Question ID: 2000
Regulation Reference: EIOPA-BoS/18-114 - Information request towards NCAs regarding provision of occupational pensions information
Topic: Pensions Reporting
Article: Template PF.29.05.24, R0020
Status: Final
Date of submission: 05 Sep 2019
Question
What is meant by "Past service costs" (PF.29.05.24, R0020)? Is it the same definition as under IFRS? The description in the Technical Specifications is very vague ("Accrual of obligations during the reporting period"). Is the service cost generally meant (past service cost and current service cost in total)? Can you illustrate the filling by a simple example?
EIOPA answer
The Past service costs in our reporting refers to the change in the present value of the defined benefit obligation resulting from employee service over the past year (i.e. changes in the present value of the defined benefit obligations of the employees for being one year longer affiliated to the scheme) . These do not only include the resulting change in the present value of the defined benefit obligation as a result of an introduction of, or changes to, the employee benefits offered which is often referred to as “past service costs" or “prior service costs" from an accounting principles.