106 / 158
CHARGED TO
CONSOLIDATED STATEMENT OF
DEFINED
BENEFIT
OBLIGATION
FAIR VALUE
PLAN ASSETS
SURPLUS/
DEFICIT (-)
UNFUNDED
PENSION
LIABILITIES
TOTAL
PROFIT OR
LOSS
OTHER
COMPREHENSIVE
INCOME
Balance as at 1 January 2015
747,808
691,932
- 55,876
- 5,316
- 61,192
Current service expenses
41,921
-
- 41,921
- 25
- 41,946
41,946
Past service expenses
- 224
-
224
-
224
- 224
Interest expenses on obligation
18,067
-
- 18,067
- 97
- 18,164
18,164
Contributions received from the Group
-
30,027
30,027
-
30,027
Return on plan assets
-
16,609
16,609
-
16,609
- 16,609
Net actuarial results
- 40,226
10,213
50,439
- 60
50,379
- 50,379
Benefits paid
- 18,991
- 18,991
-
323
323
Foreign currency exchange rate
differences and other changes
4,680
5,004
324
-
324
Total movement
5,227
42,862
37,635
141
37,776
43,277
- 50,379
Balance as at 31 December 2015
753,035
734,794
- 18,241
- 5,175
- 23,416
Limits on net plan assets as at 1 January
- 7,088
Movement in limit net plan assets
- 4,825
4,825
Limits on net plan assets as at 31 December
- 11,913
Balance as at 31 December 2015 after limits on net plan assets
- 35,329
Total result defined benefit pension plans
- 2,277
43,277
- 45,554
In the Netherlands Boskalis has arranged a pension plan for a large part of its Dutch staff with the
Pensioenfonds Grafische Bedrijven (PGB), while other employees in the Netherlands participate in the
pension plans of five Dutch multi-employer pension funds or in one of the Dutch insured pension plans. In
the Netherlands the tasks and responsibilities of employer, employee and pension provider in relation to
pensions are set out in the Dutch Pension Act. The Pension Act stipulates the requirements and conditions
that pension plans must comply with, including the requirement of integrating the plan into either a
recognized pension fund or with a recognized pension insurance company and also that rights granted
must be immediately funded by the employer. The law also sets requirements for the amounts of equity that
pension providers should maintain. Compliance with the law is supervised by the Dutch Central Bank (DNB)
and the Dutch Financial Markets Authority (AFM). In addition, the Group has a number of foreign pension
plans, of which the largest is in the United Kingdom.
Pension plan at Pensioenfonds Grafische Bedrijven
The Group has arranged its pension plan for the majority of its Dutch staff with Pensioenfonds Grafische
Bedrijven, a multi-employer fund. Until 31 December 2016 active participants that commenced employment
with Boskalis before 1 January 2015 had a pension plan with unconditional indexation on the basis of
indexation granted by the Group, which is not linked to indices. Active participants that commenced
employment with Boskalis after 1 January 2015 and inactive participants have a plan with a conditional
right to indexation, granted by PGB.
Settlement of the PGB defined benefit plan
In December 2016, Boskalis reached agreement with the Works Council and the PGB Pension Fund on
plan amendments for its Dutch staff participating in the PGB pension plans. The plan amendments concern
the termination of the unconditional indexation right for participants employed by Boskalis before 1 January
2015. Indexation rights are harmonized with the other participants within PGB pension plans. The
participants concerned receive compensation in the form of a one-off increase in their accrued pension
rights as at 31 December 2016. Also, Boskalis and PGB amended and clarified their agreement in certain
areas. After these changes the pension plans were aligned and now qualify as a defined contribution plan.
As a result, a net settlement gain of EUR 5 million before tax was recognized at the end of December 2016
in the statement of profit or loss, comprising the release of the net defined obligation to the statement of
profit or loss amounting to EUR 22 million and the charge of EUR 17 million resulting from the one-off
increase in accrued rights as mentioned above. In addition, the actuarial reserve recognized in equity was
released to other reserves.
106
ANNUAL REPORT 2016 – BOSKALIS
FINANCIAL STATEMENTS 2016