27 | WSPS.CA/AnnualReport
Workplace Safety & Prevention Services
Notes to Financial Statements
March 31, 2021
(6)
Effective January 1, 2021, WSIB transferred the obligation of funding the WSIB Employees' Supplementary
Pension Plan to the Corporation and it ceased to be a multiemployer plan and became a defined benefit plan.
The plan provides for partially indexed pensions based on years of service and earnings rates near retirement.
The continuity of the accrued benefit obligation relating to the post-retirement benefit plan is as follows:
2021
$
2020
$
Accrued benefit liability – Beginning of year 19,920,400 33,112,000
Transfer of pension liability 1,667,000 -
Current service cost 303,100 964,200
Interest cost on obligation 752,700 1,140,400
22,643,200 35,216,600
Actuarial loss (gain) 1,402,900 (14,405,200)
Benefit payments (930,200) (891,000)
Accrued benefit liability – End of year 23,115,900 19,920,400
Benefit plan expense
Current service cost 303,100 964,200
Interest on accrued benefit obligation 752,700 1,140,400
Net benefit plan expense 1,055,800 2,104,600
The significant actuarial assumptions adopted in measuring the Corporation's accrued benefit obligations are as
follows:
2021
%
2020
%
Discount rate – net benefit cost 3.80 3.40
Discount rate – accrued obligation at
year-end 2.60 – 3.40 3.90
Annual rates of increase
Extended health-care 5.37%, decreasing
to an ultimate
rate of 3.57%
5.37%, decreasing
to an ultimate
rate of 3.57%
Dental care 3.00% per annum 3.00% per annum
Defined contribution pension plan
The employer contributions made in the year amounted to $3,632,355 (2020 – $3,730,838), which are
included in employee benefits in the statement of operations.
