Annual Report-FY 2012-13 - Timex Group India

Superannuation fundThe Company’s contribution paid/ payable under the scheme to the Superannuation Fund Trust, as administered bythe Company is recognised as an expense in the Statement of Profit and Loss during the period in which the employeerenders the related service. The amount recognised as an expense towards contribution to Superannuation fund for theperiod aggregated to Rs. 44 lakhs (previous year: Rs. 40 lakhs).Employee State Insurance fundThe Company’s contribution paid/ payable under the scheme to the Employee State Insurance is recognised as anexpense in the Statement of Profit and Loss during the period in which the employee renders the related service. Theamount recognised as an expense towards contribution to Employee State Insurance Fund for the period aggregated toRs. 6 lakhs (previous year: Rs. 8 lakhs).GratuityThe Company operates a post-employment defined benefit plan that provides for gratuity. The gratuity plan entitles anemployee, who has rendered atleast five years of continuous service, to receive one-half month’s salary for each yearof completed service at the time of retirement/exit. The Scheme is not funded by plan assets. The following table summarisesthe position of assets and obligations in relation to the plan:(Rs. in lakhs)31 March 2013 31 March 2012Present value of obligations 174 154Liability recognised in balance sheet 174 154Classification into current / non-currentThe liability in respect of the plan comprises of the following non-current and current portions:(Rs. in lakhs)Non-currentCurrent31 March 2013 31 March 2012 31 March 2013 31 March 2012Gratuity 167 147 7 7Movement in present values of defined benefit obligations(Rs. in lakhs)31 March 2013 31 March 2012Defined benefit obligation at commencement of the period 154 136Current service cost 20 20Interest cost 15 14Actuarial (gains) / losses 47 (9)Past service cost - (1)Benefits paid by the plan (62) (6)Defined benefit obligation at end of the period 174 154Expense recognised in Statement of Profit and Loss(Rs. in lakhs)31 March 2013 31 March 2012Current service cost 20 20Interest cost 15 14Actuarial (gains) / losses 47 (9)Past service cost - (1)Total included in ‘employee benefits’ 82 2448