So far, matching 401(k) contributions have not been a mass casualty as Western Pennsylvania companies cut costs in the face of what economists say could be the worst recession since World War II.

U.S. Steel and FedEx have temporarily eliminated matching contributions to their savings plans, but many other local companies say they have not taken that step and don't anticipate doing so.

"We have neither reduced nor eliminated the contribution and we have no plans to," said Laural Ziemba, a spokeswoman for CNX Gas.

Two large regional employers recently enhanced the company match provisions of their 401(k) plans.

Bank of New York Mellon matches 100 percent of the first 6 percent employees contribute as of Jan. 1. Spokesman Ron Gruendl said the bank formerly matched only 75 cents on the dollar of the first 6 percent. The matching contribution is made in company stock.

Late last year, MSA changed its match so that employees who contribute 7 percent of their pay will receive the same match they would have formerly received for contributing 8 percent of their paychecks.

"We are essentially providing the same company match ... for fewer dollars out of one's take-home pay," said Mark Deasy, spokesman for the O'Hara-based safety products company.

U.S. Steel temporarily eliminated matching contributions to a salaried personnel savings plan effective Jan. 1 as part of a cost-cutting initiative, spokesman John Armstrong said. The steelmaker formerly made matching contributions of up to 6 percent based on an employee's years of service. The match was made in shares of U.S. Steel stock.

FedEx announced last month it was suspending matching 401(k) contributions for a minimum of one year, effective Feb. 1. Other companies temporarily suspending matching contributions include General Motors, Motorola and Eastman Kodak.

Losing the company match comes at a tough time for employees whose 401(k) accounts suffered massive losses last year, when broad stock market indexes tumbled more than 30 percent. For many, their 401(k) account is their only retirement savings besides Social Security.

Ten percent of 117 companies surveyed last month by Watson Wyatt have cut or plan to reduce 401(k) matches, up from 6 percent in October. Most are large companies that can generate sizeable savings because of the number of employees who participate in their retirement plans said Robyn Credico, 401(k) practice leader for the benefits consulting firm.

Ms. Credico said companies have to balance the savings that pay and benefits cuts, layoffs and other measures generate with the impact the cost cutting has on employees.

"Each company looks at it a little bit differently," she said. "You don't want to demoralize employees. That costs a fortune in soft dollars."