Women caught in age pension trap
Although Australian women won the right to equal pay in the 1960s, new research shows that due to labour market inequalities women are still much more likely than men to end up living on old-age pensions, says ANU economist Bob Gregory.
Over the past 30 years, women have not made gains into the world of full-time work, meaning that many opt for part-time work – which nearly always carries inadequate superannuation.
Almost 80 per cent of men have super but only about 70 per cent of women. Policies aimed at encouraging people to invest and build up their retirement savings are unlikely to appeal to people who are on low incomes, which is generally the case for people doing part-time work.
Professor Gregory says that this is a very pessimistic picture for those interested in private superannuation.