CERTYNEX IFRS ACADEMY

Sablet SA takes part in an industry-wide multi-employer plan that promises defined benefits to the employees of several companies. The plan administrator does not give Sablet the information needed to determine its share of the obligation, the assets and the cost (case facts). Which treatment is consistent in Sablet's accounts?

Account for the plan as a defined contribution plan, the expense being the contribution for the period, for lack of enough information to apply the proportionate share.

Account for a share estimated pro rata to Sablet's headcount, without the administrator's information, as for a defined benefit plan, with a liability in the statement of financial position.

Recognise nothing, neither expense nor liability, until the plan administrator has provided the information needed for the share.

Recognise the whole deficit of the industry plan, since Sablet takes part in a plan whose benefits are defined.