Service Awards - Staff Awards Program
January 10, 2008
PURPOSE:
To acknowledge and express appreciation to staff members for years of service to the University of Utah.
SCOPE:
Awards are provided in 5-year increments based on the date of service as calculated by the Benefits Office.
CRITERIA:
To be eligible for an Employee Service Award, an employee must meet the following qualifications: 1. Staff employee at the University of Utah 2. FTE of .75 or above for at least 5 years
PROCEDURE:
The Service Award Coordinator is responsible for developing lists of all eligible employees, except Hospitals and Clinics employees, on a monthly or annual basis. The Service Award Coordinator is also responsible to forward these lists directly to the vendor. The Hospitals and Clinics administration develops lists of eligible Hospitals and Clinics employees and forwards these lists directly to the vendor. All final lists of eligible employees are forwarded to the vendor for preparation and mailing of brochures and instructions to employees. Before finalizing and forwarding any list to the vendor, individual names are to be shared with their department heads to assist in service verifications and to determine whether any changes are necessary. Verification of service for the awards program is a shared responsibility that involves the employee, the employee's department and the Human Resources Division. The Benefits Department will resolve questions regarding length of service.
The Service Award Coordinator will recommend any change in awards or program definitions to the Vice President for Human Resources. All employees are encouraged to submit their input about the program to the Vice President for Human Resources and the Service Award Coordinator (581-5469).
If employees choose to reallocate their awards, they may do so upon departmental approval and notification to the Service Award Coordinator. An employee who makes this choice is not foregoing the service award, but is instead requesting a reallocation of University funds to a non-profit University purpose. The University will honor service award reallocation requests, and the department will forward the funds to the University unit specified by the employee. This option is not available to Hospitals and Clinics employees.
With departmental approval and notification to the Service Award Coordinator, an employee may choose a cash-out award. Under IRS regulations, all cash awards are taxable income to the recipient. The Payroll Department will follow proper accounting procedures to comply with all legal requirements. This option is not available to Hospitals and Clinics employees.
For information on the reallocation or cash-out value of a service award, contact the Service Award Coordinator at 581-5469.
This is a qualified plan as defined by IRS regulations, under which, an eligible employee may receive up to $1600 in non-taxable non-cash awards in one calendar year. The IRS imposes strict restrictions for length of service awards. In order to be non-taxable, presentation of a length of service award must occur after an employee has completed at least five (or increments of 5) years of service. The award should be given as part of a meaningful presentation or ceremony emphasizing the recipient's length of service to the University of Utah.
This program may be modified or discontinued at any time without prior notice.