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AdamS'Millis
Amco News
0C77./
A 2/
April, 1982
Vol. 38, No. 2
More Than $2,000,000 In Benefits Paid
Last Year To Adams-MUIis Employees
By Jean Harrison
Employee Benefits Manager
life insurance and
care benefits totaling
Pension,
health
more than $2,000,000 were paid
last year to Adams Millis em
ployees and their dependents and
beneficiaries.
Employee Welfare Benefit Plan
The largest amount paid in
benefits was that of $1,509,508
health care provided for em
ployees and their eligible
dependents. This was an average
benefit of $621 paid for each
employee covered under the plan
and represented a 22 percent
increase over 1980’s average of
$509 per employee. Sixty percent
of the cost of providing these
benefits was borne by Adams-
Millis and 40 percent by the
employees. In addition, the
Company bore the $76,417 ex
pense of processing the some
13,000 claims filed during the
year.
The health care plan, more
properly known as The Employee
Welfare Benefit Plan, is a self-
funded plan providing health and
accident medical care and major
medical expense benefits for
employees and their dependents.
Tommy Beck Checks
Quality Control Daily
Tommy Beck’s work as Quality
Control Manager for the Men’s
and Boy’s Division of Adams-
Millis Hosiery Company takes
him to all plants in the Division,
where he regularly checks
quality control procedures.
Each morning, after he reports
to his office in High Point, where
complaints and reports have
come to him through the inter-
plant messenger service, he then
schedules his day’s work, which
takes place primarily in the Knit
ting Departments of the various
plants.
“This is where the closest
scrutiny has to be done,’’ Tommy
said. “A knitting machine is so
complicated and operates at such
high speeds that the slightest
malfunction can result in less
then perfectly knitted goods.’’
The list of quality control
checks in a Knitting Department
include excessive stretch or too-
little stretch in the sock because
of the machine being improperly
Tommy Beck making Quality Control check of Adams-Millis sock.
Group Life Insurance Plan
A total of $163,500 was paid in
death benefits to beneficiaries
under the Group Life Insurance
Plan in 1981. Of the thirty-three
claims filed the largest single
benefit paid was $20,000.
Benefits under the life plan are
funded through insurance con
tracts with The Equitable Life
Assurance Society of the U.S. As
with the health care plan, both
the Company and the employees
contribute to the cost of the group
life insurance coverage.
Pension Plan
Terminating and retiring em
ployees and beneficiaries
received payments amounting to
$316,476 from the Pension Plan
during the year. On December
31, 1981, 142 retired employees
and beneficiaries were receiving
monthly benefit payments
ranging from $39 to $1,495.
The Pension Plan is a non
contributory, defined benefit plan
providing retirement benefits at
normal retirement age 65, at
early retirement age 55 with
completion of fifteen or more
years of creditable service, and
at disability retirement at any
age upon completion of ten or
more years of creditable service.
The amount of the monthly
benefit provided is determined by
the participant’s earnings and
length of service with the
Company.
The Company contribution to
the Pension Plan amounted to
$538,691 in 1981; no employee
contributions were made as none
are required. The Plan’s assets,
totaling $7,676,285, on December
31, 1981, are held in a trust fund
by North Carolina National Bank
as trustee. NCNB manages
approximately two-thirds of the
assets and Sterling Management
of Charlotte, N.C., manages the
remaining one-third. These
assets can be used solely to
provide benefits for the em
ployees who participate in the
Plan.
gauged; excessive.knotting in the
yarn can occur if the yarn is
improperly processed; the wrong
kind of yam can be threaded into
a machine, needles break, jacks
break, the yarn can be im
properly waxed and of course the
possibility of human error always
is present.
“The possibilities for less than
perfect knitting can seem endless
when you start listing them,”
Tommy said. “But in spite of
this, Adams-Millis produces
hundreds of thousands of perfect
socks every week. This is ac
complished because we have
experienced employees who are
intent on performing their jobs
correctly.
“But, as in any industry which
also must require production
goals as well as top quality
products, we have to monitor our
production constantly. There is
no doubt in my mind that Adams-
Millis can increase the quantity
Continued To Page 2
Quality Control Means
Savings For Company
Robert M. Bundy, Jr.
Adams-Millis currently is in an
effort to increase and maintain
Quality Control in every depart
ment of the Corporation. Robert
M. Bundy, Jr., President of
Adams-Millis Hosiery Company,
said a substantial decrease in the
percentage of irregulars produc
ed in Adams-Millis plants could
mean a savings of at least a half
million dollars annually.
“Companies throughout the
United States are having to take
stock in their production,” Mr.
Bundy said, “to find ways of
maintaining production goals,
but at the same time decreasing
the quantity of imperfect goods
that come through.”
Competition from foreign pro
ducers and increased demand for
first-quality products are just two
of the factors necessitating more
emphasis on quality control, as
well as the cost such imperfect
goods represent to a company,
Mr. Bundy added.
“The economy today makes it
imperative for every company to
scrutinize as closely as possible
every factor of its production,
“Mr. Bundy emphasized. “At
Adams-Millis, we always have
prided ourselves on producing a
high percentage of first-quality
goods. Now we want to increase
this percentage. I know we can-
it will take dedicated effort on the
part of all of us, but if we all
recognize the importance of this
effort, I think we will welcome it
as an exciting challenge.”
Plants 1 And 8 Win Awards
For No Disabling Accidents
Adams-Millis Hosiery Com
pany’s Plant 1 in High Point and
Plant 8 in Franklinton recently
were given special awards for
completing the year 1981 with no
disabling accidents. Bill Millis is
Plant Manager of Plant 1 and
Rick Norwood of Plant 8.
is given annually by Adams-
Millis Corporation to those plants
achieving this safety record.
William B. Mewborne, Jr.,
President and Chief Operating
Officer of Adams-Millis Corpora
tion, presented the awards at a
recent meeting of Plant
Managers in the Administrative
Offices in High Point. This award
Also at this meeting, six plants
were recognized by Liberty
Mutual Insurance Company for
completing more than 200,000
consecutive manhours without a
disabling injury. Plant 1 and
Plant 8 also received this award,
with Plant 1 having completed
359,338.8 manhours without a
disabling accident, and Plant 8
completing 232,404.7 manhours.
Other plants receiving the
Liberty Mutual award were:
Plant 4 in Kernersville, Roger
Triplett, Plant Manager; Plant 6
in Hickory, James Clarke, Plant
Manager; Plant 7, High Point,
Joe Duncan, Plant Manager; and
Plant 11, Mt. Airy, Van Joyce,
Plant Manager who since has
been promoted to Group
Manager.
Plant 4 completed 508,448.8
manhours; Plant 6 completed
493,285.2 manhours; Plant 7 com
pleted 390,924.2 manhours; and
Plant 11 completed 275,676.3
manhours.