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Long service awards

Long service awards

  1. Long service awards to members of the professional administrative and support staff take the form of a cheque or a gift to the value of:
    1. R1000 for those who have completed 10 years of service
      (note: This award is taxable and may not be taken as a gift. The certificate will be sent out via the post and will not be presented at a ceremony)
    2. R3000 for those who have completed 15 years of service
    3. R6000 for those who have completed 25 years of service
    4. R9000 for those who have completed 35 years of service
    5. R12000 for those who have completed 45 years of service

      (These amounts were agreed during substantive negotiations with the Employees Union and NEHAWU.)

  2. The tax status of these awards is subject to tax law.
    • A long service award taken in the form of cash is taxable.
    • A long service award taken as a gift is not taxable.
    • Awards for amounts of up to R5000 (excluding the 10 year award) may be taken as a gift. Anything above the R5000 must be taxed.
    • If the proposed gift would exceed the award amount, the entire value of the gift is taxable.
    • Where an award or part thereof is subject to tax, the award or its value is not reduced by the amount of the tax, but the taxable value is added to the staff member's annual taxable income.
  3. All continuous service whether temporary or permanent, part-time or full-time is recognised for long service awards. Continuous service is deemed to not be interrupted by a lapse totalling six months or less.
  4. The award and certificate are presented at a ceremony held during the year in which the required period of service is completed.

Page last updated: 25 March 2014