Defined benefit obligations

For certain groups of employees of Wincor Nixdorf Group retirement benefit schemes are available. Schemes vary depending on the legal, economic and tax environments of the respective country. The greater part of them qualify as defined benefit plans.

Basically, with regard to employment law, the substantial pension commitments in Germany are based upon direct performance-related commitments in terms of defined contribution plans. Every entitled beneficiary receives, depending on individual pay-scale grouping, contractual classification or income level, different yearly contributions. The contribution is multiplied by an age factor appropriate to the current pension scheme and credited to the individual retirement account of the employee. The retirement accounts may be used up at retirement by either a one-time pay-off or payments of ten years’ installments at maximum.