Common use of Longevity Program Clause in Contracts

Longevity Program. A. In recognition of an employee’s service to GHAPS as a teacher and/or administrator, at year five (5) the employee will receive five hundred dollars ($500.00) and one hundred dollars ($100.00) for each additional year after five (5) years. The maximum longevity payment will be two thousand three hundred dollars ($2,300.00) and will be made subsequent to the completion of each year paid on June 1 in a lump sum. Offset prorations will be made in the first payment based on the month of hire. Both teacher and administrator years with GHAPS will count towards longevity. A break in service to the district will not count against the total accumulation of longevity years. The employer shall make the entire payment as an employer contribution directly into the employee’s 403(b) account established by the employee from the board approved list of companies. Employees will not have the option to receive cash, but the longevity payment will constitute an employer contribution under 403(b) of the Internal Revenue Code (IRC). B. Those administrators at the top of their range shall receive an annual cash payment of 1.5% of their salary (paid on June 1 subsequent to the completion of each year). This payment will be off schedule and will not result in a schedule change.