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POST-EMPLOYMENT BENEFITS (Tables)
 12 Months Ended
Dec. 31, 2023
Employee Benefits [Abstract]  
Disclosure of defined benefit plans actuarial assumptions and contributions
Principal actuarial assumptions
20232022
Weighted average of significant assumptions:
 
Defined benefit obligation
Discount rate4.6 %5.3 %
Rate of compensation increase
2.0% to 7.5%, based on employee age
1.0% to 4.5%, based on employee age
Mortality rate95% of CPM2014Priv with Scale CPM-BCPM2014Priv with Scale CPM-B
Pension expense
Discount rate5.3 %3.3 %
Rate of compensation increase
1.0% to 4.5%, based on employee age
1.0% to 4.5%, based on employee age
Mortality rateCPM2014Priv with Scale CPM-BCPM2014Priv with Scale CPM-B
Below is a summary of the estimated present value of accrued plan benefits and the estimated market value of the net assets available to provide these benefits for our funded defined benefit pension plans.
As at December 31
(In millions of dollars)20232022
Plan assets, at fair value2,339 2,770 
Accrued benefit obligations(2,260)(2,430)
Surplus of plan assets over accrued benefit obligations79 340 
Effect of asset ceiling limit(3)(42)
Net deferred pension asset76 298 
Consists of:
Deferred pension asset76 298 
Deferred pension liability— — 
Net deferred pension asset76 298 
Below is a summary of the actual contributions to the plans.
Years ended December 31
(In millions of dollars)20232022
Employer contribution19 134 
Employee contribution28 31 
Total contribution47 165 
Disclosure of sensitivity of key assumptions
Sensitivity of key assumptions
In the sensitivity analysis shown below, we determine the defined benefit obligation for our funded plans using the same method used to calculate the defined benefit obligation we recognize on the Consolidated Statements of Financial Position. We calculate sensitivity by changing one assumption while holding the others constant. This leads to limitations in the analysis as the actual change in defined benefit obligation will likely be different from that shown in the table, since it is likely that more than one assumption will change at a time, and that some assumptions are correlated.
 Increase (decrease) in accrued benefit obligation
(In millions of dollars)20232022
 
Discount rate
Impact of 0.5% increase
(183)(163)
Impact of 0.5% decrease
208 183 
 
Rate of future compensation increase
Impact of 0.25% increase
13 10 
Impact of 0.25% decrease
(13)(10)
 
Mortality rate
Impact of 1 year increase
38 42 
Impact of 1 year decrease
(42)(45)
Disclosure of net defined benefit liability (asset)
Below is a summary of our pension fund assets.
Years ended December 31
(In millions of dollars)20232022
Plan assets, beginning of year2,770 3,198 
Interest income134 108 
Remeasurements, recognized in other comprehensive income and equity
149 (604)
Contributions by employees28 31 
Contributions by employer19 134 
Benefits paid(89)(93)
Impact of annuitization
(737)— 
Impact of Shaw Transaction
67 — 
Administrative expenses paid from plan assets(2)(4)
Plan assets, end of year2,339 2,770 

Below is a summary of the accrued benefit obligations arising from funded obligations.
Years ended December 31
(In millions of dollars)20232022
Accrued benefit obligations, beginning of year2,430 3,171 
Current service cost76 124 
Interest cost116 103 
Benefits paid(89)(93)
Impact of annuitization
(736)— 
Contributions by employees28 31 
Impact of Shaw Transaction
55 — 
Remeasurements, recognized in other comprehensive income and equity380 (906)
Accrued benefit obligations, end of year2,260 2,430 
Below is a summary of our net pension expense. Net interest cost is included in "finance costs"; other pension expenses are included in salaries and benefits expense in "operating costs" on the Consolidated Statements of Income.
Years ended December 31
(In millions of dollars)20232022
Plan cost:
Current service cost76 124 
Net interest cost(18)(5)
Net pension expense58 119 
Administrative expense4 4 
Total pension cost recognized in net income62 123 
Net interest cost, a component of the plan cost above, is included in "finance costs" and is outlined as follows:
Years ended December 31
(In millions of dollars)20232022
Interest income on plan assets(134)(108)
Interest cost on plan obligation116 103 
Net interest cost, recognized in finance costs(18)(5)

The remeasurement recognized in the Consolidated Statements of Comprehensive Income is determined as follows:
Years ended December 31
(In millions of dollars)20232022
Return (loss) on plan assets (excluding interest income)149 (604)
Change in financial assumptions(328)942 
Change in demographic assumptions(8)— 
Effect of experience adjustments(44)(36)
Change in asset ceiling40 (33)
Remeasurement (loss) gain, recognized in other comprehensive income and equity(191)269 

PENSION PLANS PURCHASE OF ANNUITIES
During the year ended December 31, 2023, our defined benefit pension plans purchased approximately $737 million of annuities from an insurance company for substantially all the retired members in the plans. The aggregate premium for the annuities was funded by selling a corresponding amount of existing assets from the plans. The purchase of the annuities relieved us of primary responsibility for, and eliminated risk associated with, the accrued benefit obligation for the retired members. The annuity purchase did not have a significant impact to our results for the year ended December 31, 2023.

SUPPLEMENTAL DEFINED BENEFIT PLAN DETAILS
We also provide supplemental unfunded defined benefit pensions to certain executives. Below is a summary of our accrued benefit obligations, pension expense included in employee salaries and benefits, net interest cost, remeasurements, and benefits paid.
Years ended December 31
(In millions of dollars)20232022
Accrued benefit obligation, beginning of year83 96 
Pension expense, recognized in employee salaries and benefits expense9 13 
Net interest cost, recognized in finance costs5 4 
Remeasurements, recognized in other comprehensive income6 (24)
Benefits paid(9)(6)
Accrued benefit obligation, end of year94 83 
Disclosure of fair value of plan assets
Plan assets comprise mainly pooled funds that invest in common stocks and bonds that are traded in an active market. Below is a summary of the fair value of the total pension plan assets by major category.
As at December 31
(In millions of dollars)20232022
Equity securities1,371 1,281 
Debt securities914 1,474 
Other - cash54 15 
Total fair value of plan assets2,339 2,770 
ALLOCATION OF PLAN ASSETS
 Allocation of plan assetsTarget asset allocation percentage
20232022
Equity securities:
Domestic12.0 %9.6 %
7% to 17%
International46.6 %36.7 %
38% to 58%
Debt securities39.1 %53.2 %
30% to 50%
Other - cash2.3 %0.5 %
0% to 5%
Total100.0 %100.0 %