for the year ended 30 September

Notes to the annual financial statements

25.   Retirement benefit information  
  In line with the group’s policy to provide retirement benefits to its employees, 79% (2010: 76%) of the group’s employees belong to various retirement schemes.

Industrial legislation requires that certain employees be members of designated industry schemes. At year end 7% (2010: 14%) of the group’s employees were members of such schemes, most notably the Engineering Industries’ Pension Fund and Metal Industries’ Provident Fund. The total employer contributions for the year to these funds amounted to R5,4 million (2010: R12,0 million).

38% (2010: 41%) of the group’s total employees, are members of the Reunert Retirement Fund, which consists of both the Reunert Pension Fund and Reunert Provident Fund.

The Reunert Retirement Fund is a defined contribution plan, apart from death benefits that are paid by the Pension Fund, which is registered in terms of the Pension Funds Act, 1956. The fund was last reviewed by an actuary at 28 February 2007 and found to be in a sound financial position. The total employer contribution for the year to this fund amounted to R71,2 million (2010: R57,4 million).

The Lincoln Wood Provident Fund is a defined benefit plan which is in the process of being wound up. The fund was last valued on 28 February 2009. There is no obligation on the company to fund any possible shortfall in the fund, which currently has a surplus. The surplus is immaterial to the group accounts. No contributions were made to the fund during the current year.

The remaining 34% (2010: 21%) of the group’s total employees, who are not members of the abovementioned schemes, participate in other benefit plans, which consist of eleven defined contribution plans. All of these funds are subject to the Pension Funds Act, 1956. The total employer contributions for the year to these funds amounted to R30,9 million (2010: R23,6 million).