Annual report pursuant to Section 13 and 15(d)

Benefit Plans and Collective Bargaining Agreements

v2.4.0.8
Benefit Plans and Collective Bargaining Agreements
 12 Months Ended
Dec. 28, 2013
Compensation and Retirement Disclosure [Abstract]  
Benefit Plans and Collective Bargaining Agreements
Benefit Plans and Collective Bargaining Agreements
The Company has a 401(k) Employee Stock Ownership Plan (the "401(k)/ESOP Plan") covering all non-union employees. Employees may contribute to the 401(k)/ESOP Plan up to 100 percent of their salary with a maximum of $17,500 for 2013. Under the Economic Growth and Tax Relief Reconciliation Act, employees who are age 50 or older may contribute an additional $5,500 per year for a maximum of $23,000 for 2013. Contributions by the employees are invested in one or more funds at the direction of the employee; however, employee contributions cannot be invested in Company stock. Contributions by the Company are made in cash and then used by the 401(k)/ESOP Plan Trustee to purchase Company stock. The Company contributes on behalf of each eligible participant a matching contribution equal to a percentage which is determined each year by the Board of Directors. For 2013, 2012 and 2011 the maximum was four percent. The matching contribution is allocated after each payroll. Matching contributions of approximately $550,000, $390,000 and $345,000 were made for 2013, 2012 and 2011, respectively. The Company may also make a discretionary contribution, which if made, would be distributed to all eligible participants regardless of whether they contribute to the 401(k)/ESOP Plan. No discretionary contributions were made to the 401(k)/ESOP Plan in 2013, 2012 or 2011. The Company also contributes to union-sponsored defined contribution retirement plans. Contributions relating to these plans were approximately $882,000, $739,000 and $688,000 for 2013, 2012 and 2011, respectively.
The Company has three collective bargaining agreements at its Bristol, Tennessee facility. The number of employees of the Company represented by these unions is 249, or 37 percent of the Company's total employees. They are represented by two locals affiliated with the AFL-CIO and one local affiliated with the Teamsters. The Company considers relationships with its union employees to be satisfactory. Collective bargaining contracts will expire in January 2015 and March 2015. The Company is currently in negotiations with the union regarding the collective bargaining contract that expired February 2014.