Union poll shows Australians ready to give the nod for Super over a tax cut

A national poll completed for the Australian Workers’ Union has shown that Australians would give Prime Minister Rudd and Treasurer Wayne Swan the green light to deliver their election tax cuts into their retirement savings – instead of in cash.

" The poll shows voters are economically literate, and politically sophisticated enough to understand that in the fight against inflation and rising interest rates the option of increased superannuation rather than tax dollars in the pocket is smart stuff," Paul Howes, AWU National Secretary.

" A majority of employed Australians would prefer the promised tax cuts to be divided between their superannuation funds and tax cuts - based on the AWU plan released earlier this year.

" Our poll also reveals that Labor supporters and union members are particularly enthusiastic about this idea."

Paul Howes joined a panel of speakers at a lunch-time function today organised by the Australian Institute of Superannuation Trustees , where he will reveal the Morgan Poll results .

The other speakers at the Sydney luncheon were:

• Dr Peter Burn, from Australian Industry Group;

• Dr Rhonda Galbally, CEO, Our Community;

• Mr David Whiteley, Executive Manager, Industry Super Network; and

• Fiona Reynolds, CEO, Australian Institute of Superannuation Trustees

The AWU National Secretary, Paul Howes, first raised the idea of half the promised tax cut being turned into retirement savings at the first national speech for 2008 broadcast from the National Press Club in Canberra.

Key findings from the Morgan poll

• More Australians (47%) would prefer the $31 billion in tax cuts that Prime Minister Kevin Rudd promised during the 2007 election campaign to be divided between tax cuts and superannuation funds than those who would like Mr Rudd to fulfil his election pledge of full tax cuts (36%). A large 17% can't say which option they would prefer;

• A majority of employed Australians (51%) would prefer the promised tax cuts to be divided between tax cuts and superannuation funds, compared to one-third (33%) who want the full tax cuts, with 16% undecided ;

• Unemployed Australians are divided on which option they prefer: 39% say they would like a combination of tax cuts and superannuation contributions, while 41% want the full tax cuts;

• ALP supporters are more likely than their Coalition counterparts (58% cf. 41%) to support the idea of a mixture of tax cuts and superannuation contributions. Almost half (47%) of L-NP supporters would prefer the full tax cuts compared to 27% of Labor supporters;

• Similarly, union members are more likely than non-union members (64% cf. 44%) to support the idea of a mixture of tax cuts and superannuation contributions. Only a quarter (27%) of union members would prefer the full tax cuts compared to 37% of non-union members;

Read the Morgan Poll report on this issue