence over decisions made by ISF boards and managers. That claim is difficult to square with trends in union membership. The proportion of Australian employees who belong to unions fell from 51% in 1976 to 13.1% in 2024. Unions long ago lost the authority to serve as legitimate proxies for Australian workers.