Online version of the 2013-14 Department of Health Annual Report

Note 10: Provisions

Notes to and Forming Part of the Financial Statements

Page last updated: 17 July 2019

 
2014
$'000
2013
$'000
Note 10A: Employee provisions 
Leave
(107,687)
(141,931)
Separations and redundancies
(4,127)
(4,078)
Total employee provisions
(111,814)
(146,009)
 
Employee provisions expected to be settled
No more than 12 months
(36,361)
(15,405)
More than 12 months
(75,453)
(130,604)
Total employee provisions
(111,814)
(146,009)
 
Note 10B: Other provisions
Provision for surplus lease space1
(2,000)
-
Provision for restoration2
(2,670)
(4,163)
Provision for lease increases3
(18,981)
(19,754)
Other provisions1
(745)
(823)
Total other provisions
(24,396)
(24,740)
 
Other provisions expected to be settled
No more than 12 months
(5,616)
(3,647)
More than 12 months
(18,780)
(21,093)
Total other provisions
(24,396)
(24,740)
 
Provision for
surplus lease
space1
$'000
Provision for
restoration2
$'000
Provision for
lease increases3
$'000
Other
provisions4
$'000
Total
$'000
As at 1 July 2013
-
(4,163)
(19,754)
(823)
(24,740)
Additional provisions made
(2,000)
11
(3,443)
(745)
(6,177)
Amounts used
-
84
736
-
820
Amounts reversed
-
1,398
3,480
823
5,701
Total as at 30 June 2014
(2,000)
(2,670)
(18,981)
(745)
(24,396)
  1. The Department took up a provision for surplus lease space on Anne St, Brisbane for $2,000,000. This is as a result of AAO changes where the Aged Care function has been transferred to DSS. As at 30 June 2014, a tenant for the sub-lease had not been found.
  2. The Department currently has six (2013: 13) agreements for the leasing of premises which have provisions requiring the entity to restore the premises to their original condition at the conclusion of the lease. The Department has made a provision to reflect the present value of this obligation. The Department relinquished seven leases to DSS, five of which had a provision attached. The transfer of leases occurred as a result of AAO changes. There were two leases that were terminated early during the year.
  3. The Department holds lease incentives for two leases in the form of cash fit out contributions and rent abatement (2013: seven). Lease Incentives relinquished to DSS through AAO changes totalled five leases.
  4. The Department's other provisions all related to the TGA, including the provision for low value turnover scheme.

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