Zep says it will resume its 401(k) contributions

Reversing a recent trend in corporate cost-cutting, Zep Inc. will begin contributions to its employees’ 401(k) retirement plans this month, nearly six months after the company suspended it as part of a sweeping plan to return to profitability.

Atlanta-based Zep —- maker of disinfectants, deodorizers and other maintenance products —- will give 25 cents for every dollar the employee contributes, up to 6 percent of that worker’s salary, said Mark R. Bachmann, executive vice president and chief financial officer.

The company, which said it made the move to signal its belief that the economy is beginning to turn around, projects that by January it will increase its contribution to 50 cents for every dollar an employee gives up to 6 percent of salaries —- what it was when the company suspended the match early this year.

The more upbeat note comes as the company reported its fiscal third-quarter profit soared on prior-year restructuring charges.

Earnings topped analysts’ expectations despite continued demand weakness for the company’s consumer and corporate cleaning supplies and services.

Zep shares fell more than 2 percent Thursday —- reflecting a down trend in the broader stock indexes —- losing 13 cents to close at $13.60 per share.