How to pay security guards a small bonus each month?

saor

saor

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Our complex contracts security guards (3 regulars) from ADT. Current guards have all been here for years. We'd like to give them a small salary increase but avoid having to so via ADT (it's not straightforward and they take a big cut). Managing agents reckon if they pay the guards direct to their accounts SARS will get wind of it & so the best would be to EFT cash to a trustee and trustee pays guards cash each month. None of us feel like this extra mission each month of drawing cash etc.

Is there an easy way to do this? It's a small amount (just under R500 per guard per month). I'd be fine with managing agents paying into trustee account and trustee pays the 3 guards via eft...but then will that not just lead to the SARS issue again? Is the SARS thing even a problem?

Any suggestions on an easy legal way to do this?
 
If you feel that strongly about their work, why doesn't your body corporate contract them directly? All you have to do is draw up the contracts and have them give notice of resignation to ADT.

Oh, and you need to make sure that they do in fact resign from ADT, else they'll be getting two salaries :ROFL:
 
saor said:
Our complex contracts security guards (3 regulars) from ADT. Current guards have all been here for years. We'd like to give them a small salary increase but avoid having to so via ADT (it's not straightforward and they take a big cut). Managing agents reckon if they pay the guards direct to their accounts SARS will get wind of it & so the best would be to EFT cash to a trustee and trustee pays guards cash each month. None of us feel like this extra mission each month of drawing cash etc.

Is there an easy way to do this? It's a small amount (just under R500 per guard per month). I'd be fine with managing agents paying into trustee account and trustee pays the 3 guards via eft...but then will that not just lead to the SARS issue again? Is the SARS thing even a problem?

Any suggestions on an easy legal way to do this?
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What is your expected / envisaged outcome on this? I understand the motivation, and the guys do not earn much,, but their salaries are regulated by PSIRA, who stipulate in their annual publications the minimum amount to be paid per grade. I had a similar idea a few years ago, and discussed it with the guarding company. They explained their operation and why it was actually a bad idea.
 
RonSwanson said:
What is your expected / envisaged outcome on this? I understand the motivation, and the guys do not earn much,, but their salaries are regulated by PSIRA, who stipulate in their annual publications the minimum amount to be paid per grade. I had a similar idea a few years ago, and discussed it with the guarding company. They explained their operation and why it was actually a bad idea.
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** They often go over and above what's expected of a guard.
** They've been here for 5+ years.

I'd like them to receive a bit extra for all the extra effort they put in.

To increase their salary via ADT would involve too large a general increase from ADT which we couldn't justify. Hence trying to do it some other way.
 
The_Ogre said:
If you feel that strongly about their work, why doesn't your body corporate contract them directly? All you have to do is draw up the contracts and have them give notice of resignation to ADT.

Oh, and you need to make sure that they do in fact resign from ADT, else they'll be getting two salaries :ROFL:
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I would never suggest this to a community scheme, firstly the community scheme exists for the benefit of its members, and its primary function is levy collection. Becoming an employer places a huge amount of labour-related risk on them. Dealing with absenteeism, absconding, AWOL and sick-leave. And find relief guards when it happens. And have to be trained, and records kept of every last thing. Then there's all the red tape with PSIRA, even directors and trustees need to register, screened, become trained and pay dues. What happens when the guys become 55 and no longer fit & healthy?
It's a function best oursourced.
 
The_Ogre said:
If you feel that strongly about their work, why doesn't your body corporate contract them directly? All you have to do is draw up the contracts and have them give notice of resignation to ADT.

Oh, and you need to make sure that they do in fact resign from ADT, else they'll be getting two salaries :ROFL:
Click to expand...
Because neither the BC nor the managing agents want to deal with employment contracts. ADT also have a useful purpose in that sick guards are always replaced if they can't make it in. This isn't an option.
 
I understand that you want to help them but there is also the risk that ADT decides to rotate the guards away from your complex, what happens then? will you continue to pay them even if they are working elsewhere?
 
saor said:
** They often go over and above what's expected of a guard.
** They've been here for 5+ years.
I'd like them to receive a bit extra for all the extra effort they put in.

To increase their salary via ADT would involve too large a general increase from ADT which we couldn't justify. Hence trying to do it some other way.
Click to expand...
It creates a huge problem for the security company. They have a pool of human resources, and contracts to fulfill. So they post the guards, and when guards do not pitch for work, or if they are injured on duty, or if they are sick, they have to allocate other guards. This means that you may not always get the same guards. And if your complex is incentivizing, there will be fights and squabbles over why one was posted there and another not. It also raises their expectations, because then the other guards will approach the complexes that they work at, and demand the same. If they do not get it, they go-slow, or turn a blind eye to happenings.
It is also good practice to rotate guards sometimes. Some work better with others, some not. It also ensures that the guards do not get too familiar with residents, because that causes deviations from their SOP.
It may be a better idea to rather arrange a boerie braai every say 3-6 months for them, or at least fund it, but remember that it also raises expectations, which could have unintended consequences.
 
(when I say 'you' I am referring to the bodycorp/complex management)

I don't think this is a good idea, even though I understand the good gesture behind it. I get that they get paid crap salaries. But their salaries are ADT's responsibility. You are very happy to use ADT at minimum rates, yet you are not happy with the salaries they pay.

You are going to create other issues and employment issues if you go this route. If one of those guards gets moved to somewhere else, they will not be happy. You are going to have to explain to ADT the issue you have created, as well as breaking the contract agreement. There is no way you can do this without legal issues.

The right thing would be to get another security firm that pays their workers better fees or employ them directly. If you don't want to take that responsibility, then you can't complain or worry about their salaries.

So I see a couple of issues here and it is not only ADT.

Sorry, I am not trying to come forth as judgemental or anything, just giving a different perspective.

Now that you know their income can't be justified, employ them directly. Otherwise be content with what they get as not even you want to take responsibility for them.
 
RedViking said:
I don't think this is a good idea, even though I understand the good gesture behind it. I get that they get paid crap salaries. But their salaries are ADT's responsibility. You are very happy to use ADT at minimum rates, yet you are not happy with the salaries they pay.

You are going to create other issues and employment issues if you go this route. If one of those guards gets moved to somewhere else, they will not be happy. You are going to have to explain to ADT the issue you have created, as well as breaking the contract agreement. There is no way you can do this without legal issues.

The right thing would be to get another security firm that pays their workers better fees or employ them directly. If you don't want to take that responsibility, then you can't complain or worry about their salaries.

So I see a couple of issues here and it is not only ADT.

Sorry, I am not trying to come forth as judgemental or anything, just giving a different perspective.
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The only flaw I see here is that you think premium rates for the security service automatically translates into better wages for the workers, it seldom does, all that most security companies do is to make sure they stick to the minimum stipulated wage.
 
thechamp said:
The only flaw I see here is that you think premium rates for the security service automatically translates into better wages for the workers, it seldom does, all that most security companies do is to make sure they stick to the minimum stipulated wage.
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No, that is not what I am thinking.
 
RonSwanson said:
It creates a huge problem for the security company. They have a pool of human resources, and contracts to fulfill. So they post the guards, and when guards do not pitch for work, or if they are injured on duty, or if they are sick, they have to allocate other guards. This means that you may not always get the same guards. And if your complex is incentivizing, there will be fights and squabbles over why one was posted there and another not. It also raises their expectations, because then the other guards will approach the complexes that they work at, and demand the same. If they do not get it, they go-slow, or turn a blind eye to happenings.
It is also good practice to rotate guards sometimes. Some work better with others, some not. It also ensures that the guards do not get too familiar with residents, because that causes deviations from their SOP.
It may be a better idea to rather arrange a boerie braai every say 3-6 months for them, or at least fund it, but remember that it also raises expectations, which could have unintended consequences.
Click to expand...
Where I work the client has a say in the whole thing, the security company cannot just wake up and decide to change people, there is an element of trust that develops between the security guards and the client, that should be respected so unless there's a really good reason the security officer spends a long time at one place as it looks to be the case with OP.
 
RedViking said:
I don't think this is a good idea, even though I understand the good gesture behind it. I get that they get paid crap salaries.
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I agree - gaurding is ADTs core business.

If you pay them extra, or give them a gift in lieu, that could jeopardize there terms of employment, and heaven forbid, should crime happen, the gaurds will be seen as being either complicit, because they already are into taking backhands, or they will be beaten twice as hard because they serve two masters.

Sometimes, the little things make a difference, like saying thanks.
 
RedViking said:
Now that you know their income can't be justified, employ them directly. Otherwise be content with what they get as not even you want to take responsibility for them.
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Not sure why you needed to end with this. We can't employ them directly, this has already been addressed earlier. And it's not about not wanting to take responsibility, it's about the fact that the hassle of direct employment far far far exceeds the extra R500 p/m we want to pay them. The scales just don't balance on that equation. I'm willing to consider a small bonus, I'm not willing to go through the mission of employing them directly. I have a job, I don't have the time for that ****. Hence the small monetary gesture.

Your other points are valid food for though, thx,
 
saor said:
Not sure why you needed to end with this. We can't employ them directly, this has already been addressed earlier. And it's not about not wanting to take responsibility, it's about the fact that the hassle of direct employment far far far exceeds the extra R500 p/m we want to pay them. The scales just don't balance on that equation. I'm willing to consider a small bonus, I'm not willing to go through the mission of employing them directly. I have a job, I don't have the time for that ****. Hence the small monetary gesture.

Your other points are valid food for though, thx,
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Sorry I didn't mean it in a bad way. When I say you I am referring to the complex. Our complex have a gardener and a caretaker and both get paid a salary, I am sure if they needed a permanent security guard they will pay him also a salary. So they sign a year contract or whatever and if everyone is happy it gets renewed as far as I understand it. If they are not happy with the price they pay for a direct contract, they can pay a garden service or a maintenance firm at reduced rates and not worry about what the firms employees get paid as it is not their responsibility.

If what I say doesn't make sense, just ignore me. In my head it makes sense. :laugh:
 
saor said:
Our complex contracts security guards (3 regulars) from ADT. Current guards have all been here for years. We'd like to give them a small salary increase but avoid having to so via ADT (it's not straightforward and they take a big cut). Managing agents reckon if they pay the guards direct to their accounts SARS will get wind of it & so the best would be to EFT cash to a trustee and trustee pays guards cash each month. None of us feel like this extra mission each month of drawing cash etc.

Is there an easy way to do this? It's a small amount (just under R500 per guard per month). I'd be fine with managing agents paying into trustee account and trustee pays the 3 guards via eft...but then will that not just lead to the SARS issue again? Is the SARS thing even a problem?

Any suggestions on an easy legal way to do this?
Click to expand...

The SARS issue is a real risk. It doesn't matter who pays the R500, the problem is that SARS will consider that money to be taxable in the hands of the security guard receiving it. The only possible exception to this if the guards total annual salary is below the annual tax threshold which is currently R83100 per year for the 2021 tax year. So each guard would have to currently earn R6000 (12 x R500) less than this for the bonus not to be taxable.

Also, if you EFT cash to a trustee and he pays the guards cash each month, how is the trustee going to explain to SARS where that R500 for each guard came from? I wouldn't want to be that trustee cos he's going to have his own tax problems.
 
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