Note 24 Employee benefit expense

€ million

2019

2018

Salaries

 

363

 

370

Social security premiums

 

44

 

44

Pension costs:

    

- Contributions paid to multi-employer plans that are accounted for as defined-contribution plans

 

53

 

53

Termination benefit expenses

 

9

 

9

Other long-term employee benefit expenses

 

7

 

-1

Other staff costs

 

24

 

25

     

Total

 

500

 

500

The staff costs relating to pensions, reorganisations and other long-term employee benefits were as follows:

Employee benefit expense for pensions, reorganisation and other long-term employee benefits

€ million

Multi-employer plans

Termination/ reorganisation benefits

Other long-term employee benefits

Total

2018

    

Contributions paid to multi-employer plans

52

-

-

52

Added to provision

-

12

8

20

Released from provision

-

-3

-9

-12

     

Total 2018

52

9

-1

60

     

2019

    

Contributions paid to multi-employer plans

53

-

-

53

Added to provision

-

13

7

20

Released from provision

-

-4

-

-4

     

Total 2019

53

9

7

69

A note on the reorganisation costs is included in note [15] on provisions for employee benefits. For further details of the other long-term employee benefits, reference is made to the disclosures in note [15]. The external staff costs amounted to €116 million (2018: €137 million) and related to contract staff for specific projects and to fill vacancies. The number of staff employed by Alliander, based on a 38-hour working week (FTEs), is shown in the table below:

Number of permanent staff (FTEs)

 

2019

2018

Employed in continuing operations

  

-Average during the year

5,686

5,712

-As at 31 December

5,703

5,669

-Number of permanent staff outside the Netherlands

158

172

WNT

On 1 January 2013 the Act on the Standardisation of Remuneration of Senior Executives in the Public and Semi-Public Sector (WNT) came into operation. The act lays down rules governing the maximum remuneration of senior executives in the public and semi-public sector. The amount is set annually by a ministerial ruling.

WNT reporting

The WNT is applicable to network operator Liander N.V. The WNT requires disclosure of the remuneration of senior executives. Transparency is also required concerning the remuneration of other internal officers whose income exceeds a set level in the reporting period. Liander will be reporting on the WNT requirements applicable to the network operator in a separate annual report to be published in the second quarter of 2020.

Remuneration of the Management Board and the Supervisory Board

The Remuneration Report covers the remuneration policy, its implementation and the remuneration of the members of the Management Board and the Supervisory Board (key management). The three paragraphs concerned can be found in the ‘Corporate governance’ section of our 2019 annual report. The following tables disclose the remuneration of the members of the Management Board.

Total gross annual remuneration chargeable to the financial year

 

Fixed salary

€ thousand

2019

2018

I.D. Thijssen

225

222

F.D. Schut1

165

-

W.Th. Bien2

51

-

M.R. van Lieshout3

122

281

   

Total

563

503

  • 1 Member of the Management Board as of 1 April 2019
  • 2 Joined 7 October 2019.
  • 3 Retired 1 July 2019.

The fixed salary concerns the actual amount paid each year; it does not include amounts set aside for other forms of remuneration.

Settlement of contract obligations

With regard to the departure of Mr Van Lieshout, the Supervisory Board acted in accordance with the contractual arrangements with Mr Van Lieshout. Mr Van Lieshout has accordingly received a payment of €310,000. This amount has been charged to 2018.

Pension contributions

€ thousand

2019

2018

I.D. Thijssen

23

21

F.D. Schut1

17

-

W.Th. Bien2

3

-

M.R. van Lieshout3

12

23

   

Total

55

44

  • 1 Member of the Management Board as of 1 April 2019
  • 2 Joined 7 October 2019.
  • 3 Retired 1 July 2019.

Social security contributions and other benefits

€ thousand

2019

2018

I.D. Thijssen

13

12

F.D. Schut1

10

-

W.Th. Bien2

3

-

M.R. van Lieshout3

7

18

   

Total

33

30

  • 1 Member of the Management Board as of 1 April 2019
  • 2 Joined 7 October 2019.
  • 3 Retired 1 July 2019.

In addition to the normal social security charges and contributions applicable to the company, the members of the Management Board are entitled to an employer’s contribution to the group health insurance plan, to contributions connected with their ‘personal budget’ under the conditions of employment, and to the use of a company car.

Remuneration of the Supervisory Board

€ thousand

2019

2018

ms. A. Jorritsma-Lebbink, Chairman

29.1

28.4

ms. A.P.M. van der Veer-Vergeer

19.4

18.9

B. Roetert

19.4

18.9

G.L.M. Hamers

19.4

18.9

ms. T. Menssen1

5.2

-

F. Eulderink2

5.2

-

ms. J.G. van der Linde3

9.6

18.9

   

Total

107.3

104.0

  • 1 Ms Menssen was appointed as of 26 September 2019.
  • 2 Mr Eulderink was appointed as of 26 September 2019.
  • 3 Ms Van Der Linde stepped down as of 1 July 2019.