Company: RTNTF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001628280-25-006642
Chunk: 385

Company: RIO TINTO LTD
Filing Date: 2025-02-20
Form: 20-F
Chunk 385
---
3 : US$ 5million ). 28 Post-retirement benefits Description of plans

The Group operates a number of pension and post-retirement healthcare plans which provide lump sums, pensions, medical benefits and life

insurance to retirees. Some of these plans are defined contribution and some are defined benefit, with assets held in separate trusts,

foundations and similar entities.

Defined benefit pension and post-retirement healthcare plans expose the Group to a number of risks.

| Uncertainty in benefitpayments | The value of the Group’s liabilities for post-retirement benefits will ultimately depend on the amount of benefits paid out.This in turn will depend on the level of future pay increases, the level of inflation (for those benefits that are subject to someform of inflation protection) and how long individuals live.                                                                                                                                                                                                      |
| Volatility in asset values     | The Group is exposed to future movements in the values of assets held in pension plans to meet future benefit payments.                                                                                                                                                                                                                                                                                                                                                                                                         |
| Uncertainty in cash funding    | Movements in the values of the obligations or assets may result in the Group being required to provide higher levels of cashfunding, although changes in the level of cash required can often be spread over a number of years. In some countries controlover the rate of cash funding or over the investment policy for pension assets might rest to some extent with a trustee body orother body that is not under the Group’s direct control. In addition the Group is also exposed to adverse changes in pensionregulation. |

For these reasons, the Group has a policy of moving away from defined benefit pension provisions and towards defined contribution

arrangements. The defined benefit pension plans for non-unionised employees are closed to new entrants in all countries. For unionised

employees, some plans remain open.

The Group does not usually participate in multi-employer plans in which the risks are shared with other companies using those plans. The

Group’s participation in such plans is immaterial and therefore no detailed disclosures are provided in this note.

| Annual Report on Form 20-F 2024 | 212 | riotinto.com |

Financial statements | Notes to the consolidated financial statements

28 Post-retirement benefits continued

Pension plans

The majority of the Group’s defined benefit pension obligations are in Canada, the UK, the US and Switzerland. In Australia the main

arrangements are principally defined contribution in nature, but there are sections providing defined benefits linked to final pay. The features of

the Group’s defined benefit pension obligations are summarised as follows