Workbridge Where abilities equal employment
WORKBRIDGE INC.
ANNUAL REPORT
For the year ended 30 lune 2019
Contents Vision, Mission, Values
Council and Board of Management
Council President's Report
Board Chairperson's Report
Chief Executive's Report
Statement of Comprehensive Revenue and Expenditure
Statement of Changes in Net Assets
Statement of Financial Position
Statement of Cash Flows
Reconciliation of Operating Cash Flows
Notes to the Financial Statements
Notes to the Accounts
Training Support Financial Statement
Self-Start Financial Statement
Job Support Financial Statement
Auditors' Report
Page 1
2-4
5-7
8-10
11-14
15
16
17
18
19
20-28
29-35
36
37
38
39-40
Vision, Mission, Values
Vision
Every person with a disability has the same value as any other person and will
contribute positively in the workplace.
Mission
To enable people with disabilities to participate and experience equal opportunities
in the labour market.
Values
• Honesty and Integrity• Respect• Commitment• Privacy and dignity• Cultural diversity• Professionalism• Opportunity for all• Collaboration
Pagel
Workbridge Council and Board of Management
Workbridge Constitution
The Workbridge Constitution was adopted at a special General Meeting held in
Wellington on 18 June 2001.
Governance Structure
The Governance Structure is two-tiered. The Workbridge Council is responsible for
setting the overall direction for the organisation and the appointment of the Board.
The Board is responsible for the governance of the organisation and the
appointment of the Chief Executive Officer.
Council Members
President:
Corporate Members:
Barbara Burton
Gaye Austin
Paula Waby
Stevie Stevens
Tina Mataiti
Ben Peterson
Debbie Ward
Michael Aldridge
Gaye Austin
Business NZ Representative Appointed 28 September 2005
Deaf Aotearoa NZ Representative Appointed 29 January 2014
Blind Citizens NZ Representative Appointed 12 October 2015 Resigned 27 April 2018 Reappointed 2 November 2018
Kapo Maori Aotearoa NZ Inc Representative Appointed 2 February 2016 Resigned 8 December 2018
Vaka Tautua Ltd Representative Appointed 13 October 2016 Resigned 31 October 2018
NZ Council of Trade Unions Representative Appointed 17 December 2017 Resigned 23 January 2019
Disabled Persons Assembly (DPA) Representative Appointed 6 March 2018
People First NZ Representative Appointed 1 July 2018
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Suzy Stevens PeerZone Ltd Representative Appointed 31 October 2018 Resigned 31 May 2019
Lance Girling-Butcher Kapa Maori Aotearoa NZ Inc Representative Appointed 8 December 2018
Jacinta Tevaga Vaka Tautua Ltd Representative Appointed 4 March 2019
Kim Simmonds NZ Council of Trade Unions Representative Appointed 26 March 2018
Lisa Archibald PeerZone Ltd Representative Appointed 12 June 2019
Board of Management
David Wright (Chair)
Gail Munro
Paul Sullivan
David Shearer
Pam MacNeill
Heather Browning
Kerry Ludlam
Tuhi Leef
Derek Gill
Auditors
Appointed 26 October 2017
Appointed 1 November 2010 Retired 31 October 2018
Appointed 28 August 2013
Appointed 1 August 2014
Appointed 22 September 2014
Appointed 20 October 2016
Appointed 20 October 2016
Appointed 20 October 2016
Appointed 26 October 2017
Crowe Horwath New Zealand Audit Partnership
Solicitors
Quigg Partners
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Chief Executive Officer
Jonathan Mosen
Nationa I Office
Level 4, Dell EMC House 5 Willeston Street PO Box 2560 Wellington 6140
Telephone: Facsimile: Website:
Appointed 4 June 2019
04 913-6422 0800 080-715 www.workbridge.co.nz
Page4
Council President's Report
Tena koutou katoa
It is my pleasure to present this report to you on behalf of the Workbridge Council.
'You can have all the strategy in the world, if you don't have the right culture, you're dead.' (source unknown).
During the second half of the year Workbridge commenced development of a new Strategic Plan, so the above quote is timely to remind ourselves of the importance of ensuring our organisation has a culture that is the right one for the people we work with and for.
The Role of the Workbridge Council is one of Conscience, Community, Advocacy, Networking, Perspective, and Guidance. In this sense the Council has the responsibility to ensure that Workbridge as an organisation has a culture that conforms with the NZ Disability Strategy. That is, 'NZ is a non-disabling society, a place where disabled people have an equal opportunity to achieve their goals and aspirations, all of NZ works together'.
Employment for disabled people is often limited by opportunity and people's attitudes rather than disability. Although one in five working age people in New Zealand have some form of disability, most have little or no barrier to working in some kind of paid employment, given support. At Workbridge I am proud to be a part of an organisation that places a focus on ensuring jobseekers are entering into employment opportunities that are meaningful to them and not just a tick in the box for the organisation. That we are promoting a culture that focuses on a person's abilities.
This year has been a year of changes. We have entered a new performancebased contract environment. We celebrate having two long-term contracts in place with MSD and the opportunity to take things up to the next level.
We are ensuring Workbridge is truly walking the talk by developing and putting in place a 100% Accessibility Policy, and have undertaken a full organisational accessibility audit which ensues we are developing the most accessible experience available. We are promoting a culture of inclusiveness.
There has been continuing expansion and development in the area of technology, including facilitating remote teams and soon there will be remote jobseeker seminars. These areas will have a huge flow on effect to both the organisation and the jobseekers, including operational efficiencies, the ability to remotely manage enrolments, and other processes.
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A Meta Policy was developed offering greater clarity of the roles of the Council, Board and Management, and more consistency in the approach to developing policies and procedures.
The long overdue development of a Maori Strategy begun, ensuring we develop and practise a culture of inclusiveness and engage more deeply with the Maori community.
On the 31st of March we farewelled CEO Grant Cleland after nearly ten years. We wish Grant every success as he re-establishes himself in Christchurch. In June our new CEO Jonathan Mosen was welcomed. I would once again like to thank Pam MacNeill for the fantastic job she did in her two months as interim CEO.
One of the first things Jonathan did upon commencing his role was starting the process of developing a new strategic plan that will clarify our core businesses, how it should be developed to optimise our services, capture longer term issues, opportunities, and diversifying revenue sources. Jonathan will be ensuring that he involves as many people as possible within the many areas of the Workbridge organisation, and has begun by constantly asking the questions, 'What are we doing well and what can we do better?', thereby, promoting a culture in which everyone feels valued. Council are very excited to have Jonathan at such an influential level who lives and walks disability. My hopes are that his vision for the new strategic
plan and empathy through lived experience, will increase Workbridge's profile as a professional recruitment organisation in which people know they will be treated with dignity, respect and valued.
This year Council welcomed (and farewelled) Paula Waby (Blind Citizens NZ), Lance Girling-Butcher (Kapo Maori), Jacinta Tevaga (Vaka Tautau) and Lisa Archibald (PeerZone); and farewelled Stevie Stevens (Kapa Maori), Suzy Stevens (PeerZone), and Ben Paterson (NZCTU). Council has a wide diversity in skill mix and as I step down as president, I know I do so with Council in a very good place within the organisation. We have a respected and valued role and work closely with the Board and CEO.
Let us continue to celebrate the success stories at Workbridge. The reason why we are here. The connection of 36,857 New Zealanders with health conditions or disabilities over the past ten years with employers.
I would like to thank the many people involved in making Workbridge the success it continues to be. Thank you to the Council for your passion and commitment in all you do to support Workbridge's aims and values, for the time you volunteer to attend Council meetings and your support. Thank you to Jonathan and the Senior Management Team and all the Workbridge employees, it has been a huge year with many challenges and changes. Thank you to Nigel, National Administrator extraordinaire for your efficiency and wisdom in the secretarial
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and administrative duties that you do, that keep the Council coming together so smoothly. Thank you to the Workbridge Board. Thank you for your time, dedication and loyalty in ensuring Workbridge stays resilient and viable.
So, it is farewell from me as I hand over to a new Council President. It has been an honour and real privilege to serve on the Council as the Deaf Aotearoa representative for the past six years, with the last two years as Council President.
And some final words by Helen Henderson (info.medisked.com) "Inclusion
works to the advantage of everyone. We all have things to learn and we all have something to teach."
Nga mihi
Gaye Austin Workbridge Council President
Page7
Board Chairperson's Report
The financial year just ended has been a momentous year of change for
Workbridge.
After a period of short-term contracts and the uncertainty that went with
them, we were delighted to secure a five-year contract with the Ministry of
Social Development (MSD) for the ongoing provision of employment
services.
Having led our organisation through the process of achieving this outcome,
Grant Cleland felt that the beginning of a new MSD contract was a good time
to step down as Chief Executive of Workbridge, a position he held for 10
years. The Board is grateful for Grant's dedicated service to the organisation,
his professionalism in leading our team and his leadership within the sector
as a whole.
Our new MSD contract has presented Workbridge with new opportunities and
challenges. Rather than receiving a lump sum for the delivery of agreed
services, we are now remunerated based on the number of jobseekers we
enrol, how many we place into work, and how long they stay in work.
The more commercial nature of this contract, and our need to deliver
outstanding customer service for jobseekers and employers alike, were
uppermost in the Board's mind when we began the recruitment process for a
new Chief Executive. After an extensive search and rigorous recruitment
process, the Board appointed Jonathan Mosen. Jonathan has experience in
the not-for-profit sector, and in recent years has held roles in several
commercial multinational organisations. He has strong skills in marketing,
communications and information technology which we believe will be
valuable to the organisation at this time of change.
I wish to thank Pam MacNeill for stepping in as Acting Chief Executive while
the Board was completing the recruitment process.
Jonathan is our second consecutive Chief Executive with a disability. The
Board believes that Workbridge and other organisations in the sector have a
responsibility where possible to lead by example. We know that
misperceptions about disability are one of the biggest barriers our
employment consultants face when they seek to assist disabled people to
find work. Jonathan and the many others with disabilities Workbridge
employs demonstrate every day that Workbridge walks the talk.
Pages
While we welcome the challenges of the new MSD contract and look forward
to delivering great outcomes for disabled New Zealanders, we're aware that
the outcomes being purchased by MSD are very specific. Funding in the
disability sector tends to be siloed. This can result in our team devising a
programme they believe will result in improvements to the dire
unemployment level of disabled people, only to experience difficulty gaining
agreement from Government about which bucket of money should fund it.
We face similar challenges regarding our administration of Support Funds,
which provide assistance to disabled people in training or employment. A
year into our three-year contract with MSD to administer these funds, some
of them have been allocated to Mana Whaikaha in the Midcentral region as
part of the disability transformation pilot, and they are seeking to contract
with us to administer their portion of the funds. While we support the
objectives of Enabling Good Lives, this has added administrative complexity
and uncertainty for us without any tangible benefit for the people we serve.
We are encouraged by two initiatives that may improve the public policy
environment. First, the Government has announced reforms to the State
Sector that seek to promote a more holistic, people-focussed view of public
policy, rather than a departmentally focussed approach. We hope that this
will allow some of our unfunded initiatives that fall between the cracks to
receive funding.
Second, the Board has been of the view for some time that a disability
employment strategy led by Government is appropriate. As a society, we
need to acknowledge that the unemployment numbers of disabled people
are far too high, and there needs to be a concerted New Zealand-wide effort
to improve them. We are therefore pleased to note the Government's
announcement of a forthcoming Employment Action Plan for disabled people,
led by the Minister of Employment. As a trusted organisation with years of
experience assisting disabled people into work, we look forward to playing a
key role in that process.
Significant change is also happening at the governance level of the
organisation. The Workbridge Council will soon have a new Chair, as Gaye
Austin will be leaving the Council at the end of her term. I have enjoyed
working closely with Gaye and thank her for her dedicated and effective
leadership.
Tuhi Leef and Paul Sullivan are also leaving the Board this year, Paul due to
the term limits of our Constitution and Tuhi due to increasing work
commitments.
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This is also the end of my time on the Board. I wish the new directors, and
whomever the Board appoints as its new chair, well. I feel confident that the
next Annual Report will be able to reflect a year of significant delivery and
transformation for Workbridge. The organisation is in good heart and is keen
to be bold and innovative. I look forward to watching that innovation from a
distance.
My thanks to the Workbridge staff for the work they do, and to my
colleagues on the Board for their support.
David Wright
Workbridge Board of Management Chair
PagelO
Chief Executive's Report
Tena Koutou Katoa
It is a pleasure and privilege to bring you my first report as Workbridge's
Chief Executive.
Having commenced in the role on 4 June 2019, I was not Chief Executive
during most of this reporting period. I therefore wish to begin by
acknowledging and thanking my predecessor, Grant Cleland, not just for his
work during much of the year covered by this Report but also for his 10
years of service to Workbridge. His leadership and dedication have made a
significant difference to the lives of many disabled New Zealanders.
I left the not-for-profit sector 16 years ago to work in the commercial world,
much of that work for offshore organisations. Workbridge was the perfect fit
for me to return to the disability sector. At the heart of my personal values is
a passionate belief that minorities and disadvantaged groups tend to achieve
the best outcomes when they're able to take control of their own destinies.
It's heartening to see an increasing acceptance of this view in public policy.
This belief is also at the very core of what we do at Workbridge, starting with
our Constitution which places supreme governing authority in our Council,
made up predominantly of disabled people. I view our kaupapa of being a
truly disability-led organisation as an increasingly relevant competitive
advantage.
A job equates to mana, social and economic independence. What we do
every day is incredibly impactful on the people we work with, and helps
create a fairer, more inclusive New Zealand.
Workbridge now operates in a competitive environment. Disabled people and
employers have choices. We welcome the challenge. We'll meet it by
continuing to listen, innovate and deliver outstanding services for all our
customers.
We achieve what we do because we pride ourselves on building good
partnerships, and we want to do even better. Our partnerships with
jobseekers are based on unwavering belief that with mutual effort, a
jobseeker can gain meaningful employment.
We build partnerships with employers to help them understand that it just
makes business sense to focus on everyone's capabilities. Employing
disabled people and those with an injury or illness isn't risky for the bottom
line or unsafe, quite the opposite. Having a diverse workforce has many
benefits and opens up a pool of talent that is brimming with potential and
often overlooked.
Pagell
We value the partnerships we enjoy with consumer and provider voices
across the disability sector.
Finally, we value partnerships with Government, whether they be contractual
relationships through which we deliver quality outcomes or the input we
have into public policy formulation when given the opportunity. I believe our
disability-driven ethos lends our public policy advice greater credibility and
relevance.
It is in that spirit of partnership that with the Board's encouragement and
support, I have been spending time meeting with all our staff across the
country, as well as other valued partners. As I write, that process is ongoing.
While I'm mindful that Workbridge has already been through a period of
reflection, uncertainty and capacity-building, I believe that the beginning of
a five-year contract with the Ministry of Social Development (MSD)
coinciding with the beginning of my tenure as Chief Executive is an
appropriate time to complete a new strategic planning process. The Board
approved this process at its June 2019 meeting.
In 2018-19, Workbridge achieved these key outcomes:
• 3,066 enrolments
• 1,487 placements
• Over 700 more placements that could not be counted against our MSD
placement target
• Our placement percentage of 49% was above the level in our MSD
contract• 52% of those placed into employment were still employed 12 months
a�er first starting work, in either their first or a subsequent placement.
We've done well, but we know there is ample opportunity for growth.
As recommended by the Martin Jenkins report, we invested considerably in
the capacity of the organisation during the reporting period. We've begun a
methodical and sweeping update of our information technology, supporting
more of it in-house. This includes beginning work on a new customer
relationship management (CRM) system.
The success of everything we do should be measured ultimately by the
impact on our customers. When we equip our team with the best tools that
assist them to do their work efficiently, our customers benefit. What's more,
preparing to adopt a new CRM is the beginning of a journey that will give our
jobseekers more choice in how they receive services from us. We are well on
track to delivering world-class services via a web portal and smartphone
app. We've continued to roll out our Remote Service Team, so customers
can engage with us over the phone if they wish. These changes in no way
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reflect a decrease in the value we place on face-to-face interaction.
However, matters of accessibility and personal preference mean that more
people expect to be able to engage with organisations via multiple channels.
The roll-out of Zoom technology means we can deliver webinars for our
customers and staff.
We welcomed two new members to our Senior Management Team.
Ry Stinton joined us as our GM Finance and Administration, and Jude King is
our GM People and Capability. Both have added considerable experience in
their respective fields to our team, as well as leadership and strategic
thinking.
I began implementing the final key recommendation of the Martin Jenkins
report in June with the creation of a new position I've called Manager, Brand
Development. This will assist us to reach out more, make sure our web
content is vibrant, relevant and engaging, be more visible in social and
mainstream media, and enter new spaces such as podcasting. More people
will know who we are and what we do, and that's great news for our
jobseekers.
Not only is it in our interests as a business to diversify our revenue streams,
but we must also innovate to help change the dire unemployment statistics
for disabled people and those with an injury or illness. We've developed
disability confidence training modules which we're now presenting to
employers, plus specialised employer packages which provide added value to
employers to support our employment placement services, by introducing
more targeted selection and preparation of jobseekers. We also entered into
a partnership with Access Advisors to provide disability confidence training
through the Accessibility Tick programme. The programme signed up 15
large employers in the first year.
I know how frustrating and demoralising it can be when you pursue tertiary
study but fear that you're going to hit a brick wall because of your disability,
and all your efforts won't translate into a job. Not only are we seeking to
change that through our seminars for employers, but we've also partners
with tertiary institutions around New Zealand, so we can work with students
to help them realise their career goals.
In closing, I'd like to thank Gaye Austin and the Workbridge Council for their
advice and encouragement. I am grateful for the confidence David Wright
and the Board have shown in me by appointing me to this role.
My sincere thanks to all the members of my Senior Management Team
who've been so generous with their leadership and insight, to all the staff at
National Office for their hard work and creating such a great workplace, and
Pagell
to every member of our team right across the country. Without exception, I
have felt warmly welcomed, and encouraged by all the enthusiasm and
passion within the organisation.
My final thanks go to those for whom we exist, our jobseekers who put their
trust in us, and our employer partners who gain new team members. We will
give it all we've got to retain your confidence every day.
We are poised for a year of positive transformation and even better service.
Jonathan Mosen
Chief Executive 6 September 2019
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Statement of Comprehensive Revenue and Expenditure For the Year Ended 30 June 2019
Revenue from Exchange Transactions
Placement Contract Management Fee
Support Funds Contract Management Fee
Regional Contract Income
Other Income
Total Revenue from Transactions
Total Revenue
Expenditure (Note 1)
People
Communication
Information Management
Customer Service
Distribution
Asset/Lease Management
Corporate
Total Expenditure
Financing Activities
Interest Income
Income from Investment Funds
Net Surplus/(Deficit} from Finance Activities
Operating Surplus/ ( Deficit}
Non-Operating Activities
Gain/(Loss) on value of Investment Fund
Gain/(Loss) on sale of assets
Total Non-Operating Activities
Total Comprehensive Revenue and Expenditure
2019
11,120,400
500,000
13,118
0
11,633,518
11,633,518
7,921,826
315,163
1,027,251
68,723
498,890
1,283,895
343,467
11,459,216
72,340
88,428
160,767
335,070
91,560
11,957
103,517
438,586
2018
11,000,000
500,000
97,538
28,967
11,626,505
11,626,505
8,307,792
263,435
926,002
72,972
521,747
1,189,622
379,502
11,661,072
90,434
71,584
162,018
127,451
29,578
40,987
70,565
198,016
Pagels
Statement of Changes in Net Assets For the Year Ended 30 June 2019
Equity at 1 July 2018
Surplus/(Deficit) for the year
Equity at 30 June 2019
2019
5,139,151
438,586
5,577,737
2018 4,941,135
198,016
5,139,151
The Statement of Accounting Policies and Notes to the Accounts form part of, and should be read in conjunction with, these Statements of Account.
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Statement of Financial Position
As At 30 June 2019
Current Assets
Cash and Cash Equivalents Other Financial Assets Receivables GST
Prepayments Total Current Assets
Non-Current Assets
Investments Property, Plant and Equipment (Note 2) Total Non-Current Assets
Total Assets
Current Liabilities
Payables GST
Employee Entitlements (Note 3) Total Current Liabilities
Non-Current Liabilities
Employee Entitlements (Note 3) Total Liabilities
NET ASSETS
Represented by:
Equity
For a'-nd o�t
ehalf of,��.
Board
\/ \ I ·r (_� ··-· ... ..,,) \ '.
' •. J
David Wright ,._,
Date:
·1 -1 r,,_f A-,·-�v-L.. J.J
r· I:' (_ DI 7
2019 2018
2,937,888 3,553,422 2,356,518 2,176,531
793,219 69,891 0 120,774
172,018 78,965 6,259,643 5,999,583
179,809 179,809 497,821 260,783
677,630 440,592
6,937,273 6,440,175
481,429 527,053 185,644 0 680,118 762,430
1,347,191 1,289,483
12,345 11,541 1,359,536 1,301,024
5,577,737 5,139,151
5,577,737 5,139,151
Derek Gill
The Statement of Accounting Policies and Notes to the Accounts form part of, and should be read in conjunction with, these Statements of Account.
Page17
Statement of Cash Flows
For the Year Ended 30 lune 2019
2019 2018
Cash Flows from Operating Activities
Cash was provided from:
Revenue from Exchange Transactions
Placement Contract Management Fee 10,397,072 11,000,000
Compensatory Outcome Based fee 0 320,000
Support Funds Contract Management Fee 500,000 500,000
Regional Contract Income 13,118 109,939
Other Income 0 11,547
Interest Income 72,340 104,757
Total Revenue from Transactions 10,982,530 12,046,243
Total Operating Revenue 10,982,530 12,046,243
Cash was disbursed to:
Payments to suppliers 2,637,996 2,672,517
GST 688,646 1,271,394
Payments to employees 7,921,826 7,676,213
Total Operating Disbursements 11,248,468 11,620,124
Net Cash Flows From (To) Operating Activities -265,938 426,119
Cash Flows from Investing Activities
Cash was provided from:
Sale of fixed assets 11,957 40,987
Cash was applied to:
Purchase of fixed assets 361,554 21,569
Deposit in Investment Fund
Deposit in Term Investments Net Cash Flows From (To) Investing Activities -349,597 19,418
Net Decrease in Cash Held -615,535 445,537
Opening Cash Brought Forward 3,553,422 3,107,885
Ending Cash Carried Forward 2,937,887 3,553,422
�1,H0,1'� &
A�'$,
\A./) �
�ff\\.'I>The Statement of Accounting Policies and Notes to the Accounts form part of, and should be read in conjunction with, these Statements of Account.
Page18
Reconciliation of Operating Cash Flows For the Year Ended 30 June 2019
Net Surplus (Deficit) for the Year
Add/(Deduct) Non-Cash Items
Depreciation
Income from Investment Fund reinvested
Unrealised (Gain)/Loss in value of Investment Fund
Gain On Sale of assets
Total Non-Cash Items
Net Change in Working Capital
Debtors
GST
Prepayments
Creditors and provisions
Payroll accruals
Income in Advance
Movement in Working Capital
Net Cash Flows From (To) Operating Activities
2019
438,586
124,516
-88,428
-91,560
-11,957
371,157
-723,328
306,418
-93,053
-45,624
-81,508
0
-637,095
-265,938
2018
198,016
137,426
-71,584
-29,578
-40,987
193,293
344,871
-93,993
37,681
-57, 756
20,777
-18,754
232,826
426,119
The Statement of Accounting Policies and Notes to the Accounts form part of, and should be read in conjunction with, these Statements of Account.
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Notes to the Financial Statements
1. Reporting Entity
These financial statements comprise the financial statements of Workbridge
Incorporated for the year ended 30 June 2019.
The financial statements were authorised for issue by the Board of Directors on 13th
September 2019.
Workbridge Incorporated is an incorporated society registered under the
Incorporated Societies Act 1908. The Society has 22 branches throughout New
Zealand with the Corporate office in Wellington.
2. Basis of Preparation
(a) Statement of complianceThe financial statements have been prepared in accordance with Tier 2 Public
Benefit Entity (PBE) Financial Reporting Standards as issued by the New Zealand
External Reporting Board (XRB). They comply with New Zealand equivalents to
International Public Sector Accounting Standards Reduced Disclosure Regime (NZ
IPSAS with RDR) and other applicable Financial Reporting Standards as appropriate
to Public Benefit Entities.
The entity is eligible to report in accordance with Tier 2 PBE Accounting Standards
on the basis that it does not have public accountability and annual expenditure does
not exceed $30 million.
The entity is deemed a public benefit entity for financial reporting purposes, as its
primary objective is to provide services to the community for social benefit and has
been established with a view to supporting that primary objective rather than a
financial return.
(b) Basis of measurementThe financial statements have been prepared on a historical costs basis, except for
assets and liabilities that have been measured at fair value, as noted below.
The accrual basis of accounting has been used unless otherwise stated and the
financial statements have been prepared on a going concern basis.
(c) Presentation currencyThe financial statements are presented in New Zealand dollars.
(d) ComparativesThe net asset position and net surplus or deficit reported in comparatives is
consistent with previously authorised financial statements.
The se Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
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Notes to the Financial Statements
{ e) Changes in accounting policies The accounting policies adopted are consistent with those of the previous financial
year.
3. Summary of Significant Accounting Policies
The accounting policies of the entity have been applied consistently to all years
presented in these financial statements.
The significant accounting policies used in the preparation of these financial
statements are summarised below:
{a) Cash and cash equivalents Cash and cash equivalents include cash on hand, deposits held on call with banks,
other short-term highly liquid investments with original maturities of three months
or less, and bank overdrafts.
Bank overdrafts are shown within borrowings in current liabilities in the statement
of financial position.
{b) Receivables Trade debtors and other receivables are measured at their cost less any impairment
losses.
An allowance for impairment is established where there is objective evidence the
entity will not be able to collect all amounts due according to the original terms of
the receivable.
{c) Creditors and other payables Trade creditors and other payables are stated at cost.
{d) Property, Plant and Equipment Property, plant and equipment are measured at cost, less accumulated depreciation
and any impairment losses. Cost includes expenditure that is directly attributable to
the acquisition of the asset.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
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Notes to the Financial Statements
Depreciation is recognised as an expense in the reported surplus or deficit and
measured on a straight value (SL) basis on all Fixed Assets over the estimated
useful life of the asset at the following rates:
Furniture Fixtures and fittings Leasehold Improvements Office equipment Computer equipment Sundry equipment Motor vehicles Software
5 years 5 years Current lease expiry 5 Years 3 Years 3 to 5 Years 5 Years 2 to 3 Years
20%
20%
20%
33%
20 to 33 %
20%
33 to 50%
Leasehold improvements are depreciated over the unexpired period of the lease or
the estimated remaining life of the improvements, whichever is shorter.
The residual value, useful life, and depreciation methods of the Fixed Assets is
reassessed annually.
(e) Leased AssetsLeases where the Entity assumes substantially all the risks and rewards incidental
to ownership of the leased assets, are classified as finance leases. All other leases
are classified as operating leases.
Payments made under operating leases are recognised in the surplus or deficit on a
straight-line basis over the term of the lease. Lease incentives received are
recognised as an integral part of the total lease expense, over the term of the
lease. Associated costs, such as maintenance and insurance, are expensed as
incurred.
(f) Financial InstrumentsA financial instrument is any contract that gives rise to a financial asset of one
entity and a financial liability or equity instrument in another entity.
Financial instruments are comprised of trade debtors and other receivables, cash
and cash equivalents, other financial investments, trade creditors and other
payables and other financial liabilities.
Initial recognition and measurement
Financial assets and financial liabilities are recognised initially at fair value plus
transaction costs attributable to the acquisition, except for those carried at fair
value through surplus or deficit, which are measured at fair value.
Financial assets and financial liabilities are recognised when the reporting entity
becomes a party to the contractual provisions of the financial instrument.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page22
Notes to the Financial Statements
Derecognition of financial instruments
Financial assets are derecognised when the contractual rights to the cash flows
from the financial asset expire, or if the entity transfers the financial asset to
another party without retaining control or substantially all risks and rewards of the
asset.
A financial liability is derecognised when it is extinguished, discharged, cancelled or
expires.
Subsequent measurement of financial assets
The subsequent measurement of financial assets depends on their classification,
which is primarily determined by the purpose for which the financial assets were
acquired. Management determines the classification of financial assets at initial
recognition into one of four categories defined below, and re-evaluates this
designation at each reporting date.
All financial assets except for those classified as fair value through profit or loss are
subject to review for impairment at least at each reporting date. Different criteria to
determine impairment are applied to each category of financial assets, which are
described below.
The classification of financial instruments into one of the four categories below,
determines the basis for subsequent measurement and whether any resulting
movements in value are recognised in the reported surplus and deficit or other
comprehensive revenue and expense.
(i) Loans and receivablesLoans and receivables are non-derivative financial assets with fixed or determinable
payments that are not quoted in an active market. The entity's cash and cash
equivalents, trade debtors, investments and most other receivables fall into this
category of financial instruments.
After initial recognition, such financial assets are subsequently measured at
amortised cost using the effective interest method, less provision for impairment.
Individually significant receivables are considered for impairment when they are
past due or when other objective evidence is received that a specific counterparty
will default. Receivables that are not considered to be individually impaired are
reviewed for impairment in groups, which are determined by reference to the
industry and region of a counterparty and other shared credit risk characteristics.
The impairment loss estimate is then based on recent historical counterparty
default rates for each identified group.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page23
Notes to the Financial Statements
(ii) Financial assets at fair value through surplus or deficitFinancial assets at fair value through surplus or deficit include financial assets that
are either classified as held for trading or that meet certain conditions and are
designated at fair value through surplus or deficit upon initial recognition.
Assets in this category are measured at fair value with gains or losses recognised in
the surplus or deficit for the year. The fair value of financial instruments in this
category are determined by reference to active market transactions or using a
valuation technique where no active market exists.
(iii) Held-to-maturity investmentsHeld-to-maturity investments are non-derivative financial assets with fixed or
determinable payments and fixed maturity other than loans and receivables.
Investments are classified as held-to-maturity if the entity has the intention and
ability to hold them until maturity.
Held-to-maturity investments are measured subsequently at amortised cost using
the effective interest method. If there is objective evidence that the investment is
impaired, determined by reference to external credit ratings, the financial asset is
measured at the present value of estimated future cash flows. Any changes to the
carrying amount of the investment, including impairment losses, are recognised in
surplus or deficit.
(iv) Available-for-sale financial assetsAvailable-for-sale financial assets are non-derivative financial assets that are either
designated to this category or do not qualify for inclusion in any of the other
categories of financial assets. The entity's available-for-sale financial assets include
listed securities and debentures, and certain other equity investments.
Equity investments are measured at cost less any impairment charges, where the
fair value cannot currently be estimated reliably.
All other available-for-sale financial assets are measured at fair value. Gains and
losses are recognised in other comprehensive revenue and expenses and reported
within the "available-for-sale revaluation reserve" within equity, except for
impairment losses which are recognised in the surplus or deficit for the year.
When the asset is disposed of or is determined to be impaired the cumulative gain
or loss recognised in other comprehensive revenue and expenses is reclassified
from the equity reserve to the surplus or deficit and presented as a reclassification
adjustment within other comprehensive revenue and expenses.
Interest income or dividends on available-for-sale financial assets are recognised in
the surplus or deficit.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page24
Notes to the Financial Statements
Available-for-sale financial instruments are reviewed at each reporting date for
objective evidence that the investment is impaired. Objective evidence would
include a significant or prolonged decline in the fair value of the investment below
its cost.
Subsequent measurement of financial liabilities Financial liabilities are measured subsequently at amortised cost using the effective
interest method, except for financial liabilities held for trading or designated at fair
value through surplus or deficit, that are subsequently measured at fair value with
gains or losses recognised in the surplus or deficit.
(g) ProvisionsA provision is recognised for a liability when the settlement amount or timing is
uncertain; when there is a present legal or constructive obligation as a result of a
past event; it is probable that expenditures will be required to settle the obligation;
and a reliable estimate of the potential settlement can be made. Provisions are not
recognised for future operating losses.
Provisions are measured at the estimated expenditure required to settle the present
obligation, based on the most reliable evidence available at the reporting date,
including the risks and uncertainties associated with the present obligation.
All provisions are reviewed at each reporting date and adjusted to reflect the
current best estimate.
(h) Employee entitlementsEmployee benefits, previously earned from past services, that the entity expect to
be settled within 12 months of reporting date are measured based on accrued
entitlements at current rate of pays.
These include salaries and wages accrued up to the reporting date and annual leave
earned, but not yet taken at the reporting date.
Employees of the entity become eligible for long service leave after a certain
number of years of employment, depending on their contract. The liability for long
service leave is recognised and measured at a percentage of Full Value, based on
entitlement date.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page25
Notes to the Financial Statements
(i) RevenueRevenue is recognised to the extent that it is probable that the economic benefit
will flow to the entity and revenue can be reliably measured. Revenue is measured
at the fair value of consideration received.
The entity assesses its revenue arrangements against specific criteria to determine
if it is acting as the principal or agent in a revenue transaction. In respect of the
management of the Support Funds Workbridge acts in an agency relationship and
only the portion of revenue earned on the entity's own account is recognised as
gross revenue in the Statement of Comprehensive Revenue and Expense. The
entity acts in an agency capacity on behalf of the Ministry of Social Development.
Details of these activities are included at pages 36 to 38.
Revenue from non-exchange transactions
A non-exchange transaction is where the entity either receives value from another
entity without directly giving approximately equal value in exchange, or gives value
to another entity without directly receiving approximately equal value in exchange.
When non-exchange revenue is received with conditions attached, the asset is
recognised with a matching liability. As the conditions are satisfied the liability is
decreased and revenue recognised.
When non-exchange revenue is received with restrictions attached, but no
requirement to return the asset if not deployed as specified, then revenue is
recognised on receipt.
Condition stipulation - funds received are required to be used for a specific
purpose, with a requirement to return unused funds.
Restriction stipulation - funds received are required to be used for a specific
purpose, with no requirement to return unused funds.
Grant Income
Grant Income is recognised as revenue when received and all associated obligations
have been met. Where grants have been given for a specific purpose, or with
conditions attached, income is not recognised until agreed upon services and
conditions have been satisfied. Government grants relating to income are
recognised as income over the periods necessary to match them with the related
services when performed. Grants received for which the requirements and services
have not been met is treated as "income in advance" under current liabilities.
To the extent that there is a condition attached that would give rise to a liability to
repay the grant amount or to return the granted asset, a deferred revenue liability
is recognised instead of revenue. Revenue is then recognised only once the entity
has satisfied these conditions.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page26
Notes to the Financial Statements
Interest Income
Interest income is recognised as it accrues, using the effective interest method.
(j) Income TaxDue to its charitable status, the entity is exempt from income tax.
(k) Goods and Service Tax (GST)All amounts in these financial statements are shown exclusive of GST, except for
receivables and payables that are stated inclusive of GST.
The net amount of GST recoverable from, or payable to, the Inland Revenue
Department (IRD) is included as part of receivables or payables in the Statement of
Financial Position.
4. Significant Accounting Judgements, Estimates & Assumptions
The preparation of financial statements in conformity with NZ IPSAS requires
management to make judgements, estimates and assumptions that affect the
application of accounting policies and the reported amounts of assets, liabilities,
income and expenses. Where material, information on significant judgements,
estimates and assumptions is provided in the relevant accounting policy or provided
in the relevant note disclosure.
The estimates and underlying assumptions are based on historical experience and
various other factors believed to be reasonable under the circumstances. Estimates
are subject to ongoing review and actual results may differ from these estimates.
Revisions to accounting estimates are recognised in the year in which the estimate
is revised and in future years affected.
The following are significant management judgements in applying the accounting
policies of the entity that have a significant effect on the financial statements:
Impairment An impairment loss is recognised for the amount by which the asset's or cash
generating unit's carrying amount exceeds its recoverable amount. To determine
the recoverable amount, management estimates expected future cash flows from
each cash-generating unit. In the process of measuring expected future cash flows
management makes assumptions about future operating results. These
assumptions relate to future events and circumstances.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page27
Notes to the Financial Statements
Fair value measurement of financial instruments
When the fair value of financial assets and financial liabilities recorded in the
statement of financial position cannot be measured based on quoted price in active
markets, the fair value is measured using valuation techniques including the
discounted cash flow model. The inputs to these models are taken from observable
markets where possible, but where this is not feasible, a degree of judgement is
required in establishing fair values. Changes in assumptions about these factors
could affect the reported fair value of financial instruments.
Useful lives and residual values
The useful lives and residual values of property, plant and equipment are assessed
annually based on the following indicators of impairment:
-The condition of the asset based on the assessment of experts employed by the
entity
-The nature of the asset, its susceptibility and adaptability to changes in technology
and processes
-The nature of the processes in which the asset is deployed
-Availability of funding to replace the asset
-Changes in the market in relation to the asset
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page28
Notes to the Accounts
1 Operating Statement
1.1 Operating Leases Workbridge Incorporated leases office premises on a variety of terms from 1 month
to 10 years. The operating lease expense incurred can be summarised as follows:
2019 2018 Premises 735,487 709,222 Motor Vehicles 173,558 131,776 Computers 115,453 115,453
1,024,498 956,451
The lease commitments are:
Premises Motor Computer Total Total Vehicles Leases 2019 2018
Year 1 496,734 151,799 115,453 763,986 754,094 Year 2 374,443 103,722 0 478,165 620,331 Year 3 245,345 36,542 0 281,887 418,125 Year 4 188,876 0 0 188,876 271,612 Year 5-7 360,694 0 0 360,694 549 570
1,666,092 292,064 115,453 2,073,608 2,613,733
1.2 Audit Fees Audit fees of $22,000 have been paid to Crowe Horwath New Zealand Audit
Partnership (2018 $21,750).
1.3 Contingent Liabilities
Contingent liabilities $125,000 to Goodman Nominees (NZ) Ltd for Auckland office
lease bank guarantee (2018 Goodman $125,000) and $54,809 to DGM Business
Group Ltd for Lower Hutt lease bank guarantee (2018 DGM Business Group Ltd
$54,809).
1.4 Events after the Reporting Period
On Aug 9, 2019 Workbridge entered into a Variation to a 3 Year Outcome
Agreement with the Ministry of Social Development to provide Support Funds
Management. This purpose of the Variation was to reflect the revised contract,
with the value of grants increased to $19,040,733 in total for the full period of the
contract.
On July 23, 2019, Workbridge entered into a variation to the Outcome Agreement
for the supply of Employment Services. The Variation reflected the increase on
contract value (excluding GST) to $60,278,400 due to new MSD budget.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Notes to the Accounts
1.5 Related Parties During the year Workbridge paid $33,600 for consulting services to Disability
Responsiveness New Zealand in which Pam MacNeill (Board Member) is acting CEO.
These services were purchased on an arm's length basis. There were no amounts
outstanding to and from the company at Year End (2018 $0).
The entity has a related party relationship with its key management personnel. Key
management personnel include the Board of Management and Senior Management.
Board Fees Senior Management Salaries and Other short-term employee benefits Termination Benefits
Total Remuneration
Number of key management personnel
2 Detail of Fixed Assets
2019
119,082 970,397
0
1,089,479
16
The breakdown of fixed assets as at 30 June 2019 is as follows:
Asset Classification Additions Depr Cost Accum Expense Depr
Furniture 2,043 11,670 97,315 74,831 Fixture and Fittings 11,310 56,054 345,111 227,728 Office Equipment 0 5,239 14,203 14,080 Sundry Equipment 676 3,293 20,205 15,546 Computer Equipment 0 4,646 227,927 223,387 Motor Vehicles 0 4,076 472,609 472,609 Software 347,526 39,538 428,912 80,281
Total Assets 361,555 124,516 1,606,282 1,108,462
2018
117,004 795,016
0
912,020
15
Closing Book
Value
22,484 117,383
123 4,659 4,540
0 348,632
497,821
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page30
Notes to the Accounts
The breakdown of fixed assets as at 30 June 2018 is as follows:
Asset Classification Additions
Furniture 15,256 Fixture and Fittings 3,269 Office Equipment 1,267 Sundry Equipment 1,777 Computer Equipment 0 Motor Vehicles 0 Intangibles 0
Total Assets 21,569
3 Employee Entitlements
Depr Cost Accum Expense Depr
11,089 95,272 63,161 53,225 333,801 171,674
5,133 14,203 8,841 3,142 19,529 12,253
10,708 227,927 218,740 16,522 511,956 507,880 37,608 81,386 40,742
137,426 1,284,075 1,023,292
Closing Book
Value
32,111 162,127
5,362 7,276 9,186 4,076
40,644
260,783
Payroll accruals include employee entitlements of $609,172 (2018 $685,140) for
accrued wages, holiday pay, and superannuation and are reported under: Current
Liabilities Payroll Accruals $680,118 and Non-Current Liabilities Long Service Leave
$12,345.
The balance of the Payroll Accruals figure includes ACC, PAYE and Southern Cross
$83,291 (2018 $88,831).
4 Detail of Cash and Cash Equivalents
The carrying amount of cash and cash equivalents approximates their fair value.
Short term deposits are made for varying periods of between one to three months
depending on the immediate cash requirements of the entity, and earn interest at
respective short-term deposit rates.
The Cash and Cash Equivalents available for use as at 30 June 2019 is as follows:
Petty Cash BNZ Cheque account BNZ Call account ANZ Call account Westpac Call account Term Investmen ts
Total Cash and Cash Equivalents
2019
5,900 91,585
2,836,112 12
4,279 0
2,937,888
2018
6,300 3,295 8,442
1,832,337 169
1,702,879
3,553,422
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Notes to the Accounts
The Cash Equivalents not available for use as at 30 June 2019 are as follows:
Term Investment Term Investment
Total
2019
125,000
54,809
179,809
2018
125,000
54,809
179,809
Term Investment of $125,000 is related to bank guarantee provided in respect of
the Workbridge Auckland lease. The bank guarantee reduces on i st May 2022 to
$30,000 until expiry 30th May 2025.
Term Investment of $54,809 is related to bank guarantee provided in respect of the
Workbridge Lower Hutt lease. The bank guarantee expires on 22nd February 2025.
The bank has a charge over these term investments.
5 Receivables from Exchange Transactions
Trade debtors GST receivable
Total
2019
793,219
0
793,219
2018
69,891 120,774
190,665
Trade debtors and other receivables are non-interest bearing and receipt is
normally on 30 days terms. Therefore the carrying value of trade debtors and other
receivables approximates its fair value.
As at 30 June 2018 and 2019, all overdue receivables have been assessed for
impairment and appropriate allowances made.
All receivables are subject to credit risk exposure.
6 Other Financial Assets
Managed Fund
Total current other financial assets
2019
2,356,518
2,356,518
2018
2,176,531
2,176,531
The fair value of the entity investments in Managed Funds has been determined by
reference to their quoted prices at the reporting date. Gains and losses are
recorded within "other gains/(losses) ", within the reported surplus or deficit.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page32
Notes to the Accounts
7 Payables Under Exchange Transactions
Trade creditors Non-trade payables and accrued expenses GST Payable
Total
2019
206,398 275,012 185,644
667,054
2018
282,752 244,301
0
527,053
Trade creditors and other payables are non-interest bearing and normally settled on
30 day terms; therefore their carrying amount approximates their fair value.
8 Financial Instruments
{a) Carrying value of financial instruments The carrying amount of all material financial position assets and liabilities are
considered to be equivalent to fair value.
Fair value is the amount for which an item could be exchanged, or a liability settled,
between knowledgeable and willing parties in an arm's length transaction.
{b} Classification of financial instrumentsAll financial assets held by the entity that are classified as "loans and receivables"
are carried at cost less accumulated impairment losses.
The carrying amounts presented in the statement of financial position relate to the
following categories of financial assets and liabilities.
Financial Assets as at 30 June 2019
Asset Classification Financial Held-to- Loans and Available Total assets at maturity receivables -for-sale
fair value invest- financial through ments assets
surplus or deficit
Cash and cash 0 0 2,937,888 0 2,937,888 equivalents Trade debtors and 0 0 793,219 0 793,219 other receivables Other financial assets 2,356,518 0 0 0 2,356,518 Investment 0 179,809 179,809
Total 2,356,518 0 3,910,916 0 6,267,434
These Notes to the Accounts form part of, and should be read in conjunction with, the
Statements of Account.
Notes to the Accounts
Financial Liabilities as at 30 June 2019
Liability Classification Financial Financial Total liabilities Liabilities
at fair at value amortised
cost
Trade creditors and other payables 0 206,398 206,398
Total 0 206,398 206,398
Financial Assets as at 30 June 2018
Asset Classification Financial Held-to- Loans and Available Total assets at maturity receivables -for-salefair value invest- financial
through ments assets surplus or
deficit
Cash and cash 0 0 3,553,402 0 3,553,402 Equivalents Trade debtors and 0 0 69,891 0 69,891 Other receivables Other financial assets 2,176,531 0 0 0 2,176,531 Investment 0 179,809 179,809
Total 2,176,531 0 3,803,122 0 5,979,653
Financial Liabilities as at 30 June 2018
Liability Classification Financial Financial Total liabilities Liabilities
at fair at value amortised
cost
Trade creditors and other payables 0 282,752 282,752
Total 0 282,752 282,752
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Notes to the Accounts
9 Capital Commitment
A contract was signed with Blue Wolf an IBM Company in December 2018 for the
development of CRM software. A total of $328,736 (Excluding GST) has been spent
on this project year to date leaving a capital commitment of $192,352 (Excluding
GST) remaining at year end.
10 Prior Year Comparatives
Comparative figures included in the financial statements relate to the financial year
ended 30 June 2018. Where necessary these figures have been reclassified on a
basis consistent with current disclosure for the year ended 30 June 2019
�tHOR1p�
These Notes to the Accounts focm part of, and should be cead In conjunction with, the �.A:) Statements of Account. "1"1/1 m&
Page35
Statement of Revenue and Expenditure - Training SupportFor the Year Ended 30 June 2019
2019 2018
Income
Service Contract Interest
660,000 793,600 739 1,722
Total Income 660,739 795,322
Less Expenditure
Funds paid - Training support General expenditure
460,659 669,544 40 41
Other Expense Total Expenditure 460,699 669,585
Net Surplus (Deficit) 200,040 125,737
Net Surplus (Deficit) brought forward 130,546 4,809 Funds transferred to Job Support bank account 309,905 0
Net Surplus (Deficit) carried forward 20,681 130,546
As at balance date the Training Support Scheme has $20,681 in the bank. $38,157
was committed for subsequent payment to applicants in anticipation of Support
Funds funding continuity.
In respect of the management of the Support Funds Workbridge acts in an agency
relationship and only the portion of revenue earned on the entity's own account is
recognised as gross revenue in the Statement of Comprehensive Revenue and
Expense on page 15.
In respect of the information included on this page Workbridge acts in an agency
capacity on behalf of the Ministry of Social Development.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page36
Statement of Revenue and Expenditure - Self StartFor the Year Ended 30 June 2019
2019
Income
Service Contract 0 Interest 74 Total Income 74
Less Expenditure
Funds paid - Training support 0 General expenditure 40 Other Expense Total Expenditure 40
Net Surplus (Deficit) 34
Net Surplus (Deficit) brought forward 8,808
Net Surplus (Deficit) carried forward 8,842
As at balance date the Self Start Scheme has $8,842 in the bank.
2018
0 93 93
691 40
731
-638
9,446
8,808
In respect of the management of the Support Funds Workbridge acts in an agency
relationship and only the portion of revenue earned on the entity's own account is
recognised as gross revenue in the Statement of Comprehensive Revenue and
Expense on page 15.
In respect of the information included on this page Workbridge acts in an agency
capacity on behalf of the Ministry of Social Development.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
Page37
Statement of Revenue and Expenditure - Job SupportFor the Year Ended 30 June 2019
Income
Service Contract Interest Total Income
Less Expenditure
Funds paid - Training support General expenditure Other Expense Total Expenditure Net Surplus (Deficit)
Net Surplus (Deficit) brought forward
Net Surplus (Deficit) carried forward
Income
Service Contract Interest Total Income
Less Expenditure
Funds paid - Training support General expenditure Other Expense Total Expenditure Net Surplus (Deficit)
Net Surplus (Deficit) brought forward Funds Transferred from Training Support bank account
Net Surplus (Deficit) carried forward
2019
5,913,415 17,015
5,930,430
5,334,616 40
0 5,334,656
595,774
228,466
824,240
2019
5,913,415 17,015
5,930,430
5,334,617 40
0 5,334,657
595,773
228,466 309,905
1,134,144
2018
5,989,733 11,407
6,001,140
5,821,009 38
0 5,821,047
180,093
48,373
228,466
2018
5,989,733 11,407
6,001,140
5,821,009 38
0 5,821,047
180,093
48,373 0
228,466
As at balance date the Job Support Scheme has $1,134,144 in the bank. $989,192
was committed for subsequent payment to applicants in anticipation of Support
Funds funding continuity.
In respect of the management of the Support Funds Workbridge acts in an agency
relationship and only the portion of revenue earned on the entity's own account is
recognised as gross revenue in the Statement of Comprehensive Revenue and
Expense on page 15.
In respect of the information included on this page Workbridge acts in an agency
capacity on behalf of the Ministry of Social Development.
These Notes to the Accounts form part of, and should be read in conjunction with, the Statements of Account.
� Crowe Horwath�
INDEPENDENT AUDITOR'S REPORT
To the Board of Management of Workbridge Inc.
Opinion
Crowe Horwath New Zealand Audit Partnership
Member Crowe Horwath International
Level 29, 188 Quay Street Auckland 1010 New Zealand
PO Box 158 Auckland 1140 New Zealand
Tel +64 9 303 4586 Fax +64 9 309 1 i98 www.crowehorwath.co.nz
We have audited the financial statements of Workbridge Inc. {"the Society") on pages 15 to 38, which comprise the statement of financial position as at 30 June 2019, the statement of comprehensive revenue and expenditure, statement of changes in net assets and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Society as at 30 June 2019, and its financial performance and its cash flows for the year then ended in accordance with Public Benefit Entity Standards with Reduced Disclosure Regime issued by the New Zealand Accounting Standards Board.
Basis for Opinion
We conducted our audit in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Society in accordance with Professional and Ethical Standard 1 (Revised) Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Other than in our capacity as auditor we have no relationship with, or interests in, the Society.
Other Information
The Board of Management are responsible for the other information. The other information comprises the information included in the Vision, Mission, Values, Council and Board of Management, Council President's Report, Board Chairperson's Report and Chief Executive's Report on pages 1 to 14, but does not include the financial statements and our auditor's report thereon.
Our opinion on the financial statements does not cover the other information and we do not express any form of audit opinion or assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Board of Management for the Financial Statements
The Board of Management are responsible on behalf of the Society for the preparation and fair presentation of the financial statements in accordance with Public Benefit Entity Standards issued by the New Zealand Accounting Standards Board, and for such internal control as the Board of Management determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
Crowe Horwath New Zealand Audit Partnership is a member of Crowe Horwath international, a Swiss verein. Each member of Crowe Horwath is a separate and independent legal entity.
� Crowe Horwath,..
In preparing the financial statements, the Board of Management are responsible for assessing the Society's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Management either intend to liquidate the Society or to cease operations, or have no realistic alternative but to do so.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (NZ} will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with ISAs (NZ}, we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Society's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of the use of the going concern basis of accounting by the Board of Management and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Society's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report However, future events or conditions may cause the Society to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with the Board of Management regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Crowe Horwath New Zealand Audit Partnership CHARTERED ACCOUNTANTS
Dated at Auckland this 27th day of September 2019