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Integrated report Statutory reportS Financial StatementS
Consolidated

vi (a) Assumptions used to determine net periodic benefit costs:
India USA Plans UK Plans
Funded Unfunded Funded Unfunded Funded
6.05% to 6.05% to
As at March 31, 2020 6.83% p.a. 6.83% p.a. 3.64% 3.58% p.a. 2.35% p.a.
discount rate 7.00% to 7.00% to
as at March 31, 2019 4.09% p.a. 4.00% p.a. 2.40% p.a.
7.70% p.a. 7.70% p.a.
7.50% - 7.50% - 5.30% to
As at March 31, 2020 8.00% p.a. 8.00% p.a. 8.40% p.a. NA NA
Increase in compensation cost 7.50% - 7.50% - 5.30% to
as at March 31, 2019 na na
8.00% p.a. 8.00% p.a. 8.40% p.a.
8.00%-
As at March 31, 2020 NA 10.00% p.a. NA 6.75% p.a. NA
Healthcare cost increase rate 8.00%-
as at March 31, 2019 na na 7.00% p.a. na
10.00% p.a.
As at March 31, 2020 NA 6.00% p.a. NA NA 2.50% p.a.
pension increase rate
as at March 31, 2019 na 6.00% p.a. na na 3.00% p.a.
(a) discount rate for the domestic plans is based on the prevailing market yields of Indian government securities as at the Balance
Sheet date for the estimated term of the obligations. discount rate for uSa Subsidiaries is based on high quality bonds and for uK
subsidiaries it is based on corporate bonds.
(b) the estimates of future salary increases considered in actuarial valuation take into account inflation, seniority, promotion and other
relevant factors.
(c) the details of post-retirement and other benefit plans for its employees given above are certified by the actuaries and relied upon by
the auditors.

(vi) (b) Average longevity at retirement age for current beneficiaries of the plan (years)
India UK USA India UK USA
As at As at As at As at As at As at
March 31, 2020 March 31, 2020 March 31, 2020 March 31, 2019 March 31, 2019 March 31, 2019
Males 5 to 22 years 21 to 25 years 23 to 24 years 8 to 22 years 22 to 23 years 23 to 24 years
Females 5 to 25 years 24 to 27 years 25 to 26 years 8 to 25 years 25 to 26 years 25 to 26 years

vii Sensitivity Analysis
Impact on defined benefit obligation due to change in assumptions as at March 31, 2020 ` in crore
As at March 31, 2020
TCL Rallis USA UK
Increase Decrease Increase Decrease Increase Decrease Increase Decrease
Discount Rate
0.25% change - - - - - - (107.74) 114.34
0.5% change (13.12) 14.61 - - (140.00) 164.06 - -
1% change - - (4.93) 3.89 - - - -
Compensation rate
0.5% change 3.12 (2.95) - - 31.29 (37.68) - -
1% change - - 2.78 (2.50) - - - -
Pension rate
1% change 4.81 (4.18) - - - - - -
Healthcare costs
1% change 15.74 (12.60) - - 0.01 (0.01) - -

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