Page 219 - Kolte Patil AR 2019-20

Notes forming part of the Consolidated Financial Statements

(B) Defined benefit plan:
Gratuity is a defined benefit plan covering eligible employees. The plan provides for a lump sum payment to vested employees on retirement,
death while in employment or termination of employment of an amount equivalent to 15 days salary for each completed year of service.
Vesting occurs on completion of five years of service.
Disclosure as required under Ind AS 19 on “Employee Benefits” in respect of defined benefit plan is as under:

i. Group’s obligation in respect of its defined benefit plans is as follows:
(H in Lakhs)
Year ended Year ended
Particulars
March 31, 2020 March 31, 2019
Present value of funded defined benefit obligation (1,126) (981)
Fair value of plan assets 389 398
Funded status (737) (583)
Restrictions on asset recognized - -
Others - -
Reclassified to prepaid assets - -
Net liability arising from defined benefit obligation (737) (583)

ii. Movement in the present value of defined obligation (DBO) during the year representing reconciliation of opening and closing
balances thereof are as follows:
(H in Lakhs)
Year ended Year ended
Particulars
March 31, 2020 March 31, 2019
Present value of benefit obligation at the beginning of the year 980 895
Current service cost 48 153
Interest cost 67 62
Past service cost 111 142
Re-measurements on obligation [Actuarial (gain) / Loss] : 1
Actuarial (gains)/ losses arising from changes in demographic assumption (5) (53)
Actuarial (gains)/ losses arising from changes in financial assumption (10) 46
Actuarial (gains)/ losses arising from changes in experience adjustment (2) (37)
Benefits paid (64) (86)
Present value of defined benefit obligation at the end of year 1,126 1,122

iii. Changes in the fair value of plan assets during the year representing reconciliation of opening and closing balances thereof are
as follows:
(H in Lakhs)
Year ended Year ended
Particulars
March 31, 2020 March 31, 2019
Fair value of plan assets at the beginning of the year 398 353
Interest income 26 27
Contributions from the employer 32 109

Annual Report 2019-20 | 217