Employees at the Gauteng Department of Health have an opportunity to play the “money or the box” game by choosing electronic appliances instead of cash for their end-of-year bonuses.
During a meeting in August, employees from the department were taken aback by a proposal that instead of cash bonuses they could choose between a DVD home theatre system, a twin-tub washing machine, a VCR, a microwave oven or a television set.
Popo Maja, head of communications said the proposal emanated from the unions and not from the management. He said the idea arose because the allocated budget for incentive bonuses is severely strained. “There are too many staff members eligible [for bonuses] and no mechanism to monitor performances. The idea was to buy bulk appliances with the cash, at a considerable discount, [appliances] that will have more monetary value for the employee.
“The buying-power muscle that the department may flex to the manufacturers and suppliers may benefit employees,” said a memorandum sent after the meeting.
It calculates that there are currently 34 000 employees who qualify for incentive bonuses. If employees go for the monetary option, the department will be over-budget by R9-million.
The proposal offered employees — depending on their payment bracket — a range of appliances and various makes from Sansui to LG.
The memorandum has a chart that shows how, for instance, if an employee in a certain category chooses a twin-tub washing machine, the cost is calculated at R1 083, while the object has an approximate retail value of R2 000. If the employee takes the cash bonus, it comes out at R870.
The catch is that all employees need to opt for the appliance in order for the department to get a discount. The memorandum said: “The buying power of the department will depend on the entire staff complement settling for the non-monetary incentives.”
But, said Maja, the majority of staff members have indicated a preference for the money.