Shortchanged: The Hidden Costs of Lockstep Teacher Pay

A new report by TNTP outlines the main pitfalls of the current teacher-pay system and offers some insightful solutions. The authors explain that teachers’ starting salaries are 25 percent less than in other comparable fields and are stagnant during the first decade of a teacher’s career. What’s more, teachers only receive pay raises in two ways: by climbing another “step” on the salary scale or by earning a more advanced degree. High-performing teachers earn their raises the same way as everyone else: by letting time pass. Since the system encourages mediocrity and there is no incentive to perform well, schools end up retaining vast numbers of average teachers and losing their high performers. The report’s suggested remedy: higher entry-level salaries, raises for performance, and incentives to teach in high-need schools—all while maintaining salaries at 65 percent of per-pupil revenue—and ending automatic raises for advanced degrees and enhanced credentials that have not been shown to improve student outcomes. (Yes, that sounds a lot like D.C.’s IMPACT system, a model that TNTP lauds.) Schools spent an estimated $8.5 billion on raises for teachers due to their obtaining master’s degrees and $250 million on automatic pay increases for ineffective teachers, the report notes. If these funds were redistributed along the lines suggested here, the teacher profession could become more competitive and a more attractive option for high-performing teachers.

SOURCE: TNTP, Shortchanged: The Hidden Costs of Lockstep Teacher Pay (Brooklyn, NY: TNTP, July 2014).

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