‘Outdated’ Law Costs Victorian Teen Workers $115 Million in Superannuation, Modelling Shows

A Victorian teenager working part time can lose hundreds of dollars in superannuation before reaching adulthood because of an age-based exemption, according to modelling from the Super Members Council.

The council estimates that about 156,000 young workers in the state will miss an average of $735 in super payments during 2026-27. The total, $115 million, is the highest projected loss of any Australian state. Under current rules, workers under 18 do not receive guaranteed super unless they work more than 30 hours a week for one employer.

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Teenage workers in Victoria are being denied a basic workplace right that 17 million other working Australians enjoy, and that’s just not fair.

The council said 91% of under-18 workers put in fewer than 30 hours a week. It estimates that an average teenage part-time worker could miss $2,500 in contributions by age 18. Those missed payments could grow to $11,000 by retirement through compounding.

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A young person who earns a wage should also be paid super.

Misha Schubert, chief executive of the Super Members Council, described the system as discriminatory. “A young person who earns a wage should also be paid super,” she said. “Yet this outdated and discriminatory law treats teen workers differently just because of their age and their hours.” She said early contributions matter because they have the longest period to compound.

The council wants the exemption scrapped, saying it is “out of step with community expectations.” The Greens have introduced an amendment bill and secured a Senate inquiry, which is due to report to parliament in November. Federal Treasurer Jim Chalmers has previously expressed support for reform. The council’s modelling puts missed super at $105 million in New South Wales and $411 million nationally this financial year.

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For too long, Australia’s superannuation system has failed young workers. It’s time for young workers to be paid the super they deserve.