Note 3. The cost of delivering services Introduction This section provides an account of the expenses incurred by the Commission in delivering services and outputs. In Note 2, the funds that enable the provision of services were disclosed and in this note the cost associated with provision of services are recorded. 3.1 Expenses incurred in delivery of services 2017 2018 $’000 $’000 Employee expenses 3.1.1 20,607 14,842 Capital asset charge 3.2 129 129 Other operating expenses 3.3 29,867 17,935 Total expenses incurred in delivery of services 50,603 32,906 3.1.1 Employee benefits in the comprehensive operating statement 2017 2018 $’000 $’000 Defined benefit and contribution superannuation expense 1,514 1,162 Salaries and wages, annual leave and long service leave 19,093 13,680 Total employee expenses 20,607 14,842 Employee expenses include all costs related to employment including wages and salaries, superannuation, fringe benefits tax, leave entitlements, redundancy payments and WorkCover premiums. The amount recognised in the comprehensive operating statement in relation to superannuation is employer contributions for members for both defined benefit and defined contribution superannuation plans that are paid or payable during the reporting period. The Commission does not recognise any defined benefit liability in respect of the plan(s) because the entity has no legal or constructive obligation to pay future benefits relating to its employees; its only obligation is to pay superannuation contributions as they fall due. The Department of Treasury and Finance (DTF) discloses the Stateʼs defined benefit liabilities in its disclosure for administered items. 3.1.2 Employee benefits in the balance sheet Provision is made for benefits accruing to employees in respect of and salaries, annual leave and long service leave for services rendered to the reporting date.
Note 3. The cost of delivering services Introduction This section provides an account of the expenses incurred by the Commission in delivering services and outputs. In Note 2, the funds that enable the provision of services were disclosed and in this note the cost associated with provision of services are recorded. 3.1 Expenses incurred in delivery of services 2017 $’000 2018 $’000 Employee expenses 3.1.1 20,607 14,842 Capital asset charge 3.2 129 129 Other operating expenses 3.3 29,867 17,935 Total expenses incurred in delivery of services 50,603 32,906 3.1.1 Employee benefits in the comprehensive operating statement 2017 $’000 2018 $’000 Defined benefit and contribution superannuation expense 1,514 1,162 Salaries and wages, annual leave and long service leave 19,093 13,680 Total employee expenses 20,607 14,842 Employee expenses include all costs related to employment including wages and salaries, superannuation, fringe benefits tax, leave entitlements, redundancy payments and WorkCover premiums. The amount recognised in the comprehensive operating statement in relation to superannuation is employer contributions for members for both defined benefit and defined contribution superannuation plans that are paid or payable during the reporting period. The Commission does not recognise any defined benefit liability in respect of the plan(s) because the entity has no legal or constructive obligation to pay future benefits relating to its employees; its only obligation is to pay superannuation contributions as they fall due. The Department of Treasury and Finance (DTF) discloses the Stateʼs defined benefit liabilities in its disclosure for administered items. 3.1.2 Employee benefits in the balance sheet Provision is made for benefits accruing to employees in respect of and salaries, annual leave and long service leave for services rendered to the reporting date.
AR-2018-Full.docx