Download PDF (619 ko )FSST and CSST Financial Statements 2007

Actuarial Report regarding the Commitments
of the Fonds de la santé et de la sécurité du travail
as at December 31, 2007
FSST Financial Statements
We have evaluated the actuarial liability of the Fonds de la santé et de la sécurité du travail (FSST)
for the purpose of establishing its balance sheet as at December 31, 2007 and its income statement
for the year then ended. In our opinion, the actuarial liability in the amount of $10,933,780,000
constitutes an appropriate provision to cover future payments under compensation programs for
work-related injuries, the For a Safe Maternity program, administrative expenses and expenses for
the financing of administrative tribunals required to honour these commitments regarding events that
occurred on or before December 31, 2007 among all employers subject to assessment. The estimate
of future payments for the compensation of work-related injuries addresses the provisions of the
Workmen’s Compensation Act, the Act respecting industrial accidents and occupational diseases and the
Act respecting indemnities for victims of asbestosis and silicosis in mines and quarries. The estimate of
future payments under the For a Safe Maternity program addresses the provisions of the Act respecting
occupational health and safety.
The Commission de la santé et de la sécurité du travail (CSST), in its capacity as trustee of the
FSST, pursues, on the latter’s behalf, a full-funding objective. According to the full-funding concept
adopted by the CSST, its assets must be equal to its liabilities without a surplus necessarily being
maintained. This situation is reflected in the approach used to produce its financial statements and
evaluate its actuarial liability. Hence, the assumptions used were selected based on a best-estimate
approach, which implies that there is no margin for adverse statistical deviations or an unfavourable
evolution of experience.
However, the assumption related to the real rate of return is an exception to the general bestestimate
approach. Indeed, given that the FSST’s commitments guarantee the adjustment of its indemnities
to future inflation and in order to allow for greater stability of assessment rates and the
financial results, the assumption of a real rate of return of 4.0% is based on long-term trends, and
a mechanism is used to amortize the annual differences related to the real rate of return.
The actuarial liability rose from $10,119,571,000 as at December 31, 2006 to $10,933,780,000
as at December 31, 2007. This $814,209,000 increase, consisting of an increase of $778,770,000
for compensation programs, an increase of $10,329,000 for the For a Safe Maternity program, an
increase of $25,444,000 for administrative expenses and a decrease of $334,000 for the financing
of administrative tribunals, was posted in the income statement for 2007.
6