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Atul Ltd | Annual Report 2017-18
Note 27.6 Employee benefit obligations
Funded schemes
a) Defined benefit plans:
Gratuity
The Company operates a gratuity plan through the ‘Atul Employees Gratuity Trust’. Every employee is entitled to a benefit
equivalent to 15 days salary last drawn for each completed year of service in line with the Payment of Gratuity Act, 1972 or
Company scheme, whichever is beneficial. The same is payable at the time of separation from the Company or retirement,
whichever is earlier. The benefits vest after 5 years of continuous service.
Balance Sheet amount (Gratuity)
(
`
cr)
Particulars
Present value of
obligation
Fair value of
plan assets
Net amount
As at March 31, 2016
47.27
(47.27)
–
Current service cost
2.52
–
2.52
Interest expense | (income)
3.69
(3.69)
–
Total amount recognised in profit and loss
6.21
(3.69)
2.52
Remeasurement
Return on plan assets, excluding amount included in interest
expense | (income)
–
(1.98)
(1.98)
(Gain) | Loss from change in financial assumptions
1.11
–
1.11
Experience (gain) | loss
(1.61)
–
(1.61)
Total amount recognised in Other Comprehensive Income
(0.50)
(1.98)
(2.48)
Employer contributions
–
(0.04)
(0.04)
Benefit payments
(5.81)
5.81
–
As at March 31, 2017
47.17
(47.17)
–
Current service cost
2.74
–
2.74
Interest expense | (income)
3.41
(3.41)
–
Total amount recognised in profit and loss
6.15
(3.41)
2.74
Remeasurement
Return on plan assets, excluding amount included in interest
expense | (income)
–
0.06
0.06
(Gain) | Loss from change in financial assumptions
(1.17)
–
(1.17)
Experience (gain) | loss
(1.62)
–
(1.62)
Total amount recognised in Other Comprehensive Income
(2.79)
0.06
(2.73)
Employer contributions
–
(0.01)
(0.01)
Benefit payments
(5.11)
5.11
–
As at March 31, 2018
45.42
(45.42)
–
The net liability disclosed above relates to following funded and unfunded plans:
(
`
cr)
Particulars
As at
March 31, 2018
As at
March 31, 2017
Present value of funded obligations
45.42
47.17
Fair value of plan assets
(45.42)
(47.17)
Deficit of Gratuity plan
–
–
Notes
to the Financial Statements