Women, generally speaking, will be out of the workforce for a few years due to caring needs placed upon us from raising children and for looking after frail parents. Superannuation earnings could be short by $232,500 because of time out of the workforce.
Women who are generally the primary carers, are disadvantaged providing a service to society by not earning, let alone not having additional super contributions made^.
Women, on average, have a longer life expectancy than men. Retirement is at 65, however, with a women’s life expectancy at 83, we’re living on average 13 years without income, relying upon superannuation.
Considering, there isn’t enough super accrued for women, there will be a strain put on the demand for the government funded pension.
Demands on the pension also strain our health care system as pensioners cannot afford private health insurance.
Solution, women will have to work well past the retirement age.
However, who will hire an employee over 60 and at their appropriate skill and qualification level?
^ - The Labor government under Gillard introduces a ‘Low Income Superannuation Contribution’ for people earning up to $37,000/year.