25. Employee benefits

MEUR
31 Dec 2016 31 Dec 2015
Recognised items in statement of financial position


Defined benefit obligation
0.0 0.1
Fair value of plan assets
0.0 -0.1
Net benefit liability recognised in statement of financial position
0.0 0.0

SATO's employee benefit plan is an additional pension plan in insurance company fund, which is supplement to statutory pension. The employee benefit plan includes one person (2015: two persons) employed by the Group during the period. In the statement of financial position the item recognised as a liability is an undertaking given to the insured and plan assets include the cover paid by the insurance company. The benefit plan is funded by annual contributions based on actuarial calculations paid to the insurance company.

Pension is increased by the credit from insurance company and therefore SATO has no obligations after the insured person has retired. The amounts of plan assets are measured with the same discount rate as plan obligations, in which case the discount rate does not create a significant risk. Additionally, an increase in life expectancy does not create a significant risk due to the fact that the insurance company will be responsible for a major part of the effect of any increase in the life expectancy.

These arrangements are subject to local tax laws and other legislation.

Following tables show the changes in SATO's plan obligations and plan assets:




MEUR
2016 2015
Defined benefit obligation, 1 Jan
0.1 1.6
Current service cost
0.0 0.1
Plan amendments
0.0 -0.1
Net interest
0.0 0.0
Actuarial gains (-) /losses (+) on obligation
1.6 -0.3
Benefits paid
-1.8 -1.3
Defined benefit plan obligations, 31 Dec
0.0 0.1



Change of fair value of plan assets


MEUR
2016 2015
Fair value of plan assets, 1 Jan
0.1 1.2
Interest income
0.0 0.0
Actuarial gains (+) and losses (-)
1.5 -0.2
Benefits paid
-1.8 -1.3
Employee contributions
0.1 0.4
Fair value of plan assets, 31 Dec
0.0 0.1



Change in net defined benefit liability


MEUR
2016 2015
Net benefit liability recognised in statement of financial position, 1 Jan
0.0 0.5
Expenses recognised in income statement
0.0 0.1
Remeasurement
0.1 -0.1
Employee contributions
-0.1 -0.4
Net defined benefit liability, 31 Dec
0.0 0.0



Expenses recognised in income statement


MEUR
1 Jan–31 Dec 2016 1 Jan–31 Dec 2015
Expenses recognised in income statement


Service cost
0.0 0.1
Net interest expenses
0.0 0.0
Actuarial gains and losses
0.1 -0.1
Total Expenses recognised in income statement
0.1 -0.1




Expected contributions paid by the employer in 2017 (2016)
0.0 0.0

Classification of defined benefit plan assets is not available.

Assumptions used in calculation

Discount rate
1.20% 1.80%
Rate of salary increase
3.30% 3.50%




Duration of defined benefit obligation, years
0 12