Costello’s super spray at brats of the industry
FORMER treasurer Peter Costello has taken the superannuation industry to task, calling them spoilt brats.
In a damning indictment of the industry, Costello took time from a golf club luncheon to criticise the poor performance of superannuation portfolios compared to regular stock market investments.
"These superannuation funds have truly lost sight of the needs of ordinary Australians," a source allegedly close to Mr Costello says he said.
"When automatic contributions to the future well being of all employed persons in this country can't outperform a highly sophisticated series of markets and derivative financial products, what is the point?"
International superannuation industry sector (ISIS) spokesperson Gol Danshake said Mr Costello was wrong to label the industry so harshly.
"We're not brats, you're a brat, someone call the AFR and tell them to say we're not brats," Mr Danshake said.
"Besides, we remember what he did to government bonds."
Mr Costello's comments come as the G20 finance group attempts to push global growth toward 2%, though it's the cost pressure on employment that worries most small businesses.
Goonabinalong business owner Anne Aphalaxis said that the name calling wasn't helping.
"We want to pay our employees properly, but super puts a big buffer between what our people cost us and what they get to live on," she said.
"While this lot bicker over one or two per cent here and there, we're losing employees because we can't afford them at all."
"If only we could afford six-figure retirement packages if our employees make it past their first three years in the job."
Frisky Business is a satirical column