Hunter councillors Adam Shultz, Nuatali Nelmes baulk at prospect of having to approve own superannuation

Under legislative changes proposed by the NSW government, councils would be able to pay elected representatives super from July 1, 2022. However the bill introduced last week would leave elected councils to decide whether they actually grant themselves the payments.

Lake Macquarie councillor Adam Shultz, who has previously advocated for elected local government officials to be paid super, said he was concerned if councils were left to opt-in, the process would become politicised.

"If they make it optional then it just encourages that politicisation of it, in terms of grandstanding," he said.

"It's a bit disappointing. It's good that it is on the agenda, but they really need to make it compulsory.

"I'm hoping the opposition or someone moves an amendment."

Newcastle lord mayor Nuatali Nelmes said she was "pleased" the state government had "finally acknowledged" that the current situation was "unfair"

"The bill currently before parliament will see councillors actually have to vote to accept the universal superannuation guarantee," she said. "In absolutely no other workplace across the nation is this required and to my mind, it's unacceptable and continues with this discriminatory practice.

"Our state parliamentarians who have drafted the Bill, and are debating its merits right now, all receive superannuation without having to vote for it."

Cr Shultz, who works in the superannuation industry, said all remunerated positions in Australia earning more than $450 per month received the super guarantee of 9.5 per cent of ordinary time earnings, "excluding mayors and councillors".

As well as super, he also believes councillors shouldn't have to vote to increase their own remuneration. The Local Government Remuneration Tribunal currently sets the maximum pay levels dependent on a council's size and responsibilities, but councillors must vote to increase their pay when these levels rise.

"It should be set. This is the remuneration for mayors and councillors, depending on whatever is set by an independent third party, and here is the superannuation," he said.

"We need to remove that process. We need to stand up and say this discriminatory when every other remunerated position in Australia receives the adequate superannuation, and for some unknown reason mayors and councillors are excluded.

"I think the feds get 13.5 per cent, we're just saying let's just get the basic super guarantee that every man and his dog is entitled to."

It is hoped the introduction of super for councillors will help encourage greater participation in local government.

Cr Nelmes said super was one of Australia's "great social equalisers" and underpinned "the egalitarian spirit of a fair day's pay for a fair day's work".

"Every worker, regardless of their job title, status, age, or gender should expect to be treated fairly when it comes to their workplace entitlements, and this absolutely includes superannuation," she said.

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