Details of this liability heading in the balance sheet are as follows:
The amount recorded under Tax and other payables includes a provision of 735,349 euros allocated at 31 December 2017 by the company in respect of an adjustment for payments in kind that were not correctly declared between 2013 and 2017. The part corresponding to payments in kind generated in 2017 is recorded as a staff expense in the year, while the amount generated in 2013, 2014, 2015 and 2016 has been taken to unrestricted reserves.
The items recorded under trade and other payables include the following:
On 20 November 2014, the Board of Directors approved new “Regulations on the staff pension plan” with the aim of changing the current defined benefit system to a defined contributions model. At 31 December 2014 all staff had signed up to the new system. At that date the Company recognised an initial and irrevocable contribution to participants corresponding to the amount of 14,641,168 euros taken to provisions in accordance with the second actuarial study of pensions risks carried out at 31 December 2014.
In 2015, 2016 and in January 2017, the participants’ contributions to the pension fund amounted to between 1% and 3% of their eligible salaries. In line with current regulations, the Company contributed an equal amount.
The Company has outsourced the management and custody of these funds with effect from 7 February 2017. From February 2017 participants contributions have been withheld from their salaries and transferred, together with the Company’s contribution, to the two companies that manage the current employees’ Pension Plans.
The movements in the pension fund of current employees during 2017 were as follows: