Page 145 - SC Annual Report 2018 (ENG)

Securities
Commission
Malaysia
ANNUAL
REPORT
2018

9. Post-employment benefits
2018 2017
RM’000 RM’000

Net defined benefit liability 70,758 54,713
Expense recognised in profit or loss 6,419 657
Remeasurement of defined benefit liability recognised
in other comprehensive income - 16,729
Benefits paid (1,487) (1,341)

Total employee benefit liabilities 75,690 70,758

The defined benefit plan is an unfunded post-employment medical plan, which provides medical
benefits for participants and their eligible dependants after retirement age until the death of the
participant or spouse, or for child dependants up to age 18 or age 24, if they are still studying.

As such, the ultimate cost of the plan depends on the longevity of the retirees and their eligible
dependants, the incidence and cost of events resulting in claims under the plan, and the inflation of
such costs in the future.

Funding
The plan is unfunded. Employer contributions to the plan refer to the medical claim amounts paid
directly by the SC. The SC expects to pay approximately RM1.1 million in contributions to its defined
benefit plans in 2019.

Movement in net defined benefit liability
2018 2017
RM’000 RM’000

Net defined benefit liability at 1 January 70,758 54,713

Included in profit or loss
Current service cost 2,307 2,295
Past service cost - (5,444)
Interest cost 4,112 3,806

6,419 657
Included in other comprehensive income
Actuarial (gain)/loss arising from:
– Financial assumptions - 13,390
– Experience adjustments - 3,339

- 16,729
other
Benefits paid (1,487) (1,341)

Net defined benefit liability at 31 December 75,690 70,758

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