LAKE FOREST, Ill. - Tenneco Inc. says it is freezing its current defined pension benefit plan and instead will offer workers a defined contribution plan for most U.S. employees.
The changes will affect 1,800 salaried and 4,000 nonunion hourly employees, or about 88 percent of Tenneco's U.S. work force, effective Jan. 1,a spokeswoman for the supplier said. Tenneco estimates the changes will save the company $11 million pretax annually. In the fourth quarter 2006, the company also will have a one-time gain of $6 million to $7 million related to the change.
Tenneco, of Lake Forest, Ill., supplies shocks, struts, vibration control, load assist products, springs, bushings, rods, roll control and exhaust systems.