Financial statements, March 31, 2014

7.7. Notes to financial statements: Employee severence benefits liability

The Canadian Grain Commission provides severance benefits to its employees based on eligibility, years of service and final salary. These benefits are currently calculated based on the actual severance owed to each employee.

With Budget 2011, the Government of Canada announced its intention to eliminate the ongoing accumulation of severance benefits. All collective agreements for the Canadian Grain Commission have been negotiated and severance benefits have ceased to accumulate. Employees are being given the option to liquidate immediately or collect upon departure from the public service.

Employee severence benefits liability (in thousands of dollars), 2014 and 2013
  2014 $ 2013 $
Employee severance benefits liability, beginning of year 12,057 11,268
Expense for the year 1,027 1,630
Benefits paid during the year (7,367) (841)
Employee severance benefits liability, end of year 5,717 12,057
Current portion of employee severance benefits liability (2,984) (1,739)
Long-term portion of employee severance benefits liability 2,733 10,318