Monday Should schools have prizegiving?

A Primary School in Auckland has cancelled their school prizegiving due to ranking students. 

I think this is a bad idea because students have to work hard to earn awards and the students that don't work very hard have to deal with the fact that they didn't try hard enough. 

The positives of this are that students will not feel left out even if they don't try.

The negatives of this are that the diligent students will not get rewarded for high standard work and then they won't have anything to work up to at the end of the year.

I think schools should definitely have prizegivings because it acknowledges the students that are hard workers.