Workplace Safety & Prevention Services
Notes to Financial Statements
March 31, 2020
(7)
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 on
March 31, 2020. The continuity of the accrued benefit obligation relating to the post-retirement benefit plan is
as follows:
2020
$
2019
$
Accrued benefit liability – Beginning of year 33,112,000 31,048,300
Current service cost 964,200 884,800
Interest cost on obligation 1,140,400 1,131,300
35,216,600 33,064,400
Actuarial loss (gain) (14,405,200) 964,600
Benefit payments (891,000) (917,000)
Accrued benefit liability – End of year 19,920,400 33,112,000
Benefit plan expense
Current service cost 964,200 884,800
Interest on accrued benefit obligation 1,140,400 1,131,300
Net benefit plan expense 2,104,600 2,016,100
The significant actuarial assumptions adopted in measuring the Corporation's accrued benefit obligations are as
follows:
2020
%
2019
%
Discount rate – net benefit cost 3.40 3.60
Discount rate – accrued obligation at
year-end 3.90 3.40
Annual rates of increase
Extended health-care 5.37%, decreasing
to an ultimate
rate of 3.57%
6.00%, decreasing by
0.25% per annum to an
ultimate rate of 4.50%
Dental care 3.00% per annum 2.75% per annum
Defined contribution pension plan
The employer contributions made in the year amounted to $3,730,838 (2019 – $3,606,709), which are
included in employee benefits in the statement of operations.
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