Killingly technology manufacturer Rogers Corp. says it’s freezing its contributions to its employees’ pension plans starting this summer, under its overall plan to save $12 million by the first quarter of 2014.
Rogers President and CEO Bruce Hoechner said Wednesday the freeze, expected to save $6.8 million annually, will go into effect for salaried and non-union hourly employees on June 30 and for union employees on Dec. 31.
In exchange, Rogers is increasing its contributions to employees’ 401(k) retirement plan.
Rogers also announced other cost-reduction strategies that it says will save $5.2 million annually, although it did not detail them. These efforts will result in changes for $2.4 million in 2013, so the full savings won’t be realized until next year.
The cuts are part of the company’s strategy to transform into a leaner organization with stronger profitability, Hoechner said.
The company’s guidance calls for second quarter sales between $129 million to $134 million, or 45 cents to 56 cents a share.
Its product line includes advanced printed-circuit materials and shock-proof components for cellphones and other portable devices.
