Document:

<PAGE>

                                                                   Exhibit 10.16

                             ALLTRISTA CORPORATION

                      EXCESS SAVINGS AND RETIREMENT PLAN

                             Effective May 1, 1997
<PAGE>

                             ALLTRISTA CORPORATION
                      EXCESS SAVINGS AND RETIREMENT PLAN
                         (Amended on February 1, 2001)

1.   Statement of Purpose

     The purpose of the Alltrista Corporation Excess Savings and Retirement Plan
     (the "Excess Plan") is to provide benefits to current and retired employees
     of Alltrista Corporation (the "Company") and its subsidiaries who
     participate in or previously participated in the Alltrista Corporation
     Savings and Retirement Plan (the "Underlying 401(k) Plan") and whose
     allocable contributions under the Underlying 401(k) Plan will be or have
     been limited due to the participant's compensation by one or more
     provisions of the Internal Revenue Code of 1986, as amended, or the
     regulations promulgated thereunder (the "Tax Law Restrictions").

2.   Definitions (any term for which a definition is not provided shall be taken
     to have the same meaning as it has, or may have from time to time under the
     Underlying 401(k) Plan):

     2.01.  Beneficiary - "Beneficiary" means the person or persons designated
            -----------
            as such in accordance with Section 8.

     2.02.  Committee - "Committee" (also referred to as the "Executive
            ---------
            Compensation Committee") means the committee appointed by the Board
            of Directors that will administer the Excess Plan.

     2.03.  Declining Balance Installments - "Declining Balance Installments"
            ------------------------------
            means a series of annual payments such that each payment is
            determined by taking that portion of the Participant's Excess 401(k)
            Account in the Equity Index Account as of the Distribution Date and
            dividing by the number of years of distributions remaining.

     2.04.  Disability - "Disability" means the Participant is receiving
            ----------
            disability benefits under the long term disability benefit plan
            sponsored by the Employer.

     2.05.  Distribution Date - "Distribution Date" means the date on which the
            -----------------
            Company makes distributions from the Participant's Excess 401(k)
            Account.

     2.06.  Effective Date - "Effective Date" means May 1, 1997, the date on
            --------------
            which the Excess Plan commenced.

     2.07.  Eligible Employee - "Eligible Employee" means any employee of the
            -----------------
            Company whose compensation and participation in the Underlying
            401(k) Plan qualifies him/her for participation in the Excess Plan.

                                       1
<PAGE>

     2.08.  Eligible Retiree - "Eligible Retiree" means any retiree of the
            ----------------
            Company who had ten or more years of Vesting Service as of April 2,
            1993 under the Ball Corporation Salary Conversion Plan and whose
            former participation in the Underlying 401(k) Plan and former
            compensation qualifies him/her for participation in the Excess Plan.

     2.09.  Employer - "Employer" means Alltrista Corporation and any subsidiary
            --------
            entity in which Alltrista Corporation holds a fifty percent (50%) or
            more interest, either:  (i) directly as a stockholder or partner in
            such subsidiary entity; or (ii) indirectly as a stockholder or
            partner in one or more other entities which in turn are stockholders
            or partners in such subsidiary entity.

     2.10.  Equity Index Account - "Equity Index Account" means an investment
            --------------------
            option providing for a return based upon a hypothetical investment
            of the Excess 401(k) Account, or a portion thereof, in the S&P 500
            Index.

     2.11.  Excess 401(k) Account - "Excess 401(k) Account" means the account
            ---------------------
            maintained by the Company for each Participant pursuant to Section
            6.

     2.12.  Executive Compensation Committee - "Executive Compensation
            --------------------------------
            Committee" (also referred to as the "Committee") means the committee
            appointed by the Board of Directors that will administer the Excess
            Plan.

     2.13.  Fixed Account - "Fixed Account" means an investment option providing
            -------------
            for a stated amount of interest to be credited to the Excess 401(k)
            Account, or a portion thereof, based on Moody's.

     2.14.  Initial Make-up Contribution - "Initial Make-up Contribution" means
            ----------------------------
            the amount determined by the Committee to be credited to the
            Participant's Excess 401(k) Account that will provide for the amount
            of contribution not made to the Participant's Underlying 401(k) Plan
            account due to associated Tax Law Restrictions for the period from
            Company inception through the end of 1996.

     2.15.  Investment Allocation Change Form - "Investment Allocation Change
            ---------------------------------
            Form" means the form attached to this Excess Plan and filed with the
            Committee by the Participant in order to request a change in the
            allocation of the Participant's Excess 401(k) Account between the
            Fixed Account and the Equity Index Account. The terms and conditions
            specified in the Investment Allocation Change Form are incorporated
            by reference herein and form a part of the Excess Plan.

     2.16.  Investment Election and Distribution Form - "Investment Election and
            -----------------------------------------
            Distribution Form" means the form attached to this Excess Plan and
            filed with the Committee by the Participant in order to participate
            in the Excess Plan. The terms and conditions specified in the
            Investment Election and Distribution Form are incorporated by
            reference herein and form a part of the Excess Plan.

                                       2
<PAGE>

     2.17.  Make-up Contribution - "Make-up Contribution" means the amount
            --------------------
            determined by the Committee to be credited to the Participant's
            Excess 401(k) Account each year that will provide for the amount of
            contribution not made to the Participant's Underlying 401(k) Plan
            account due to associated Tax Law Restrictions.

     2.18.  Moody's - "Moody's" means the annual average composite yield on
            -------
            Moody's Seasoned Corporate Bond Yield Index as determined from
            Moody's Bond Record published by Moody's Investors Service, Inc. (or
            any successors thereto), or, if such yield is no longer published, a
            substantially similar average selected by the Company.

     2.19.  Participant - "Participant" means an Eligible Employee or Eligible
            -----------
            Retiree participating in the Excess Plan in accordance with the
            provisions of Section 4.

     2.20.  Related Employment - "Related Employment" means the transfer of a
            ------------------
            Participant within the Employer entities defined in Section 2.09,
            provided: (i) that immediately prior to such employment the
            Participant was an employee of the Employer or was engaged in
            Related Employment as herein defined; and (ii) such employment is
            recognized by the Committee, in its sole discretion, as Related
            Employment.

     2.21.  Retirement - "Retirement" means termination of the Participant's
            ----------
            employment with the Employer after attaining age 55 and after having
            a minimum of ten (10) Years of Vesting Service ( as defined in the
            Underlying 401(k) Plan).

     2.22.  S&P 500 Investment Return - "S&P 500 Investment Return" means the
            -------------------------
            return used to determine the amount of gain or loss credited to that
            portion of a Participant's Excess 401(k) Account in the Equity Index
            Account under Sections 6.5 and 6.6. The return for a year shall be
            determined by using a hypothetical investment in the Standard &
            Poor's 500 Composite Stock Index inclusive of reinvested dividends
            less management fees (currently 25 basis points a year, but may be
            changed by the Committee to no more than 50 basis points).

     2.23.  Substantially Equal Installments - "Substantially Equal
            --------------------------------
            Installments" means a series of annual payments such that equal
            payments over the payment periods chosen would exactly amortize the
            Excess 401(k) Account balance in the Fixed Account as of the final
            distribution date if the credited interest rate remained constant at
            the level credited as of the Valuation Date immediately preceding
            the Distribution Date for the remainder of the payment periods.

     2.24.  Termination of Employment - "Termination of Employment" means: (i)
            -------------------------
            the termination of a Participant's employment with the Employer for
            any reason other than Disability or Related Employment; or (ii) the
            termination of a Participant's Related Employment.

                                       3
<PAGE>

     2.25.  Valuation Date - "Valuation Date" means the date on which the value
            --------------
            of a Participant's Excess 401(k) Account is determined as provided
            in Section 6 hereof. Unless and until changed by the Committee, the
            Valuation Date shall be the last day of each calendar year.

3.   Administration of the Excess Plan

     The Executive Compensation Committee, by appointment of the Board of
     Directors of the Company (also referred to as the "Board" or the "Board of
     Directors"), shall be the sole administrator of the Excess Plan.  The
     Committee shall have full power to formulate additional details and
     regulations for carrying out this Excess Plan.  The Committee also shall be
     empowered to make any and all of the determinations not authorized
     specifically herein that may be necessary or desirable for the effective
     administration of the Excess Plan.  Any decision or interpretation of any
     provision of this Excess Plan adopted by the Committee shall be final and
     conclusive.

4.   Participation

     4.1.   Participation by Eligible Retirees. Participation in the Excess Plan
            -----------------------------------
            shall be available to Eligible Retirees with an Initial Make-up
            Contribution of $2,500 or more who elect to participate in the
            Excess Plan by filing an Investment Election and Distribution Form
            with the Committee prior to June 1, 1997. Those Eligible Retirees
            with an Initial Make-up Contribution of less than $2,500 will
            receive their Initial Make-up Contribution as soon as feasible after
            the Effective Date of the Excess Plan.

     4.2.   Participation by Eligible Employees.  Participation in the Excess
            ------------------------------------
            Plan shall be available to Eligible Employees who elect to
            participate in the Excess Plan by filing an Investment Election and
            Distribution Form with the Committee.

5.   Vesting of Excess 401(k) Account

     A Participant's interest in his/her Excess 401(k) Account and interest
     and/or investment return credited thereto shall vest immediately.

6.   Accounts and Valuations

     6.1.   Excess 401(k) Accounts. The Committee shall establish and maintain a
            ----------------------
            separate Excess 401(k) Account for each Participant. Initial Make-up
            Contributions from the Company shall be credited to a Participant's
            Excess 401(k) Account as of June 1, 1997. Make-up Contributions
            shall be credited to a Participant's Excess 401(k) Account on
            January 1 of the year following to which they relate.

                                       4
<PAGE>

     6.2.  Investment Allocation of Excess 401(k) Account.  The Participant's
           -----------------------------------------------
           Excess 401(k) Account shall be deemed to be invested in either the
           Fixed Account or the Equity Index Account, or both, in accordance
           with the Participant's election as provided in the Investment and
           Distribution Election Form. In the event a Participant fails to make
           a timely election, the Participant's Excess 401(k) Account shall be
           deemed to be invested in the Fixed Account.

     6.3.  Interest Rate Credited. That portion of the Participant's Excess
           ----------------------
           401(k) Account in the Fixed Account shall be credited with interest
           on each Valuation Date, as provided hereinafter, at an annual rate
           equal to Moody's.

     6.4.  Timing of Crediting of Interest.  That portion of the Participant's
           -------------------------------
           Excess 401(k) Account in the Fixed Account shall be revalued and
           credited with interest as of each Valuation Date. As of each
           Valuation Date, the value of that portion of the Participant's Excess
           401(k) Account in the Fixed Account shall consist of the balance of
           such Excess 401(k) Account as of the immediately preceding Valuation
           Date plus the amount of any additional Make-up Contribution credited
           to the Fixed Account and any transfers from the Equity Index Account
           since the preceding Valuation Date, minus the amount of all
           distributions from and transfers to the Equity Index Account since
           the preceding Valuation Date. As of each Valuation Date, interest
           shall be credited on that portion of the Participant's Excess 401(k)
           Account in the Fixed Account since the immediately preceding
           Valuation Date after adjustment for any additions thereto or
           distributions or transfers therefrom. Normal benefit distributions
           (under Section 7.1) from the Fixed Account made on or before February
           15 of the year of payment will be considered to have been made from
           the account and deducted from the account balance as of January 1 of
           such year for the purpose of crediting interest under this Section
           6.4. Interest on Hardship Benefits distributed from the Fixed Account
           will be prorated to the date of distribution for the purpose of
           crediting interest under this Section 6.4.

     6.5.  Investment Return Credited.  That portion of the Participant's Excess
           ---------------------------
           401(k) Account in the Equity Index Account shall be credited annually
           with an investment return at a rate equal to the S&P 500 Investment
           Return.

     6.6.  Timing of Crediting of Investment Return.  That portion of the
           -----------------------------------------
           Participant's Excess 401(k) Account in the Equity Index Account shall
           be revalued and credited with investment return as of each Valuation
           Date. As of each Valuation Date, the value of that portion of the
           Participant's Excess 401(k) Account in the Equity Index Account shall
           consist of the balance of such Equity Index Account as of the
           immediately preceding Valuation Date, plus any Make-up Contribution
           credited to the Equity Index Account and any transfers from the Fixed
           Account since the preceding Valuation Date, minus the amount of all
           distributions and transfers to the Fixed Account made from such
           Equity Index Account since the preceding Valuation Date. As of each
           Valuation Date, the investment return shall be credited

                                       5
<PAGE>

           on that portion of the Participant's Excess 401(k) Account in the
           Equity Index Account since the immediately preceding Valuation Date
           after adjustment for any additions thereto or distributions or
           transfers therefrom. Benefit distributions (under Section 7) from the
           Equity Index Account made on or before February 15 of the year of
           payment will be considered to have been made and deducted from the
           account balance as of January 1 of such year for the purpose of
           crediting investment return under this Section 6.6. The investment
           return on Hardship Benefits distributed from the Equity Index Account
           will be calculated to the date of distribution for the purpose of
           crediting the investment return under this Section 6.6.

     6.7.  Change of Investment Allocation by a Participant.  A Participant may
           -------------------------------------------------
           change his/ her investment allocation once a year. Any change will be
           effective as of January 1 of the next year if the Participant submits
           an Investment Allocation Change Form to the Committee by December 15
           of any year.

7.   Benefits

     7.1.  Normal Benefit
           --------------

           a.   A Participant's Excess 401(k) Account shall be paid to the
                Participant as requested in his/her Investment and Distribution
                Election Form, subject to the terms and conditions set forth in
                the Excess Plan, including the Investment and Distribution
                Election Form. If a Participant elects to receive payment of
                his/ her Excess 401(k) Account in the Fixed Account in
                installments, payments shall be made in Substantially Equal
                Installments. If a Participant elects to receive payment of
                his/her Excess 401(k) Account in the Equity Index Account in
                installments, payments shall be made in Declining Balance
                Installments. In the event a Participant fails to file an
                Investment and Distribution Election Form (or files a form that
                fails to specify the timing of payments), the Participant's
                Excess 401(k) Account shall be paid to the Participant in a lump
                sum in the year following Termination of Employment. Unless the
                Executive Compensation Committee determines otherwise, and
                subject to the provisions of Section 7.4. as to when payments
                shall commence, distribution payments, whether lump sum or
                installment, shall be made on or before the fifteenth (15th) day
                of February of each year.

           b.   If a Participant dies before receiving his/her total Excess
                401(k) balance, whether distributions have commenced earlier or
                not, his/her Beneficiary shall be entitled to the remaining
                account balances in accordance with the payment elections in the
                Election Form, except that such payments, if not already
                commenced, shall commence on or before February 15 next
                following the date of the Participant's death.

                                       6
<PAGE>

     7.2.  Hardship Benefit.  In the event that the Executive Compensation
           ----------------
           Committee, upon written request of a Participant or Beneficiary of a
           deceased Participant, determines in its sole discretion, that such
           person has suffered an unforeseeable financial emergency, the Company
           shall pay to such person, from the Excess 401(k) Account of the
           Participant or Beneficiary, as soon as practicable following such
           determination, an amount necessary to meet the emergency, not in
           excess of the amount of the Excess 401(k) Account. The Excess 401(k)
           Account of the Participant shall thereafter be reduced to reflect the
           payment as of the date paid of a Hardship Benefit.

     7.3.  Request to Committee for Delay in Payment.  A Participant shall have
           ------------------------------------------
           no right to modify in any way the schedule for the distribution of
           amounts from his/her Excess 401(k) Account that he/she has specified
           in his/her Investment and Distribution Election Form. However, upon a
           written request submitted by the Participant to the Committee, the
           Committee may, in its sole discretion:

           .  Postpone one time the date on which payment shall commence, but
              not beyond the year in which he/she will attain age seventy-one
              (71); and

           .  At the same time, increase the number of installments to a number
              not to exceed fifteen (15).

           Any such request(s) must be made prior to the earlier of (a) the
           beginning of the year that the Participant has elected for
           distributions to commence, or (b) the Termination of Employment.

     7.4.  Date of Payments.  Except as otherwise provided in this Excess Plan,
           ----------------
           payments under this Excess Plan shall begin on or before the
           fifteenth (15th) day of February of the calendar year following
           receipt of notice by the Executive Compensation Committee of an event
           that entitles a Participant (or Beneficiary) to payments under the
           Excess Plan, or at such earlier date after receipt of such notice as
           may be determined by the Executive Compensation Committee.

     7.5.  Termination of Employment Before Retirement.  In the event that a
           --------------------------------------------
           Participant has a Termination of Employment prior to Retirement
           (other than by death, for which benefits and/or accounts will be paid
           in accordance with Section 7.1.b.), then the Participant's Excess
           401(k) Account will be paid to him/her in a lump sum on or before the
           fifteenth (15th) day of February in the year following the year in
           which the Termination of Employment occurred, unless otherwise
           determined by the Committee. Upon written request of the Participant
           made within thirty (30) days following Termination of Employment, the
           Committee may, in its sole discretion, determine that, in lieu of a
           lump sum, payments shall be made to the Participant in

                                       7
<PAGE>

           not more than five (5) Substantially Equal Installments, commencing
           on or before such next fifteenth (15th) day of February following the
           date of Termination of Employment. The interest or investment return
           credited to the Participant's Excess 401(k) Account on the Valuation
           Date next following the Termination of Employment shall be as
           provided in Section 6., above. If payments are to be made in
           installments, both Fixed and Equity Index Accounts will be combined
           into one amount that will be the Participant's Excess 401(k) Account
           going forward and the interest rate credited to the Participant's
           Excess 401(k) Account on all Valuation Dates subsequent to the
           Valuation Date next following Termination of Employment (and to be
           considered as the interest rate on such Valuation Date next following
           Termination of Employment for the sole purpose of calculating
           Substantially Equal Installments under Section 2.22., above) shall be
           limited to the daily weighted average borrowing rate paid by the
           Company during the then calendar year for total borrowing.

     7.6.  Taxes: Withholding.  To the extent required by law, the Company shall
           ------------------
           withhold from payments made hereunder any amount required to be
           withheld by the federal government, or any state or local government.

     7.7.  Liquidating Distributions.  Notwithstanding any provisions of the
           -------------------------
           Excess Plan or the Participant's Investment and Distribution Election
           Form to the contrary, upon written request for a Liquidating
           Distribution submitted by the Participant (or Beneficiary) to the
           Executive Compensation Committee following a Change in Control, the
           Company must pay to the Participant (or Beneficiary following the
           death of Participant) the Participant's (or Beneficiary's)
           Liquidating Distribution Account Balance in a lump sum as soon as
           practicable, but no later than 60 days, following the request.

           "Liquidating Distribution" shall mean a distribution requested by the
           Participant (or Beneficiary) in writing directed to the Committee and
           specifically referencing this section. "Liquidating Distribution
           Account Balance" shall mean the Participant's (or Beneficiary's)
           Excess 401(k) Account balance increased by interest credited or
           investment return credited or debited on the account to the date of
           distribution from the preceding Valuation Date, and decreased by a
           forfeiture penalty equal to six percent (6%) of the value of the
           Participant's Excess 401(k) Account as of the date of distribution.

           Notwithstanding any provisions of the Plan to the contrary, if a
           Participant requests a Liquidating Distribution within sixty (60)
           days following the effective date of a Change in Control, the
           Liquidating Distribution Account Balance shall be paid as set forth
           above except that the forfeiture penalty of six percent (6%) of the
           value of the Participant's (or Beneficiary's) Deferred Compensation
           Account(s) as of the date of distribution shall not be applied.

                                       8
<PAGE>

           Notwithstanding any provisions of the Excess Plan or the
           Participant's Election Form to the contrary, if the Participant
           requesting the Liquidating Distribution is, at the time of the
           request, an active employee of the Employer, then the Participant
           shall, for a period of two (2) calendar years beginning with the
           calendar year during which the request for Liquidating Distribution
           is made, be ineligible to participate in the Excess Plan.

           For purposes of this Section, a "Change in Control" shall be deemed
           to have occurred if:

           (a)  any "Person", which shall mean a "person" as such term is used
                in Section 13(d) and 14(d) of the Securities Exchange Act of
                1934, as amended (the "Exchange Act"), other than the Company,
                any trustee or other fiduciary holding securities under an
                employee benefit plan of the Company, or any company owned,
                directly or indirectly, by the shareholders of the Company in
                substantially the same proportions as their ownership of stock
                of the Company, is or becomes the "beneficial owner" (as defined
                in Rule 13d-3 under the Exchange Act), directly or indirectly,
                of securities of the Company representing 30 percent or more of
                the combined voting power of the Company's then outstanding
                securities;

           (b)  at any time during any period of two consecutive years,
                individuals, who at the beginning of such period constitute the
                Board, and any new director (other than a director designated by
                a Person who has entered into an agreement with the Company to
                effect a transaction described in clause (a), (c) or (d) of this
                Section) whose election by the Board or nomination for election
                by the Company's shareholders was approved by a vote of at least
                two-thirds of the directors at the beginning of the period or
                whose election or nomination for election was previously so
                approved, cease for any reason to constitute at least a majority
                thereof;

           (c)  the shareholders of the Company approved a merger or
                consolidation of the Company with any other company, other than
                (i) a merger or consolidation that would result in the voting
                securities of the Company outstanding immediately prior thereto
                continuing to represent (either by remaining outstanding or by
                being converted into voting securities of the surviving entity)
                more than 50 percent of the combined voting power of the voting
                securities of the Company, or such surviving entity outstanding
                immediately after such merger or consolidation, or (ii) a merger
                or consolidation effected to implement a recapitalization of the
                Company (or similar transaction) in which no Person acquired 50
                percent or more of the combined voting power of the Company's
                then outstanding securities; or

                                       9
<PAGE>

           (d)  the shareholders of the Company approve a plan of complete
                liquidation of the Company or an agreement for the sale or
                disposition by the Company of all or substantially all of the
                Company's assets.

8.   Beneficiary Designation

     A Participant shall have the right at any time, and from time to time, to
     designate and/or change or cancel any person, persons, or entity as his/her
     Beneficiary or Beneficiaries (both principal and contingent) to whom
     payment under this Excess Plan shall be paid in the event of his/ her death
     prior to complete distribution to Participant of the benefits due him/her
     under the Excess Plan.  Each beneficiary change or cancellation shall
     become effective only when filed in writing with the Executive Compensation
     Committee during the Participant's lifetime on a form provided by the
     Committee.

     The filing of a new Beneficiary designation form will cancel any
     Beneficiary designation previously filed.  Any finalized divorce of a
     Participant subsequent to the date of filing of a Beneficiary designation
     form shall revoke such designation if it was for the spouse Participant
     subsequently divorced.  The spouse of a married Participant domiciled in a
     community property jurisdiction shall be required to join in any
     designation of Beneficiary or Beneficiaries other than the spouse in order
     for the Beneficiary designation to be effective.

     If a Participant fails to designate a Beneficiary as provided above, or if
     his/her beneficiary designation is revoked by divorce, or otherwise,
     without execution of a new designation, or if all designated Beneficiaries
     predecease the Participant, then the distribution of such benefits shall be
     made in a lump sum to the Participant's estate.

     If any installment distribution has commenced to a Beneficiary and the
     Beneficiary dies before receiving all installments, any remaining
     installments shall be paid in a lump sum to the estate of the Beneficiary.

9.   Amendment and Termination of Excess Plan

     9.1.  Amendment.  The Board of Directors at any time may amend the Excess
           ---------
           Plan in whole or in part, provided, however, that no amendment shall
           be effective to reduce the value of any Participant's Excess 401(k)
           Account or to affect the Participant's vested right therein, and,
           except as provided in 9.2. or 9.3., no amendment shall be effective
           to decrease the future benefits under the Excess Plan payable to any
           Participant or Beneficiary with respect to any Make-up Contribution
           that was made prior to the date of the amendment. Written notice of
           any amendments shall be given promptly to each Participant.

                                       10
<PAGE>

     9.2.   Termination of Excess Plan
            --------------------------

            a.   Company's Right to Terminate. The Board of Directors at any
                 ----------------------------
                 time may terminate the Excess Plan as to prospective
                 contributions and credits of interest or investment return, if
                 it determines in good faith that the economic acceptability of
                 the Excess Plan has been impaired substantially and that the
                 resulting cost to the Company is substantially and unacceptably
                 greater than the cost anticipated at the Effective Date. No
                 such termination of the Excess Plan shall reduce the balance in
                 a Participant's Excess 401(k) Account or affect the
                 Participant's vested right therein.

            b.   Payments Upon Termination of Excess Plan.  Upon termination of
                 ----------------------------------------
                 the Excess Plan under this Section 9.2., Make-up Contributions
                 for an additional year shall not be made under the Excess Plan.
                 With respect to then-existing Excess 401(k) Accounts, the
                 Company will, depending upon the Participant's election at that
                 time: (i) pay to the Participant, in a lump sum, the value of
                 each of his/her Excess 401(k) Accounts; (ii) continue to invest
                 the contributions under the Excess Plan, but with only the
                 Fixed Account option and with the interest rate credited on all
                 future Valuation Dates to be equal to the daily average of the
                 best interest rate available to the Company during the then
                 calendar year for short-term borrowings; or (iii) make such
                 other arrangement as the Committee determines appropriate.

     9.3.   Successors and Mergers, Consolidations or Change in Control. The
            -----------------------------------------------------------
            terms and conditions of this Excess Plan and Investment and
            Distribution Election Form shall inure to the benefit of and bind
            the Company, the Participants, their successors, assigns, and
            personal representatives. If substantially all of the stock or
            assets of the Company are acquired by another corporation or entity,
            or if the Company is merged into, or consolidated with, another
            corporation or entity, then the obligations created hereunder shall
            be obligations of the acquirer or successor corporation or entity.

10.  Miscellaneous

     10.1.  Unsecured General Creditor.  Participants and their beneficiaries,
            --------------------------
            heirs, successors and assigns shall have no legal or equitable
            rights, interests, or other claims in any property or assets of the
            Company. The Company's obligation under the Excess Plan shall be
            that of an unfunded and unsecured promise to pay money in the
            future.

     10.2.  Obligations to the Employer.  If a Participant becomes entitled to a
            ---------------------------
            distribution of benefits under the Excess Plan, and if at such time
            the Participant has outstanding any debt, obligation, or other
            liability representing an amount owed to the

                                       11
<PAGE>

            Employer, then the Company may offset such amounts owing it or an
            affiliate against the amount of benefits otherwise distributable.
            Such determination shall be made by the Committee.

     10.3.  Non-Assignability.  Neither a Participant nor any other person shall
            -----------------
            have any right to commute, sell, assign, transfer, pledge,
            anticipate, mortgage, or otherwise encumber, transfer, hypothecate
            or convey in advance of actual receipt, the amounts, if any, payable
            hereunder, or any part thereof, that are, and all rights to which
            are expressly declared to be unassignable and nontransferable. No
            part of the amounts payable shall, prior to actual payment, be
            subject to seizure or sequestration for the payment of any debts,
            judgments, alimony or separate maintenance owed by a Participant or
            any other person, nor be transferable by operation of law in the
            event of a Participant's or any other person's bankruptcy or
            insolvency.

     10.4.  Employment or Future Eligibility to Participant Not Guaranteed.
            --------------------------------------------------------------
            Nothing contained in this Excess Plan, nor any action taken
            hereunder, shall be construed as a contract of employment or as
            giving an Eligible Employee any right to be retained in the employ
            of the Employer.

     10.5.  Gender Singular and Plural.  All pronouns and any variations
            --------------------------
            thereof shall be deemed to refer to the masculine, feminine, or
            neuter, as the identity of the person or persons may require. As the
            context may require, the singular may be read as the plural and the
            plural as the singular.

     10.6.  Captions.  The captions to the articles, sections, and paragraphs of
            --------
            this Excess Plan are for convenience only and shall not control or
            affect the meaning or construction of any of its provisions.

     10.7.  Applicable Law.  This Excess Plan shall be governed and construed in
            --------------
            accordance with the laws of the State of Indiana.

     10.8.  Validity.  In the event any provision of this Excess Plan is held
            --------
            invalid, void, or unenforceable, the same shall not affect, in any
            respect whatsoever, the validity of any other provision of this
            Excess Plan.

     10.9.  Notice.  Any notice or filing required or permitted to be given to
            ------
            the Executive Compensation Committee shall be sufficient if in
            writing and hand delivered, or sent by registered or certified mail,
            to the principal office of the Company, directed to the attention of
            the President of the Company. Such notice shall be deemed given as
            of the date of delivery or, if delivery is made by mail, as of the
            date shown on the postmark on the receipt for registration or
            certification.

                                       12<PAGE>

                                                                    EXHIBIT 10.8

                   SECOND AMENDMENT TO EMPLOYMENT AGREEMENT

     This Amendment to Employment Agreement (the "Amendment"), dated as of the
23rd day of January, 2001 by and between COMFORCE Corporation ("COMFORCE") a
Delaware corporation, and COMFORCE Operating, Inc. ("COI"), a Delaware
corporation that is wholly-owned by COMFORCE (COMFORCE and COI are collectively
referred to as the "Employer"), and John C. Fanning, a resident of the State of
Florida ("Employee").

                                   RECITALS:
                                   --------

     A.   The parties entered into an Employment Agreement (the "Employment
Agreement") dated as of January 1, 1999, as amended by the amendment dated as of
March 28, 2000, pursuant to which Employer formalized the terms upon which
Employee is employed by Employer.

     B.   The parties desire to further amend the Employment Agreement as herein
provided.

     NOW, THEREFORE, in consideration of the promises and mutual obligations of
the parties contained herein, and for other valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties hereto agree as
follows:

     1.   Section 2 of the Employment Agreement is hereby amended by changing
the Initial Termination Date therein from December 31, 2001 to December 31,
2003.

     2.   Section 4(a) of the Employment Agreement is hereby amended in its
entirety to read as follows:

          (a)    Base Salary.
                 -----------

             (i)    Base Salary for 2000.
                    ---------------------

             As Employee's base compensation for all services to be performed
  hereunder during the calendar year ending on December 31, 2000, Employer shall
  pay Employee an annual salary of One Hundred Thousand Dollars ($100,000),
  payable in accordance with the Employer's payroll practices for its officers.

             (ii)   Base Salary Commencing January 1, 2001.
                    ---------------------------------------

             Commencing January 1, 2001 and continuing during the balance Term
  of Employment, as Employee's base compensation for all services to be
  performed hereunder, Employer shall pay Employee an annual salary ("Base
  Salary") of Three Hundred Eighty Five Thousand Dollars ($385,000), payable in
  accordance with the Employer's payroll practices for its officers. The Base
  Salary will increase annually during the Term of Employment on each January 1,
  beginning January 1, 2002, by the greater of (i) seven percent (7%) or (ii) a
  percentage equivalent to the percentage increase of (a) the Price Index (as
  defined below) for the most recently available month at the time of each such
  increase over (b) the Price Index reported for the same month one year prior
  (such percentage increase calculated pursuant to this Section 4(a) is referred
  to herein as the "CPI Increase"). The Base Salary shall also be increased from
  time to time at the discretion of the Board of Directors or any committee
  thereof having authority over Employee's compensation to account for material
  changes of circumstances of the Employer or of the responsibilities of
  Employee, and may be increased by the Board or such committee from time to
  time in its discretion for any other reason whatsoever.

          For purposes of this Agreement, "Price Index" shall mean the United
  States Department of Labor, Bureau of Labor Statistics, Consumer Price Index
  U.S. City Averages, all Urban Consumers, All Items, 1982-84 = 100.  If the
  manner in which the Price Index as determined by the Department of Labor shall
  be substantially revised, or if the 1982-84 average shall no longer be used as
  an index of 100, an adjustment shall be made in such revised index so that the
  number used shall be that which
<PAGE>

  would have been obtained if the Price Index had not been so revised or if said
  average was still in use. If the Price Index shall become unavailable for any
  reason whatsoever, the parties will substitute therefor a comparable index
  based upon changes in the cost of living or purchasing power of the consumer
  dollar published by an other governmental agency or, if no such index shall
  then be available, a comparable index published by a major bank or other
  financial institution.

  3.  Section 4(d) of the Employment Agreement is amended in its entirety to
read as follows:

      (d)   Benefit and Deferred Compensation Plans
            ---------------------------------------

         (i)    Medical, Dental and Pension Benefits.
                ------------------------------------

         Employee shall receive such incidental benefits of employment, such as
  medical and dental insurance, and pension plan participation as are provided
  generally to the Employer's other executive officers.  Without limiting the
  foregoing, effective as of January 1, 2000, the Company shall reimburse
  Employee for the amounts he is required to pay for health insurance in
  accordance with the terms of the Company's cafeteria plan under Section 125 of
  the Internal Revenue Code of 1986, as amended.

         (ii)   Continuation of Salary During Disability.
                ----------------------------------------

         If Employee becomes disabled during the Term of Employment because of
  sickness, physical or mental disability, or for any other reason so that he is
  unable to perform his duties hereunder.  Employer agrees to continue
  Employee's salary during such disability throughout the Term of Employment.
  These benefits may be provided in whole or in part by a policy of disability
  insurance.

         (iii)   Deferred Compensation Plan.
                 ---------------------------

         Notwithstanding anything to the contrary herein contained, this
  Agreement shall not be deemed to have terminated the deferred compensation
  plan of the Company that became effective in 1992, and the Company shall make
  all contributions to such plan in respect of the Employee as required thereby.

         4.      Section 4(e) of the Employment Agreement is amended in its
entirety to read as follows:

      (e)     Incentive Compensation.
              ----------------------

         (i)     Incentive Compensation for 2000.
                 --------------------------------

         In addition to Employee's compensation as provided herein, Employer
  shall pay to Employee incentive compensation for the calendar year ending on
  December 31, 2000 in an amount equal to 10% of the Employer's consolidated
  pre-tax operating income in excess of $2,000,000, but not in excess of
  $4,000,000, plus 5% of such income in excess of $4,000,000, but not in excess
  of $10,000,000, plus 3.5% of such income in excess of $10,000,000.

         (ii)    Incentive Compensation Commencing January 1, 2001.
                 --------------------------------------------------

         In addition to Employee's compensation as provided herein, Employer
  shall pay to Employee incentive compensation for the calendar year ending on
  December 31, 2001 and each year during the balance of the Term of Employment
  in an amount equal to 5% of the Employer's pre-tax operating income in excess
  of $2,500,000, but not in excess of $3,000,000 plus 3.5% of such income in
  excess of $3,000,000.  For this purpose, "pre-tax operating income" shall mean
  the consolidated earnings of the Employer and its subsidiaries before (i)
  deduction of, or allowance or provision for, taxes based on income, (ii)
  deduction of, or allowance or provision for, the incentive compensation

                                                                               2
<PAGE>

     payable pursuant to this Agreement or incentive compensation based upon
     consolidated income or profits of the Employer payable pursuant to any
     other employment agreement or arrangement between the Employer and any
     employee thereof, or as from time to time hereafter amended, or any
     successor agreement thereto, and (iii) any extraordinary gain or loss.

          (iii)  Computation and Payment of Incentive Compensation.
                 --------------------------------------------------

          The amount of any incentive compensation to which Employee becomes
  entitled to receive under this Agreement shall be payable as follows:  Within
  45 days after the end of each of the first three quarters in each calendar
  year (which is the Company's fiscal year), the Company shall make an estimated
  payment of incentive compensation to Employee on the basis of the Company's
  unaudited pre-tax operating income in respect of the period from the beginning
  of the year to the close of such quarter. Estimated payments shall be made in
  amounts such that at the end of each of the first three quarters of the year,
  Employee shall have received an amount equal to 50% of the incentive
  compensation to which he would be entitled based upon the Company's pre-tax
  operating income in respect of the period then ended, after taking into
  consideration of all prior estimated payments made for such year.

          On or before April 30 of each year during the term of this Agreement,
  the actual amount of incentive compensation, if any, to which Employee shall
  be entitled to receive for the most recently completed calendar year shall be
  computed, and the amount by which such incentive compensation exceeds the
  aggregate estimated payments made for such year shall be paid to Employee.  In
  the event, however, that the aggregate amount of estimated incentive
  compensation previously paid exceeds the actual incentive compensation to
  which Employee is entitled, Employee shall promptly repay to the Company the
  amount of such excess upon receipt of written notice from the Company advising
  Employee of same.

          Notwithstanding anything to the contrary herein contained, if
  Employee's employment hereunder terminates other than on December 31, Employee
  shall be entitled to receive incentive compensation for the partial year of
  his employment, determined as follows:  By multiplying the amount of incentive
  compensation that would have been payable had Employee been employed by the
  Company for the entire calendar year by a fraction, the numerator of which
  shall be the number of days Employee was employed during such calendar year
  and the denominator of which shall be 365.  Such partial year incentive
  compensation shall be payable on or before April 30 of the year following the
  year in which Employee's employment has terminated.

     5.  All other provisions of the Employment Agreement shall remain in full
force and effect.

                                                                               3
<PAGE>

     IN WITNESS WHEREOF, the undersigned have executed this Agreement on the day
and year first above mentioned.

                         COMFORCE CORPORATION

                         By:_________________________________
                            Its:

                         COMFORCE OPERATING, INC.

                         By:_________________________________
                            Its:

                         EMPLOYEE

                          ___________________________________
                          John C. Fanning

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00022-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00022-of-00352.parquet"}]]