Consolidated Annual Report 2019

BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED | CONSOLIDATED ANNUAL REPORT 2019 63 BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED Notes to the Consolidated Financial Statements For the year ended March 31, 2019 (Expressed in Barbados dollars) 48 15. Pension Plan Asset, continued e) The amounts recognised in the consolidated statement of other comprehensive income are as follows: 2019 2018 Remeasurement loss (gain) on obligation $ 537,521 (416,707) Remeasurement loss on plan assets 1,010,684 52,223 $ 1,548,205 (364,484) f) Principal actuarial assumptions at the reporting date (expressed as weighted averages): 2019 2018 Discount rate at end of year 7.75% 7.75% Expected return on plan assets at end of year n/a n/a Future salary increases 6.75% 6.75% Future pension increases 1.75% 1.75% Future changes in NIS ceiling 4.25% 4.25% Proportion of employees opting for early retirement 0.00% 0.00% Termination of active members 0.00% 0.00% Future expenses 0.00% 0.00% At March 31, 2019, the weighed-average duration of the defined benefit obligation was 21.96 years. g) Sensitivity analysis on projected benefit obligation: Reasonably possible changes at the reporting date to one of the relevant actuarial assumptions, holding other assumptions constant, would have affected the defined benefit obligation by the amounts shown below: Increase Decrease Discount rate (1% movement) $ (2,227,376) 2,969,535 Future salary growth (0.5% movement) $ 1,182,717 (1,074,020) As mortality continues to improve, estimates of life expectancy are expected to increase. The effect on the projected benefit obligation of an increase of one year in the life expectancy is approximately $242,967.