Pension plan

Tietoevry operates a number of different pension plans in accordance with national requirements and practices. In addition to statutory pension plans, Group Executive Management members are provided with additional pension schemes.

Most of the additional schemes are classified as defined contribution plans. In contribution-based plans, the payments to the plans are recognized as expenses for the period to which they relate. After the payment of the contribution, the company has no further obligations in respect of such plans.

In the arrangements for most Finnish members of additional pension plans, annual payments to the plans managed by a pension insurance company amount to 15% or 23% of the participants annual base salary. The accumulated pension, including return on capital investment, is paid to the participant during a period starting at the age of 60–70, as individually decided by the participant. The annual expenditure related to the pension plans of the President and CEO and CFO amounts to 23% of their annual base salary, while that of other Finnish Group Executive Management covered by the additional pension plans amounts to 15% of their annual base salary.

The company provides Group Executive Management members based outside Finland with individual pension plans according to local practices.