Page 342 - Tata Chemical Annual Report_2022-2023

Integrated Annual Report 2022-23 01-83 84-192 193-365
Integrated Report Statutory Reports Financial Statements
Consolidated

(vi) (b) Average longevity at retirement age for current beneficiaries of the plan (years) (viii) Maturity profile of the defined benefit obligation as at March 31, 2023 is as follows:
India UK USA India UK USA ` in crore
As at As at As at As at As at As at Particulars (expected payments) India US UK
March 31, 2023 March 31, 2023 March 31, 2023 March 31, 2022 March 31, 2022 March 31, 2022 Within the next 12 months (next annual reporting period) 33 120 126
Males 12 to 22 years 22 to 24 years 23 to 24 years 12 to 22 years 21 to 24 years 22 to 24 years Later than 1 year and not later than 5 years 89 498 536
Females 12 to 25 years 24 to 27 years 25 to 26 years 12 to 25 years 23 to 27 years 25 to 26 years 6 years and above 668 642 745
Weighted average duration of the payments (in no. of years) 6-15 years 13-15 years 11-13 years
(vii) Sensitivity Analysis
Impact on defined benefit obligation due to change in assumptions as at March 31, 2023 Maturity profile of the defined benefit obligation as at March 31, 2022 is as follows:

` in crore ` in crore
TCL Rallis USA UK
Assumptions Particulars (expected payments) India US UK
Increase Decrease Increase Decrease Increase Decrease Increase Decrease Within the next 12 months (next annual reporting period) 31 108 117
Discount Rate Later than 1 year and not later than 5 years 90 453 499
0.5% change (11) 12 - - (104) 115 (131) 145 6 years and above 577 589 696
1% change - - (6) 5 - - - - Weighted average duration of the payments (in no. of years) 6-16 years 13-15 years 14-16 years

Compensation rate (D) Provident Fund
0.5% change 3 (3) - - 25 (29) - - The Company and its domestic subsidiaries operate Provident Fund Schemes and the contributions are made to the recognised
1% change - - 3 (3) - - - - funds maintained. The Company and its domestic subsidiaries are required to offer a defined benefit interest rate guarantee on
provident fund balances of employees. The interest rate guarantee is payable to the employees for the year when the exempt
Pension rate fund declares a return on provident fund investments which is less than the rate declared by the Regional Provident Fund
1% change 5 (5) - - - - - - Commissioner ('RPFC') on the provident fund corpus for their own subscribers. The Actuary has provided a valuation for provident
fund liabilities on the basis of guidance issued by Actuarial Society of India and based on the below provided assumptions,
Healthcare costs shortfall between plan assets as the end of the year and the present value of funded obligation has been recognised in the
1% change 11 (9) - - - - - - Consolidated Balance Sheet and Other Comprehensive Income.

Impact on Defined benefit obligation due to change in assumptions as at March 31, 2022 The details of fund and plan assets position are given below:
` in crore TCL RALLIS
TCL Rallis USA UK
Assumptions Particulars ` in crore ` in crore ` in crore ` in crore
Increase Decrease Increase Decrease Increase Decrease Increase Decrease As at As at As at As at
Discount Rate March 31, 2023 March 31, 2022 March 31, 2023 March 31, 2022
0.25% change - - - - - - (113) 119 Plan assets at the end of the year 347 349 117 117
0.5% change (11) 12 - - (126) 147 - -
1% change - - (5) 5 - - - - Present value of funded obligation 348 335 114 114
Amount recognised in the (1) - - -
Consolidated Balance Sheet
Compensation rate
0.5% change 3 (3) - - 27 (33) - - Assumptions used in determining present value of obligation of interest rate guarantee under a deterministic approach:
1% change - - 3 (3) - - - -
As at As at
March 31, 2023 March 31, 2022
Pension rate Guaranteed rate of return 8.15% 8.10%
1% change 4 (4) - - - - - - Discount rate for remaining term to maturity of investments 7.35% to 7.50% 7.23% - 6.65%
Discount rate 7.45% 7.00%
Healthcare costs Expected rate of return on investments 7.93% to 8.39% 8.09% - 8.78%
1% change 13 (10) - - - - - -

The sensitivity analysis above has been determined based on reasonably possible changes of the respective key assumptions occurring
at the end of the reporting period, while holding all other assumptions constant.

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