Workplace Safety & Prevention Services
Notes to Financial Statements
March 31, 2017
10 EMPLOYEE FUTURE BENEFITS
Defined benefit post-retirement plan
The Corporation provides extended health-care, dental and life insurance benefits to all employees with the cost of these
benefits recognized on an accrual basis. The most recently completed actuarial valuation was completed on March 31,
2017. The continuity of the accrued benefit obligation relating to the post-retirement benefit plan is as follows:
March 31,
2017
$
December 31,
2015
$
Accrued benefit liability – Beginning of period 34,659,300 37,803,600
Current service cost 1,581,900 1,758,800
Interest cost on obligation 1,755,100 1,565,600
37,996,300 41,128,000
Actuarial gain (8,560,100) (238,800)
Plan amendment — (5,623,900)
Benefit payments (870,000) (606,000)
Accrued benefit liability – End of period 28,566,200 34,659,300
Benefit plan expense
=Current service cost 1,581,900 1,758,800
=Interest on accrued benefit obligation 1,755,100 1,565,600
=Net benefit plan expense 3,337,000 3,324,400
The significant actuarial assumptions adopted in measuring the Corporation's accrued benefit obligations are as follows:
March 31,
2017
%
December 31,
2015
%
Discount rate – net benefit cost 3.75 4.00
Discount rate – accrued obligation at period-end 3.90 4.00
Annual rates of increase
=Extended health care 6.00%, decreasing by
0.25% per annum
to an ultimate
rate of 4.50%
7.50%, decreasing by
0.25% per annum
to an ultimate
rate of 5.00%
=Dental care 2.75% per annum 4.00% per annum
Defined contribution pension plan
Employees belong to the WSIB Employee's Superannuation Plan, a defined contribution plan with employer contributions
in the period amounting to $3,961,202 (2015 – $2,784,261) which are included in employee benefits.
342016 | 2017 Annual Report Workplace Safety & Prevention Services
