26. Provisions for pensions and similar obligations

Final pension funds contribution:

Board members, special policyholders and active employees in Austria who meet the criteria for inclusion are subject to a defined contribution pension fund scheme. The beneficiaries are entitled to a final pension fund contribution. The works council agreement states the extent to which a final pension fund contribution is provided to the beneficiary’s individual assurance cover account in the event of a transfer to the old-age pension or of an incapacity to work or the death as a participant.

There are individual contractual pension obligations, pension allowances in accordance with association recommendations and administrative pensions. Individuals who have an individual contractual obligation can generally claim a pension when they reach the age of 65, but not before the age of 62, and in the event of an inability to work. The amount of the pension generally depends on the number of their years of service and their last salary before leaving their active employment. In the event of death, the spouse of the individual entitled to the claim receives a pension at 60%, 50% or 40% depending on the policy. The pensions are suspended for any period in which a termination benefit is paid and their value is generally guaranteed.

The defined contribution plan is financed completely by Uniqa. The pensions are financed through provisions that are based on individual policies or on the association recommendations. For the final pension contribution, the financing is carried out over a pension fund. The financing is specified in the business plan, in the works council agreement and in the pension fund contract.

Termination benefit entitlements:

If the employment lasted three years without interruption, the employee is entitled to termination benefits when the employment is terminated, unless the employee quits, leaves without an important reason or is guilty of something resulting in early dismissal. The amount is double the salary owed to the employee in the last month of the employee relationship and increases after five years of employment to three times, after ten years of employment to four times, after fifteen years of employment to six times, after twenty years of employment to nine times and after twenty-five years of employment to twelve times the monthly salary.

If the employment ends due to the death of the employee, the termination benefit only amounts to half of the above-mentioned amounts and is only owed to the legal beneficiaries who were legal dependents of the deceased.

For employees who joined the Company after 31 December 2002, the statutory provisions of the BMSFB apply. These people are therefore, as instructed, not included in the calculation of the termination benefits.

The UNIQA Group’s repositioning led to an expected reduction of staff which is covered by provisions for social capital amounting to €17,088 thousand (2013: €42,136 thousand).

Under the defined contribution company pension scheme, the employer pays the fixed amounts into company pension funds. The employer has satisfied their obligation by making these contributions.