PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2016 and for the year then ended Expressed in millions of Rupiah, unless otherwise stated
183
48. SALARIES AND EMPLOYEE BENEFITS continued
Year ended December 31, 2015 Long-term
Salaries and Bonus and
employment allowance
tantiem benefits
Total
The Board of Commissioners 38,248
63,591 3,700
105,539 Directors
128,803 206,908
28,241 363,952
Audit Committee and Risk Monitoring Committee 4,364
- -
4,364 Sharia Supervisory Board
1,246 138
- 1,384
Senior Executive Vice Presidents and Senior Vice Presidents
218,186 149,276
14,664 382,126
390,847 419,913
46,605 857,365
49. GENERAL AND ADMINISTRATIVE EXPENSES Year ended December 31,
2016 2015
Professional fees 3,129,244
2,750,772 Rent
1,870,760 1,627,002
Goodsservices provided by third parties 1,434,018
1,187,795 Depreciation of fixed assets Note 18
1,377,656 1,186,835
Repairs and maintenance 1,206,516
1,039,401 Promotion
1,056,241 982,701
Communication 1,055,504
1,025,079 Office supplies
559,521 518,344
Electricity, water and gas 522,339
527,356 Transportations
385,586 365,134
Amortisation of intangible assets 379,837
302,590 Traveling expenses
184,747 187,991
Insurance expenses 74,564
66,899 Others
721,678 1,031,952
Total 13,958,211
12,799,851
For the year ended December 31, 2016 and 2015, promotions expenses include the sweepstakes prize expense of third party funds amounting to Rp60,227 and Rp68,648, respectively.
50. EMPLOYEE BENEFITS
Under the Bank’s policy, in addition to salaries, employees are entitled to allowances and benefits, such as holiday allowance, medical reimbursements, death allowance, leave allowance, functional allowance
for certain levels, pension plan for permanent employees, incentives based on employee’s and the Bank’s performance, and post-employment benefits in accordance with prevailing Labor Law.
PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2016 and for the year then ended Expressed in millions of Rupiah, unless otherwise stated
184
50. EMPLOYEE BENEFITScontinued Pension Plan
Bank Mandiri has five pension plans in the form of Employer Pension Plans DPPK as follows: a. One defined contribution pension fund, Dana Pensiun Pemberi Kerja Program Pensiun Iuran Pasti
DPPK-PPIP or Bank Mandiri Pension Plan Dana Pensiun Bank Mandiri DPBM which was established on August 1, 1999. The DPBM’s regulations were approved by the Minister of Finance
of the Republic of Indonesia through its Decision Letter No. KEP300KM.0171999 dated July 14, 1999 and was published in supplement of the State Gazette of the Republic of Indonesia No. 62
dated August 3, 1999 and Bank Mandiri’s Directors’ Resolution No. 004KEP.DIR1999 dated April 26, 1999 and were amended based on the Minister of Finance of the Republic of Indonesia’s
Decision Letter No. KEP-213KM.52005 dated July 22, 2005 and was published in the supplement of the State Gazette of the Republic of Indonesia No. 77 dated September 27, 2005 and Bank
Mandiri’s Directors’ Resolution No. 068KEP.DIR2005 dated June 28, 2005.
Bank Mandiri and the employees contribute 10.00 and 5.00 of the Base Pension Plan Employee Income, respectively.
The Board of Directors and the members of the Supervisory Board of the DPBM are active employees of Bank Mandiri; therefore, in substance, Bank Mandiri has control over the DPBM.
DPBM invests a part of its investment fund in Bank Mandiri time deposits and deposit on-call, of which total balance as of December 31, 2016 and 2015 were Rp8,455 and Rp198,800, respectively.
The interest rates on these time deposits are given on arms-length basis. For the years ended December 31, 2016 and 2015, the Bank has paid pension contributions
amounting to Rp370,956 and Rp331,278, respectively.
b. Four defined benefit pension funds, Dana Pensiun Pemberi Kerja Program Pensiun Manfaat Pasti DPPK-PPMP which were derived from the respective pension plans of the ex-legacy Merged
Banks, namely Dana Pensiun Bank Mandiri Satu or DPBMS BBD, DPBMD BDN, DPBMT Bank Exim and DPBME Bapindo. Participants of defined benefit pension plans are come from the
legacy banks with three years working periods or more at the time of the merger consisting of active employees of the bank, former employees employees who stopped working and did not transfer his
rights to another pension fund and retirees.
The regulations of the respective pension plans were approved by the Minister of Finance of the Republic of Indonesia’s through its decision letters No. KEP-394KM.0171999, No. KEP-
395KM.0171999, No. KEP-396KM.0171999 and No. KEP-397KM.0171999 all dated November 15, 1999. Based on the approval from shareholders No. S-923M-MBU2003 dated March 6, 2003,
Bank Mandiri has adjusted pension benefits for each Pension Fund. Such approval has been incorporated in each of the Pension Fund’s Regulations Peraturan Dana Pensiun PDP which
have been approved by the Minister of Finance of the Republic of Indonesia based on its decision letters No. KEP115KM.62003 for PDP DPBMS, No. KEP116KM.62003 for PDP DPBMD,
No. KEP117KM.62003 for PDP DPBMT, and No. KEP118KM.62003 for DPBME, all dated March 31, 2003.
Based on the decision of the General Meeting of Shareholders dated on May 28, 2007, Bank Mandiri increased the pension benefit from each of the Pension Plans. The decision was stated in each
Pension Plan Regulation and has been approved by the Minister of Finance of the Republic of Indonesia with decision letter No. KEP-144KM.102007 DPBMS; No. KEP-145KM.102007
DPBMD; No. KEP-146KM.102007 DPBMT and No. KEP-147KM.102007 DPBME, all dated July 20, 2007.
