Section 11 – Administrative expenses – Item 180

11.1 Personnel expenses: breakdown

Type of expense/Sectors31.12.201431.12.2013
1) Employees (38.964) (32.982)  
  a) salaries and wages (28.938) (24.713)  
  b) social security contributions (8.174) (6.575)  
  c) post-employment benefits (1.352) (1.272)  
  d) pension expense - -
  e) allocations for post-employment benefits (20) (30)  
  f) allocations to pensions and similar provisions: - -
    - defined contribution plans - -
    - defined benefit plans - -
  g) payments made to supplementary external funds - -
    - defined contribution plans - -
    - defined benefit plans - -
  h) share-based payment agreements - -
  i) other employee benefits (480) (392)  
2) Other serving employees (180) (380)  
3) Directors and Statutory Auditors (3.409) (3.732)  
4) Retired personnel - -
 Total (42.553) (37.094)  

Personnel expenses, totalling 42,6 million Euro at 31 December 2014, rose 14,7% compared to 2013; this increase is essentially the result of the higher number of Group's employees, amounting to 618 at the end of the period (compared to 548 at 31 December 2013).

Post-employment benefits include both contributions that employees have chosen to leave in the company and to be paid to INPS’s Treasury Fund, and contributions to be paid to supplementary pension funds. Allocations for post-employment benefits refer to the revaluation of post-employment benefits earned up to 31 December 2006 and left in the company.

Other employee benefits included costs sustained for training and refresher courses.

11.2 Average number of employees by category

Employees:31.12.201431.12.2013
Employees: 583,0 502,5
  (a) senior managers 22,5 20,0
  (b) middle managers 49,5 50,0
  (c) remaining personnel 511,0 432,5
Other personnel - -

11.5 Other administrative expenses: breakdown

Expenses/Amounts31.12.201431.12.2013
Expenses for professional services (26.155) (14.694)
  Legal and consulting services (9.349) (7.266)
  Auditing (256) (402)
  Outsourced services (16.550) (7.026)
Direct and indirect taxes (10.924) (7.892)
 Expenses for purchasing non-professional goods and services (22.240) (16.436)
  Customer information (4.340) (2.260)
  Property expenses (3.525) (3.471)
  Software assistance and hire (2.979) (1.716)
  Car fleet management and maintenance (2.293) (2.102)
  Postage of documents (2.183) (1.650)
  Advertising and inserts (1.967) (978)
  Telephone and data transmission expenses (1.394) (1.157)
  Business trips and transfers (889) (699)
  Other sundry expenses (2.670) (2.403)
Total administrative expenses (59.319)  (39.022)

Other administrative expenses at 31 December 2014 reached 59,3 million Euro, compared to 39,0 million Euro in 2013 (+52,0%).

The increase was mostly due to the DRL segment and consulting expenses for new development projects. Specifically, a sizeable portion of the costs incurred by the DRL segment can be attributed to commissions paid to debt collection agents and companies, also in relation to the sale of the portfolio of bills of exchange and the collection of information on customers. Furthermore, stamp duty costs relating to retail funding increased from 0,15% in 2013 to 0,20% in 2014.

Pursuant to art. 2427, paragraph 16 bis of the Italian Civil Code, the following table shows the fees paid to independent auditors for auditing and other services pertaining to the year.

Type of servicesService providerBeneficiaryFees(in Euro)
Independent auditors’ fees Reconta Ernst & Young S.p.A.  Banca IFIS S.p.A. 71.525
  Subsidiaries 20.315
Certification services Reconta Ernst & Young S.p.A  Banca IFIS S.p.A.
  Subsidiaries -
Tax consultancy services Reconta Ernst & Young S.p.A  Banca IFIS S.p.A. -
  Subsidiaries -
Other services Reconta Ernst & Young S.p.A  Banca IFIS S.p.A.
  Subsidiaries
Total     91.840

Last updated on 2015-02-18