Classification and Compensation: Longevity Allowance

Subject:                      University Human Resources

Policy:                         Longevity Allowance

Effective Date:           January 1, 2019         

Revised:                     

Review Date:              Three (3) years from Effective Date above

Responsible Party:     University Human Resources

Application:                This policy applies only to classified employees


 1.  Introduction and Purpose

This policy describes the application of the longevity allowance for classified employees as authorized under Section 2-18-304, MCA and approved by the Board of Regents.

2.  Longevity Rates and Application

A classified employee who has completed five (5) years of uninterrupted service will receive 1.5% of the employee’s base salary multiplied by the number of completed, contiguous, five-year periods of uninterrupted service. In addition to the longevity allowance, each employee will receive an additional .5% of the employee’s base salary for each five (5) year increment. Breaks in service (termination of employment greater than five (5) consecutive working days) end longevity pay. If an employee returns to state employment after a break in service, the employee must restart the accrual process.     

Longevity Rates
Yearly Longevity Increment Percentage of Pay Increase
  5 years

       1.50%

10 years 3.50%
15 years 5.50%
20 years 7.50%
25 years 9.00%
30 years        10.50%
35 years        12.00%
40 years        13.50%
45 years        15.00%
50 years        16.50%
55 years        18.00%
60 years        19.50%
65 years        21.00%


For purposes of calculating longevity, employment as a short-term worker does not apply toward years of service, however employment in any other capacity will count toward years of service. Authorized leaves of absence are not considered interruptions in service. Employees on an approved leave of absence will continue to accrue longevity credit.

3.  Application of Longevity When Moving to Classified Status

The longevity rate of a classified employee who has been continuously employed in both classified and contract employee positions will be based on the classified employee’s years of continuous employment with the university. Contract employees are not eligible for longevity pay.