For pension and supplementary pension plans in Switzerland and the UK, sensitivity to mortality rates is calculated based on a one-year reduction in the age of each beneficiary. Applying this assumption has a negligible effect on the corresponding obligation.
Expenses recognised in respect of defined contribution plans
In some countries, and more especially in France and Spain, the Group contributes to basic state pension plans, for which the expense recognised is the amount of the contributions called by the state bodies. These state pension plans are considered as being defined contribution plans.
The amounts taken as an expense in the period in respect of defined contribution plans (other than basic state plans) totalled €814 million in 2024 (€745 million in 2023). These amounts include the contributions paid in France to the external multi-employer fund (CNPO) in respect of obligations in regard to lump sums paid on retirement to construction workers.
Provisions for other long-term employee benefits mainly include long-service bonuses and jubilee bonuses.
At 31 December 2024, they amounted to €112 million, including €9 million for the part at less than one year (€98 million including €11 million for the part at less than one year at 31 December 2023).
Provisions for long-service bonuses and jubilee bonuses have been calculated using the following actuarial assumptions:
| 31/12/2024 | 31/12/2023 | |
|---|---|---|
| Discount rate | Discount rate 31/12/2024 3.30% |
Discount rate 31/12/2023 4.15% |
| Inflation rate | Inflation rate 31/12/2024 2.00% |
Inflation rate 31/12/2023 2.00% |
| Rate of salary increases | Rate of salary increases 31/12/2024 2.00% - 3.00% |
Rate of salary increases 31/12/2023 2.00% - 3.00% |
Accounting policies
The measurement and recognition methods for share subscription plans, Group savings plans and performance share plans, are defined by IFRS 2 “Share-based Payment”. The granting of performance share awards and offers to subscribe to Group savings plans in France and abroad represent a benefit granted to their beneficiaries and therefore constitute supplementary remuneration borne by VINCI. Because such transactions do not give rise to monetary transactions, the benefits granted in this way are recognised as expenses in the period in which the rights are acquired, with a corresponding increase in equity. Benefits are measured by an external actuary on the basis of the fair value of the equity instruments in awards granted.
Benefits arising from performance share awards and Group savings plans are granted as decided by VINCI’s Board of Directors after approval at the Shareholders’ General Meeting. Since their measurement is not entirely linked to operational activity, it has been deemed appropriate not to include the corresponding expense in operating income from ordinary activities, which is an indicator of business lines’ performance, but to report it on a separate line, labelled “Share-based payment expense (IFRS 2)”, in recurring operating income.
Performance share awards have been granted to certain Group employees and senior executives. Under the corresponding plans, definitive vesting of the shares is conditional on beneficiaries being employed by the Group at the end of the vesting period and on performance conditions being met.
Information on changes in performance share plans currently in force
| 31/12/2024 | 31/12/2023 | |
|---|---|---|
| Number of shares in awards granted subject to performance conditions at beginning of period | Number of shares in awards granted subject to performance conditions at beginning of period 31/12/2024 7,370,387 |
Number of shares in awards granted subject to performance conditions at beginning of period 31/12/2023 7,178,209 |
| Shares in awards granted subject to performance conditions | Shares in awards granted subject to performance conditions 31/12/2024 2,620,267 |
Shares in awards granted subject to performance conditions 31/12/2023 2,590,167 |
| Shares vested | Shares vested 31/12/2024 (2,218,583) |
Shares vested 31/12/2023 (1,952,520) |
| Shares cancelled | Shares cancelled 31/12/2024 (260,142) |
Shares cancelled 31/12/2023 (445,469) |
| Number of shares in awards granted subject to performance conditions not vested at end of period | Number of shares in awards granted subject to performance conditions not vested at end of period 31/12/2024 7,511,929 |
Number of shares in awards granted subject to performance conditions not vested at end of period 31/12/2023 7,370,387 |
Information on the features of the performance share plans currently in force
| Plan set up on 09/04/2024 | Plan set up on 13/04/2023 | Plan set up on 12/04/2022 | Plan set up on 08/04/2021 | |
|---|---|---|---|---|
| Original number of beneficiaries | Original number of beneficiaries Plan set up on 09/04/2024 4,583 |
Original number of beneficiaries Plan set up on 13/04/2023 4,390 |
Original number of beneficiaries Plan set up on 12/04/2022 4,114 |
Original number of beneficiaries Plan set up on 08/04/2021 3,950 |
| Vesting date of the share awards | Vesting date of the share awards Plan set up on 09/04/2024 09/04/2027 |
Vesting date of the share awards Plan set up on 13/04/2023 13/04/2026 |
Vesting date of the share awards Plan set up on 12/04/2022 12/04/2025 |
Vesting date of the share awards Plan set up on 08/04/2021 08/04/2024 |
| Number of shares in awards initially granted subject to performance conditions(*) | Number of shares in awards initially granted subject to performance conditions(*) Plan set up on 09/04/2024 2,620,267 |
Number of shares in awards initially granted subject to performance conditions(*) Plan set up on 13/04/2023 2,590,167 |
Number of shares in awards initially granted subject to performance conditions(*) Plan set up on 12/04/2022 2,489,710 |
Number of shares in awards initially granted subject to performance conditions(*) Plan set up on 08/04/2021 2,489,680 |
| Shares cancelled | Shares cancelled Plan set up on 09/04/2024 (23,215) |
Shares cancelled Plan set up on 13/04/2023 (41,615) |
Shares cancelled Plan set up on 12/04/2022 (118,165) |
Shares cancelled Plan set up on 08/04/2021 (269,942) |
| Shares vested | Shares vested Plan set up on 09/04/2024 - |
Shares vested Plan set up on 13/04/2023 (2,190) |
Shares vested Plan set up on 12/04/2022 (3,030) |
Shares vested Plan set up on 08/04/2021 (2,219,738) |
| Number of shares in awards granted subject to performance conditions at end of period | Number of shares in awards granted subject to performance conditions at end of period Plan set up on 09/04/2024 2,597,052 |
Number of shares in awards granted subject to performance conditions at end of period Plan set up on 13/04/2023 2,546,362 |
Number of shares in awards granted subject to performance conditions at end of period Plan set up on 12/04/2022 2,368,515 |
Number of shares in awards granted subject to performance conditions at end of period Plan set up on 08/04/2021 - |
