HESTA, one of Australia’s top industrial superannuation funds, has temporarily suspended numerous important services for its members while undergoing a major administrative system overhaul. The disruption began in mid-April and is slated to last until early June 2025.

The fund, which manages around $88 billion for over 1.05 million members, the majority of whom work in the health and community services sectors, is transferring to a new administrator. During this changeover, members will be unable to make investment changes, file insurance claims, or seek withdrawals.

HESTA informed members of the planned changes in earlier letters this year, however concerns have been expressed that not all members received or completely understood the notice’s consequences.

The fund has outlined the following key points regarding the outage:
• Insurance Claims: No new claims for Death, Terminal Illness, Permanent Incapacity, Total and Permanent Disablement, or Income Protection can be filed until services are restored.
• Contributions: Contributions received after April 14 will be backdated to the date of receipt but will be processed as soon as full services resume.
• Pension Payments:
Payments from income streams that were planned for the outage were made beforehand. Schedules for regular revenue streams will return on June 10, 2025.

According to HESTA, there can be delays as the fund clears backlogs that were formed during the transition, even though services are scheduled to gradually resume on June 2. If members expect to need to make adjustments or access their assets in the near future, the super fund encourages them to plan ahead and keep an eye on its website and official communications for any developments.

The system upgrade, according to HESTA, is an essential step in enhancing its long-term digital infrastructure and member experience, notwithstanding the transient discomfort.