Marks and Spencer 2016 Annual Report Download - page 104

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102
MARKS AND SPENCER GROUP PLC
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
CONTINUED
10 EMPLOYEES
A. Aggregate remuneration
The aggregate remuneration and associated costs of Group employees (including executive directors) were:
2016
Total
£m
2015
Total
£m
Wages and salaries 1,278.8 1,224.3
Social security costs 80.6 80.9
Pension costs (see note 11) 102.0 85.4
Share-based payments (see note 13) 16.0 (1.1)
Employee welfare and other personnel costs 46.7 49.7
Capitalised sta ng costs (37.4) (33.0)
Total aggregate remuneration 1,486.7 1,406.2
Details of key management compensation are given in note 29.
B. Average monthly number of employees
2016 2015
UK stores
– management and supervisory categories 5,696 5,516
– other 63,733 64,182
UK head o ce
– management and supervisory categories 3,191 3,055
– other 881 866
UK operations
– management and supervisory categories 257 225
– other 1,127 835
Overseas 8,063 8,390
Total average number of employees 82,948 83,069
If the number of hours worked was converted on the basis of a normal working week, the equivalent average number of full-time employees
would have been 58,895 (last year 59,096).
11 RETIREMENT BENEFITS
The Group provides pension arrangements for the benefi t of its UK employees through the Marks & Spencer UK Pension Scheme
(a defi ned benefi t arrangement which was closed to new entrants with e ect from 1 April 2002) and Your M&S Pension Saving Plan
(a defi ned contribution arrangement which has been open to new members with e ect from 1 April 2003).
The defi ned contribution plan is a pension plan under which the Group pays contributions to an independently administered fund – such
contributions are based upon a fi xed percentage of employees’ pay. The Group has no legal or constructive obligations to pay further
contributions to the fund once the contributions have been paid. Members’ benefi ts are determined by the amount of contributions paid
by the Group and the member, together with the investment returns earned on the contributions arising from the performance of each
individual’s investments and how each member chooses to receive their retirement benefi ts. As a result, actuarial risk (that benefi ts will be
lower than expected) and investment risk (that assets invested in will not perform in line with expectations) fall on the employee.
The defi ned benefi t arrangement operates on a fi nal salary basis and at the year end had 11,176 active members (last year 11,899), 53,589
deferred members (last year 54,314) and 51,047 pensioners (last year 51,114). At the year end, the defi ned contribution arrangement had
40,712 active members (last year 37,570) and 8,823 deferred members (last year 6,135). The scheme is governed by a trustee board which
is independent of the Group.
The Group also operates a small funded defi ned benefi t pension scheme in the Republic of Ireland. This scheme closed to future accrual
from 31 October 2013. Retirement benefi ts also include a UK post-retirement healthcare scheme and unfunded retirement benefi ts.