Sherwin-Williams to Resume 401(k) Contributions

CLEVELAND, Ohio — Sherwin-Williams has announced it will restart matching contributions to its 401(k) retirement plan beginning February 1, after having suspended these benefits last October.

The paint and coatings company also plans to provide employees with a voluntary make-up contribution to compensate for the period of suspension that lasted four months.

In a communication to staff, CEO Heidi Petz explained that the decision to resume benefits earlier than originally planned was a response to strong employee performance and a more favorable economic climate than anticipated. The company had previously paused operations due to three years of housing market downturns, weak demand across various sectors, and uncertainties related to tariffs.

“The choice to pause operations was intentional, driven by the same long-term vision that has informed Sherwin-Williams for 160 years: safeguarding our company’s strength, our culture, and the future opportunities for our employees,” Petz stated in her email. She acknowledged that the suspension had caused considerable concern and anxiety for many employees and their families.

Petz highlighted a difficult choice between cutting jobs or suspending the 401(k) match and indicated that, in this case, the company opted for the latter in order to avoid widespread layoffs.

“While some companies might resort to large-scale layoffs, we chose a different approach,” Petz elaborated. “We decided to safeguard jobs, retain our talent, and invest in our organization’s long-term well-being by keeping our team intact.”

The CEO also credited the notable improvement in employee performance in recent months and mentioned that some anticipated risks either did not occur or proved less severe than expected.

However, Petz cautioned that economic challenges are still present.

“Our industry is at a pivotal moment, and Sherwin-Williams is positioned to lead,” she said. “What we can control—and what we’ve demonstrated we can execute well—is customer service, execution, and discipline. I am confident that we will continue to do just that.”

Headquartered in Cleveland, Sherwin-Williams operates over 5,000 stores globally and employs more than 64,000 people.